South Africa Judgment

North Gauteng High Court, Pretoria

Eagle Steel Construction Proprietary Limited t/a Eaglestruct Internation v Glen Lea Property Investments CC and Others (29756/2015) [2017] ZAGPPHC 36 (10 February 2017)

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Source document

01

Holding and result

The court found that the plaintiff suffered serious injuries resulting in permanent disability and loss of earning capacity due to a motor vehicle accident. Expert evidence from industrial psychologists and actuaries established the quantum of damages for loss of earnings and general damages. The defendant accepted liability and agreed to the actuarial calculations. The court held that the plaintiff is entitled to compensation for general damages and loss of earnings, as well as an undertaking for future medical expenses under section 17(4)(a) of the Road Accident Fund Act. The claim for past hospital and medical expenses was postponed sine die. Costs were awarded to the plaintiff on the High Court scale, including expert fees and counsel's charges.

Court disposition

Plaintiff's claim for general damages and loss of earnings is granted. Defendant is ordered to pay the plaintiff the specified amounts and provide an undertaking for future medical expenses. Costs awarded to the plaintiff. Claim for past medical expenses postponed sine die.

Orders

  • Defendant to pay plaintiff R2,746,400, consisting of R800,000 for general damages and R1,946,400 for loss of earnings, by 15 February 2017 into plaintiff's attorneys' trust account.
  • Defendant not liable for interest unless payment is late; if late, interest at 10.5% per annum from date of order until payment.
  • Plaintiff's claim for past hospital and medical expenses is separated and postponed sine die.
  • Defendant to deliver an undertaking in terms of section 17(4)(a) of the Road Accident Fund Act for 100% of future medical costs related to the accident.
  • Defendant to pay plaintiff's taxed or agreed party and party costs on High Court scale, including expert fees and counsel's charges.
  • Defendant to pay costs within 14 days of taxation or agreement.

02

Material facts

Parties

Eagle Steel Construction Proprietary Limited t/a Eaglestruct Internation

Applicant

Glen Lea Property Investments CC

Respondent

Others

Respondent

Amounts and remedies

  • General Damages: ZAR 800,000
  • Loss of Earnings: ZAR 1,946,400
  • Total Award: ZAR 2,746,400
  • Interest Rate (if Late Payment): ZAR 10.5

03

Procedural history

  1. Posture

    Delictual Action / Final Judgment

04

Questions and positions

Legal issues

Party arguments

Applicant
The plaintiff argued that as a result of the motor vehicle accident, he suffered severe injuries including amputation of his right leg and left index finger, which have permanently impaired his earning capacity. He relied on expert reports from industrial psychologists and actuaries to quantify his loss of earnings and general damages. The plaintiff sought compensation for these losses, as well as an undertaking for future medical expenses under section 17(4)(a) of the Road Accident Fund Act.
Respondent
The defendant accepted liability for the accident and agreed to certain actuarial calculations regarding the plaintiff's loss of earnings and general damages. The defendant disputed the quantum of past medical expenses and requested that this claim be postponed sine die. The defendant also sought to limit its liability for interest on the capital amount and costs.

05

Court’s reasoning

  1. 01

    Road Accident Fund Act 56 of 1996

    A plaintiff who suffers injuries in a motor vehicle accident caused by the negligence of another is entitled to compensation for loss of earnings and earning capacity under the Road Accident Fund Act.

  2. 02

    Southern Insurance Association Ltd v Bailey NO 1984 (1) SA 98 (A)

    Contingencies must be applied to actuarial calculations to account for uncertainties in future earnings and life events.

  3. 03

    Practice in High Court

    A court may postpone the determination of certain heads of damages, such as past medical expenses, sine die where the parties have not reached agreement.

06

Ratio, limits and disposition

Ratio decidendi

The court found that the plaintiff suffered serious injuries resulting in permanent disability and loss of earning capacity due to a motor vehicle accident. Expert evidence from industrial psychologists and actuaries established the quantum of damages for loss of earnings and general damages. The defendant accepted liability and agreed to the actuarial calculations. The court held that the plaintiff is entitled to compensation for general damages and loss of earnings, as well as an undertaking for future medical expenses under section 17(4)(a) of the Road Accident Fund Act. The claim for past hospital and medical expenses was postponed sine die. Costs were awarded to the plaintiff on the High Court scale, including expert fees and counsel's charges.

Obiter and limits

  • The court noted that the draft order presented by the parties represented fair and adequate compensation for the plaintiff.
  • The separation and postponement of the claim for past medical expenses allows the parties to resolve this issue without prejudicing the plaintiff's entitlement to other heads of damages.

