Three-year limit on RAF claims ruled on by court
19/10/2010

In the recent matter of the Road Accident Fund versus Vusumzi Mdeyide, the Constitutional Court (“CC”) held that an appeal against a decision by the Eastern Cape High Court should be upheld and in doing so the CC held that the limitation contained in the RAF Act, to the effect that the right to claim compensation prescribes 3 years after the date upon which the cause of action arose, is reasonable and justifiable under the Constitution.

In this matter where the claimant, a blind, illiterate and innumerate person, who was involved in a motor vehicle collision and whose attorneys lodged his claim 3 year and 3 days (in stead of within 3 years) after the date of collision, pleaded that the provision of the RAF Act which stated that the claim should have been lodged within 3 years, was unconstitutional.

The CC held that the fixed time period in the RAF Act is related to a legitimate government purpose, namely to ensure the continued existence and maximum efficiency of a compensation fund for those injured in road accidents. The relaxing of the time period of 3 years could seriously affect the efficiency, functioning and financial viability of the Fund. Furthermore, the period of 3 years was much longer then the periods previously found to be unconstitutional by the CC and generous enough to provide for flexibility, which was required by the claimant in the present case.

This judgment by the CC is to be welcomed particularly as it acknowledges the need for the existence of a fund to provide for compensation for those injured in road accidents.

It will be interesting to see whether this will play any role in the pending application for the Constitutional challenge against the so-called “Amendment Act”. In terms of this Act which the Department of Transport and the Road Accident Fund has now managed to enact the severe curtailment of the rights of many thousands of accident victims and their dependents since the 1st of August 2008.

See attached link for table which sets out some of the main changes brought about by the Amendment Act. This act is being challenged by the Law Society of South Africa, the South African Association of Personal Injury Lawyers, the Quadpara Association of South African and the National Council for persons with Physical Disabilities.

Click here to view the Act Amendment_Act.pdf
Leander Opperman
Partner
leander-o@adamsadams.co.za