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damages for personal injury: non-pecuniary loss - Law Commission

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throughout the period) was pointing to the futility of the argument -<br />

see Housecroft v Burnett. 10<br />

3.9 RM Stewart QC rejected this view. He argued that the early cases were poorly<br />

presented, and hence that the awards <strong>for</strong> <strong>non</strong>-<strong>pecuniary</strong> <strong>loss</strong> were comparable<br />

while the awards <strong>for</strong> <strong>pecuniary</strong> <strong>loss</strong> were not. He said:<br />

I have no doubt that the Court of Appeal in Housecroft v Burnett 11<br />

deliberately cut the level of award <strong>for</strong> tetraplegia - I was Leading<br />

Counsel <strong>for</strong> the Appellant. In paragraph 4.31 of the Consultation<br />

Paper, the passage appears:<br />

“In the past, however, some elements of what are now pleaded as<br />

specific items of <strong>pecuniary</strong> expense would have been regarded as<br />

covered by the <strong>damages</strong> <strong>for</strong> pain, suffering and <strong>loss</strong> of amenity.” 12<br />

This rather spurious contention was raised, arguendo, by the Court of<br />

Appeal; and in the event was used in part to justify the “fresh start” <strong>for</strong><br />

the “average case of tetraplegia” as at April 1985, of £75,000....The<br />

reality was that the Court of Appeal was unable to come to terms with<br />

the critique that earlier total awards were inadequate, because the<br />

detailed analysis of <strong>loss</strong>es and needs (presented in Housecroft and the<br />

norm nowadays) was not done at those earlier dates. The logic is<br />

inescapable, that <strong>personal</strong> <strong>injury</strong> cases, by the standards of<br />

presentation common from the early 1980s, used not to be conducted<br />

properly in the 1960s and 1970s.<br />

3.10 Catherine Leech (participating in a seminar on our consultation paper organised<br />

by Pan<strong>non</strong>e & Partners) also argued that the increase in <strong>damages</strong> <strong>for</strong> <strong>pecuniary</strong><br />

<strong>loss</strong> should not detract from <strong>damages</strong> <strong>for</strong> <strong>non</strong>-<strong>pecuniary</strong> <strong>loss</strong>. She said:<br />

The <strong>Commission</strong> argues that one reason that the awards have been<br />

lagging behind inflation might be that plaintiff lawyers have become<br />

more creative 13<br />

...in the heads of <strong>pecuniary</strong> <strong>loss</strong> that they claim <strong>for</strong><br />

10 [1986] 1 All ER 332. See paras 3.148-3.153 below <strong>for</strong> an account of this case. LIRMA said<br />

that: “...the 1969 awards do not offer a true comparison. The sums awarded <strong>for</strong> pain,<br />

suffering and <strong>loss</strong> of amenity in this period include items such as motoring expenses,<br />

holidays etc., which would now be pleaded separately. The pleading of aids and equipment<br />

type claims as a separate head has significantly increased in recent years.” In addition David<br />

Grimley of St Paul International Insurance Company Limited and the UK Claims<br />

Managers’ Association Working Party said: “...in dealing with the most severe categories of<br />

injuries much of the compensation that would have been included in an award in the late<br />

1960s and early 1970s incorporated amounts which are now separately pleaded as part of<br />

future <strong>pecuniary</strong> <strong>loss</strong>.”<br />

11 [1986] 1 All ER 332.<br />

12 See Damages <strong>for</strong> Personal Injury: Non-Pecuniary Loss (1995) Consultation Paper No 140,<br />

para 4.31.<br />

13 We found Laura C H Hoyano’s comment on the Canadian experience interesting in this<br />

context: “The judicially imposed cap on <strong>non</strong>-<strong>pecuniary</strong> <strong>damages</strong> in Canada has simply<br />

induced counsel to seek financial justifications <strong>for</strong> particular heads of damage, so as to<br />

move those claims into the <strong>non</strong>-capped <strong>pecuniary</strong> <strong>loss</strong>es. For a recent example, see<br />

Mulholland v Riley Estate (1995) 12 BCLR 248 (CA), awarding to a brain injured victim<br />

aged 15 years substantial <strong>pecuniary</strong> <strong>damages</strong> <strong>for</strong> <strong>loss</strong> of the opportunity to obtain financial<br />

benefits from a “permanent interdependent relationship”. In many instances, of course, this<br />

25

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