Phillips v Holliday & Anor [2001] EWCA Civ 1074 (6 July 2001)

Phillips v Holliday & Anor [2001] EWCA Civ 1074 (6 July 2001)

Where company records are unreliable, damages for loss of earnings may be estimated based on reasonable figures derived from available evidence, with appropriate deductions for post-accident earnings; a Smith v Manchester award is subsumed if the multiplier reflects labour market disadvantage.

Citation
[2001] EWCA Civ 1074
Parties
Claimant/respondent: Phillips; Appellants/defendants: Holliday & anr
Jurisdiction
England and Wales
Judgment Date
06 July 2001
Procedural Posture
Personal Injury Appeal / Court of Appeal Judgment
Outcome
Appeal allowed to a limited extent
Legal Topics
Assessment of Damages, Loss of Earnings, Future Loss, Smith V Manchester Award, Company Structure and Earnings
Personal Injury Employment Law Damages Assessment of Damages Loss of Earnings Future Loss Smith V Manchester Award Company Structure and Earnings

Case Brief

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Parties

Phillips

Claimant/respondent

Holliday & anr

Appellants/defendants

Procedural Posture

Personal Injury Appeal / Court of Appeal Judgment

Legal Issues

  1. 1 How should damages for loss of earnings be calculated when the claimant operates through a family company with unreliable records?
  2. 2 Is the claimant entitled to a Smith v Manchester award for disadvantage in the labour market?
  3. 3 What is the appropriate deduction for post-accident earnings in managerial/administrative roles?

Ratio Decidendi

Where company records are unreliable, damages for loss of earnings may be estimated based on reasonable figures derived from available evidence, with appropriate deductions for post-accident earnings; a Smith v Manchester award is subsumed if the multiplier reflects labour market disadvantage.

Court Disposition

Appeal allowed to a limited extent

Orders

  • Substitute £18,748 for £22,209 for pre-trial losses
  • Substitute £59,398 for £62,137 for future losses