BAILII is celebrating 24 years of free online access to the law! Would you consider making a contribution?
No donation is too small. If every visitor before 31 December gives just £5, it will have a significant impact on BAILII's ability to continue providing free access to the law.
Thank you very much for your support!
[Home] [Databases] [World Law] [Multidatabase Search] [Help] [Feedback] | ||
England and Wales High Court (Queen's Bench Division) Decisions |
||
You are here: BAILII >> Databases >> England and Wales High Court (Queen's Bench Division) Decisions >> Brewis v Heatherwood & Wrexham Park Hospitals NHS Trust [2008] EWHC 2526 (QB) (20 October 2008) URL: http://www.bailii.org/ew/cases/EWHC/QB/2008/2526.html Cite as: [2008] EWHC 2526 (QB) |
[New search] [Printable RTF version] [Help]
QUEEN'S BENCH DIVISION
133- 137 Fetter Lane London EC4A 1HD |
||
B e f o r e :
____________________
BEN BREWIS |
Claimant |
|
- and - |
||
HEATHERWOOD & WREXHAM PARK HOSPITALS NHS TRUST |
Defendants |
____________________
6th Floor, 12-14 New Fetter Lane, London EC4A 1AG.
Telephone No: 020 7936 6000 Fax No: 020 7427 0093 DX: 410 LDE
Email: [email protected]
Website: www.martenwalshcherer.com
Mr Angus Moon QC (instructed by Messrs Weightmans)
for the Defendant.
____________________
Crown Copyright ©
Mr Justice Coulson:
A. INTRODUCTION
B. THE BACKGROUND
"A very seriously disabled boy with limited mobility. He is totally dependent and will always be so."
The report also records the Claimant's enjoyment of school and the progress that he is making there. At paragraph 26, the report specifically identifies the importance for the Claimant of hydrotherapy and his regular immersion in warm water. At paragraph 28, the report identifies the importance of all attempts to improve the Claimant's ability to communicate.
(a) In his witness statement of 22nd August 2008, the Claimant's father Marc says this:
"… the present pressing need is for a suitable property in which Ben's needs can be met and his considerable potential realised … As the current property is rented, we are not able to make any alterations to it. However, Ben has continued to grow, his physical needs to become more complex. He now requires specialist equipment at home, as set out in the various expert reports. In addition, we have now reached the stage, particularly since Linda and I have separated, where professional care support will be required. Mr Luck's report sets out clearly what Ben's requirements are. Those requirements cannot be met in the present rental property. Now that Ben is settled at school and his needs over the next few years can be assessed, it is obviously important that he can be provided with the accommodation that he requires as soon as possible. I also understand that there may be considerable difficulties in relation to engaging care support staff if the necessary equipment for hoisting and moving Ben cannot be installed, which it clearly cannot in a rented property."
(b) In the report dealing with the Claimant's present and future care needs, Ms Maggie Sergeant identifies a number of the difficulties with the present rented property and confirms the urgent need for more suitable accommodation.
(c) The architectural expert, Mr Luck, in his report of May 2008, has arrived at a figure for the purchase of a suitable property of £607,980. He has also put together a specification of the works that will be necessary to alter such property to make it appropriate for someone of the Claimant's needs and disabilities. Those additional works, including the provision of a spa pool at £25,000, have been costed in the round figure of £325,000. That will include one year's further rent in the existing accommodation whilst the new accommodation is adapted.
(a) There is a claim for general damages in the sum of £200,000.
(b) The claim for past losses is in the figure of about £280,000. The principal items of past losses are care at £92,000-odd, additional transport costs, comprising principally the purchase of an adapted vehicle, at £44,600-odd, and additional housing and accommodation costs at £66,400-odd.
(c) There is a claim for accommodation, namely relocation, adaption and other additional costs, in the sum of £670,000-odd.
(d) There is a claim for future loss of earnings in the sum of just under £310,000.
(e) All of the remaining claims are connected with care and case management. It is accepted that at trial the majority of these claims are likely to be the subject of periodical payment orders. That is a topic to which I return below.
C. THE RELEVANT PRINCIPLES
C1. CPR Part 25
"The court may grant the following interim remedies –
…
(k) an order (referred to as an order for interim payment) under rule 25.6 for payment by a defendant on account of any damages, debt or other sum (except costs) which the court may hold the defendant liable to pay …"
"The court must not order an interim payment of more than a reasonable proportion of the likely amount of the final judgment."
C2. The General Approach
C3. Periodical Payments
"There is now no dispute that, in deciding whether to make an order under section 2(1), the judge's overall aim must be to make whatever order best meets the claimant's needs. Part 41.7 might have been more clearly expressed but that is what it amounts to. The parties also agree that the claimant's 'needs' in Part 41.7 are not limited to the needs that he demonstrated for the purpose of proving the various heads of damage; they include those things that he needs in order to enable him (or those looking after him) to organise his life in a practical way. For example, if the claimant is not yet living in suitable accommodation, one of his immediate needs will be to buy somewhere to live. The damages assessed under the head of accommodation will not cover the whole of the costs of purchase and adaptation. So he will need enough capital to enable him to buy, adapt and equip a home. He may have other immediate needs, such as the purchase of a vehicle, for which damages have been agreed or awarded. He will certainly need a regular income stream from which to pay his continuing expenses, particularly for care. It may well be in his best interests that, rather than relying on the income from the investment of a lump sum, that income stream should be provided by a PPO, so that, when appropriately indexed, it will keep pace with the rise in the cost of provision. Many claimants are advised that, due to the uncertainties inherent in a long life in a disabled condition, they should seek a substantial capital sum for contingencies in addition to that required for their immediate and foreseeable needs; this will provide a degree of flexibility in the future. The claimant may also wish to purchase some facility for which damages have not been awarded at all or for which partial damages have been agreed on a compromise basis. Such a facility may not be a 'need' in the sense of being an absolute necessity (if it were, it would have been covered by the damages) but it may nonetheless be taken into account by the judge when assessing what order best meets the claimant's needs. In short, the claimant's needs are not limited to the provision of those things which are foreseeable necessities but must be considered in a wider and more general sense. The decision as to what form the order should take will be a balancing exercise of the various factors likely to affect the claimant's future life."
