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An in-depth analysis of the methods used to calculate future losses and damages in personal injury cases, including the concept of discounting to present value, the impact of inflation, and the consideration of non-economic losses. It also covers the calculation of pain and suffering, the per diem rule, and the awarding of punitive damages. The document further discusses controlling awards, statutory causes of action (wrongful death), loss to survivors, loss to estate, fencing out/in, distress damage feasance, ultra-hazardous or abnormally dangerous activities, and related cases.
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● Purpose/goal:
● Damages for QUANTIFIABLE ECONOMIC losses resulting from D’s conduct a. Med expenses; b. Lost wages/lost earnings/economic loss; c. Custodial care; &/or d. Prop damage ● Ref to as “out-of-pocket” damages bc rep DIRECT FINANCIAL losses incurred by P due to D’s actions that = expenses P has had to or will have to pay THEMSELVES ( PERSONAL financial burden imposed on P)
● Easiest recoverable damages to prove ● Past med expenses = established by: a. Med bills or b. Reference to what P’s insurer paid to hosp/dr ● Past lost earnings may = bit harder to establish
● W/ future calcs - experts often use standardized tables based on statistical data ● Life expectancy tables often used when future med expenses = long-term ● Tables often distinguish btwn:
● Assuming P (bc of D’s harm): a. CANNOT work for certain amount of time or b. CAN NEVER work again ● Measured by life expectancy which req court to ask/answer 2 Qs:
● Courts must 1ST consider inflation - 1 $ today = worth MORE than $1 in future due to its POTENTIAL earning capacity IF invested ○ Thus - to determine PRESENT value of FUTURE damages - jury needs to discount/reduce value of those future payments to reflect their worth in today's terms ■ Req jury to “discount to present value” awards made for FUTURE pecuniary losses by awarding LESS THAN projected $ amount of those losses ● Formula - PV = FV/(1+r) n ○ PV = present value ○ FV = future value ○ r = discount rate ○ n = # of periods into future ● Rationale for discounting to present value = avoids overcomp P ● Majority of courts DO NOT discount awards for INTANGIBLE losses 2 Steps
● While $ CANNOT FULLY comp P for harm suffered by injury (resulting harm from D’s conduct) - awarded amount may allow P to engage in activities or experiences that sub for those lost due to injury ● Gen ≠ allowed for prop damage suffered by P re D’s tortious conduct
● Worry; ● Anguish; & ● Grief ○ Elements ALL = hard to quantify ● Severity of injury may = reasonable predictor of size of pain & suffering award ○ Reflects “vertical equity” - degree to which MORE SEVERE types of injuries receive MORE comp (on avg) ● HOWEVER , courts may also have trouble in comparing SIMILAR cases/harm ○ There may = great variability W/IN SAME category (e.g. broken arm may affect 1 MORE than another) ○ Diff Ps can experience DIFF levels of pain & suffering from SIMILAR OR EVEN SAME incidents
● P must show pain = CONTINUOUS thing - CONSTANT & ONGOING persisting for SPEC amount of time (could = P’s whole life or just for next 10 yrs due to injury/harm suffered by D’s conduct) ○ Req evid re SUSTAINED, CONTINUOUS pain over extended period - RATHER THAN occasional or sporadic occurrence ● Challenge in how to assign monetary value to pain & suffering ● Pier diem approach - INSTEAD OF presenting LUMP SUM for lifetime of suffering - calc worth of EACH second, minute, hour, & yr of pain in dollars & cents ○ Break down life expectancy into small time periods (e.g. seconds & minutes) ■ Then - determine monetary worth of EACH small time period ○ Avoids stating large figure (lump sum amount of damages seeking) w/out breaking it down - which could intimidate jury or court (i.e. seem excessive) ● Initially prohibited but now = acc in MAJORITY juris a. W/ cautionary instructions or b. At trial judge’s discretion ○ Juris who DO NOT allow per diem for pain & suffering ( MINORITY ) may STILL allow it for future med costs damages
● Damages” = for “loss of enjoyment of life” that go BEYOND pain & suffering CASES: ● McDougald v. Garber ○ Damages for loss of enjoyment of life req:
