header-logo header-logo

23 January 2015 / Stewart Fairhurst
Issue: 7637 / Categories: Features , Insurance / reinsurance
printer mail-detail

Vehicular diminution

fairhurst

Is there a claim for the vehicle’s diminution; if so, with what limits? Stewart Fairhurst reports

A vehicle is damaged in a collision and splendidly repaired. But might there still be a claim for damages arising out of the vehicle’s loss of value, simply because its history now involves it having been in a collision?

The leading case in the Court of Appeal—Payton v Brooks [1974] 1 Lloyd’s Rep 241—is the best starting point. In this case it was held that damages for diminution of value could be claimed. Roskill LJ set out this principle: “In a case where the evidence justifies a finding that there has been, on top of the cost of repairs, some diminution in market value—or, to put the point another way, justifies the conclusion that the loss to the plaintiff has not been fully compensated by the receipt of the costs of complete and adequate repairs, because of a resultant diminution in market value, I can see no reason why the plaintiff should be deprived of recovery under that

If you are not a subscriber, subscribe now to read this content
If you are already a subscriber sign in
...or Register for two weeks' free access to subscriber content

MOVERS & SHAKERS

NLJ Career Profile: Nikki Bowker, Devonshires

NLJ Career Profile: Nikki Bowker, Devonshires

Nikki Bowker, head of dispute resolution at Devonshires, on career resilience, diversity in law and channelling Elle Woods when the pressure is on

Ellisons—Sarah Osborne

Ellisons—Sarah Osborne

Leasehold enfranchisement specialist joins residential property team

DWF—Chris Air

DWF—Chris Air

Firm strengthens commercial team in Manchester with partner appointment

NEWS
The government will aim to pass legislation banning leasehold for new flats and capping ground rent, introducing non-compulsory digital ID and creating a ‘duty of candour’ for public servants (also known as the Hillsborough law) in the next Parliament

An Italian financier has lost his bid to block his Australian wife from filing divorce papers in England on the basis it was no longer her domicile of choice

Reforms to the disclosure regime in the business and property courts have not achieved their objectives, lawyers have warned
The Law Society has urged ministers to hold a public consultation on the use of artificial intelligence (AI) in the justice system as a whole
Ministers have proposed bringing inquest work under a single fee scheme for legal help and advocacy legal aid work
back-to-top-scroll