Road Accident Fund v Coughlan (702/13) [2014] ZASCA 106; 2014 (6) SA 376 (SCA) (3 September 2014)

Road Accident Fund v Coughlan (702/13) [2014] ZASCA 106; 2014 (6) SA 376 (SCA) (3 September 2014)

The Supreme Court of Appeal held that foster child grants paid to the foster parent following the death of the children's mother are deductible from damages awarded for loss of support under the Road Accident Fund Act. The court found no substantive distinction between foster child grants and other social assistance grants, as both are paid to enable the support of children who have lost a breadwinner. The grants were received as a direct consequence of the mother's death, and awarding both damages and grants would result in double compensation, which is impermissible. The court rejected the argument that the grants were purely acts of State gratuity, emphasizing that the grants served...

Citation
[2014] ZASCA 106
Parties
Appellant: Road Accident Fund; Respondent: Wayne Coughlan NO
Court
Supreme Court of Appeal
Jurisdiction
South Africa
Judgment Date
3 September 2014
Case Number
702/13
Procedural Posture
Civil Appeal / Appeal From Western Cape High Court, Cape Town
Outcome
Appeal upheld. The order of the high court is set aside and replaced with an order that foster child grants are to be taken into account in assessing damages for loss of support, and since these exceed the agreed damages, no payment is ordered.
Judges
Lewis, Theron, Pillay, Mbha, Mathopo
Legal Topics
Loss of Support, Double Compensation, Social Assistance Grants, Foster Child Grants
Delict Civil Procedure Loss of Support Double Compensation Social Assistance Grants Foster Child Grants

Case Brief

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Parties

Road Accident Fund

Appellant

Wayne Coughlan NO

Respondent

Procedural Posture

Civil Appeal / Appeal From Western Cape High Court, Cape Town

Legal Issues

  1. 1 Are foster child grants paid to the dependants of a deceased covered by the Road Accident Fund Act deductible from damages awarded for loss of support?
  2. 2 Does the receipt of foster child grants constitute double compensation when damages for loss of support are also awarded?
  3. 3 Is there a substantive distinction between foster child grants and other social assistance grants for purposes of deduction from damages?

Ratio Decidendi

The Supreme Court of Appeal held that foster child grants paid to the foster parent following the death of the children's mother are deductible from damages awarded for loss of support under the Road Accident Fund Act. The court found no substantive distinction between foster child grants and other social assistance grants, as both are paid to enable the support of children who have lost a breadwinner. The grants were received as a direct consequence of the mother's death, and awarding both damages and grants would result in double compensation, which is impermissible. The court rejected the argument that the grants were purely acts of State gratuity, emphasizing that the grants served...

Court Disposition

Appeal upheld. The order of the high court is set aside and replaced with an order that foster child grants are to be taken into account in assessing damages for loss of support, and since these exceed the agreed damages, no payment is ordered.

Orders

  • The appeal is upheld.
  • The order of the high court is set aside and replaced with: 'The foster child grants are to be taken into account in assessing the damages to be awarded for loss of support, and, since these exceed the amount agreed to be payable as damages by the defendant, no order as to payment is made.'