The respondent, a police officer, was injured in a motor vehicle accident caused by the appellant's negligence.
During his recovery, the respondent was unable to work but continued to receive his full salary pursuant to his collective agreement.
He sued the appellant for damages, including a claim for lost wages.
The Supreme Court of Canada held that the respondent could not recover damages for loss of earnings because he had not suffered an actual financial loss, as his employer had continued to pay his salary.
The Court ruled that wage benefits paid while a plaintiff is unable to work must be deducted from a claim for lost earnings to avoid double recovery, unless the employer has a subrogated claim.
