Multiplicand meaning

Ubbi and Anori (minors) v Ubbi [2018] EWHC 1396 (Ch), [2018] All ER (D) 38 (Aug) What are the practical implications of this case? In proceedings by two children seeking maintenance from their late father’s estate under the Inheritance (Provision for Family and Dependants) Act 1975, the parties settled on a calculation approach that the court endorsed and applied. The agreed multiplier–multiplicand methodology drew on the Ogden Tables for each head of maintenance. An investment rate of -0.75% was adopted, on the footing that any lump sum would be invested in gilts to mirror the lowest investment risk. From the overall figure, there was a deduction to reflect the reasonable contribution the children’s mother could be expected to make across the relevant period. As a result, her financial position and anticipated earnings and income were pertinent, and evidence addressing these was required. Although this necessarily involved an element of ‘crystal ball gazing’, it was considered the most accurate tool available. Unlike a claim under Schedule 1 of the Children...

Claims for past expenses and losses These typically comprise: lost financial dependency the value of services the deceased would have delivered had they lived (see Practice Note: Quantifying damages for dependants—past losses—services) See also Practice Notes: Claims involving a fatality—heads of damage and Quantifying damages for the estate under the Law Reform Act. Losses are assessed using a multiplicand/multiplier method. The court first identifies the yearly worth of the loss (the multiplicand) and then applies a suitable multiplier. By way of a simple illustration: if the deceased provided a dependant with an allowance of £100 per month (£1,200 annually) and carried out DIY worth £100 each quarter (£400 per year), the annual multiplicand totals £1,600. Calculating the annual value to the dependants of the deceased’s lost income This is ordinarily expressed as a percentage of the deceased’s lost earnings. Note that many employments come with fringe benefits—such as the use of a company car or van—which are not income...

NOTE : On 2 December 2024, the Lord Chancellor confirmed a change to the discount rate, moving it to +0.5%. This +0.5% rate applies from 11 January 2025. Under Schedule A1 to the Damages Act 1996, further reviews must occur within five years of the conclusion of the prior review, which means the next review has to commence on or before 2 December 2029. Damages may be claimed for the period: from the date of death to the trial date — see Practice Notes: Quantifying damages for dependants—past losses—financial dependency Quantifying damages for dependants—past losses—services after the trial date, subject to any anticipated changes in the level of future dependency, eg the post-retirement period For cases prepared for a settlement meeting or mediation well in advance of any trial date, it may be appropriate to calculate the losses as though the date of that meeting or mediation were the notional...

Any claim arising from a fatality may proceed under one or both of the following: the Law Reform (Miscellaneous Provisions) Act 1934 (LR(MP)A 1934), which permits the deceased’s estate to bring an action the Fatal Accidents Act 1976 (FAA 1976), which enables dependants, within defined categories, to claim for loss of dependency LR(MP)A 1934—pain, suffering and loss of amenity (PSLA) The estate may claim for the pain, suffering and loss of amenity experienced by the deceased before death. In brief: Pain and suffering turns on the deceased’s subjective awareness of injury It can include the deceased’s recognition of a reduced life expectancy Loss of amenity is not contingent on awareness of injury Factors to consider when assessing PSLA include: the intensity of pain and suffering level of consciousness awareness of a shortened life expectancy the duration of suffering between the accident and death loss of enjoyment of...