lost earning capacity

lost earning capacity. A person’s diminished earning power resulting from an injury. • This impairment is recoverable as an element of damages in a tort action. Cf. lost earnings under EARNINGS. [Cases: Damages 38. C.J.S. Damages § 56.]

“To some extent the phrases ‘loss of earnings’ and ‘loss of earning capacity’ are used interchangeably. But the preferred view is that they are different concepts. The former covers real loss which can be proved at the trial; the latter covers loss of the chances of getting equivalent work in the future.” R.F.V. Heuston, Salmond on the Law of Torts 572 (17th ed. 1977).


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