○ Bc NON -pecuniary damages comp for physical & emotional consequences of injury (i.e. pain & suffering) - they = LIMITED when they NO LONGER serve that goal (when pt ≠ aware) ■ Bc then they become punitive CONTROLLING AWARDS ● Adjustments to damages awards
● Cases w/ SERIOUS injuries often raise Qs re EXCESSIVE damages ● Majority courts use "shock the conscience" stdrd to review jury awards ○ Permits LIMITED review - mainly in cases w/ CLEAR SIGNIFICANT unjust error in amount awarded ● Factors to determine IF damages = excessive:
● Courts often hesitant to app these ad hoc approaches EXCEPT in EXTREME cases of jury error Remittitur ● Allows P to acc (consent to) reduced award when jury award exceeds REASONABLE amount in order to avoid new trial ● Permitted in BOTH state & fed courts - BUT state courts can order this to = done while fed courts CANNOT ○ Fed courts can ONLY recommend remittitur option - CANNOT order it bc of 7th Am Additur ● Allows P to consent to increasing UNDULY LOW award to LARGER award in exchange for avoiding trial ○ ≠ avail in fed court - violates 7th Am
● Substantial rise in damages awarded to successful Ps in tort actions ( PARTICULARLY in med mal cases) has triggered leg response in many states involving capping damages ○ Apprx ½ of states have implemented absolute dollar ceilings (“caps”) on pain & suffering awards ● Make avg size of awards more predictable bc no award can exceed set ceiling ● HOWEVER , may result in unfairness to SEVERELY injured victims ( PARTICULARLY young ones) who may:
PUNITIVE DAMAGES ● AKA "exemplary damages” ● Awarded in EXCEPTIONAL cases ( ONLY SMALL %) as ADDITIONAL to comp damages ● Purpose:
● Similar to pain & suffering damages - punitive damages have issues w/ size & unpredictability of awards exist ● Jury has TOTAL discretion whether or not to award them ○ HOWEVER , amount of award = subj to limitation under both state law & U.S. Constitution ■ 14th Am (DP) restricts states from imposing EXCESSIVELY SEVERE OR DISPROPORTIONATE punitive damages that = inconsistent w/ principles of punishment’s:
● D’s wealth CANNOT justify OTHERWISE UNCONST punitive damages award ● Courts vary re evid re D’s wealth as consideration in measurement of punitive damages ○ Some state courts or statutes req P to submit this evid ○ Others hold this info = admissible, BUT = discretionary - RATHER THAN mandatory ○ Others DO NOT allow it AT ALL ● Where P = entitled to offer such evid - trial often = bifurcated (split in 2) to minimize prejudice to D ○ Jury 1st:
● States vary re when P seeks to impose punitive damages on employer based on vicarious liability ● In some states - punitive damages flow w/ vicarious liability ○ i.e. if emp P commits tortious act w/in scope of their emp - employer may AUTO = held for punitive damages ● In others- punitive damages can = awarded awarded against master or principal (employer) bc of act done by agent (P emp) ONLY in SPEC instances: a. Principal (employer) or managerial agent (manager/supervisor) EXPLICITLY AUTHORIZED BOTH action (wrongful act in Q) & manner in which it = carried out by P emp; b. P emp = unfit for their positions & employer or managerial agent = reckless in hiring or retaining him; c. P emp held managerial position & was acting w/in scope of emp when committing wrongful act; or d. Employer or managerial agent SUBSEQUENTLY ( AFTER wrongful act) ratified or approved act CASES: ● Grimshaw v. Ford Motor Co. ○ 1972 - ford pinto struck in rear by another car resulting in gas tank rupturing horrific fire ■ Driver of pinto = killed ■ Teenage passenger = badly burned ○ Jury awarded passenger:
● D req to pay damages EVEN IF there = NO beneficiary ● Comps for ONLY FINANCIAL impact on DECEDENT’S ESTATE ○ Comps estate for THEIR financial loss OWING TO decedent's death ■ Damages THEY sustained - NOT what DECEDENT lost ● Award amount measured by extent to which decedent’s estate = diminished by premature death ○ i.e. amount that presumably WOULD HAVE = ultimately passed on to estate BUT-FOR wrongful death ● Approach to measuring this - calc what decedent WOULD LIKELY HAVE earned over course of NORMAL lifespan ○ Then subtract from that figure expenses decedent WOULD LIKELY HAVE have incurred (food, housing, clothing, etc.) LOSS OF CONSORTIUM ● MAJORITY allows damages re decedent’s death for NON -pecuniary damages such as loss of:
