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1986 MarsdenLR 227

PRIVY COUNCIL (APPEAL FROM MALAYSIA)

LORD KEITH OF KINKEL, J, LORD BRIGHTMAN, J, LORD GRIFFITHS, J, LORD MACKAY OF CLASHFERN, J & LORD OLIVER OF AYLMERTON, J

DR S UNDERWOOD
versus
ONG AH LONG

APPEAL NO 4 OF 1984

Decided On : 04-29-86

Advocates:
Michael Wright QC (Miss Anna Guggenheim and PS Gill with him) for the appellant.
Eugene Cotran (N Selvarajah with him) for the respondent.
Solicitors: Turner Kenneth Brown; Le Brasseur & Bury.

Lord Mackay of Clashfern

(delivering the Judgment of the Board): This is an appeal from the judgment of the Federal Court of Malaysia (Lee Hun Hoe C.J. (Borneo), George Seah and Syed Agil Barakbah F.JJ.) dated July 29, 1983 whereby that Court allowed an appeal from the decision of the High Court at Ipoh (Anuar bin Dato' Zainal Abidin J.). The appeal is by leave of the Federal Court of Malaysia granted on October 26, 1983.

The appellant ("Dr. Underwood") claims damages from the respondent for personal injuries sustained in an accident on March 21, 1967 when he was a pedestrian in Hugh Low Street, Ipoh. Dr. Underwood was struck by a motor van driven by the respondent and suffered an injury to his left forearm which caused weakness of the left arm, loss of grip in the left hand and tremors of the left wrist and fingers. The respondent was found wholly to blame for the accident by the learned trial judge and no question now arises with regard to that part of his decision.

By agreement, the learned judge found Dr. Underwood entitled to $5,000 as general damages for pain, suffering and loss of amenities and $2,000 a month for two months in respect of loss of earnings and $200 per week for 20 weeks in respect of partial loss of earnings and $200 in respect of damage to his watch. He also found Dr. Underwood entitled to special damages for loss of earnings amounting to $899,000 as pre-trial loss on the basis of a net sum of $62,000 per annum after allowance of 50% for the tax element and also entitled to the sum of $1,118,440 as special damages for loss of earnings as post-trial loss on the basis of net post-tax loss of $14,500 per month and using a multiplier of 8 years. The learned judge further ordered that the respondent pay to Dr. Underwood interest at the rate of 8% per annum on general damages from the date of service of the writ to the date of judgment and at the rate of 4% per annum on special damages of $907,200 only from the date of the action until the date of judgment and at the rate of 8% from the date of judgment till the date of realisation. Dr. Underwood was found entitled to his costs of the suit from the respondent on a party and party basis.

On appeal the Federal Court set aside the awards of $899,000 and $1,118,440 and substituted an award of $51,000 as general damages for loss of future earning capacity. The Federal Court also ordered that the award of interest on general damages at the rate of 8% be reduced to 6% per annum and the award of interest on special damages at the rate of 4% be reduced to 3%. In this appeal, Dr. Underwood argues that the judgment of the Federal Court of Malaysia should be set aside and the order of the High Court be restored.

After the accident criminal proceedings were instituted against the respondent. These turned out to be somewhat protracted. Whether for this reason or not the writ in the suit in which this appeal arises was not issued until October 5, 1971. The case was not ready for trial until January 1975 and eventually came on for hearing on February 3, 1981. Before the hearing certain agreed documents and a statement of agreed facts were filed. On January 31, 1981 a bundle of documents not agreed upon was filed including certain medical reports, one of which, after referring to Dr. Underwood's disabilities, concluded "the above disabilities are a definite disadvantage in the use of his left hand while doing fine sustained work like fine plastic surgical and micro-surgical operative procedures." In the statement of claim particulars of special damages were given as follows:— (a)Loss of earnings for two months at $3,000 a month$6,000 (b)Partial loss of earnings for a further period of 20 weeks at $300 a week$6,000 (c)Damage to a Rado watch$200 $12,200

and went on to claim:—

"(1) Damages;

(2) Special damages to $12,200;

(3) Interest at the rate of 6% from the date hereof to date of realisation.

(4) Costs."

On the opening of the trial, counsel for Dr. Underwood sought amendment

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