Case Law[2022] ZAGPPHC 652South Africa
Mhlongo v Member of The Executive Council For Health of The Gauteng Provincial Government (11229/2019) [2022] ZAGPPHC 652 (30 August 2022)
High Court of South Africa (Gauteng Division, Pretoria)
30 August 2022
Headnotes
SUMMARY: FUTURE MEDICAL EXPENSES
Judgment
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## Mhlongo v Member of The Executive Council For Health of The Gauteng Provincial Government (11229/2019) [2022] ZAGPPHC 652 (30 August 2022)
Mhlongo v Member of The Executive Council For Health of The Gauteng Provincial Government (11229/2019) [2022] ZAGPPHC 652 (30 August 2022)
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sino date 30 August 2022
IN
THE HIGH COURT OF SOUTH AFRICA
GAUTENG
DIVISION, PRETORIA
CASE
NO: 11229/2019
REPORTABLE:
NO
OF
INTEREST TO OTHER JUDGES: NO
REVISED
30
August 2022
In
the matter between:
NELISIWE
MHLONGO
Plaintiff
And
MEMBER
OF THE EXECUTIVE COUNCIL FOR HEALTH
OF
THE GAUTENG PROVINCIAL GOVERNMENT
Defendant
#
# JUDGMENT
JUDGMENT
#
# MANAMELA
AJ (Ms)
MANAMELA
AJ (Ms)
# INTRODUCTION
INTRODUCTION
1.
This is
quantum
trial for a medical malpractice claim in terms of which the plaintiff
is claiming delictual damages for child-birth related injuries
which
occurred at Natalspruit Hospital on or about 10 and 11 October 2009
resulting in a total disablement.
2.
The merits of this case have been settled 100%
in favour of the Plaintiff on 20 July 2021.
3.
The facts are common causes, that the
Plaintiff, Nelisiwe Mhlongo, was admitted at Natalspruit Hospital at
approximately 14:00 on
10 October 2009. On 11 October 2009, she gave
birth to Sphelele Mkhululi Simelane (Sphe) who, as a result of the
negligence of
the defendant’s staff, sustained the severest
form of spastic cerebral palsy of a quadriplegic distribution,
profound cognitive
impairment, microcephaly and epilepsy, resulting
in mixed dyskenetic and spastic cerebral palsy, leaving him in severe
pain in
need of round-clock care.
4.
The admissibility of the facts and findings of
all these experts as expressed in the joint minutes, are common cause
between the
parties, except for some adjustment on some of the
experts projected future medical expenses, as well as the computation
of general
damages.
5.
The Plaintiff had 22 experts whose reports were
provided in support of her claim, and the Defendant had 20 experts.
The court made
admission of evidential material provided by these
expert witnesses in their respective reports and as confirmed by
their respective
joint minutes. There are no repudiations by any of
the experts.
6.
In
Bee
v Road Accident Fund
(093/2017)
[2018] ZASCA 52
;
2018 (4) SA 366
(SCA) (29 March 2018). In
Bee
case, the effect of agreement between experts was explained as
follows
‘
[64]
This raises the question as to the effect of an agreement recorded by
experts in a joint minute. The appellant’s counsel
referred us
to the judgment of Sutherland J in Thomas v BD Sarens (Pty) Ltd
[2012] ZAGPJHC 161. The learned judge said that where
certain facts
are agreed between the parties in civil litigation, the court is
bound by such agreement, even if it is sceptical
about those facts
(para 9). Where the parties engage experts who investigate the facts,
and where those experts meet and agree
upon those facts, a litigant
may not repudiate the agreement ‘unless it does so clearly and,
at the very latest, at the outset
of the trial’ (para 11). In
the absence of a timeous repudiation, the facts agreed by the experts
enjoy the same status as
facts which are common cause on the
pleadings or facts agreed in a pre-trial conference (para 12). Where
the experts reach agreement
on a matter of opinion, the litigants are
likewise not at liberty to repudiate the agreement. The trial court
is not bound to adopt
the opinion but the circumstances in which it
would not do so are likely to be rare (para 13). Sutherland J’s
exposition
has been approved in several subsequent cases including in
a decision of the full court of the Gauteng Division, Pretoria, in
Malema
v The Road Accident Fund
[2017]
ZAGPHC 275
para
92.
7.
Joint minutes were
procured between the parties’ respective experts across all
similar disciplines except for the following
experts retained by the
plaintiff: Ms Rich (mobility expert); Mr Eybers (architect); Mr
Sirmon (quantity surveyor) and Ms Bruk
(dietician), whose evidence
were provided by way of Rule 38(2) affidavits. The defendant does not
object to the evidence of these
experts being adduced by way of Rule
38(2) affidavits.
8.
