Remedies Tort Law
Remedies Tort Law
The main remedies in tort are damages, which aim to compensate the
claimant financially, and injunctions, which aim to stop or prevent the
behaviour which comprises the tort.
COMPENSATORY DAMAGES
The principle of restoring the claimant to the position they would have
held if the tort had been committed is called restitutio in integrum.
There are two kinds of losses: pecuniary (financial) and non-pecuniary
(other than money).
The issue of what will amount to restitutio in integrum is not
straightforward. This is especially the case where the loss is purely
financial.
PROPERTY DAMAGE
Where the tort has caused damage to or loss of property, the
defendant will be liable for the cost of putting the claimant back in the
position they would have been if the tort had not happened. If the
property is destroyed, the defendant will have to pay the cost of
replacing the property, at current prices, even if this is more than the
item cost the claimant. If it is damaged, the defendant will be required
to pay the amount by which the damage has decreased the property’s
value (typically, the cost of repairs).
MITIGATION
A person who falls victim to a tort is expected to take reasonable steps
to mitigate any loss; the defendant will not be liable for compensatory
damages in respect of any losses that could have been prevented by
such steps. However, since the situation is the fault of the defendant,
not the claimant, the standard of reasonableness is not particularly
high, and the claimant is certainly not required to make huge efforts to
avoid a loss that is the defendant’s fault.
Ronan v J Sainsbury
The claimant was 19 when he was working for the defendant, after an
accident he had to have multiple operations. He started a career in
banking, but still needed injury. The injury resulted in depression, and
as a chance of career, he went to university. A year later, his health
improved so much that he could have gone back to banking. The court
held that the decision to change careers had been a direct result of the
injuries caused by his accident. Once the claimant had started his
course, it was unreasonable of the defendant to expect him to leave it,
and the claimant successfully sued the defendant for loss of future
earnings.
PERSONAL INJURY
Damages for personal injury (which covers physical or psychiatric
harm, disease and illness) raise problems not encountered with other
types of loss. They made be divided into pecuniary (such as loss of
earnings and medical expenses) and non-pecuniary losses (such as
pain, shock, suffering and loss of physical amenity).
Pecuniary losses
The courts have divided pecuniary losses into the following ‘heads of
damages’.
1. PRE-TRIAL EXPENSES
Firstly, pre-trial expenses. The claimant is entitled to recover all
expenses actually and reasonably incurred as a result of the accident
up to the date of the trial, for instance, damage to clothing and
medical expenses.
Donnelly v Joyce
The claimant was a child and his mother had to give up work to look
after him when he was injured by the defendant’s negligence. The
claimant succeeded in claiming for the financial loss that his mother
had suffered as a result of caring for him. It was decided in Hunt v
Severs that any damages received under this head are awarded to the
claimant to compensate the carer and not to the claimant themselves.
3. PRE-TRIAL LOSS OF EARNINGS
Thirdly, pre-trial loss of earnings. The claimant can receive damages
for the loss of the earnings or profits which could otherwise have been
earned up to the date of the judgment. The amount awarded will be
that which the claimant would have taken home after tax and National
Insurance contributions have been deducted.
4. FUTURE LOSSES
Fourth, future losses. Claims for future pecuniary loss usually comprise
loss of future earnings and costs of care. They are regarded as general
damages. Damages are usually awarded as a lump sum, but since the
purpose of damages for loss of future earnings is usually to give the
claimant an income to replace the one they would have had if the
injury had not happened, the courts therefore calculate a figure which
would be sufficient to buy an investment called an annuity that would
give the claimant the right level of income for life, or however long the
injury was expected to last.
Doyle v Wallace
The claimant was badly injured and was unable to work. She had been
planning to train as a drama teacher, and if that failed she planned to
get a clerical job. The court found that she had a 50% chance of
qualifying as a drama teacher, and calculated the damages on the
basis of an income that was halfway between that of a drama teacher
and that of a clerk.
Then, the court adjusts the net annual loss to take into account factors
which might have altered the claimant’s original earnings (such as
promotion prospects). The resulting figure is called the multiplicand.
The court then takes the number of years that the effects of the
accident are likely to continue and reduces this by the ‘vicissitudes
of life’, i.e. the fact that even if the accident had not happened, the
claimant might not have lived or worked until retirement age.
At this stage, the court has now the annual amount that will
compensate the claimant and the number of years this amount should
be payable. However, to avoid overcompensation, the courts factor in
a rate of return in the investment, called the discount rate, and use
that to assess how much they need to reduce to lump sum. Until
recently, the courts generally assumed a rate of interest of 4-5% per
year.
Warriner v Warriner
The claimant’s lawyer argued that the 2.5% discount rate was
undercompensating, and a different discount rate should be used
because the amount claimed was large and the claimant’s life
expectancy was long. The court refused to hear the evidence, as this
was not the kind of circumstances intended to be covered by s.1(2).
The fact that damages paid in a lump sum may disadvantage the
claimant particularly where the effects of injury worsen after the award
is made. As well as the future prospects of the claimant’s health, the
lump sum system requires the court to predict what the claimant’s
employment prospects are likely to be, this can never be known, so
the compensation may well turn out to represent much more or less. It
is impossible to predict the result of inflation on the award.
