The parties disputed the cost of a replacement car hired by the claimant following an accident. Aikens LJ recommended a structured approach: ‘Sub-issue (1): The Calculation of the BHR. The first question that arises is: what exercise is a judge conducting when he has to find the ‘spot rate’ or, as I prefer to call it, the BHR. I have already attempted to summarise, at [30] to [42] above, the principles that I think a judge has to apply, in accordance with the leading cases of Dimond v Lovell, Lagden v O’Connor and Burdis v Livsey. To summarise, the questions are: (i) did the claimant need to hire a replacement car at all; if so (ii) was it reasonable, in all the circumstances, to hire the particular type of car actually hired at the rate agreed; if it was, (iii) was the claimant ‘impecunious’; if not (iv) has the defendant proved a difference between the credit hire rate actually paid for the car hired and what, in the same broad geographical area, would have been the BHR for the model of car actually hired and if so what is it; if so, (v) what is the difference between the credit hire rate and the BHR?’
Judges:
Pill, Moore-Bick, Aikens LJJ
Citations:
[2011] EWCA Civ 1384, [2012] PIQR Q1
Links:
Jurisdiction:
England and Wales
Damages
Updated: 28 September 2022; Ref: scu.449015