Rule
38(2) states that:
‘
The
witnesses at the trial of any action shall be orally examined, but a
court may at any time, for sufficient reason, order that
all or any
of the evidence to be adduced at any trial be given on affidavit or
that the affidavit of any witness be read at the
hearing, on such
terms and conditions as to it may seem meet: Provided that where it
appears to the court that any other party
reasonably requires the
attendance of a witness for cross-examination, and such witness can
be produced, the evidence of such witness
shall not be given on
affidavit
’.
9.
The court has a discretion, to be exercised
judicially upon a consideration of all the facts, to allow evidence
to be given on affidavit.
The power should be exercised carefully and
there must be clear evidence in the affidavit(s) supporting the
application that sufficient
reasons exist. In respect of those
experts where the defendant does not have a countervailing expert,
both counsels agreed
that the plaintiff’s experts’
reports will be acceptable, these is pertaining to the dietician, the
mobility expert,
the architect and the quantity surveyor as adduced
by way of Rule 38(2) affidavit.
10.
In
Madibeng
Local Municipality v Public Investment Corporation Ltd
2018
(6) SA 55
(SCA).
The
Supreme Court of Appeal summarized the correct approach to this
subrule as follows:
“
[26]
The approach to rule 38(2) may be summarised as follows. A trial
court has a discretion to depart from the position that,
in a trial,
oral evidence is the norm. When that discretion is exercised, two
important factors will inevitably be the saving of
costs and the
saving of time, especially the time of the court in this era of
congested court rolls and stretched judicial resources.
More
importantly, the exercise of the discretion will be conditioned by
whether it is appropriate and suitable in the circumstance
to allow a
deviation from the norm. That requires a consideration of the
following factors: the nature of the proceedings; the
nature of the
evidence; whether the application for evidence to be adduced by way
of affidavit is by agreement; and ultimately,
whether, in all the
circumstances, it is fair to allow evidence on affidavit.”
# EXPERT
EVIDENCE
EXPERT
EVIDENCE
The
relevant joint minutes and the outcome of their agreements, which are
common cause, can be summarised as follows:
Life
expectancy: Professors Strauss and Steel
11.
The life expectancy
experts, Professors Strauss and Steel, have agreed that Sphe’s
estimated remaining life expectancy at
age 12.4 is an additional 12.1
years, should he require and receive a gastrostomy (PEG”) and
therefore all calculations contained
in the updated future medical
expenses under annexure “A” to the particulars of claim
have been revised based on the
basis of a life expectancy of an
additional 12 years to amounts stated under annexure “B”.
Dr
M Lippert (paediatric neurologist) and Professor Kakaza (neurologist)
12.
Both experts agree that Sphe
suffers
from a severe form of total disablement requiring round the clock
care with severe and complicated spastic cerebral palsy
of a
quadriplegic distribution, profound cognitive impairment and
microcephaly and epilepsy. The neurologists agreed that
Sphe
needs 3 annual visits to a paediatric and thereafter a neurologist
per annum at R7500 per annum; hospitalisation costs over
his lifetime
relating to his neurological state of at least 12 such admissions at
R15 000 per admission; care for his epilepsy
which includes
medication plus EEG monitoring at R6000 per annum; anti-spasticity
treatments which may
range from Baclofen oral treatment to oral diazepam, Baclofen spinal
infusion pump. An amount of R20,000 per
annum should be provided for.
The amount for these recommendations as per annexure “B”
(items 3b to 7b) is R466 219.
ENT
surgeons: Dr Maron and Dr Motakef
13.
The ENT surgeons agree that Sphe should be
provided with ongoing monitoring of his hearing, that ABR under
sedation should be performed.
They agree that drooling should be
managed with a trial of Botox, and if successful, repeated every 6
months at a cost of R18 000
per procedure. They also agree on a
provision for submandibular duct relocation/rerouting. The cost
of which is approximately
R95 000 for the entire procedure. They
agreed that a swallowing test may be of benefit. Dr Maron recommends
a trial of treatment
for LPR at a cost of R800 per month for a period
of 6 months and additional treatment with ACC 200, Buscopan and
Atropine drops,
which if effective should be continued indefinitely
at a cost of R1 200 per month. Dr Motakef disagrees. In respect
of the
aspects of treatment is not agreed to by Dr Motakef a 50%
probability has been proposed. Although it is proposed that an amount
of R220 123,00 be accepted in respect of the recommendations and
joint minutes by the ENT surgeons, I am of the view that
the amount
of R267 430,00 remains reasonable for provision of ENT
treatment.
Audiologists:
Mesdames M Venter and N Masoka
14.
The experts agree that a
tympanogram was present bilaterally reflecting normal middle ear
pressure compliance and volume. Both experts
agree that thresholds
could not be established on the days of assessment and that ABR
testing under sedation is required.