Furthermore, there is no way to ensure that the claimant uses the
lump sum in such a way as to make sure it provides a lifelong income.
The courts’ new power to order structured settlements may go some
way towards solving this problem, depending on whether they restrict
its use to extend it more widely.
Non-pecuniary losses
Non-pecuniary losses are losses which are not financial, although the
courts can only compensate for them in a financial way. The Law
Commission’s (1995) report, “How Much Is Enough?” argued that
compensation paid for these losses had fallen behind inflation and
should be increased, and the bigger awards were undercompensating
the claimants.
3. LOSS OF AMENITY
Thirdly, loss of amenity, i.e. where the claimant is unable to enjoy life
to the same extent as before. It may include inability to enjoy sport or
any pastimes the claimant enjoyed before the injury, impairment of
senses, reduction in the chance of finding a marriage partner and
impairment of sexual activity. Calculation of these damages is based
on a tariff laid down by the Court of Appeal.
Damages for loss of amenity are not affected by whether the claimant
is actually aware of the loss, so unconscious claimants may claim
damages as if they had not been unconscious.
NON-COMPENSATORY DAMAGES
Compensatory damages are carefully calculated to put the claimant in
the position they would have enjoyed if the tort had never been
committed. However, damages may be awarded for different reasons,
and these may be less or more than is required to compensate
directly. There are four types of non-compensatory damages.
1. Contemptuous damages
Firstly, contemptuous damages. Where a court recognizes that the
claimant’s legal rights have technically been infringed, but believes
that the claim should not have been brought, it may order
contemptuous damages, which will amount no more than 1p. A
claimant awarded this is also unlikely to recover costs.
2. Nominal damages
Secondly, nominal damages. This is made where there was an
infringement of a person’s legal rights, but no actual damage has been
done. It is a small sum of money, normally 20.
3. Aggravated damages
Thirdly, aggravated damages. Where a defendant has behaved in such
a way that the claimant has suffered more than would normally be
expected, the court can show its disapproval by awarding damages
which are higher than normal.
Khodaparast v Shad
A woman sued her ex-boyfriend for libel after he created photos
showing her advertising pornographic telephone lines. In court, the
defendant made a number of other untrue claims, including that she
slept around, associated with prostitutes and had an improper
relationship with her solicitor. Hence, aggravated damages were
awarded.
4. Exemplary damages
Fourth, exemplary damages. These also involve paying the claimant
more than would normally be appropriate, but they differ from
aggravated damages in that their purpose is actually to offer a serious
punishment to the defendant, and to deter others from behaving in the
same way. The use of exemplary damages are carefully controlled by
rules laid down in Rookes v Barnard. The case must fall within one of
the categories: statutory authorisation, conduct calculated to make a
profit and oppressive conduct by government servants.
1. STATUTORY AUTHORISATION
There are a few cases in which exemplary damages are expressly
allowed by statute.
Huckle v Money
The claimant was detained under a search warrant. The detention was
for six hours, and involved no ill-treatment. The court upheld
exemplary damages, stating that entering a person’s home with a
search warrant that did not have his name on it was a serious breach
of civil liberties.
Interlocutory injunctions
In some cases, a court may order an injunction (which may be either
mandatory or prohibitory) before the case is actually heard. This is
called an interlocutory or interim injunction, and is designed to prevent
potential harm, or continued harm, during the period before the case
comes to court (an injunction granted as a result of a decided trial is
called a perpetual injunction).
The fact that an interlocutory injunction has been granted does not
mean that the claimant has won; when the case is tried, the defendant
may be found to have been in the right, and the injunction unjustified.
For this reason, the courts do not give interlocutory injunction easily,
and in some cases the claimant may be required to give an
undertaking in damages – a promise to pay damages for any loss
incurred by the defendant while the injunction was in force, should the
claimant lose the case.
Daniells v Mendonca
The parties were neighbours, and Ms Daniells had had a bathroom
extension built on her property. Some years later, she went away for
three months, and when she came back, she discovered that Mr
Mendonca had built an extension too, which was supported by the wall
of hers and joined to her roof. The London Building (Amendments) Act
1939 requires that neighbours be informed of plans to build, but Ms
Daniells had known nothing of the work that was taking place while she
was away. Mr Mendonca admitted trespass, but the issue of remedies
could not be agreed; Ms Daniells wanted an injunction, but Mr
Mendonca argued that this was a case where Shelfer suggested that
damages should be ordered instead. Applying the Shelfer principles,
the court allowed the injunction: it was true that the extent of trespass
was small, but this was offset by the fact that it was permanent, and
other additions were planned; the jury could be compensated for by
money, but this would not be a small amount, given the nuisance, the
fire danger and the risk of structural damage; and the injunction could
not be said to be oppressive to the defendant, given his own behaviour
in building the extension in the first place, and failing to comply with
the Act. The issue of when an injunction will be considered ‘oppressive’
has been discussed in two recent cases.