Reynolds v Roche Bros Pty Ltd

Reynolds v Roche Bros Pty Ltd was a case in which the plaintiff, Mr Reynolds, sought damages for personal injury sustained in an accident caused by the defendant, Roche Bros Pty Ltd. The dispute centred on the calculation of Mr Reynolds' loss of future earning capacity and the appropriate discount for contingencies. The case was heard in the Supreme Court of New South Wales.

The primary legal issue before the court was the determination of an appropriate discount to apply to the calculation of Mr Reynolds' future loss of earnings. The court was tasked with deciding whether the standard 20% discount for contingencies was appropriate or if a lesser discount should be applied based on the specific circumstances of the case.

In addressing this issue, the court referred to previous cases such as Wynn v New South Wales Insurance Ministerial Corporation, Bowen v Tutte, and Black v Motor Vehicle Insurance Trust. The court noted that the discount for contingencies should account for factors that might adversely affect earning capacity, including sickness, accident, unemployment, and industrial disputes. The court further emphasised that the discount should be based on the individual circumstances of the plaintiff rather than a generalised approach. The court found that while the usual discount for contingencies ranged between 2% and 6%, each case depended on its own facts. After considering the evidence and submissions, the court determined that a reduction from the standard 20% discount to 10% was appropriate in this case.

The court's final orders included a reduction in the discount for contingencies applied to Mr Reynolds' loss of future earning capacity from 20% to 10%. This adjustment reflected the specific circumstances of the case, including the plaintiff's age, career prospects, and family situation.