C.J v Road Accident Fund (47315/2013) [2025] ZAGPJHC 369 (14 March 2025)

35 Reportability
Personal Injury Law - Road Accident Fund

Brief Summary

Damages — Future loss of earnings — Calculation of loss of earning capacity — Plaintiff, a minor, sustained a moderate traumatic brain injury in an accident — Evidence presented regarding labour market conditions in Mozambique, including minimum wage and projected income — Court accepted the claim for future loss of earnings, awarding the plaintiff 5 042 682 Meticais based on actuarial calculations and deductions for contingencies — Defendant ordered to provide an unlimited undertaking for future medical expenses.

CASE NUMBER- initials 1 JUDGMENT
YEAR- MONTH -DAY
SAFLII Note: Certain personal/private details of parties or witnesses have been redacted from this document
in compliance with the law and SAFLII Policy

IN THE HIGH COURT OF SOUTH AFRICA
GAUTENG LOCAL DIVISION, JOHANNESBURG

CASE NO : 4731 5/2013
DATE : 14-03-2025



In the matter between
C[…] J[…] Plaintiff
and
ROAD ACCIDENT FUND Defendant


JUDGMENT


WEIDEMAN , AJ : This matter was previously on the roll on 25
February 2025. The discussion between counsel and the Court , at
that stage, was on the basis that the mother (who is in South Africa) and the child (who is in Mozambique) are both peregrini DELETE WHICHEVER IS NOT APPLICABLE
(1) REPORTABLE: NO.
(2) OF INTEREST TO OTHER JUDGES: NO.
(3) REVISED.
DATE
SIGNATURE
CASE NUMBER- initials 2 JUDGMENT
YEAR- MONTH -DAY
and as such the reports substantiating a loss in South Africa,
based on the South African labour market and income scales were
not appropriate.
Counsel asked for the matter to stand down until 11 March 2025
to enable the plaintiff to attempt to secure evidence on the labour
market and employment conditions in Mozambique.
When the matter was re - called on 11 March 2025 counsel
submitted supplementary heads of argument. Counsel moved an
application in terms of Rule 38(2) which was granted. The aspect
of liability had previously been resolved between the parties. The
minor was approximately two years old at the time of the accident.
The primary injury was a moderate traumatic brain injury as was confirmed by the neurosurgeon Dr Segwapa. The findings of the
neurosurgeon are confirmed and supported by the assessment and findings of the clinical psychologist, Ms Modipa. The original
medico- legal report of Dr Strydom is of limited assistance,
however, her addendum report suffices to enable the Court to consider the claim for loss of earning capacity and to arrive at a decision based on the prevailing labour market conditions in Mozambique.
It seems from her report that there is a minimum wage in
Mozambique of approximately 8 758 Meticais (MZN) per month
and which is roughly the equivalent of 133 Euro. This is for an
entry level position with a certificate. On CaseLines 2-180, Dr
Strydom sets out a series of typical positions with the average
income attached to each. Dr Strydom speculates that the minor
would have entered the labour market in Mozambique earning at the minimum wage of 8 758 M ZN per month, reaching her career
ceiling in her mid -40s at approximately 72 000 MZN per month.

CASE NUMBER- initials 3 JUDGMENT
YEAR- MONTH -DAY
Dr Strydom further addressed the unemployment rate in
Mozambique and the dropout rate in school, factors which are
relevant for the purpose of contingencies. Given the information
provided by Dr Strydom, the actuary prepared a revised calculation.
The result of t he calculation was as follows :
But for the accident her projected possible income would have
been 8 506 440 MZN and given her reduced earning capacity , the
”having regard to” calculation rendered a result of 1 944 943 MZN.
Given the comments contained in the addendum report of Dr
Strydom, it was my opinion that the deduction in the “but for ”
scenario should be 1% per annum. However, because the usual
retirement age for women in Mozambique is 55, the deduction was
reduced to 25% as there is no provision for any income after the
age of 55.

In the “having regard to” scenario the calculation should include a
contingency deduction of 1,25% per annum . The figure was
reduced on the same basis and for the same reason as the “but for” the accident contingency deduction to 31,25 %. If the “but for”
and “having regard to” contingencies are subtracted from the
gross amounts, the result s are 6 379 830 MZN and 1 337 148
MZN, respectively . Subtracting these amounts from each other
results in 5 042 682 MZN.
In any matter where an award is made in a foreign currency, the conversion rate is the rate applicable on the date of payment.
However, for illustrative purposes only , the effect of the
conversion rate as at 12 March 2025 yields an amount of
R1 446 597.21.
My order is therefore as follows:
CASE NUMBER- initials 4 JUDGMENT
YEAR- MONTH -DAY
1. The plaintiff's application in terms in Rule 38(2) is
granted;
2. The plaintiff's application in terms of Rule 33(4) for the
separation and postponement of the claim for general
damages is granted;
3. The plaintiff's claim in respect of future loss of earnings
and impairment of earning capacity is accepted and the plaintiff is awarded the sum of 5 042 682 Meticais;
4. The defendant shall provide the plaintiff with an unlimited
undertaking in terms of section 17(4)(a) of the Road Accident Fund Act for the future hospital , medical and ancillary
expenses of the minor , Chamila Abdul;
5. The plaintiff is awarded her party and party costs as
taxed or agreed. Counsel's fees for the 25
th of February
2025 and the 11th of March 2025 will be on Scale B and for
noting the judgment on 14 March 2025 on Scale A.

WEIDEMAN , AJ
JUDGE OF THE HIGH COURT
DATE : ……………….