What is the test for assessing damages in a motor vehicle accident?

Assessing damages involves the use of one of two approaches: the earnings approach or the capital asset approach. The distinction between the two is explained by Mr. Justice Kent in Hoy v. Williams, 2014 BCSC 234 at paras. 156–59, citing Perren at para. 32. The earnings approach is appropriate where either, or preferably both, of the pre- and post-accident earnings trajectory are certain enough that the loss can be measured by taking the difference between the two. The capital asset approach is appropriate when the evidence does not allow the court to reliably assess relative earning streams.