C4. The Relationship Between an Interim Payment and Subsequent Periodical Payment Orders
(a) Interim payments of £773,000 had already been made;
(b) There were concerns about the claimant's claims and whether or not they were inflated. Her claims included a claim for a property outside Nice in France and for the entire family's living expenses.
(c) There was a clear risk, identified by the judge, that the claimant's assets would or might be dissipated.
"52. The trial judge will have to consider whether part of the award should be by way of periodical payments and, if so, how much. It is very important, in the particular circumstances of this case, that no decision that I make at this stage should have the effect of unduly fettering the judge's freedom to allocate as large a proportion of the award to periodical payments as he or she considers appropriate. I recognise that, as Mr Rees has pointed out, it would be unusual for a periodical payments order to cover future recurring costs, other than those for care, case management and, possibly, loss of earnings. However, it is not unknown for other annual recurring costs to be included within an order for periodical payments. In any event, it is highly likely that the trial judge would want to make a lump sum order sufficient to cover capital expenditure, including the provision of accommodation, and to cover contingencies for the future. That lump sum will be derived, at least in part, from the capitalisation of future annual recurring costs not included within the periodical payments order. An interim payments order that resulted in a significant proportion of those costs being spent in advance of the hearing would have the indirect effect of reducing the amount of the award that is available to be paid by way of periodical payments. This is particularly significant here where no property has yet been purchased and where sufficient monies for the provision of accommodation would have to be included within the lump sum award.
53. There are a number of features of this case that may persuade a judge that a significant proportion of the award should be by way of periodical payments. One such feature may, as the defendant suggests, be the additional safeguard (over and above that already provided by the deputy) that a periodical payments order would provide against too rapid dissipation of the claimant's funds."
"57. I am satisfied that such a sum represents no more than a reasonable proportion of the likely award of damages. I am satisfied also that it will not have the effect of fettering the discretion of the trial judge to make whatever order in respect of the award of damages or periodical payments he or she considers appropriate. I take into account also that the sum should be sufficient - indeed more than sufficient - to meet the claimant's reasonable needs, until the likely date of the trial."
"The need of the claimant for professional care and for suitable accommodation is evident on the evidence before me. It is not suggested, as I understand it, that the accommodation that is presently occupied by the claimant, her mother and her sister, is in any way suitable. The object of the jurisdiction to award an interim payment is in part so that a claimant who is in such need may have those needs satisfied out of monies she is likely to receive in due course. The need is enhanced in the present case because the ability of the claimant to access professional care is itself limited by her present accommodation. It is only if she can obtain suitable accommodation that there will be any possibility of her accessing professional care."
"The court, for the purposes of Part 25, rule 7, must form a view as to the likely amount of the final judgment. Assuming that it is a capital amount, it is not necessarily writ in stone, by which I mean that when one comes to Part 41, the court may assume that the only capital payment will be in respect of past losses but may, in appropriate circumstances, consider that there will be a capital payment which will represent some part of future losses which could but need not be compensated by periodical payments. There is, I understand, no issue as between the parties as to the jurisdiction of the court at trial to divide its final award as between capital and periodical payments as it sees fit. The periodical payments may be reduced or their inception may be postponed having regard to the capital amount which the court orders which, in part at least, is compensation for future loss."
"Again, in my judgment, even on the evidence presently available I can confidently predict that at trial the judge will make an order for a capital payment significantly in excess of £850,000. I say that because unless such an award is made the claimant's needs simply cannot adequately be satisfied, as I have already indicated the accommodation is unsuitable and she cannot access professional care. If that means that there will have to be some discount to or postponement of periodical payments, in my judgment, the judge is bound so to order."
(a) The correct approach is to identify what is likely to be awarded for general damages, past losses and interest and then predict the likely capitalisation of the remainder of the claims.
(b) In carrying out this task, the Court must endeavour to ensure that the amount of the interim payment does not fetter the discretion of the trial judge to make whatever order in respect of the lump sum award of damages and/or periodical payments he or she considers appropriate.
(c) On the other hand, the Court must also have regard to the principles taken from the authorities set out in section C2 above, and should pay particular regard to the Claimant's specific needs and the requirement that damages be paid as soon as reasonably practicable. When considering interim payment claims for new accommodation, paragraph 107 of the judgment of Waller LJ in Thompstone is also relevant, particularly his reference to the need to provide a claimant with enough capital to enable the claimant to buy, adapt and equip a home.
D. THE ASCERTAINMENT OF THE APPROPRIATE INTERIM PAYMENT
D1. Methodology
D2. Likely Amount of Lump Sum at Trial
D3. The Sums Sought/Recoverable By Way of Interim Payment
D4. The Relationship With Future Periodical Payment Orders
D5. Inducement to Delay
E. FURTHER EXPERT EVIDENCE
F. CONCLUSIONS