Road Accident Fund v Kerridge

Mr Christopher Kerridge was injured in a motor vehicle collision and instituted a claim against the Road Accident Fund (RAF) for damages, including past and future loss of earnings. Although the RAF conceded the injuries, it disputed the quantum of damages for loss of income, arguing that Mr Kerridge failed to prove his pre-accident earnings, particularly income allegedly derived from R-Tec Motorsport. Mr Kerridge contended that he had aspired to become a diesel mechanic and would have achieved that career path but for the accident. The Eastern Cape Division of the High Court awarded damages in his favour, and the Full Bench dismissed the RAF’s appeal. The RAF then appealed to the Supreme Court of Appeal.

The appeal was upheld. The SCA applied a 35% contingency deduction, reducing future loss of earnings to R2 830 597, added past loss of earnings of R207 540, and ordered the RAF to pay Mr Kerridge a total of R3 038 137 for past and future loss of earnings.

The case is significant for clarifying the approach to quantifying loss of earnings in RAF matters, particularly the importance of proper evidence of pre-morbid earnings and the careful application of contingencies where a claimant’s career path and earning capacity are uncertain.