What is the test for damages for loss of future earning capacity?

There are two stages in assessing a claim for damages for loss of future earning capacity. First, a plaintiff must always prove that there is a real and substantial possibility of a future event leading to an income loss. If the plaintiff satisfies that burden, then the second stage requires an assessment of the loss. Depending on the facts, the assessment may be made by either an earnings approach or capital asset approach. The former approach will be more useful when the loss is more easily measurable. A plaintiff may be able to prove that there is a substantial possibility of a future loss of income despite having returned to his or her usual employment. However, an inability to perform an occupation that is not a realistic alternative occupation is not proof of a future loss. See Perren v. Lalari, 2010 BCCA 140, at para. 32.

Chronic pain will not always result in an award for future loss of earning capacity, but the facts may demonstrate that a plaintiff’s chronic pain will result in a substantial possibility that her pain would adversely affect her ability to work: see Clark v. Kouba, 2014 BCCA 50, at paras. 33-39.