A once off allowance for
ABR testing is provided for at a private institution.
Normal
outer ear hair cell function was confirmed. Normal retrocochlear
function and response across the basilar membrane could
not be
established, and they agreed that Sphilele only passed the objective
test and that a mild hearing loss could not be ruled
out. Ms Venter
suggests that middle ear function ought to be monitored until age
21. Ms Masoka disagrees. Ms Venter recommended
that provision
be made for hearing aids. Ms Masoka disagrees. Ms Venter
suggested travel costs be provided for. Ms Masoka
did not make such
provision. Ms Venter recommends that real ear measurements, annual
consultations for ear moulds, batteries, drying
system and hearing
aid services and insurance be provided for. Ms Masoka states
that this is not required at this stage.
In respect of the areas of
disagreement, the Plaintiff proposed that provision be made for a 30%
likelihood of Ms Venter’s
recommendations being required which
is computed at an amount of R51 028,50 for future audiological
needs. I am of the view
that the provision made by Ms Venter remains
reasonable and should be made available without any deductions as
stated under Annexure
B: items 19g to 28g. Items 20g to 28g, in the
amount of R51 028,50.
Speech
therapists: E van der Merwe and N Masoka
15.
The speech therapists agree on almost all
aspects of Sphilele’s speech therapy, feeding intervention and
AAC focussed speech
and language therapy needs. The parties
propose that an amount of R489 814,50 be accepted in respect of
future speech
therapy. [Plaintiff’s claim based on joint
minutes and plaintiff’s expert was for R506 371,00.
Annexure “B”
items 29h-72h].
Dentists:
Drs Lofstedt and Le Roux
16.
The anticipated treatments and costs are
included at table 1 and table 2 of Dr Lofstedt’s report. The
amount recommended by
Dr Le Roux is significantly higher than that
recommended by Dr Lofstedt. Pursuant to their joint minute, it is
proposed that the
amount of R285 245,00 as recommended by Dr
Lofstedt be accepted in respect of future dentistry requirements,
which is found
to be acceptable.
Orthopaedic
surgeons: Drs Versfeld and Modisane
17.
The orthopaedic surgeons agree that Sphe will
require extensive surgery and Botox therapy. The paediatric
neurologists and physiotherapists
agree that the future orthopaedic
treatment required by Sphe should be expedited. Both his hips are
dislocated and there is no
dispute that he is in significant pain.
The amount proposed in respect of future orthopaedic treatment is
R833 820,50. [Annexure
“B”: amount claimed was R
1 078 219 – items 89j – 101j]. The amount of R
1 078 219
is awarded in respect of orthopaedic surgery
needs.
Cardiologists:
Dr K Govendrageloo and Dr F F Takawira
18.
The experts agree that
Sphilele may be at risk of developing cardiac complications if he
develops chronic respiratory or airway
issues in future and they
agree that he needs to undergo cardiac evaluation annually and if
stable, every two years thereafter.
The cost thereof would be
in the region of R3800 per evaluation with an annual escalation of
plus minus 6 to 5 to 6%. The amount
agreed upon by the experts was
calculated to be R24 532,00. [Annexure “B”, items
102k – 103k]. The amount
is confirmed to be in order.
Urologists:
Drs Van Heerden and Moshokoa
19.
Sphilele has cerebral palsy with a neurogenic
bladder. His urological costs include: nappies, barrier cream;
bladder medication
such as an anticholinergic agent to suppress
bladder pressure; infection control; constipation management such as
Movicol or similar;
and visits to the urologist. The urologists have
agreed on Sphilele’s future urological needs. The amount agreed
has been
calculated to be R239 842,00. [Annexure “B”:
items 104l – 111l].
The
amount is confirmed to be in order.
Physiotherapists:
Mesdames Pip Jackson and Sharon Mkansi
20.
The experts agree on their respective findings
on evaluation of Sphilele. They have provided their own tariffs and
agreed on the
methodology for billing medical aids. They provide a
range for the actual costs of the various treatments, they agree that
caregiver
training is required, they are largely in agreement on
Sphilele’s physiotherapy requirements. They differed in regard
to:
hospital admissions as a result of his respiratory events –
Ms Jackson recommended 2 hospital admissions in his adolescent
years
given his respiratory compromise; outpatient treatment – Ms
Jackson recommended that 2 of the outpatient treatments
should be
provided as home visits and that outpatient treatments visits occur
before and or after an admission to hospital; additional
evaluation
and outpatient treatments following minor fractures and soft tissue
injuries and degenerative conditions; and the type
of standing frame
which Sphilele requires. The parties have considered the areas of
agreement and disagreement and propose that
the amount of R550 849,00
be awarded in respect of future physiotherapy and related equipment
and treatment. [Annexure “B”:
amount claimed was
R565 593,00. Items 112m – 181m]. The amount of R550 849.00
is confirmed.
