Alternative methods of counting a compensation of nonmaterial damages

Mgr. Bc. Jan Cholenský

Master's thesis

Abstract:

In 2012, civil law experienced the biggest change in the modern history of the Czech Republic, which logically led to a change in the definition of damage and harm and consequently to changes in its compensation. According to the original assumptions, the update was supposed to result in more just compensation, which should take into account, especially in the case of non-pecuniary damages, the individual's perception of the individual and the facts under which the damage occurred. The legal profession, particularly on the side of the courts, has essentially reverted to the methodology of some of the previous instruments. An example of the former was, in particular, the abolition of the tabular awards issued by ministerial decree which compensated for personal injury. The decree was replaced by the Supreme Court's methodology, which is very similar in principle to the original instruments. On less technical issues, decisions continue to be made on the basis of the method of comparison, and it is clear from the reasons for the judgments that there is insufficient statistical or econometric verification. In this thesis, the development of the concept of harm, damages and non-pecuniary damages has been summarized, with an emphasis on non-pecuniary damages on health, as well as the previous and current legislation, including case law and comments from the professional community, also on compensation for harm. In addition, the practical part explains one of the options that could be used to develop a legislatively acceptable, more fair and flexible system of estimating damages in at least some areas. To do this, econometric modelling tools were used to quantify individually perceived harm. The aim of the thesis is to attempt to verify and confirm that it is possible to develop a transparent, statistically defensible system of quantifying harm that is perceived as fairer and more predictable by the professional and the general public.

Keywords

harm, non-pecuniary damages, compensation, econometric modelling, civil code, individual perception of harm, written law, case law, predictability of legal decisions

Language used: English

Date on which the thesis was submitted / produced: 30. 11. 2021

Thesis defence

• Supervisor: Mgr. Bc. Sylva Řezníková, Ph.D. MA

Czech University of Life Sciences Prague

Faculty of Economics and Management

Master programme / field:
Economics and Management / Economics and Management