● Statute spec - depends on state ○ SOME impose strict liability for dog bites
● “Wild animal” - known to be/classified as dangerous ● Owners of wild animals = strictly liable for ANY injuries caused by animals ● Exception for animals kept in zoo or national park - BUT there must be a warning
● Person who engages in ABNORMALLY DANGEROUS activity = STRICTLY liable for ANY harm caused to person’s: a. Body; b. Prop; c. Or chattel others ○ EVEN IF they exercised UTMOST care to prevent such harm ● This strictly liability = LIMITED to SPEC type of harm that makes activity abnormally dangerous ● EX:
● D ≠ strictly liable IF harm in Q results from: a. Natural forces (“acts of god”);
○ D ≠ held strictly liable bc possibility that this would occur ≠ EVEN 1 of the secondary risks that enters into decision to impose strict liability for blasting ○ Harm ≠ FORESEEABLE ○ Purposes of strict liability = best served by holding P strictly liable for this kind of harm bc risk NOT ONLY = MORE FORESEEABLE to mink owners, BUT MUCH MORE CONTROLLABLE by them ■ Mink owners = in better position than blasters to make activity-level & research calcs that strict liability induces NUISANCE PFC: ● P can sue D for damages for NON -trespassory invasion of another’s interest in priv use & enjoyment of land IF :
● RST - factors re if INTENTIONAL invasion of another’s interest in use & enjoyment of land = UNREASONABLE (PFC element #4) IF :
● Use of prop in 1 locality & under certain circumstances may = reasonable & thus lawful (i.e. ≠ nuisance) ○ HOWEVER , in another locality could = opposite finding ● Nature of neighborhood may help determine if something = nuisance ○ In organized communities - ppl acc SOME damage, annoyance, & inconvenience from neighbors in exchange for benefits of civilized society
● IF something bothers ONLY 1 person BUT NOT OTHERS - gen ≠ nuisance ● Obj stdrd for measuring reasonableness of use of 1’s prop - kind of harm that would bother NORMAL person in community under NORMAL circumstances
b. = being built out of spite (purposely to cause such interference) ● HOWEVER, SOME courts = reconsidering this stance due to changing societal values ○ “Spite fences” (built out of spite RATHER THAN utility) which block light/air gen = nuisances ● i.e. fences built w/ SOLE purpose/intention of annoying or injuring adjoining prop owner ■ UNLESS they serve some purpose/function BESIDES causing annoyance CASES: ● Fontainebleau ● Prah
● Exists for torts committed by emp WHILE W/IN SCOPE of his emp
● Employer allowed to seek indemnification from emp (i.e. if employer = held liable for P’s injuries that resulted from emp’s wrongful actions - employer can make emp liable & comp P damages) ○ Can also = vice versa (e.g. emp liable bc P harmed from emp’s act which emp = wrongfully tasked to do by employer) ● Injured party (P) can sue BOTH emp & employer ○ Thus injured P WILL NOT face insolvent party (employer can seek indemnity)
● Gen - employer ≠ liable for actions of IC bc employer ONLY controls RESULT of work (i.e. hiring them to make bathroom look spec way) - NOT spec details of HOW it's done ○ IC = employer ≠ able to control hours, schedule, & manner & method of perform work (employer reserves ONLY control as to RESULTS of K) ● BUT , contractors must TRULY = INDEPENDENT - NOT just emp classified/labeled as IC ● Exception - when actor hires IC to do ABNORMALLY DANGEROUS work (i.e. ultrahazardous activity) ■ EX: dynamite blasting ○ Then - employer = vicariously liable Auth Doctrines ● Exception where vicarious liability may = imposed for actions of IC where agency relationship = established under either doctrines of: a. Apparent authority or
● Employers gen ≠ liable for tortious conduct by their emps IF conduct = SIGNIFICANT deviation from their emp duties ○ i.e. SIGNIFICANTLY BEYOND scope of emp’s emp ● SMALL deviations (AKA “frolic & detours”) may still = covered under employer's liability ● Exception = neg hiring - employer - liable EVEN IF emp = acting OUTSIDE scope of emp IF employer fails to:
● ONLY DEFS = comparative neg by P ● Includes - ALL conduct by P: