How Is a Dependency Claim Assessed?

A dependency claim compensates the survivors for the money and support they have lost, not for their grief. The judgments follow a recognisable arithmetic, and the inputs are what the family’s evidence must supply.

The two-part method

In Pagau v MVIT [1992] PGLawRp 599; [1992] PNGLR 26 and Paula v MVIT [1992] PGNC 4; N1032, Woods J set out the method that later cases follow. “Because of inflation, awards following death are to be divided into two parts; the first being actual loss to the dependants up to trial date, and the second being future loss from the date of trial onwards calculated with respect to the deceased’s expected future earnings.” Interest is awarded on the first part from the date of death to judgment, and on no part of the second.

Age of dependency and retirement

Children were once assumed dependent to 16. None v MVIT [1990] PGLawRp 317; [1990] PNGLR 561 refused to sanction a settlement on that basis: 16 “was an arbitrary figure and did not reflect the economic materiality of the dependency of children upon their parents which was more relevantly 18 years”. Tapi v MVIT [1990] PGLawRp 320; [1990] PNGLR 568 applied 18 to a town family likely to complete education, and Collins followed. The deceased’s retirement age is usually taken as 55, the public service age, but it “is not mandatory” and the court looks at the actual occupation (Collins: a 53-year-old painter and footballer).

Particular claimants

• A mother’s death. The loss of a wife’s financial contribution — pigs, coffee, a tavern — was valued at K2,000 a year to trial and K5,000 for the future in Nolnga v MVIT [1991] PGNC 68; [1991] PNGLR 436, reduced because the husband would probably remarry; the court also awarded a child of eleven K1,000, less 30 per cent, for the increased risk of orphanhood. A mother who was a teacher: K10 a week per child (Kosam).
• Parents of a deceased child. Dingi v MVIT [1994] PGLawRp 630; [1994] PNGLR 385 allowed a father’s claim for loss of support and of the bride price his 18-year-old daughter would have brought. In MVIL v Manduru [2018] PGSC 93; SC1750 the Supreme Court accepted a father’s dependency on his 17-year-old son in principle but halved the trial judge’s K33,540 to K16,770, the assessment being “speculative” without evidence.
• Parents of an adult. K12 a fortnight the son used to give them (Waima); K2,108 each less 20 per cent (Jack).
• A second wife recovers, but with a heavier discount for the uncertainty of the relationship continuing (Jack: 50 per cent).

Other heads in a death claim

Funeral and medical expenses under section 28(2), including a headstone, if pleaded (MVIL v Kiangua [2015] PGSC 70; SC1476). Solatium to a parent for a child’s death, up to K600 under section 29: awarded in full in Manduru at first instance. The estate’s claim for loss of expectation of life: K8,000 in Manduru, replacing the conventional K3,000. Customary expenses of the death feast, if proved (Dingi).

Deductions

Three things come off. Contributory negligence of the deceased reduces the dependants’ damages proportionately under section 40(5): 60 per cent in Kopon, 30 per cent in Pojari. Basic Protection Compensation already paid is deducted under section 25 of Chapter 296: K1,500 in Nolnga, K2,000 in Kopon. Customary compensation received from the driver’s side: three pigs and cash in Kosam. Section 30 of the Wrongs Act, on the other hand, forbids deduction of life insurance, superannuation, social benefits or gratuities received on the death.

Evidence, and paying out the children’s shares

The evidence must cover the deceased’s age, earnings or contributions, and the ages of the dependants; in Jacob v MVIT [1999] PGLawRp 688; [1999] PNGLR 537 the claim of three widows failed for want of it. Once assessed, the award is divided: the widow’s share is paid to her, and the children’s shares are paid to the Registrar to be invested until each turns 18, with the usual orders as in Pagau, Aure and Wamel. Where the total exceeds K150,000, the cap applies: Collins was limited to the then K100,000 plus interest.