The Judicial Guidelines, introduced in Ireland in April 2021, have significantly altered the landscape of personal injury litigation. When implemented these guidelines were stated to be designed to bring greater consistency and predictability to awards. These guidelines have reduced the value of many claims, particularly in cases involving minor soft tissue injuries. However, their application is not always straightforward, and judges retain discretion to deviate from the figures where justified.
As proposed amendments to the guidelines are now under consideration, it is important to examine their impact to date, how courts have applied them, and what changes may be on the horizon.
Effect of the Judicial Guidelines on Personal Injury Claims
The Judicial Guidelines replaced the traditional Book of Quantum and set out specific award ranges for different types of injuries. The objectives of these guidelines were to:
- Reduce the cost of personal injury claims
- Improve consistency in awards
- Deter exaggerated or speculative claims
- Support the broader goal of reducing insurance premiums
Whether these objectives have been met is open to debate however the guidelines have faced much criticism.
Many claimants with genuine injuries have seen their awards significantly reduced, with some arguing that access to justice has been curtailed in an economy with rising inflation where the cost of rehabilitation treatments such as physio and counselling can be prohibitively expensive
Judicial Discretion: When Can Judges Depart from the Guidelines?
Although the guidelines provide a structured approach to assessing damages, judges can exercise discretion in specific circumstances. The Supreme Court decision in Delaney v PIAB & Ors confirmed that the guidelines must be considered, but judges are not bound to apply them strictly where doing so would be unjust.
Circumstances Where Courts May Exceed the Guidelines
- Multiple Injuries – The guidelines focus on individual injuries, but where a claimant suffers multiple injuries, courts may adjust awards upwards. While “no simple formula” exists, judges can ensure that the total award reflects the cumulative impact of injuries.
- Exceptional Circumstances – If an injury has a particularly severe impact on a claimant beyond what is typical, courts can depart from the set figures. We recently represented a plaintiff at the High Court who had a hand injury. This plaintiff used his hands for intricate work in his employment and in those circumstances the judge felt that this injury had a much bigger impact on him than on the general public and the judge took the case outside of the judicial guidelines and awarded compensation in excess of what was allowed for in the judicial guidelines
- Fairness and Justice – Courts retain the power to deviate if applying the guidelines strictly would result in an unfair outcome, this has been particularly evident in cases where there are multiple injuries.
In practice, judges remain cautious in exercising this discretion, but case law suggests that where evidence supports a higher figure, it can be awarded, of note these have not yet been approved.
Proposed Amendments to the Judicial Guidelines
On December 11, 2024, the Board of the Judicial Council published draft amendments to these guidelines, proposing adjustments to reflect current economic conditions and ensure fairness in awards.
Current Guidelines vs. Proposed Amendments
The proposed amendments suggest an overall increase of approximately 16.7% in personal injury awards to account for inflation and other economic factors.
Below is a comparison of the current and proposed compensation ranges for specific injuries:
- Moderate Back Injury:
- Current Guidelines: €20,000 – €35,000
- Proposed Amendments: €23,400 – €40,800
- Moderate Neck Injury:
- Current Guidelines: €12,000 – €23,000
- Proposed Amendments: €14,000 – €26,800
- Moderate Psychiatric Injury:
- Current Guidelines: €15,000 – €60,000
- Proposed Amendments: €17,500 – €70,000
These proposed increases aim to ensure that compensation remains fair and proportionate, reflecting the current economic climate.
It’s essential for claimants to understand that while the guidelines offer a baseline, the specifics of each case play a crucial role in determining compensation. Legal representation is vital so that all aspects of your claim are brought to the courts attention so that ultimately you will be adequately compensated for your injury and out of pocket expenses.
For personalised guidance on personal injury claims and how these guidelines may apply to your situation, please contact our experienced legal team.
Disclaimer
*In contentious business a Solicitor may not calculate fees or other charges as a percentage or proportion of any award or settlement
**This information is for guidance purposes only. It does not constitute legal or professional advice. Professional or legal advice should be obtained before taking or refraining from any action as a result of the contents of this publication. No liability is accepted by McElhinney & Associates for any action taken in reliance on the information contained herein. Any and all information is subject to change.
About the Authors
Jolene McElhinney, BBLS, Principal Solicitor
Jolene McElhinney is the founding principal of McElhinney & Associates, renowned for her expertise in employment law and personal injury claims across the North West of Ireland. With a distinguished academic background and over a decade of experience, Jolene is dedicated to providing personalised, expert support to her clients, ensuring they navigate the complexities of the legal landscape with confidence and clarity.
