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Can the Supreme Court Change an Award of Damages?

Yes, but only where the trial Judge went wrong in principle or the figure is out of all proportion. Since Kerr v Motor Vehicles Insurance (PNG) Trust in 1979 the Supreme Court has treated an assessment of general damages as a matter of judgment for the trial Judge, to be disturbed only where the Judge applied a wrong principle, misapprehended the facts, or arrived at a sum so inordinately high or low that it must be wrong. In Kerr itself the Court raised an award for pain and suffering from K35,000 to K60,000. Under section 16 of the Supreme Court Act the Court substitutes its own figure, or remits the assessment where the evidence does not allow it to fix one.

The Supreme Court practice series, no. 175 · Practical matters · 5 min read

Damages appeals are common in Papua New Guinea, especially in personal injury, defamation and police brutality claims, and they are often filed by both sides, one saying the sum is too high and the other too low. The Supreme Court’s approach has been settled for over forty years.

The test

Kerr v Motor Vehicles Insurance (PNG) Trust, 1979

The Supreme Court held that general damages for pain and suffering and loss of amenities are assessed having regard to the prevailing condition of the plaintiff at the time of injury and the general standards prevailing in the community, following Dillingham Corporation v Diaz; that the assessment of K35,000 under that head was so inordinately low as to require intervention and should be increased to K60,000; and that income tax the plaintiff would have paid is taken into account in assessing loss of earnings: Kerr v Motor Vehicles Insurance (PNG) Trust [1979] PNGLR 251.

When the Court interferes

An appellate court disturbs an award of damages where the trial Judge acted on a wrong principle of law, misapprehended the facts, took into account something irrelevant or overlooked something relevant, or where the amount is so inordinately high or low that it must be a wholly erroneous estimate. It does not interfere because it would have awarded a somewhat different sum. This is the Curtain Bros approach to discretion applied to an assessment.

How different heads are treated on appeal

Heads of damage and the Supreme Court’s approach to each on appeal
HeadNatureAppellate approach
Special damages: medical bills, repairs, lost wages to trialProved by evidence to a figureQuestion of fact; leave under s 14(1)(c); disturbed if unsupported by evidence
General damages for pain, suffering, loss of amenitiesJudgment within a range set by comparable awardsKerr: inordinately high or low
Future economic loss, loss of earning capacityEstimate on multiplier and multiplicand, with contingenciesError of principle in the method, or a figure outside the range; the Court often recalculates
Dependency claims under the Wrongs (Miscellaneous Provisions) ActStatutory formula applied to findingsReassessed where the formula was misapplied
Defamation, false imprisonment, breach of constitutional rightsAt large; vindication and compensationDisturbed where out of line with comparable awards or where aggravation was wrongly included or excluded
Exemplary damagesPunitive; against the State subject to s 12 of the Claims By and Against the State ActSet aside where awarded without the required finding of oppressive or arbitrary conduct
InterestDiscretionary under the Judicial Proceedings (Interest on Debts and Damages) ActRate and period reviewed as a discretion

Do I need leave?

A ground that the award is excessive or inadequate involves the application of legal principle to the facts found and is generally treated as a question of mixed fact and law, appealable as of right under section 14(1)(b). A ground that the Judge should have found a different fact, for example a longer period of incapacity, is a question of fact alone and needs leave under section 14(1)(c). An appeal against an award of damages only, where liability was found by consent or is not contested, is an appeal from a final judgment and does not fall within section 14(3). File Form 7 with Form 8 if in doubt. See whether you need leave to appeal.

What the Court does with the award

Under section 16(c) of the Act the Court gives the judgment that ought to have been given, which means substituting its own figure where the evidence in the appeal book allows it, as it did in Kerr. Where the assessment was vitiated by an error that requires further evidence, such as an unproved head of loss, the Court remits under section 16(d) for reassessment, usually by the same Judge. Section 8 lets the Court draw inferences and, exceptionally, receive further evidence, but fresh medical evidence about deterioration since trial is rarely admitted, because damages are assessed once and for all. The Court also adjusts interest to run on the new figure. See what remitting a case means and what orders the Court can make on appeal.

Pleading and arguing the ground

Comparable awards are the evidence

A damages appeal is argued with a table of comparable awards, adjusted for the date and for changes in the value of money, showing that the award falls outside the range. Order 7 Rule 9 requires the ground to state the error: that the Judge applied no discount for contingencies, awarded for a head not pleaded, double-counted loss of earnings and loss of amenities, or ignored uncontradicted medical evidence. The extract of argument under Order 11 Rule 18 sets out the passages of the judgment and the transcript relied on. See how the Supreme Court reviews a Judge’s discretion and the Personal Injury series, which includes an index of awards.

Check the section yourself

Before relying on anything here, read the current text of the Supreme Court Rules 2012 and check for later amendments. If a decision matters to you, get advice — start with the Office of the Public Solicitor, or find a firm in the law firms directory.

Disclaimer: This article provides general information about Papua New Guinea law and does not constitute legal advice. Laws may change, and their application depends on individual circumstances. You should obtain professional legal advice for your specific situation. Read the full disclaimer.