On 28 July 2001, Mr Alfred Vuyisile Makeleni (the deceased) died from injuries sustained after being struck by a motor vehicle. He was married to Ms Ntombizanele Timis (the respondent) in terms of customary law and they had two minor children, Siphokazi (born 24 June 1996) and Zandile (born 25 May 1999). The deceased was the sole breadwinner. Shortly after his death, the unemployed respondent applied for child support grants in terms of the Social Assistance Act 59 of 1992, which was approved in November 2001. The respondent instituted action in the High Court, Port Elizabeth against the Road Accident Fund for damages arising from her husband's death. By the time of trial, the total child support grants received amounted to R14,690. The trial court (Liebenberg J) awarded damages in respect of the children without deducting the child support grants, holding that such grants could not be said to have been received in consequence of the deceased's death.
The appeal was upheld. The order of the court below was set aside and replaced with an order awarding: (a) R136,594.40 to the respondent in her capacity as mother and natural guardian of Siphokazi; (b) R166,386.05 to the respondent in her capacity as mother and natural guardian of Zandile; and (c) R324,586.60 to the respondent in her personal capacity. These amounts reflected the deduction of the child support grants (R14,690 in total) from the original awards made by the trial court. No costs order was sought or made against the respondent, though the court expressed disapproval of the parties' failure to agree on a stated case and the provision of three volumes of unnecessary material.
Child support grants received by dependants following the death of a breadwinner in a motor vehicle accident are directly causally linked to that death and must be deducted from damages awarded for loss of support. Where a family becomes indigent as a result of the breadwinner's death and qualifies for social assistance grants that they would not otherwise have received, those grants constitute benefits received by reason of the death. The fundamental principle is that a dependant entitled to damages for loss of support should be awarded damages only for the material loss caused by the breadwinner's death. To allow recovery of both the social assistance grant and the full damages award would constitute double recovery at the expense of taxpayers (who fund both the Road Accident Fund through one mechanism and social grants through another State organ), which cannot be justified on any rational ground. The principles of fairness, equity, and reasonableness require deduction of such grants to ensure that dependants receive the true measure of damages sustained without unjust enrichment at public expense. This is consistent with public policy considerations that the wrongdoer or insurer should not benefit from fortuitous events, but equally that there should not be double compensation from public funds.
The court noted its disapproval of the practice of parties failing to give due consideration to the rules relating to the composition of records on appeal, particularly where three volumes of unnecessary material were provided when the parties could have agreed to a stated case. The court also noted that it was not necessary to explore the correctness or otherwise of the judgment in Makhuvela v Road Accident Fund [2009] ZAGPJHC 18; 2010 (1) SA 29 (GSJ), which dealt with foster care grants and had its own dimensions distinct from child support grants. The court observed that although the amount in dispute might appear small and insignificant, consideration must be given to the fact that there may be a multitude of similar claims with resultant ramifications for the National Treasury. The court also noted that deduction of the grants would not leave the children destitute as their interests were met by the final award, which represented the true measure of damages sustained.
This case established an important principle in South African delictual law regarding the deductibility of social assistance benefits from damages awards in motor vehicle accident claims. It clarified that child support grants received after the death of a breadwinner are not res inter alios acta but are directly causally linked to the death and must be deducted to avoid double recovery at public expense. The judgment reinforces the principle that while plaintiffs should receive full compensation, they should not receive double compensation, particularly where both sources of funding (RAF compensation and social grants) are derived from the public purse. The case is significant for Road Accident Fund claims and provides guidance on the application of public policy considerations in determining which benefits should be deducted from damages awards. It also has broader implications for social security law and the interaction between state compensation schemes and social assistance programs.
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