Case Law[2023] ZAGPPHC 1823South Africa
Zondi v Road Accident Fund (A63/2022) [2023] ZAGPPHC 1823 (18 October 2023)
High Court of South Africa (Gauteng Division, Pretoria)
18 October 2023
Headnotes
as follows relying on Goldie v City Council of Johannesburg [5]; Southern Insurance Association LTD supra at 114 at 920:- “ In the case where the court has before it material on which an actuarial calculation can usefully be made, I do not think that the first approach offers any advantage over the second. On the contrary, while the result of an actuarial computation may be no more than an “informed guess”, it was the advantage of an attempt to ascertain the value of what was lost on a logical basis, whereas the trial Judge’s ‘gut feeling’ as to what is fair and reasonable is nothing more than a blind guess”.
Judgment
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# South Africa: North Gauteng High Court, Pretoria
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## Zondi v Road Accident Fund (A63/2022) [2023] ZAGPPHC 1823 (18 October 2023)
Zondi v Road Accident Fund (A63/2022) [2023] ZAGPPHC 1823 (18 October 2023)
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sino date 18 October 2023
IN
THE HIGH COURT OF SOUTH AFRICA
(GAUTENG
DIVISION, PRETORIA)
REPUBLIC
OF SOUTH AFRICA
CASE
NO
:
A63/2022
(1)
REPORTABLE:
NO
(2)
OF INTEREST TO OTHER JUDGES:
NO
(3)
REVISED:
NO
(4)
DATE:
18 OCTOBER 2023
(5)
SIGNATURE:
In
the matter between:
NDUMISO
THULASIZWE ZONDI
Appellant
AND
ROAD
ACCIDENT FUND
Respondent
JUDGMENT
SENYATSI J (TOLMAY J
AND OOSTHUIZEN-SENEKAL AJ
concurring
)
[1]
The appeal before us, which was granted with
the leave of the court
a quo
,
concerns the challenge on the award of R1,5 million granted in favour
of the appellant, Mr Zondi. The award was granted because
of a motor
vehicle collision in which Mr Zondi suffered bodily injuries leading
to loss of future income.
[2]
The basis of the quibble raised on Mr Zondi’s behalf against
the judgment is that
the amount awarded was inadequate and that the
court
a quo
did not exercise its discretion judiciously. The
appeal is not opposed by the respondent, RAF and it did not
participate in the
proceedings at trial. The merits were settled at
100% of the proven damages for the damages. At trial, the general
damages were
settled for the sum of R850 000(eight hundred and
fifty thousand rand) after an interim payment of R500 000 (five
hundred
thousand rand) had been made during February 2018. The only
issue that remained was that of loss of income.
[3]
At trial, it was submitted on behalf of Mr Zondi that an amount of
R7 236 182 (seven
million two hundred and thirty six
thousand one hundred and eighty two rand) had to be awarded for
loss of earnings based
on the uncontested actuarial calculation and
the conclusions of the industrial psychologist, Ms Talmud.
[4]
At the time of the motor collision, Mr Zondi was 26
years of age. He has grade 10 plus N3 in Engineering
qualifications. He had accumulated 8 years of work experience
before starting his own business and wanted to complete his
trade
test which would allow him to expand his business by working as
diesel mechanic as well as managing sites. His pre-morbid
prospects
of completing the trade test which was in line with his post matric
qualification and prior work experience were good,
according to the
clinical psychologist’s report.
[5]
The issue before us is whether in exercising its discretion as it
did, the
court a quo
erred in awarding the sum of R1,5 million
for the loss of earnings.
[6]
Any enquiry into damages for loss of earning capacity is of its
nature speculative, because
it involves a prediction as to the
future, without the benefit of crystal balls, soothsayers, augurs or
oracles.
[1]
All that the court
can do is to make an estimate, which is often a very rough estimate,
of the present value of loss. It has open
to it, two possible
approaches: One is for the judge to make a round estimate of an
amount which seems to him to be fair and reasonable.
That is entirely
a matter of guesswork, a blind plunge into the unknown. The other is
to try to make an assessment, by way of mathematical
calculations, on
the basis of assumptions resting on the evidence. The validity of
this approach depends of course upon the soundness
of the
assumptions, and these may vary from the strongly probable to the
speculative.
[2]
It is manifest
that either approach involves guesswork to a greater or lesser
extent.
[3]
When it comes to
scanning the uncertain future, the Court is virtually pondering the
imponderable, but must do the best it can,
on the material available,
even if the result may not inappropriately be described as an
informed guess, for no better system has
yet been devised for
assessing general damages for future loss.
