Ryan v Larkham

In Ryan v Larkham, the plaintiff, Evan Ryan, sued the defendants, Kevin Larkham and Bresheld Pty Ltd t/as Kambah Inn, for personal injury damages arising from an assault that occurred at the Kambah Inn. Ryan was punched by Larkham, causing him to fall and sustain cognitive injuries. Ryan's wife, Nichole Harrison, acted as his litigation guardian due to his incapacity. The case involved claims for various personal injuries, out-of-pocket expenses, economic loss, superannuation loss, and a substantial claim for domestic care and assistance. The parties reached a compromise settlement requiring court approval due to Ryan's incapacity, under r 282 of the Court Procedures Rules 2006 (ACT).

The court had to decide whether the proposed compromise was in Ryan's best interests. The decision in Veal (by his next friend Watson) v Hehir [2018] ACTSC 330 guided the court in exercising its discretion to approve or reject the settlement. The court considered the confidential advice provided to Harrison and the affidavits from the parties. McCallum CJ was satisfied that the proposed compromise was in Ryan's best interests, considering his cognitive impairments and the potential risk of exploitation. The court also found the proposed private trustee, AET, to be appropriate for managing the funds.

The court approved the compromise settlement of $1,245,000 plus agreed costs of $235,000. Judgment was entered for the plaintiff against Larkham for $300,000 and against Kambah Inn for $1,180,000, both inclusive of funds management and legal costs. The court ordered deductions for Medicare, the National Disability Insurance Agency, and Centrelink before paying the judgment sum into court. The sum was to be paid out to AET as trustee for the Evan Ryan Compensation Trust. The parties agreed that AET could transfer the trust fund to a superannuation fund if it was in Ryan's interests. The defendants had to pay Ryan's costs of $235,000 within 28 days of the orders being made.