Case Law[2024] ZAGPJHC 1272South Africa
Nhlapo v Road Accident Fund (22151/17) [2024] ZAGPJHC 1272 (11 December 2024)
High Court of South Africa (Gauteng Division, Johannesburg)
11 December 2024
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
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## Nhlapo v Road Accident Fund (22151/17) [2024] ZAGPJHC 1272 (11 December 2024)
Nhlapo v Road Accident Fund (22151/17) [2024] ZAGPJHC 1272 (11 December 2024)
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REPUBLIC
OF SOUTH AFRICA
IN
THE HIGH COURT OF SOUTH AFRICA
GAUTENG
LOCAL DIVISION, JOHANNESBURG
CASE
NO:
22151
/17
(1)
REPORTABLE: NO
(2)
OF INTEREST TO OTHER JUDGES: NO
(3)
REVISED: NO
Date:
11-12-2024
Signature:
In the matter between:
PHILLIP NTAMBO
NHLAPO
PLAINTIFF
AND
ROAD ACCIDENT
FUND
DEFENDANT
JUDGMENT
THIS
JUDGEMENT HAS BEEN HANDED DOWN REMOTELY/ELECTRONICALLY AND SHALL BE
CIRCULATED TO THE PARTIES BY WAY OF E-MAIL/ UPLOADING ON
CASELINES
AND/OR COURT ONLINE. ITS DATE OF HAND DOWN SHALL BE DEEMED TO BE
DECEMBER 10, 2024
NTANGA AJ:
Introduction
[1]
Plaintiff instituted an action against the Road Accident Fund (“the
Defendant”) for damages suffered as a result of injuries he
sustained in a motor vehicle accident which occurred on May 8,
2016,
along Moagi Road Spruitview, Germiston, Gauteng. At the time of
the accident, Plaintiff was a pedestrian when an unknown
motor
vehicle, driven by an unknown driver collided with Plaintiff.
[2]
It is not in dispute that as a result of the collision, the Plaintiff
sustained the following injuries:
2.1
amputation of the left toe.
[3]
Prior to trial proceedings, Plaintiff filed a notice in terms of Rule
38(2) seeking an order in the following terms:
3.1
that reports and affidavits and/or affirmations of the following
experts, notices of which
were furnished in terms of Rule 36(a) of
the Uniform Rules of the Court, be admitted into evidence at the
hearing on affidavit
in terms of Rule 38(2):
3.1.1
Dr E.A. Mjuza (Orthopaedic Surgeon);
3.1.2
Dr Z. Radebe (Clinical Psychologist);
3.1.3
L. Mashishi (Occupational Therapist);
3.1.4
T. Tsiu (Industrial Psychologist); and
3.1.5
GW Jacobson (Actuary).
[4]
Plaintiff’s application in terms of Rule 38(2) was not opposed
to
by the Defendant and an order was granted as prayed for in terms
of Plaintiff’s notice of motion.
[5]
Defendant conceded merits at one hundred percent and an offer was
made
by the Defendant in the sum of R350 000.00, which offer was
accepted by the Plaintiff.
[6]
What is left for determination is whether there has been any Past and
Future Loss of Earning Capacity, if so, quantification of damages in
respect thereof.
The sequelae of the
injuries
[7]
Plaintiff engaged five experts to support his claim. The Orthopaedic
Surgeon
noted that Plaintiff suffered traumatic amputation on his
left big toe as a result of the injury. The Clinical Psychologist
noted
that Plaintiff’s intellectual function is within the
borderline range. Plaintiff presented emotional difficulties which
may
have existed prior to the accident and exacerbated after the
accident. Plaintiff demonstrated a feeling of being disabled and this
affected his psychological well-being. The Clinical Psychologist
recommended that Plaintiff be compensated.
[8]
The Occupational Therapist report states that Plaintiff has physical
difficulties.
These include: (i) observed body scars; (ii) restricted
active range of movement; (iii) inability to balance on and bear
weight
through one leg; (iv) protective extension reactions were
delayed to the left; and (v) lower tolerance for prolonged standing
and
walking.
[9]
From a functional perspective, the Occupational Therapist opined that
Plaintiff has suffered a decline in earning capacity, particularly in
physically demanding occupations.
[10]
The Industrial Psychologist report states that given his age of 54
years at the time of
the accident, his Grade 11 level of education,
work experience and current labour trends, it is projected that in
uninjured state,
Mr Nhlapo may have continued working in his
pre-accident role or similar occupations, receiving his premorbid
earnings with annual
inflationary increases until retirement age of
65.
[11]
The Industrial Psychologist report concludes by stating that:
“
Mr Nhlapo is
likely to find it difficult to secure suitable employment in his
current form. He is likely to remain unemployed with
a total loss of
past and future earnings indicated until the end of his working
life”
.
[1]
Submissions
[12]
Plaintiff’s Counsel argued that Plaintiff was 53 years old when
he was injured. The
Past loss of income is calculated at 7.5% of
R308 096 and the amount claimed is R 150 000.00.
Contingency has been calculated
at a higher amount and this is enough
penalty for the Plaintiff. She further argued that Plaintiff has been
penalised by higher
contingency of 10% for Future Loss of Income
calculated at R103 963.00. She argued that the contingency of
10% is higher than
normal. In total, Plaintiff argued for an amount
of R412 059.00 for both Past and Future Loss of Income.
[13]
It is important to note that as at the time that the matter appeared
on trial, Plaintiff’s
particulars of claim were not amended.
Notice of intention to amend particulars of claim was uploaded on
Caselines on the date
of hearing and after the matter was heard. The
amended particulars of claim were uploaded on Caselines on the same
day and after
the matter was heard.
[14]
In any event, when Plaintiff’s Counsel indicated intention to
amend the particulars
of claim from the bar without any notice,
Defendant’s Counsel objected and indicated that Defendant is
not waiving its rights
in terms of Rule 28 of the Uniform Rules of
the High Court.
[15]
This attempted amendment of particulars of claim is not in compliance
with Rule 28 of the
Uniform Rules and is irregular. The amount
claimed in the particulars of claim for Past Loss of Income is
R150 000.00 and
R1 000 000.00 for Future Loss of Income. There
is no effective amendment of the amounts claimed as I have indicated
that there
is no amendment of the particulars of claim in terms of
Rule 28 of the Uniform Rules of the High Court.
[16]
Defendant’s
Counsel argued that Plaintiff was unemployed at the time of the
accident and was receiving a government disability
grant in the sum
of R1680 per month from 2006 to date of accident which was ten years
before the accident. She argued that it is
not the accident that made
him not to work, instead, he was unable to work because of his
disability. Consequently, Plaintiff has
not suffered any loss of
earnings as he had difficulties to work prior to the accident. She
argued further that as Plaintiff did
not provide collateral
information to support his claim, the court should apply a 50%
contingency as was applied in A.A. Mutual
Insurance Association Ltd v
Maqula.
[2]
She further argued
that there is no supporting information to substantiate the claim
that Plaintiff was employed from 2006 to 2016
when the accident
occurred. She further argued that there was no information supporting
what Plaintiff earned when working for
Dr Nhlapo in 2003.
Past and Future Loss of
Income
[17]
The Occupational Therapist report states that Plaintiff sustained a
broken left lower limb
in 1981 and was admitted at Chris Hani
Baragwanath Hospital. He was also diagnosed with a chronic illness,
but he was never admitted
in hospital for this.
[18]
The Industrial Psychologist report states that Plaintiff was involved
in a motor vehicle
accident in the mid-1980s and sustained an injury
to his left thigh. He had to undergo surgery to his left thigh to
insert internal
fixations. He denied ever being diagnosed with
chronic conditions prior to the accident.
[19]
Regarding Plaintiff’s employment history, the Industrial
Psychologist reported that
Plaintiff completed Form 3 in 1980 at
Senaoane Secondary School. He then acquired informal skills training
in Electrical Engineering
in 1981 during his employment at Thon
Lighting. He does not have a drivers’ licence. He first entered
employment in 1981
and worked as an Assistant Electrician at Thon
Lighting. In 1982 he secured employment as a Machine Operator at Bic
Ball Pens.
Vocational analysis of these positions indicates that his
work required prolonged standing, frequent walking, frequent lifting
and carrying of medium loads, as well as frequent below the knee
level and above shoulder level reach. The Industrial Psychologist
reports that due to his poor standing and walking endurance, the
claimant does not possess the physical capacity to execute any
of
these duties.
[20]
The Industrial Psychologist records Plaintiff’s next employment
to be in 1983 to
1991 where he worked as an Inserter at The Star
Newspaper, it is however unclear as to how long did he continue with
this position.
The last employment is when Plaintiff worked for Dr
Nhlapho as a General Worker from 2003 until 2004 when Dr Nhlapho
passed away.
[21]
There is
also an indication in the Industrial Psychologist report that
Plaintiff worked as a Casual General Worker from 1992 to
date of
accident and he earned R500.00 to R700.00 per week. What is not clear
is how did Plaintiff work as a Casual General Worker
while he worked
for Dr Nhlapho. This is also in contrast with the Occupational
Therapist report which states that at the time of
the accident the
Plaintiff was unemployed and was actively job-seeking.
[3]
[22]
The
Actuarial report has taken note of other expert reports indicating
that Plaintiff was unemployed at the time of the accident.
[4]
The report indicates that Plaintiff received disability grant from
2006 and that this was converted to old age pension when he
turned
sixty years old.
[23]
Taking into account the contradictory reports on whether Plaintiff
was employed or unemployed
at the time of the accident, I have a
difficulty in accepting a version that he was employed. It appears
that the Actuary whilst
acknowledging these contradictions, he
proceeded to make calculations for Past Loss of Income. There is no
evidence to support
that Plaintiff was employed at the time of the
accident. There is no reliable evidence of what services he rendered,
amounts charged
and received. The amount indicated as Plaintiff’s
income is not supported by any evidence. There was no evidence at all
to
substantiate existence of this income. It is important to indicate
that if this amount is based on casual or part time jobs, this
does
not make it regular income. The Court was not placed in a position to
determine existence of this income. The amount indicated
as weekly
income appears to be a thumb suck amount. Considering that this would
have been a casual work, there is no certainty
of whether Plaintiff
would receive this amount every week. The probabilities are in my
view very slim.
[24]
Section 9
of the
Social Assistance Act No. 13 of 2004
provides that:
“…
9.
A person is,
subject to
section 5
, eligible for a disability grant, if he or she-
(a)
has attained the prescribed age; and
(b)
is, owing to a physical or mental disability, unfit to obtain by
virtue of any service, employment or profession the means needed
to
enable him or her to provide for his or her maintenance
”.
[5]
[25]
In order for Plaintiff to qualify for the government disability
grant, he should have met
the requirement of
Section 9
of the
Social
Assistance Act. He
should have suffered disability that qualified him
for the social security grant. Secondly, this disability should have
made him
unfit to obtain employment which would enable him to provide
for his maintenance. The argument that he was still able to find
employment
is illogical as this is in contrast with the statutory
requirements for a person to be eligible for disability grant.
[26]
In
Dippenaar v Shield Insurance Co Ltd
[6]
the Court stated that:
“
In our law,
under
lex Acquilia the defendant must make good the difference between the
value of the plaintiff’s estate after the commission
of the
delict and the value it would have had if the delict had not been
committed. The capacity to earn money is considered to
be part of a
person’s estate and the loss or impairment of that capacity
constitutes a loss, if such loss diminishes the
estate
”.
[7]
[27]
The Court
in Dippenaar v Shield Insurance Co Ltd accepted the argument that
“
the
Court must calculate, on the one hand, the present monetary value of
all that the plaintiff would have brought into his estate
had he not
been injured, and, on the other hand, the total present monetary
value of all that the plaintiff would be able to bring
into his
estate whilst incapacitated by his injury
”.
[8]
[28]
In Rudman v
Road Accident Fund
[9]
the
Supreme Court of Appeal stated that:
“…
A physical disability
which impacts upon capacity to earn does not necessarily reduce the
estate or patrimony of the person injured.
It may in some cases
follow quite readily that it does, but not on the facts of this case.
There must be proof that the reduction
in earning capacity indeed
gives rise to pecuniary loss
”.
[10]
[29]
In Z.P.M v
Road Accident Fund
[11]
the
Court followed the matter of Grewal v Nauman where the Court of
Appeal for British Columbia stated that:
“
The essential
purpose of an award for past loss of opportunity diminished earning
capacity is to provide the plaintiff with full
compensation for all
of his pecuniary losses, subject to rules of remoteness…
As an initial
threshold issue, the plaintiff must demonstrate both impairment to
his or her earning capacity and that, in this case
there is a real
and substantial possibility that diminishment in earning capacity
will result in a pecuniary loss
”.
[12]
[30]
The court
in Z.P.M V Road Accident Fund followed the decision of Mvundle v Road
Accident Fund
[13]
where the
court stated that:
“
It is trite
that damages for loss of income can be granted where a person has in
fact suffered or will suffer a true patrimonial
loss in that his or
her employment situation has manifestly changed. The plaintiff’s
performance can also influence his/her
patrimony if there was a
possibility that he/she could lose his/her current job and/or be
limited in the number and quality of
his/her choices should he/she
decide to find other employment
”.
[14]
[31]
Regarding future Loss of Income, it is reported that Plaintiff was 54
years old at the
time of the accident. He was left with few years
before attaining retirement or old age pension stage. When dealing
with how Plaintiff’s
Past and Future Loss of Income is
calculated, the actuarial report states that having regard to the
accident the income is taken
as nil, since it is assumed that
Plaintiff would also have collected the same social grant
pre-morbidly due to his low level of
income. They calculated
Plaintiff’s loss as the difference between the value of his
income but for the accident and the value
of his income having regard
to the accident and his life expectancy.
[32]
I have a difficulty in accepting existence of additional income
arising from casual general
work performed by Plaintiff prior to the
accident. As indicated above, there is no evidence provided to
substantiate this claim
of additional income to the disability grant.
[33]
As indicated above, Plaintiff was a recipient of disability grant for
a period of ten years
before being involved in an accident. Other
than the disability grant, there is no evidence to substantiate a
claim that Plaintiff
was doing casual work at the time of the
accident. I struggle to understand how the actuary concluded that
Plaintiff is entitled
to a Past and Future Loss of Income,
considering the conflicting report from the Industrial Psychologist,
one part saying he was
unemployed and job seeking at the time of the
accident and the other part saying Plaintiff was doing casual general
work at the
time of the accident.
Conclusion
[34]
In my view there is insufficient evidence to sustain the claim for
Past and Future Loss
of Income. The Industrial Psychologist and
Actuarial reports were of no assistance to the resolution of the Past
and Future Loss
of Income claim.
[35]
Plaintiff has failed to adduce evidence demonstrating that his income
earning capacity
was diminished because of the accident.
[36]
In the result I make the following order:
1.
Plaintiff’s application in terms of Rule
38(2) of the Uniform Rules of the Court is granted.
2.
The
claim for Past and Future loss of earning capacity is dismissed.
3.
Defendant is liable to the Plaintiff for 100%
of the damages suffered by Plaintiff arising from the motor vehicle
collision which
occurred on May 8, 2016.
4.
Defendant shall pay Plaintiff the amount of
R350 000.00 (Three Hundred and Fifty Thousand Rands) in respect
of General Damages.
5.
The
amount referred to in paragraph 3 and 4 above shall be paid into the
Trust Account of Plaintiff’s Attorneys of record
being SS
Ntshangase and Associates, Account Number:
Account
Holder: SS Ntshangase Attorneys
Bank
:
Nedbank
Branch
:
Business Eastrand
Branch
Code : 128842
Account
Type : Trust Account Number: 1[…]
6.
The
Defendant shall furnish the Plaintiff with an undertaking up to 100%
in terms of section 17(4)(a) of Act 56 of 1996 to pay the
costs of
future accommodation in a hospital or nursing home and such
treatment, services or goods as he may require, as a result
of the
result injuries that he sustained as a result of the accident, upon
proof thereof.
7.
Defendant shall pay Plaintiff party and party
either as taxed or agreed, in the High Court scale B, which costs
shall include the
costs of counsel for 13-14 November 2024 and
qualifying experts if any.
8.
In
the event that costs are not agreed Plaintiff and Defendant,
Plaintiff shall serve a notice of taxation on the Defendant’s
attorneys of record.
9.
Plaintiff shall allow the Defendant 180 (One
Hundred and Eighty) court days to make payment of the taxed costs.
10.
There
is no contingency fees agreement between the Plaintiff and his
attorney.
M NTANGA
ACTING JUDGE OF THE
HIGH COURT
GAUTENG LOCAL
DIVISION, JOHANNESBURG
Date of Hearing: 14
November 2024
Date of Judgement: 11
December 2024
Appearances:
Plaintiff’s
Counsel: Adv Z Buthelezi
Instructed by: S.S.
Ntshangase Attorneys
Defendant’s
Counsel: Ms Nziyanziya
Instructed
by: State Attorney - Johannesburg
[1]
See
page 033-133 on Caselines.
[2]
A.A.
Mutual Insurance Association Ltd v Maqula 1978 (1) (A).
[3]
See
page 033-77 on Caselines.
[4]
See
page 033-135 on Caselines.
[5]
Social
Assistance Act No. 13 of 2004
.
[6]
Dippenaar
v Shield Insurance Co Ltd 1979 (2) (AD).
[7]
See
note 6 supra at page 917 para A-B.
[8]
See
note 6 supra at page 917 para E.
[9]
Rudman
v Road Accident Fund
2003 (2) SA 234
SCA.
[10]
See
note 9 supra at page 241-243 at para H-I.
[11]
Z.P.M
v Road Accident Fund (29281/22)
[2024] ZAGPHC 421
(6 May 2024).
[12]
See
note 11 supra at para 24.
[13]
Mvundle
v Road Accident Fund (63500/2009)
[2012] ZAGPHC 57
(17 April 2012)
at para 42. See also Scheepers v Road Accident Fund (893/2021)
[2023] ZAFHSHC 248 (20 June 2023).
[14]
See
note 13 supra.
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