Mule v. The Director of the Ontario Disability Support Program of The Ministry of Community and Social Services

[Indexed as: Mule v. Ontario Disability Support Program (Director)]

88 O.R. (3d) 326

Ontario Superior Court of Justice, Divisional Court,

Stayshyn, Ferrier and Heeney JJ.

November 30, 2007

Social assistance -- Disability benefits -- Prejudgment interest on damages for pain and suffering forming part of "damages or compensation for pain and suffering" received by injured person and constituting exempt income for purpose of calculating person's entitlement to disability benefits -- Ontario Disability Support Program Act, 1997, S.O. 1997, c. 25, Sch. B -- O. Reg. 222/98, s. 43(1)4.

The appellant was seriously injured in a motor vehicle accident in September 2000. He started receiving disability benefits under the Ontario Disability Support Program Act, in December 2003. In December 2004, he received a settlement in a civil action arising out of the accident. The Director determined that the part of the settlement representing prejudgment interest did not constitute "damages or compensation for pain and suffering as a result of injury" within the meaning of s. 43(1)4 of O. Reg. 222/98, and so it did not constitute exempt income for the purpose of calculating the appellant's entitlement to disability benefits. The Social Benefits Tribunal affirmed that decision, reasoning that prejudgment interest constitutes damages for delay, not damages for pain and suffering. The appellant appealed