GARY ALAM v MEMNUNA KADRIC [1993] NSWCA 4

GARY ALAM v MEMNUNA KADRIC SUPREME COURT OF NEW SOUTH WALES — COURT OF APPEAL

CLARKE JA, MEAGHER JA and HANDLEY JA 3 November 1993

[1993] NSWCA 4

FACTS

Appellant (defendant below) argued that the discount rate applied to the future economic loss component of a motor vehicle accident award was too low. HELD:

No question of principle was involved. The overall quantum of damages was reasonable in the circumstances, especially taking into account the overly conservative calculation of past economic loss.

Clarke JA. I will ask Meagher JA to give the first judgment.

Meagher JA. This is an appeal by the defendant against an award of damages made by his Honour the late Judge Tolhurst in favour of the plaintiff in the amount of $245,968.86, which his Honour made on 15 December 1989. It relates to a motor car accident which took place on 12 Aguust 1983.

The verdict components are as follows. The general damages were $28,000.00 as to which $23,000.00 related to the past and $5,000.00 to the future; interest thereon of $10,250; and out-of-pocket expenses of $15,723.00, which leaves past and future economic loss at some figure in excess of $191,000.00. The precise details do not appear in his Honour's judgment but apparantely were calculated after the trial in accordance with a formula which was laid down during the trial.

Initially, the appeal centred on the difficulties with his Honour's arithmatic but those difficulties have all evaporated. The sole question of interest which then remained is as to the amount for future economic loss and, in particular, the amount by which it should be discounted.

Mr Tonner in a careful argument has pointed out that the past economic loss was discounted by twenty per cent and future economic loss was discounted by his Honour at twenty five per cent. The argument ran that if the past figure was correct — and there was no appeal as to this — then the discount for future economic loss should be more.