What is the test for quantifying future earning capacity for a plaintiff?

British Columbia, Canada


The following excerpt is from Afonina v. Jansson, 2015 BCSC 10 (CanLII):

So the approach, as submitted by both the plaintiff and the defendant based on Perren, is to first determine whether there is a real and substantial possibility that the injury will result in a loss of future earning capacity and then to quantify that loss on the basis of either an earnings approach or a capital asset approach. While quantifying the loss, the court recognises that the plaintiff has a duty to seek alternative work in order to mitigate her future loss; Parypa at para. 67. I also note the principles to be applied when assessing future earning capacity as summarized in Reilly v. Lynn, 2003 BCCA 49 at para. 101, and highlight in particular that the assessment of loss of future earning capacity requires the consideration of the overall fairness and reasonableness of the award, as well as contingencies to account for the fact that the court’s assumptions may be wrong.

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