Occupational
therapists: Ms Caga and Ms Bainbridge
21.
The occupational therapists agree that Sphe is
ineducable in a conventional, remedial or LSEN context. Acceptance to
Monde Specialised
stimulation facility in the area, will be
contingent on acceptance criteria and screening processes and should
this fail, Sphilele
will be best catered for in one of several
private facilities in greater Johannesburg area. Centres like Monde
Stimulation Centre
and Tsepong Stimulation Centre have their own
caregivers with costs already included. Ms Bainbridge however notes
that these centres
has a ratio of 6 children: 1 caregiver which,
given Sphilele’s significant disability, would not be
appropriate. His caregiver
should accompany him to the Monde
Stimulation Centre. Ms Caga recommends that the amount of time
that Sphilele will spend
on these centres must be considered when
calculations regarding caregivers are done; employment prospects are
considered nil; safe
transportation to and from medical and therapy
appointments is supported. Considering Sphilele’s height
and contracted,
hypertonic, and quadraparetic body with dislocated
hips, transfers into and out of his wheelchair and car will be
dangerous for
him and his caregivers. They both recommended
that he preferably be transported in an MPV, such as a Ford Torneo;
he needs
a wheelchair accessible home. He has outgrown his buggy
which is broken; caregivers should be trained specific to CP care.
The
experts partially agree or disagree as follows: they agree that
he requires therapeutic intervention, but the quantity and duration
varies. The treatment rate recommended is R850 per hour
(Bainbridge) and R750 per hour (Caga) for private Occupational
Therapy
with an average rate of R800 per hour). They agreed that case
management is required but the rate and duration is not agreed. Ms
Bainbridge recommends a rate of R950 per hour and Ms Caga a rate of
R750. Ms Caga recommends an initial set up of 100 hours
for the
first year, 24 sessions per annum for 3 years (R18 000) and
thereafter 6 hours per annum (R18,000). Ms Bainbridge
recommends 30 hours for the first year and 24 hours per annum
thereafter. The experts agree that full time care is required for
life provided by trained and dedicated care assistants attending to
him at home and at school should he be placed at such.
They
agreed that salary must be in line with Basic Employment Act.
They agreed that his mother serves a night-time care function
in
childhood to 18 years, but from adulthood the complement of
caregivers increases. The costs of caregiving recommended by the
experts are similar. With regard to specialised equipment, the
occupational therapists agree that Sphilele requires an appropriate
seating system to provide suitable head and neck support, whilst also
accommodating his spasticity, hip dislocations, poor trunk,
and neck
control and to protect him from accelerated further derangement,
which includes a back-up buggy serving also as a transport;
a
foldable buggy is necessary for when his seating system is in for
repairs; and specialised equipment for ADLs is listed in the
table in
their joint minute. The disagreements relate to – the choice of
a seating system, with Ms Caga recommending the
Mygo system and Ms
Bainbridge is of the opinion that Sphilele requires more than the
conventional Mygo system; and the need for
a hoist whilst Sphilele is
still a child.
22.
They agree that he needs splinting and that it
should be custom made by the treating OT and reviewed/replaced every
6 months until
age 21 and annually thereafter. They agree on the
therapy items. They disagree on the need for AAC communication with
Ms Bainbridge
deferring this and Ms Caga stating that Sphilele is not
a candidate for AAC communication. (The speech therapists have dealt
with
AAC communication which falls within their field of expertise).
The recommendations of the quantum by Ms Caga in her report exceeded
the one made by Ms Bainbridge. The defendant is bound by the
agreement as recorded in the joint minute arising from the
recommendations
by Ms Caga. The amount agreed between the
occupational therapists in respect of future occupational therapy has
been calculated
as R4 548 445,00. [Annexure “B”,
items 182n - 228n].
Orthotists:
Mesdames Sonja Bonsma and Michelle Cox
23.
The experts agree on all aspects, including
biennial consultations. They agree that a thoracolumbar orthosis
(TLSO) is unlikely
to be of any benefit to his current condition.
However, provision should be made for custom bracing if an
orthopaedic surgeon requires
it to provide post-surgical
stabilisation or maintenance of surgical correction. A TLSO is costed
at R 30 000.00 to be replaced
every year until he reaches skeletal
maturity at approximately 18 years of age. The amount proposed in
respect of future orthotic
needs is R944 043,00. [Annexure B,
items 229o – 248o] and the amount is confirmed to be in order.
24.