[7]
In
Malherbe
Killian NO v RAF
[4]
in commenting on the
assessment of the award and the tool to be used, Legodi J
(as
he then was)
held as follows relying on
Goldie
v City Council of Johannesburg
[5]
;
Southern
Insurance Association LTD supra at 114 at 920
:-
“
In
the case where the court has before it material on which an actuarial
calculation can usefully be made, I do not think that the
first
approach offers any advantage over the second. On the contrary,
while the result of an actuarial computation may be
no more than an
“informed guess”, it was the advantage of an attempt to
ascertain the value of what was lost on a logical
basis, whereas the
trial Judge’s ‘gut feeling’ as to what is fair and
reasonable is nothing more than a blind
guess
”
.
[8]
Our courts have warned against
the perils parties face when the rely exclusively on the
opinions of
experts without laying any factual basis for such opinions.
[6]
In a trial action, it is fundamental
that
the opinion of an expert must be based on facts that are established
by the evidence and the court assesses the opinions of
experts on the
basis of whether and to what extent their opinions advanced are
founded on logical reasoning. It is for the
court and not the witness
to determine whether the judicial standard of proof has been made.
[7]
[9]
In
Price
Waterhouse Coopers Inc v National Potato Cooperative Limited
[8]
the court said: ‘The basic principle is that, while a party may
in general call its witnesses in any order it likes, it is
the usual
practice for expert witnesses to be called after witnesses of fact,
where they are to be called upon to express opinions
on the facts
dealt with by such witnesses.’
[10]
Similarly,
Wessels JA, in dealing with the nature of an expert’s opinion,
in
Coopers
(South Africa) (Pty) Ltd v Deutsche Gesellschaft für
Schädlingsbekämpfung MBH
[9]
said:
“
. .
an expert's
opinion represents his reasoned conclusion based on certain facts or
data, which are either common cause, or established
by his own
evidence or that of some other competent witness. Except possibly
where it is not controverted, an expert's bald statement
of his
opinion is not of any real assistance. Proper evaluation
of
the opinion can only be undertaken if the process of reasoning which
led to the conclusion, including the premises from which
the
reasoning proceeds, are disclosed by the expert”.
[11]
An
opinion of an expert must therefore be based on facts which have been
proven before the court. An opinion based on facts not
in evidence
has no value for the court. A court has to ascertain whether the
opinions expressed by the experts are based upon facts
proved to it
by way of admissible evidence. It is with this principle in mind that
the facts of the matter, as well as an analysis
of the experts’
evidence, must be considered.
[10]
The court has to exercise discretion which must be exercised
judiciously.
[12]
The issue is not whether the appeal court would have awarded a higher
award, but rather whether in exercising
its discretion to make the
award, the court
a quo
misdirected itself.
[13]
The Appeal Court can only interfere with the exercise of discretion
in awarding damages by the trial Court
if the discretion was not
exercised judicially.
In
Trencon
[11]
,
th
e
Court
dealt with the power of an Appellate Court to interfere with the High
Court’s order. It held that the proper approach
on appeal
is for an appellate court to ascertain whether the discretion
exercised by the lower court was discretion in the true
sense
[12]
or whether it was a discretion in the loose sense. The distinction in
either type of discretion, the Court held, “
will
create the standard of the interference that an appellate court must
apply”
.
[13]
[14]
The
Court in
Trencon
remarked, that “
[a]
discretion in the true sense is found where the lower court has a
wide range of equally permissible options available
to it
”.
In
such instances, the ordinary approach on appeal is that the “
the
appellate court will not consider whether the decision reached by the
court at first instance was correct, but will only interfere
in
limited circumstances; for example, if it is shown that the
discretion has
not
been exercised judicially
. .
.”.
[14]
This type of discretion has been found by our Courts in many
instances, including matters of costs and of course the award
of
damages.
[15]
[15]
The question is never whether a Court of Appeal would award a higher
amount in the exercise of the discretion
but whether the trial Court
misdirected itself in exercising the discretion as it did.
[16]
In the present appeal therefore, the question remains whether the
trial Court, in considering the relevant
circumstances and available
options, judicially exercised its discretion in awarding the loss of
earnings as it did in the
sum of R1,5 million. For the
reasons that follow below, the trial Court cannot be faulted on its
exercise of discretion in
making the award on loss of earnings.
[17]
At trial, the default
judgment was not opposed. This places the Court on guard as it had no
benefit of any contribution by RAF.
In addition, RAF's defence was
struck out. On the date day of the trial, the defendant was not
represented and the attempt to settle
the matter did not yield any
results.
The trial court was provided with
the following medical legal reports:-
17.1.
Dr. P.Engel Breunt- Orthopaedic Surgeon;
17.2.
Dr Cheyip- Neurologist;
17.3.
T. Preininger- Neouro Psychologist;
17.4.
M. Sisson-Clinical Psychologist;
17.5.
Dr. Van Wijk- Urologist;
17.6.
Dr. M. Naidoo- Psychiatrist;
17.7.
Dr. Mthembu- Ophthalmologist;
17.8.
