ASSIGNMENT 1
DUE DATE: 28 MARCH 2025
, QUESTION 1:
Subjective and objective approaches to patrimonial loss (Chapter 3, Lesson 2)
Damages are assessed from either an objective or subjective approach. The subjective
approach investigates the personal circumstances of the plaintiff after the damage-
causing event, whereas the objective approach looks at what could reasonably be
expected to be the consequence of a specific damage- causing event.
Generally, our law adopts an objective approach with subjective qualifications in
exceptional circumstances only. There is however some support in our case law for
the acceptance of a subjective concept of damage. You will need to read the following
case and critically discuss the approach the court took with regard to the subjective
concept of damage:
Rudman v Road Accident Fund 2003 (2) SA 234 (SCA)
You should read the relevant chapter of your prescribed textbook and the
corresponding Lesson prior to attempting this question.
A maximum of 2 marks will be allocated to stating the facts of the case. At this
stage of your studies, the focus is more on the critical discussion of the
concepts applied by the court and the reasoning thereof. You must conclude
your essay by indicating whether you agree with the judgment or not and give a
reason for your answer.
Case
In Rudman v Road Accident Fund, the appellant, Arthur Rudman, a farmer and
professional hunter operating through a corporate structure, claimed damages for loss
of earnings and earning capacity after a motor accident left him permanently disabled.¹
The Supreme Court of Appeal (SCA) dismissed his claims, ruling that the losses were
incurred by his company, Blaauwkrantz Farming Enterprises (Pty) Ltd, and not his
personal estate.² The court emphasized the separation of corporate and personal
patrimony, adopting an objective approach to determine patrimonial loss.³
¹ Rudman v Road Accident Fund 2003 (2) SA 234 (SCA) para 1.
² Ibid para 8.
³ Ibid para 9.
Objective Approach in the Judgment
Separate Legal Personality Doctrine
The SCA strictly applied the principle of corporate legal separation.⁴ Despite Rudman’s
central role in the company, the court held that the company’s losses (e.g., reduced
hunting income, costs of hiring replacements) did not equate to a diminution of
Rudman’s personal estate.⁵ This aligns with the objective approach, which disregards
subjective circumstances (e.g., Rudman’s control over the company) and focuses on
legal realities.⁶