Bee v Road Accident Fund (093/2017) [2018] ZASCA 52; 2018 (4) SA 366 (SCA) (29 March 2018)

Bee v Road Accident Fund (093/2017) [2018] ZASCA 52; 2018 (4) SA 366 (SCA) (29 March 2018)

The majority of the Supreme Court of Appeal held that the appellant's injuries significantly impaired his ability to perform his pre-accident functions in the close corporation, resulting in diminished profits and loss of earning capacity. The court found that the joint minute of forensic accountants, which agreed on the methodology and factual assumptions for quantifying loss, was binding in the absence of timeous repudiation. The appellant's post-injury earnings exceeding a market-related salary for his reduced role were the result of benevolence and should be disregarded under the collateral source rule. The court distinguished the present case from Rudman, finding that the appellant's...

Citation
[2018] ZASCA 52
Parties
Appellant: Glenn Marc Bee; Respondent: Road Accident Fund
Court
Supreme Court of Appeal
Jurisdiction
South Africa
Judgment Date
29 March 2018
Case Number
093/2017
Procedural Posture
Civil Appeal / Appeal From the Full Court of the Western Cape Division, Cape Town, Sitting on Appeal From a Judgment of the Same Division
Outcome
Appeal upheld with costs; trial court’s award reinstated subject to downward adjustment for future loss of earnings.
Judges
Seriti, Mathopo, Rogers, Hughes, Schippers
Legal Topics
Loss of Earning Capacity, Collateral Source Rule, Quantification of Damages, Expert Evidence, Joint Minute of Experts
Delict Civil Procedure Loss of Earning Capacity Collateral Source Rule Quantification of Damages Expert Evidence Joint Minute of Experts

Case Brief

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Parties

Glenn Marc Bee

Appellant

Road Accident Fund

Respondent

Procedural Posture

Civil Appeal / Appeal From the Full Court of the Western Cape Division, Cape Town, Sitting on Appeal From a Judgment of the Same Division

Legal Issues

  1. 1 Whether the appellant suffered a loss of earning capacity as a result of injuries sustained in a motor vehicle accident.
  2. 2 Whether the appellant's claim for damages can be quantified with reference to the diminished profits of a close corporation in which he held a 50% interest.
  3. 3 Whether post-injury earnings exceeding a market-related salary for a reduced role should be disregarded as benevolent payments under the collateral source rule.

Ratio Decidendi

The majority of the Supreme Court of Appeal held that the appellant's injuries significantly impaired his ability to perform his pre-accident functions in the close corporation, resulting in diminished profits and loss of earning capacity. The court found that the joint minute of forensic accountants, which agreed on the methodology and factual assumptions for quantifying loss, was binding in the absence of timeous repudiation. The appellant's post-injury earnings exceeding a market-related salary for his reduced role were the result of benevolence and should be disregarded under the collateral source rule. The court distinguished the present case from Rudman, finding that the appellant's...

Court Disposition

Appeal upheld with costs; trial court’s award reinstated subject to downward adjustment for future loss of earnings.

Orders

  • The appeal is upheld with costs, including the costs of two counsel.
  • The order of the court a quo is set aside and replaced with the following order: