Case Law[2023] ZAGPJHC 64South Africa
N.A obo Z.N v Road Accident Fund (2016-38846) [2023] ZAGPJHC 64 (27 January 2023)
High Court of South Africa (Gauteng Division, Johannesburg)
27 January 2023
Judgment
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# South Africa: South Gauteng High Court, Johannesburg
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## N.A obo Z.N v Road Accident Fund (2016-38846) [2023] ZAGPJHC 64 (27 January 2023)
N.A obo Z.N v Road Accident Fund (2016-38846) [2023] ZAGPJHC 64 (27 January 2023)
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sino date 27 January 2023
SAFLII
Note:
Certain
personal/private details of parties or witnesses have been
redacted from this document in compliance with the law
and
SAFLII
Policy
FLYNOTES:
LOSS OF INCOME – STALE EXPERT REPORTS
Motor
collision – Child age 4 at collision – Expert reports
done when child age 7 and one report revised when
child age 9 –
Child now age 12 – Measure for reliable reports from Van
Tonder v RAF that reports stale after
2 years – Best
evidence not before court – Child’s condition could
have improved or deteriorated –
Matter postponed for fresh
reports.
IN
THE HIGH COURT OF SOUTH AFRICA
(GAUTENG
LOCAL DIVISION, JOHANNESBURG)
CASE
NUMBER: 2016 / 38846
REPORTABLE:
NO
OF
INTEREST TO OTHER JUDGES: NO
27
January 2023
In
the matter between:
N[....]
:
A[....] OBO
Z[....]
N[....]
Applicant
and
ROAD
ACCIDENT FUND
Defendant
JUDGEMENT
Z
KHAN AJ
BACKGROUND
1.
This
is an application for default judgment against the Road Accident Fund
for an amount of R 3 368 900.
2.
The
Plaintiff claims compensation on behalf of her biological minor
daughter, for damages suffered as a result of a motor vehicle
collision on 5 May 2014, when the minor was 4 years of age. The
injuries include a head injury, occipital hematoma, hearing
impairment,
cognitive impairment and sequalae including an inability
to follow instructions.
3.
The
Defendant previously conceded 100% liability in favour of plaintiff
and agreed to payment of an amount of R 450 000 in respect
of the
claim for General Damages. An undertaking for the minors future
treatment and ancillary services in terms of section 17(4)(a)
of the
Road Accident Fund was also to be furnished. This agreement was made
an order of court on 5 December 2017. The determination
of the
minor’s future loss of earning was postponed.
4.
On
7 June 2021, the Defendant was ordered to attend a pretrial
conference with the Plaintiff. This did not occur. On 20 September
2022, the Defendants defence was struck off by order of court and the
matter referred for default judgment.
CURRENT
EVENTS
5.
The
Plaintiffs legal team indicated an eagerness to proceed to finalise
the application for default judgment on the presently uncontested
medico legal reports of various experts before the court.
6.
It
was initially the stance of the Plaintiff that the Defendants defence
had been struck off and as this was an application for
default
judgement, the court could not entertain submissions by Mr Coetzee, a
state attorney appearing for the Defendant. This
stance was rightly
abandoned during argument, provided Mr Coetzee limited himself to
submissions based on the Plaintiffs medico
legal reports and the law.
7.
Mr
Coetzee drew the courts attention to the fact that the majority of
the medico legal reports before the court featured assessments
of the
minor during 2017 when she was 7 years old. The initial report of the
Industrial Psychologists is dated 27 September 2017
and actuarial
calculation is dated 10 November 2017. A revised assessment of the
minor was carried out by the Educational Psychologist
on 9 April 2019
with the report dated 17 November 2019, when the minor was 9 years
old. The minor is currently 12 years old.
8.
The
Plaintiffs representatives sought to finalise the matter on the
papers before the court and estimated a duration of 1 hour for
the
default judgment application in their practice note. There was no
indication that any witness was to be called to testify in
furtherance of the application for default judgment.
9.
Mr
Vilakazi explained that the earlier court attending to the order
relating to liability and the payment in respect of General
Damages
required the minors reassessment in 2019, which was done. It then
transpired that the panel of attorneys representing the
Road Accident
Fund had their mandates terminated and the Road Accident Fund was
rudderless. Covid then intervened and this resulted
in a further
delay in finalising the matter.
10.
Mr
Coetzee advised that it was not his instructions to seek a
postponement of the matter but that the court ought to take into
account that the medico legal reports furnished on behalf of the
Plaintiff were “stale” and thus of little evidentiary
benefit. He also advised that the minors current school reports were
not before the court, with the last school report being in
respect of
the 2019 academic year.
11.
He
also complained that the Plaintiffs Educational Psychologist
recommended remedial schooling for the minor and that there was
a
payment in respect of General Damages and a medical undertaking
furnished to the Plaintiff. The undertaking appears to the gone
unutilised and there is no reporting of any remedial schooling or
current scholastic ability before the court.
12.
The
crux of the complaint was that the best evidence is not before the
court to assess any future loss of income. If the minor’s
circumstances have improved then the Plaintiff will be
over-compensated and if her circumstances have deteriorated then she
would
be under-compensation. I am in agreement with this submission.
13.
Mr
Vilakazi proposed that the matter proceed on the existing medico
legal reports as the matter was ready to proceed during 2017
and
again during 2019. It was his submissions that the reports do not
prejudice the Plaintiff as these reports are undisputed and
the
Plaintiff is entitled to finality of the matter.
THE
POSTPONEMENT APPLICATION AND INTERIM PAYMENT
14.
