Quantifying Lost Revenue When You Are Self-Employed
Though we have discussed the differences between punitive and compensatory damages, it is important to look at them through the lens of a self-employed person. Awarding a plaintiff compensatory damages is a common way for them to recover what they lost because of the accident. Here are some of the things that could be factored into the amount of the compensatory damages if you were in a car accident:
Damages to your car
Medical bills you had to pay
Emotional distress
Mental health issues
Loss of consortium
Lost earnings
You should notice that some of these are more quantifiable than others. When you have medical bills, your attorney can determine a specific amount. On the other hand, determining a dollar amount for mental health issues and emotional distress can be more challenging. Although we will not address it in depth right now, understand that an experienced personal injury attorney studies multiple things and will come up with an amount to seek on your behalf.
That said, “lost wages” would normally land into the category of things that lends themselves to being quantifiable. This becomes more challenging when the plaintiff is self-employed. Think of someone who runs a car repair shop that works exclusively with high-end cars like Rolls Royces. Whereas he may only work on a few dozen cars a year, his unique skill set comes at a high premium.
What happens if this person is in a car accident caused by someone else?
What if he wasn’t working on any cars at the time of the accident?
How can an attorney determine lost wages if he was in between jobs?
How Lost Wages Can Be Calculated
Hire an attorney with experience in this arena. Why? Because your attorney is going to look at how much money you earned in the past by studying your returns and past earnings statements.
How much money did the person’s repair shop bring in the previous years?
How many cars, on average, does he repair each year?
How much, on average, does he make weekly or monthly?
To add another layer of complexity, what will happen to the mechanic’s reputation if he has to turn down work in the future? Because he may lose out on returning customers or repeat business, this will have to be factored in.
Get the Settlement You Need & Deserve
When you work alongside The Law Offices of William C. Robinson, we determine your lost wages and reputational damage even if you are self-employed. Our goal is to help you obtain the highest possible amount of compensation, given your injuries and the circumstances surrounding the accident. To continue this conversation with a professional and experienced personal injury attorney, contact our office to schedule your free consultation.
