A.M.M v Road Accident Fund (11809/19) [2021] ZAGPPHC 365 (31 May 2021)

A.M.M v Road Accident Fund (11809/19) [2021] ZAGPPHC 365 (31 May 2021)

The Defendant, having invited the Plaintiff to lodge a direct claim and discouraged legal representation, assumed a professional duty to properly quantify the claim. The Defendant failed to engage an Industrial Psychologist and relied on flawed actuarial assumptions, incorrectly concluding that the deceased had reached his career ceiling at age 33. This constituted professional negligence and resulted in a significant under-settlement of the Plaintiff's and minor child's loss of support claim. The Plaintiff's expert evidence established the deceased's earning potential and proper quantum of damages. The court found the Defendant liable to pay the correct quantum, as calculated by the...

Citation
[2021] ZAGPPHC 365
Parties
Plaintiff: A M M; Defendant: Road Accident Fund
Court
North Gauteng High Court, Pretoria
Jurisdiction
South Africa
Judgment Date
31 May 2021
Case Number
11809/19
Procedural Posture
Civil Trial / Quantum Determination After Settlement of Liability
Outcome
Plaintiff's claim for loss of support is upheld. Defendant ordered to pay the full quantum as calculated by Plaintiff's experts.
Judges
Nthambeleni
Legal Topics
Loss of Support, Road Accident Fund Act, Professional Negligence, Quantification of Damages, Actuarial Evidence, Industrial Psychologist Expert

Case Brief

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Parties

A M M

Plaintiff

Road Accident Fund

Defendant

Procedural Posture

Civil Trial / Quantum Determination After Settlement of Liability

  1. 1 Whether the Defendant properly quantified the Plaintiff's loss of support claim in accordance with the Road Accident Fund Act.
  2. 2 Whether the Defendant's failure to engage an Industrial Psychologist and properly assess the deceased's career progression constituted professional negligence.
  3. 3 What is the correct quantum of damages for loss of support suffered by the Plaintiff and the minor child.

Ratio Decidendi

The Defendant, having invited the Plaintiff to lodge a direct claim and discouraged legal representation, assumed a professional duty to properly quantify the claim. The Defendant failed to engage an Industrial Psychologist and relied on flawed actuarial assumptions, incorrectly concluding that the deceased had reached his career ceiling at age 33. This constituted professional negligence and resulted in a significant under-settlement of the Plaintiff's and minor child's loss of support claim. The Plaintiff's expert evidence established the deceased's earning potential and proper quantum of damages. The court found the Defendant liable to pay the correct quantum, as calculated by the...

Court Disposition

Plaintiff's claim for loss of support is upheld. Defendant ordered to pay the full quantum as calculated by Plaintiff's experts.

Orders

  • The Defendant shall pay to the Plaintiff a total of R680,699, divided as follows: R456,086 in respect of the Plaintiff and R224,612 in respect of the minor child.
  • Plaintiff's attorneys are ordered to create a trust for the sole benefit of the minor, with costs of creation and administration to be paid by the Defendant.