Following a jury verdict in a motor vehicle personal injury action, the court addressed outstanding ancillary issues relating to deductions for statutory income replacement benefits, entitlement to substantial indemnity costs, and the treatment of a prior costs award.
The defendant argued that statutory accident benefits received should eliminate the jury's income loss award under ss. 267.5(1) and 267.8(1) of the Insurance Act.
The court held that the deduction for income replacement benefits did not apply where the plaintiff had not advanced a tort claim for the same time period covered by those benefits, as this would effectively penalize the plaintiff and undermine the purpose of avoiding double recovery.
The plaintiff was awarded the adjusted income loss amount after statutory reductions and contributory negligence but without further deduction for benefits received.
The request for substantial indemnity costs was denied as the defendant's conduct did not meet the threshold of reprehensible behaviour required to justify elevated costs.