How is Thompstone impacting on Periodical Payments Orders?
17/9/2008
Periodical Payments Order post-'Thompstone'
Summary
Olapido Jackson Okeowo (by his mother and litigation friend Sadie Renner) v Ian Norton
On 14th July 2008, Swift J approved an agreement between the parties which provided for the Claimant as follows:
- a. A lump sum of £2.1 million in settlement of heads of damagaes other than future care and case management;
- b. In respect of future care and case management annual payments initially of £120,000 increasing in line with the Retail Price Index;
- c. A further lump sum of £1 million to reflect the money difference over the Claimant's lifetime of the annual payments being linked to RPI rather than ASHE 6115;
- d. Release of the Claimant from a Reverse Indemnity with regard to any future local authority payments for care;
- e. Costs
The novel feature of this case was the further lump sum at c. above. It was necessitated by the Defendant's insurers (pre 2004) Lloyds Syndicate not being able to self fund a 'secure' annuity and as a consequence facing the prospect of purchasing an annuity for the Claimant on the open market at considerable cost.
The full article, written by Hugh Potter - Partner at PotterRees Serious Injury Solicitors (Claimant's Solicitor) and Angela Piears of Cobden House Chambers (Claimant's Barrister) features in the 'New Law Journal' of Friday 12th September 2008.