No agreement could be reached in
relation to the recommendations by Dr Marus and Ms Bubb, and the
plaintiff does not persist with
these claims.
25.
The ophthalmologists and psychiatrists
made no recommendations for future medical expenses in their joint
minutes.
Dietician:
Ms Bruk
26.
The amount calculated in respect of the
recommendations by Ms Bruk, dietician is R182 021,00.
Mobility
expert: Ms Rich
27.
The amount calculated in respect of the amount
recommended by Ms Rich, the mobility expert is R386 368,00.
Mr
Eybers (plaintiff’s architect) and Mr Sirmon (plaintiff’s
quantity surveyor)
28.
Mr Sirmon based his costings on Mr Eyber’s
design recommendations. The recommendations are based on a conceptual
house taking
into account all Sphilele’s needs as suggested by
the various experts. There is no countervailing report from an
architect
or a quantity surveyor expert. As such Mr Eyber’s
and Mr Sirmon’s reports stands to be admitted in terms of Rule
38(2) on affidavit. The amount calculated in respect of the
recommendations by Mr Eybers, architect is R106 654,00.
29.
The amount calculated in respect of the
recommendations by Mr Sirmon is R1 805 690,00.
SUMMARY:
FUTURE MEDICAL EXPENSES
30.
The following amounts
are awarded in respect of future medical expenses:
Neurosurgery
Nil
Paediatric
Neurology
R466 219.00
Psychiatry
Nil
Educational
Psychology
Nil
ENT
R267 430.00
Ophthalmological
Nil
Audiological
R51 028.50
Speech
Therapy
R489 814.50
Dentist
R285 245.00
Orthopaedic
R833 820.50
Cardiology
R24 532.00
Urology
R239 842.00
Physiotherapy
R550 849.00
Occupational
Therapy
R4 548 445.00
Orthotist
R944 043.00
Dietician
R182 021.00
Mobility
R386 368.00
Architect
R106 654.00
Quantity
Surveyor
R1 805 690.00
TOTAL
R11 182 019.50
Less
interim payment
R1
090 680.00
Total
R10 091 339.50
Less0%
contingency deduction
R0.00
Net
amount
R10 091 339.50
# FUTURE
LOSS OF EARNINGS/EARNING CAPACITY
FUTURE
LOSS OF EARNINGS/EARNING CAPACITY
31.
Both educational psychologists: Ms Bubb and Mr
Ellis – educational psychologists agree that Sphe is
unemployable and that
he would have been able to achieve a Grade 12
and an NQF6 level education at a TVET college, had it not been for
the accident.
On the calculation of future loss of earnings, they
postulate that he could have qualified as an artisan.
32.
The Industrial psychologists: Mrs B Donaldson
and Mr H Pletzen, also share the same opinion that Sphe will never be
able to work
or earn any income and agree that he could have become
an artisan. The actuarial calculations done by Mr Schwalb (for
plaintiff)
and Ms Brink (for defendant), indicates that:
The
post morbid scenario
:
33.
The parties’ relevant
experts agree in the post-morbid scenario that Sphilele is
remuneratively unemployable. The post-morbid
earnings are therefore
taken to be zero.
The
pre-morbid scenarios
:
34.
Given the joint minutes of
the educational and industrial psychologists, the scenario upon which
they agreed is basis A, artisan.
The calculation is set out below as
follows:
a.
Basis A – an
artisan:
i.
no
income until December 2027;
ii.
January
2028 – December 2028: R107’000 per year;
iii.
January
2029 – December 2029: R164’000 per year;
iv.
January
2030 – December 2030: R231’000 per year;
v.
from January 2031:
R398’000 per year (lower quartile, annual guaranteed package –
Artisan and Manufacturing sector –
Paterson C1);
vi.
increasing
in a straight line to R575 000 per year (median, annual guaranteed
package – Artisan and Manufacturing sector –
Paterson C2)
in January 2040;
vii.
thereafter
increasing in a straight line to R776’000 per year (upper
quartile, annual guaranteed package – Artisan and
Manufacturing
sector – Paterson C4) at age 45;
viii.
thereafter,
increasing with earnings inflation until retirement at age 65.
35.
The
value
of Sphilele's premorbid earnings based on him becoming an artisan,
but for the defendant’s negligence, is calculated
at
R2,000,168.00, less normal contingency of 15%.
36.
It is proposed that an amount of R1 700 000,00
be accepted in respect of the claim for future loss of income.
# CONTINGENCIES
CONTINGENCIES
37.
The court has a wide discretion which needs to
be exercised judicially when it determines fair and reasonable
compensation for loss
of income or earning capacity. In the majority
of claims, the percentage to be deducted is negotiated by the
parties, but contingencies
remain the prerogative of the Court.
38.
The ‘once and for all’ principle
determines that a plaintiff only has one chance to claim all past and
potential damages
flowing from a single cause of action. When courts
make awards for potential or future losses, it is general practice to
make use
of contingency deductions to provide for any future events
or circumstances which is possible but cannot be predicted with
certainty
such as longevity, loss of employment, early death,
promotion prospects, etc.
39.
It is a general practice to make use of
contingency deductions to provide for any future events or
circumstances which is possible
but cannot be predicted with
certainty such as longevity, loss of employment, early death,
promotion prospects. The court
in
Goodall
v President Insurance
1978 1 SA 389
(W) illustrated the approach of the so-called sliding scale of ½
% per year to retirement age in the ‘but for’
scenario
was adopted – i.e. 25% for a child, 20% for a youth and 10% in
middle age. In the ‘but for’ scenarios
the Road Accident
Fund usually agrees to deductions of 5% for past loss and 15% for
future loss – the so-called “normal
contingencies”.
The courts have had
varying views on how to apply contingencies. Concerning the
proposition that the "normal" contingency
deduction on
prospective losses is 15%, see
Bartlett
v Mutual and Federal
1989 (4) QOD A4-20 (T),
Matthyssen
N.O. v Padongelukkefonds
1999 (4) QOD B4-23 (T);
De
Bruyn v Road Accident Fund
2003 (5) QOD J2-69 (W),
Zarrabi
v Road Accident Fund
2006 (5) QOD B4-231 (T) and
Radebe
v Road Accident Fund
2013 (6A4) QOD 220 (GNP). The contingency deductions vary from 0% on
certain items of future medical expenses (where these are
to be
immediately incurred) to more than 10% in certain circumstances.
Some
courts have adopted an individualised approach to the determination
of contingency deductions for these expenses.
40.
There are authorities which suggest that a
contingency deduction should be based on a sliding scale of 0,5% for
every year of the
future loss. In
Road
Accident Fund v Guedes
2006
(5) SA 583
(SCA);
Bismilla
v Road Accident Fund
2018 (7B4) QOD 64 (GSJ);
YZ
v Road Accident Fund
2019 (7E2) QOD 14 (WCC).
41.
The parties propose the following in respect of
the application of contingencies:
a.
interim payment – 0% contingency
deduction. Sphilele is entitled to the full amount awarded for future
medical expenses on
17 June 2022 without a contingency deduction
being applied to this award (which remains unpaid);
b.
future medical expenses (after deduction
of the interim payment): 6,5% contingency deduction on the balance
due in respect of future
medical expenses after the deduction of the
interim payment; and
c.
future loss of income: 20% contingency
deduction.
# GENERAL
DAMAGES
GENERAL
DAMAGES
42.
It is common cause that Sphilele has suffered a
devastating loss of the amenities of life.
He
experienced and will continue to experience pain, suffering and
discomfort as a result of the consequent conditions and the medical
procedures required to treat the consequent conditions.
43.
Despite his severe
condition, Sphilele is conscious of his environment, is responsive to
his mother and siblings and has an appreciation
for music and sound.
He is therefore not in a state of “unconscious suffering”.
He has been living in significant
pain arising from his dislocated
hips and severe contractures. Ms Bainbridge and Ms Jackson expressed
dismay that he has been left
to suffer to this extent.
44.
Siphele
le’s
condition is comparable to that of the minor child in
NK
v MEC for Health Gauteng Provincial Government
2018
(4) SA 454
(SCA); 2018 (7A4) QOD 80 (SCA).
45.
The SCA in the
NK
matter cited with approval the following dictum by Trollip JA in
Marine &
Trade Insurance Co Ltd v Katz NO
1979 (4) SA 961
(A).
In
these terms:
“
[7]
In Marine & Trade Insurance Co Ltd v Katz NO, Trollip JA pointed
out that, in awards arising from brain
injuries, although a person
may not have 'full insight into her dire plight and full appreciation
of her grievous loss', there
may be a 'twilight' situation in which
she is not a so-called 'cabbage' and accordingly an award for general
damages would be appropriate.
This case has been followed in numerous
instances. ZK's awareness of his suffering, albeit diminished by his
reduced mental faculties,
puts him in this 'twilight' situation.
During the course of argument this became common cause. This confirms
that he is entitled
to an award for general damages and that all that
remains to be determined, under this head, is how much would be
suitable in all
the circumstances”.
46.
In
NK
the appeal was upheld and the SCA
awarded an amount of R1 800 000,00 in respect of the claim
for general damages for the
minor child in
NK
supra
which translates into an amount of R2 124 000,00 in today’s
monetary terms.
47.
In
Marine
& Trade Insurance Co Ltd v Katz NO supra
an award of R90 000,00 was made for general damages in 1979
which is equivalent to R3 459 000,00 in 2022 monetary
terms.
48.
Sphilele’s life
expectancy is not dissimilar to the minor child in the case of
MSM
obo KBM v MEC Health, Gauteng
2020 (2) SA 567
(GJ)
,
where the minor child had a total life expectancy of 24.6 years.
In that case the Court awarded general damages in the amount
of R 2
000 000 in 2020 which is equivalent to R 2 194 000,00 in 2022
terms.
I
find that an award of R2 200 000,00 in respect of general
damages would be an appropriate award in this matter.
# AWARD
PROTECTION
AWARD
PROTECTION
49.
There is no dispute
that Sphilele's award must be protected.
50.
On 20 May 2022, the
full bench of this Court by my sister Keightley J, handed down
judgement in a Special hearing on Trusts, in
the High Court of South
Africa Gauteng Division, Pretoria, Case number 35182/2016. The
Court held that there are certain
instances when the money awarded in
a lump sum ought to be protected, such as where minors and or where a
traumatic brain injury
has occurred, where the recipients of damages
awards, as is the case here.
51.
The Court held that:
“
58.
We conclude therefore that for both principled and pragmatic reasons
practitioners representing vulnerable plaintiffs
in RAF and medical
negligence matters (including curators ad litem where appropriate)
should be permitted to apply to court for
either the appointment of a
curator bonis or for the establishment of a trust to protect the
damages awarded. In each case it should
be open to the court to
determine whether the proposed protective mechanism will properly and
effectively manage the award in the
plaintiff’s interests.”
52.
With regard to the
costs of trusts, the Court held that:
“
78.
The solution therefore lies in greater care being taken in deciding
on the appointment of either a curator bonis
or the establishment of
a trust in considering, inter alia, the question of remuneration. In
circumstances where a trust is established,
the remuneration and
administration costs must be dealt with explicitly and
comprehensively in the court order and/or trust instrument
incorporated into the order of court. If this is done correctly, it
will deal with the Master’s complaint that trustees ‘set
their own fees.
79.
Ordinarily, the reasonable remuneration of the trustee will vary from
trustee to trustee according to the
complexity, quality, time and
amount of work done in the administration of the trust funds. The
court in the matter of Klopper
v the Master of the High Court noted
in this regard that:
‘…
time
and effort together with the degree of complexity of one’s
duties have to be taken into account. It is accordingly clear
that
the time factor cannot be considered in isolation nor can it be an
overriding factor. The other factors must be taken into
account as
well’”.
53.
I have considered the
prescribed costs for the administering a trust in terms of the
Administration of Estates Act, 1965 (Act 66
of 1965) (as amended) and
the approach adopted by the Courts to these costs. On this basis, I
found the cost of 7.5% of the total
award to be reasonable cost for
the protection awarded and management of the award.
SUMMARY
54.
In summary, we submit that an award of
R
15 121 746.80
should be made calculated as follows:
a.
Future medical
expenses
R10 091 339.50
b.
Future loss of earning
capacity
R1 700 000,00
c.
General
damages
R2 200 000,00
Subtotal
:
R13 991 339.50
Plus
interim payment
:
R1 090 680.00
Total
capital of claim
:
R15 082 091.50
d.
Plus: 7,5% for administration of
trust
R1 130 335.31
Total
claim
R16 212 426.80
Minus:
Interim payment
R1 090 680.00
Total
award to be made
R15 121 746.80
# COSTS
COSTS
55.
There is no need to deviate from the
general rule that the costs must follow the result.
The
plaintiff is entitled to her costs in prosecuting the claim, such
costs to include the qualifying, preparation and reservation
costs
(if any) of the plaintiff’s experts together with the costs of
two counsel.
ORDER
The
following order is made:
1.
The Defendant
is ordered to make payment to the Plaintiff, in her representative
capacity as mother and natural guardian of the
minor child, SPHILELE
MKHULULI SIMELANE (“the minor”), of the capital amount of
R15 121 746.80
(FIFTEEN
MILLION ONE HUNDRED AND TWENTY ONE THOUSAND, SEVEN HUNDRED AND FOURTY
SIX RAND AND EIGHTY CENTS) (“the capital amount”)
2.
The defendant shall pay the capital
amount into the Plaintiff’s attorneys’ trust account
within 60 calendar days from
the date of this order, the details of
which account are as follows:
NAME
:
JOSEPH’S INC, TRUST ACCOUNT
BANK
NAME
:
RMB PRIVATE BANK,
JOHANNESBURG
ACCOUNT
NO
:
[....]
BRANCH
NO
: 261-251
REFERENCE
: A
CALITZ/J NORTON/M374
3.