Dr. Potgieter- Plastic Surgeon;
17.9
Dr. Moja- Neuro Surgeon;
17.10
Dr. Fredericks- Disability and Assessor;
17.11
N. September -Occupational Therapist;
17.12.
Jacobson Talmud- Industrial Psychologist and
17.13
G. Jacobson- Actuary.
[18]
Mr Zondi bears the onus to adduce evidence that is solid upon which
the experts can make a meaningful assessment
of loss of earnings. The
basis of the Industrial Psychologist’s report on loss of
earnings was based on the pre-accident
earnings. There was no
information of earnings as claimed by Mr Zondi post the accident. No
IRP5 documents were provided to the
Industrial Psychologist and
equally, no financial statements were provided. The proposition of
the weekly profits as alleged by
Mr. Zondi post the accident did not
have any factual support because there was no proof that he was a
qualified builder as he claimed.
[19]
In my view, the experts’ reports provided to assist the trial
Court to determine the loss of earnings
were not helpful. Under the
circumstances, the trial Court exercised its discretion judicially
and did not misdirect itself in
awarding the amount of R1,5 million
to Mr Zondi.
[20]
It follows therefore, that the appeal should fail.
ORDER
[21]
The appeal is dismissed. No order is made as to
costs as there was no opposition of the appeal.
SENYATSI
J
JUDGE
OF THE HIGH COURT OF SOUTH AFRICA
GAUTENG
DIVISION, PRETORIA
I
concur;
TOLMAY
J
JUDGE
OF THE HIGH COURT OF SOUTH AFRICA
GAUTENG
DIVISION, PRETORIA
I
concur;
OOSTHUIZEN-SENEKAL
AJ
ACTING
JUDGE OF THE HIGH COURT OF SOUTH AFRICA
GAUTENG
DIVISION, PRETORIA
Delivered:
This Judgment was handed down electronically by circulation to the
parties/ their legal representatives by email and
by uploading to the
electronic file on Case Lines. The date for hand-down is deemed to be
18 October 2023.
APPEARANCES
Counsel
for the Appellant:
Adv J
Bam
Instructed
by:
Ehlers
Attorneys
Date
of Hearing:
7
June 2023
Date
of Judgment:
18
October 2023
[1]
Malherbe
Killian NO v RAF (34116/2016) [2019] ZAGPPHC 844(15 September 2016)
[2]
Southern
Insurance Association Ltd v Bailey NO 1984(1) SA 98 (A) at 113G-I
[3]
Anthony
and Another v Cape Town Municipality
1967
(4) SA 445
A
at 451 B-C
[4]
Above
foot note 1 at para 3.
[5]
1948
(2) SA 913
(W)
at 920; Southern Insurance Association LTD supra at 114
[6]
Road Accident Fund v Madikane (1270/2018)
[2019] ZASCA 103
(22
August 2019) at para 1.
[7]
MV
Pasquale della Gatta; MV Flippo Lembo: Imperial Marine Co v
Deiulemar Compaggnia di Navigazione Spa ZASCA
2012 (1) SA 58
58
((SCA) paras 25-27; Michael & Another v Linksfield Park Clinic
(Pty)Ltd & Another 2001(3) SA 1188(SCA) paras 34-40
[8]
[2015] ZASCA 2
;
[2015] 2 All SA 403
(SCA) para 80.
[9]
1976 (3) SA 352
(A) at 371F-H.
[10]
Price
Waterhouse footnote 8 above para 99
[11]
Trencon Construction (Pty) Ltd v Industrial Development Corporation
of South Africa
[2015] ZACC 22
;
2015 (5) SA 245
(CC);
2015 (10) BCLR
1199
(CC) (Trencon).
[12]
The Appellate Division in Media Workers Association of South Africa
v Press Corporation of South Africa Ltd (Perskor)
[1992] ZASCA 149
;
1992 (4) SA 791
(AD) at 800E
(Media
Workers Association) described the essence of a discretion in the
true sense. It held that “if the repository of
power
follows any one of the available courses, he would be acting within
his powers, and his exercise of power could not be
set aside merely
because a Court would have preferred him to have followed a
different course among those available to him”.
See
Trencon
above n 28 at para 84.
[13]
Trenco
n
above
n 28 at para 83.
[14]
See Giddey N.O. v JC Barnard and Partners
[2006] ZACC 13
at para 19;
See also Trencon above n 28 at para 88, where Khampepe J remarked:
“
When
a lower court exercises a discretion in the true sense, it would
ordinarily be inappropriate for an appellate court to interfere
unless it is satisfied that this discretion was not exercised—
‘
judicially,
or that it had been influenced by wrong principles or a misdirection
on the facts, or that it had reached a decision
which in the result
could not reasonably have been made by a court properly directing
itself to all the relevant facts and principles’
.”
[15]
Trencon above n 28 at para 85.
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