Court disposition

Plaintiff's claim for general damages and loss of earnings is granted. Defendant is ordered to pay the plaintiff the specified amounts and provide an undertaking for future medical expenses. Costs awarded to the plaintiff. Claim for past medical expenses postponed sine die.

  • Defendant to pay plaintiff R2,746,400, consisting of R800,000 for general damages and R1,946,400 for loss of earnings, by 15 February 2017 into plaintiff's attorneys' trust account.
  • Defendant not liable for interest unless payment is late; if late, interest at 10.5% per annum from date of order until payment.
  • Plaintiff's claim for past hospital and medical expenses is separated and postponed sine die.
  • Defendant to deliver an undertaking in terms of section 17(4)(a) of the Road Accident Fund Act for 100% of future medical costs related to the accident.
  • Defendant to pay plaintiff's taxed or agreed party and party costs on High Court scale, including expert fees and counsel's charges.
  • Defendant to pay costs within 14 days of taxation or agreement.

Source and reliance status

North Gauteng High Court, Pretoria

This page organises the available record for research. Confirm quotations, current status, and subsequent treatment against the official source before relying on the case.

Judgment reading view

Judgment text

The complete available source text.

Source document

North Gauteng High Court, Pretoria

Judgment

[2017] ZAGPPHC 36

IN

THE HIGH COURT OF SOUTH AFRICA

GAUTENG DIVISION, PRETORIA

08/02/2017

CASE NO: 36464/2014

NOT

REPORTABLE

NOT

OF INTEREST TO OTHER JUDGES

REVISED

In the matter between:

BRUCE

BERNARD TALJAARD

Plaintiff

and

ROAD

ACCIDENT FUND

Defendant

JUDGMENT

MAKGOKA,J:

[1] This is an action for damages in terms of the Road Accident Fund Act, 56 of 1996, as amended (the Act) pursuant to a motor vehicle collision on 12 May 2010. The plaintiff, then 28 years old, was a driver of motorcycle which collided with an unidentified motor vehicle. He suffered serious multiple injuries, mainly to his lower limb. His right leg and left index finger were eventually amputated. He was employed as an underground assistant boilermaker.

[2] All other heads of claim have been settled, except for the past medical expenses, on which the parties hopefully will find each other. Before me was the determination of the plaintiff's damages in respect of his loss of earnings and earning capacity. I have had regard to the joint minute of the industrial psychologists, Mrs Barbara Donaldson and Mr Bernard Oosthuizen, dated 20 January 2017, as well as the addendum thereto by the same experts, dated 1 February 2017. In addition, I have considered the actuarial calculation prepared on behalf of the plaintiff by Algorithm Consultants and Actuaries dated 24 January 2017.

[3] The parties have agreed· on certain actuarial calculations for different scenarios. Using the opinions expressed by the industrial

psychologists in respect of the plaintiff's probable career path, the actuaries have made a calculation of what the plaintiff would have earned in the remainder of his working life had he not been injured. The retirement age is assumed at age 62½. The actuaries have calculated the amount the plaintiff would have earned (on the basis of various assumptions) but for the accident. To these amounts, provision was made for contingencies of life, and adjusted the amounts accordingly.

[4] During the brief hearing I was handed up a draft order, which, having regard to the reports of the experts referred to above, I am satisfied that it represents fair and adequate compensation for the plaintiff.

[5] In the result the following order is made:

1. The draft order, attached hereto and marked 'X', is made an order of this court.TM Makgoka

Judge of the High Court

Date of hearing: 1 February 2017

Judgment delivered: 8 February 2017

Appearances:

For the Plaintiff: Adv. P du Plessis SC

Instructed by: Van Velden-Duffey, Rustenburg

MacRobert Inc., Pretoria

For the Defendant: Adv. A. Ntimbana

Instructed by: Fourie Fismer Inc., Pretoria

IN THE HIGH COURT OF SOUTH

AFRICA

(GAUTENG DIVISION, PRETORIA)

On the 8th of February 2017

Before his Honourable Judge Makgoka

Case No: 36464/2014

BB

TALJAARD

Plaintiff

ROAD

ACCIDENT

FUND

Defendant

After having heard counsel, the court orders as follows:

1.

PLAINTIFF'S CLAIM FOR GENERAL DAMAGES & LOSS OF EARNINGS:

The Defendant is ordered to pay to Plaintiff the amount of R2746 400 (TWO MILLION SEVEN HUNDRED AND FORTY SIX TH0USAND FOUR HUNDRED RAND) which consist of an amount of R800 000.00 for general damages and an amount of R1946 400 for loss of earnings, in delictual damages following the injuries Plaintiff sustained resulting from a motor vehicle accident which occurred on 12 May 2012, which amount is payable by Defendant to Plaintiff on/or before 15 February 2017 by depositing same into Plaintiff's attorneys of record's trust account, the details of which are as follows:

ACCOUNT HOLDER : VAN VELDEN-DUFFEY INC

BANK : ABSA BANK

TYPE OF ACCOUNT : TRUST

ACCOUNT NUMBER : 0713270938

BRANCH : 630146

REFERENCE : MAT21570

2.