The capital
amount will not bear interest unless the defendant fails to effect
payment thereof within 60 calendar days of the date
of this order. In
the event of such failure, the amount payable will bear interest at
the mora rate of 7.75% per annum calculated
from and including the
61
st
calendar day after the date of this order, up to and including the
date of payment thereof.
4.
The proceeds
of capital amount, after deduction of the Plaintiff’s attorney
and own client costs and interest on unpaid disbursements
(“the
remaining amount”) shall be payable by the Plaintiff’s
attorney to a trust to be created within 6 (six)
months of the date
of this order, in terms of the Trust Property Control Act, No.57 of
1988, as amended.
5.
Until such
time as the professional trustee is able to take control of the
remaining amount and to deal with it in terms of the
Trust Deed, the
Plaintiff’s attorney of record:
5.1
is authorized to invest the remaining amount in an interest-bearing
account with a registered banking institution
in terms of
Section
86(4)
of the
Legal Practice Act, 2014
for the benefit of the minor,
pending the finalization of the creation of the Trust;
5.2
shall be prohibited from dealing with the remaining amount in any
other manner unless specifically authorized
thereto by the Court,
subject to the provisions of sub-paragraph 5.3 hereunder; and
5.3
is authorized and ordered to make any reasonable payment to satisfy
any of the minor’s needs that may
arise and that are required,
in the interim, for treatment, therapy, care, equipment or related
expenses, from the remaining amount.
6.
The
appointment of any professional trustee to the trust is subject
thereto that the professional trustee furnishes security to
the
satisfaction of the Master of the High Court.
7.
The defendant
is ordered to pay to the plaintiff her party and party costs on the
High Court scale up to and including 22 July 2022,
such costs to also
include but will not thereby be limited to the following taxed or
agreed costs:
7.1
the costs
attendant upon the obtaining of payment of the capital amount
referred to in paragraph 2 above;
7.2
the reasonable
costs consequent upon obtaining this order;
7.3
the reasonable
costs of the expert reports and addenda reports in respect of which
the plaintiff gave notice in terms of
Rules 36(9)(a)
and (b), namely:
7.3.1
Dr G Marus
(Neurosurgeon);
7.3.2
Dr M. Lippert
(Paediatric Neurologist);
7.3.3
Dr M Vorster
(Psychiatrist);
7.3.4
Ms E Bubb
(Educational Psychologist);
7.3.5
Dr L Maron
(Ear, Nose and Throat Specialist);
7.3.6
Dr C Weitz
(Ophthalmologist);
7.3.7
Dr M Venter
(Audiologist);
7.3.8
Ms E van der
Merwe (Speech Therapist);
7.3.9
Dr P Lofstedt
(Dentist);
7.3.10
Dr G Versfeld
(Orthopaedic Surgeon);
7.3.11
Dr K
Govendrageloo (Paediatric Cardiologist);
7.3.12
Dr I van
Heerden (Urologist);
7.3.13
Ms P Jackson
(Physiotherapist);
7.3.14
Ms J
Bainbridge (Occupational Therapist);
7.3.15
Ms. Sonja
Bonsma (Medical Orthotist/Prosthetist);
7.3.16
Ms L Bruk
(Dietician);
7.3.17
Ms B Donaldson
(Industrial Psychologist);
7.3.18
Mr R Rich
(Mobility Consultant);
7.3.19
Dr R Campbell
(Rehabilitation expert);
7.3.20
Prof D Strauss
(Life Expectancy Expert);
7.3.21
Mr L Eybers
(Architect);
7.3.22
Mr S Sirmon
(Quantity Surveyor);
7.3.23
Mr G Schwalb
(Actuary);
7.4
The costs of
preparing for and securing joint minutes;
7.5
The costs of
preparing
Rule 38(2)
affidavits;
7.6
The reasonable
costs consequent upon the employment of two counsel, one of whom is
to be allowed on the scale of senior counsel,
to be determined by the
Taxing Master.
8.
The costs
referred to in sub-paragraph 7 above, shall be paid into the trust
account of the Plaintiff’s attorneys, Joseph’s
Incorporated.
9.
There is a
valid contingency fee agreement.
P
N MANAMELA
ACTING
JUDGE OF THE HIGH COURT
GAUTENG
DIVISION, PRETORIA
Date
of hearing:
19
July 2022
Judgment
delivered:
30 August 2022
APPEARANCES:
Counsels
for the Plaintiff:
Adv.
G-M
Goedhard SC together with
Adv.
H Cassim
Attorneys
for the Plaintiff:
Joseph’s
Inc Attorneys
Counsels
for the Defendant: Adv.
A Rossouw SC together with
Adv.
L Pretorius
Attorneys
for the Defendant: The
State Attorney, Pretoria
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