Upon
invitation for submissions from the bench as to the Road Accident
Funds social responsibility towards the minor and the Courts
responsibilities as the Upper Guardian of the minor, Mr Coetzee
sought to stand down the matter for better instructions and returned
seeking a postponement of the application for default judgment from
the bar. He submitted that it would not be in the minors best
interest to finalise the case on the basis of evidence before the
court and the Road Accident Fund would be remiss in its social
obligation if this were to occur.
15.
This
application was initially opposed by Mr Vilakazi. During argument in
opposing the postponement application, it was submitted
that reports
become stale after 2 years and are of little evidentiary value in the
normal court due to the changing vicissitudes
of life. This is
however no bar to a court accepting such stale reports. The court was
referred to
Van
Tonder N.O v Road Accident Fund (4032/2013) [2021] ZAGPPHC 382 (30
May 2021) regarding such a discretion.
16.
In
Van Tonder, Mr Justice Maumela drew attention to all reports being
stale as they are ‘all far from 2 years, which is conceived
to
be the normal years for the reliable (
sic
)
expert reports’. He finds that it is for the court to take into
account all relevant factors in arriving at an amount to
be awarded.
17.
This
matter is distinguishable in that the claim was for general damages,
which by its very nature is ‘not capable of being
determined
with mathematical precision’ [
De
Jongh V Du Pisanie No
2005
(5) SA 457
(SCA)]. The matter also featured a claim by a
36-year-old whose sequalae had settled.
18.
All
relevant factors are not before me and I refuse the invitation to
hazard a guess on the compensation to be awarded to the minor.
19.
Mr
Vilakazi then took instructions and conceded that fresh medico legal
reports would be needed to serve the best interests of the
minor and
avert any possible claim of negligence against his attorney. He moved
on to seek an interim payment for the minors future
loss of income.
He sought an amount of R 1 million as an interim payment.
20.
The
Plaintiffs entire claim as presently quantified is R 3 368 900. An
interim payment of R 1 million would effectively serve as
compensation for a third of the minors future possible employment.
This is untenable as the minors claim for future loss of income
would
commence at age 18.
21.
Upon
enquiry as to the status of the monies received by Plaintiff in
respect of the minors claim for General Damages, I was advised
from
the bar that the Plaintiff had utilised those monies to purchase a
home for her family including the minor.
22.
In
exercise a courts duty as an upper guardian of a minor, I have
considered factors such as the socio economic circumstances of
the
Plaintiff and the minor, which appear to be dire, the current
duration for a new court date in this Division, as well
as the
possible retirement age of the minor but for the accident, on the
current uncontested reports as well as the requirement
that the
Plaintiff first pay for the minors treatment and remedial schooling
and then claim the monies back from the Road Accident
Fund, which is
currently not functioning as it ought to (See : Hlatshwayo v Road
Accident Fund, Mpumalanga Division case 3242/2019,
as yet unreported
case dated 24 January 2023).
23.
I
also enquired from Plaintiffs counsel if the attorneys would be
prepared to guarantee repayment of any monies that were paid by
the
Road Accident Fund as an interim payment to the Plaintiff, should
there arise the eventuality that the interim payment constitutes
an
overcompensation in the final determination of the claim. This was
confirmed in the affirmative.
24.
I
further enquired if conditions ought to be set on the spending of the
interim award of monies, given that the General Damages
have now been
exhausted. Counsel submitted that the minors parents, with whom she
resides, would be in the best position to make
such an assessment of
the minors needs.
25.
I
have taken the entire actuarial calculation as it currently stands
(in respect of a possible 40 year work life) and applied a
rough
computation of 2 years, being a maximum time period to return to
court with fresh reports, in coming to an interim award..
26.
I
have had regard to the provisions of the Uniform Rules of Court
relating to interim payments as well as the interests of the minor
and the courts obligations in terms of section 173 of the
Constitution, regarding the interests of justice.
27.
In
exercising my discretion regarding costs, I have taken into account
the Defendants delay in approaching the court for a postponement
and
raising its concerns, specifically in light of its social obligations
to victims of motor vehicle accidents.
In
the circumstances I make the following order:
1.
This matter is
postponed sine die;
2.
The Defendant shall
make an interim payment in the amount of R 200 000 to the Plaintiff
in respect of the claim for the minor’s
future loss of income,
within 120 days of date hereof;
3.
The aforementioned
monies are to be used for the sole and exclusive benefit of the
minor,
Z[....]
N[....], without any deduction for legal and other fees by the
Plaintiffs’ attorneys;
4.
The aforementioned
payment is guaranteed by each and every director and / or partner of
the Plaintiffs’ attorneys, jointly
and severally, in the event
that a court orders repayment of the abovementioned monies to the
Road Accident Fund, in its final
determination of the Plaintiffs
claim.
5.
The Defendant shall
pay the plaintiffs costs occasioned by this postponement of the
matter, as agreed or taxed.
Z
KHAN
Acting
Judge of the High Court: Johannesburg
This
judgment was prepared and authored by Acting Judge Z Khan. It is
handed down in open court on 27 January 2023 and electronically
by
circulation to the parties or their legal representatives by email
and by uploading it to the electronic file of this matter
on
Caselines. The date for hand-down is deemed to be 27 January 2023.
HEARD
ON:
23 January 2023
DELIVERED
ON: 27 January 2023
For
the Plaintiff: Adv J Vilakazi
Instructed
by Mangxola
Attorneys
For
the Defendant: Mr Coetzee (State Attorney)
Instructed
by Road
Accident Fund - Johannesburg
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