INTEREST:

2.1 The Defendant will not be liable for interest on the outstanding amount;

2.2 Should the Defendant fail to make payment of the capital amount on/or before 15 February 2017, Defendant will be liable for interest on the amount due to Plaintiff at a rate of 10.5% per a num as from the date of this order to date of final payment.

3.

PLAINTIFF'S CLAIM FOR PAST HOSPITAL & MEDICAL EXPENSES:

The Plaintiff's claim for past hospital and medical expenses is separated and postponed sine die.

4.

UNDERTAKING:

The Defendant is ordered to deliver to Plaintiff, within reasonable time, an undertaking in terms of Section 17(4)(a) of the Road Accident Fund Act, Act 56 of 1996, wherein the Defendant undertakes to pay to the Plaintiff 100% of the cost of future accommodation in a hospital or a

nursing home or treatment of, or rendering of a service or supplying of goods to Plaintiff pursuant to the injuries Plaintiff sustained in a motor vehicle accident which occurred on 12 May 2012, after the costs have been incurred and on proof thereof.

5.

COSTS:

The Defendant is ordered to pay the Plaintiffs taxed or agreed party and party costs on High Court Scale, which costs will include, but will not be limited to, the following:

5.1 The costs of all expert reports, medico-legal reports, addendum medico-legal reports, and combined joint reports, RAF4 Serious Injury Assessment Report(s} and radiology reports of all experts of whom notice has been given and/or whose reports have been furnished to the Defendant and/or its attorneys and/or whose reports have come to the knowledge of the Defendant and/or its attorneys as well as all reports in their possession and/or contained in the Plaintiff's bundle of documents. This shall include, but not be limited to, the following experts of whom notice has been given, namely:

5.1.1

Dr Van Den Bout, Orthopaedic Surgeon;

5.1.2

Kobus Truter, Clinical Psychologist;

5.1.3

Dr PB White, Plastic & Reconstruction Expert;

5.1.4

Anneke Greeff, Occupational Therapist;

5.1.5

Marco Du Plooy, Orthotics & Prosthetics;

5.1.6

Barbara Donaldson, Industrial Psychologist;

5.1.7

Greg Whittaker, Actuary;

5.2 The full fees of Plaintiff's senior counsel in respect of preparation, consultations, pre-trial conferences, travelling time and expenses and a day fee for 1 February 2017;

5.3 The costs of holding all pre-trial conferences, as well as roundtable meetings between the legal representatives for both the Plaintiff and the Defendant, including counsel's charges in respect thereof as well as all reasonable costs, including but not limited to travelling expenses, incurred by the Plaintiff's attorneys and counsel in order to attend such pre-trial conferences;

5.4 The costs of and consequent to compiling all minutes in respect of pre­ trial conferences;

5.5 The reasonable taxable costs of one consultation with the clients in order to consider the offer of the Defendant, the costs to accept it, have it made an order of court and to procure performance by the Defendant of its obligations in terms hereof;

5.6 The cost incurred in obtaining payment and/or execution of the capital amount mentioned in paragraph 1 above.

6.

TAXATION:

6.1 Plaintiff is ordered to serve the Notice of Taxation of Plaintiff's party and party bill of costs on Defendant's attorneys of record;

6.2 The Defendant is ordered to pay the Plaintiff's taxed and/or agreed party and party costs within 14 (FOURTEEN) days from the date upon which the accounts are taxed by the Taxing Master and/or agreed between the parties.

SIGNED AT PRETORIA ON THIS THE 1st DAY OF FEBRUARY 2017.

REGISTRAR

COUNSEL

FOR PLAINTIFF : ADV

P DU PLESSIS SC

082 578 2424

ATTORNEY

FOR PLAINTIFF :

MR M

BEZUIDENHOUT

VAN VELDEN-DUFFEY INC

073178 4275

ATTORNEY FOR DEFENDANT :

MR A NTIMBANA FSF INC

: 076 759 2957

Source wording is retained. Consult the source document for its original formatting and pagination.

Authorities

Authorities used by the court

Cases, legislation, regulations, and constitutional provisions identified in the available record.

Southern Insurance Association Ltd v Bailey NO 1984 (1) SA 98 (A)

Case cited

Road Accident Fund Act 56 of 1996

Legislation

Legislation referenced in the available case record.

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