Keywords
Damages; Personal injuries; Canada
Document Type
Article
Abstract
This article demonstrates that if the nominal rate of interest equals the growth rate of nominal earnings, then a strong case can be made for calculating lump-sum damage awards by using the offset rule, i.e., by simply multiplying the annual loss by the number of years the loss is expected to continue. An examination of the Canadian data not only supports the offset rule, but also suggests that plaintiffs are being systematically undercompensated by rules currently in use.
French Abstract
Cet article vérifie l'hypothèse selon laquelle on applique le principe de compensation pour calculer les dommages-intérêts à montant forfaiture lorsque le taux d'intérêt nominal est équivalent au taux de croissance des gains nominaux. La calculation se fait en multipliant la perte annuelle par le numéro d'années dont il est probable que la perte continuera. Outre à souligner le principe de compensation, l'analyse de l'information canadienne suggère que les règles actuellement en force ont l'effet systématique de priver des demandeurs d'une indemnité suffisante.
Creative Commons License
This work is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 4.0 License.
Citation Information
Carter, R. A. L. and Palmer, John P..
"Simple Calculations to Reduce Litigation Costs in Personal Injury Cases: Additional Empirical Support for the Offset Rule."
Osgoode Hall Law Journal
32.2 (1994)
: 197-223.
DOI: https://doi.org/10.60082/2817-5069.1670
https://digitalcommons.osgoode.yorku.ca/ohlj/vol32/iss2/1