The judgement of the EET in the Ranson case is now available. The Tribunal has awarded Dr Ranson a total of £3,198,754 damages, plus 70% of her costs at the liability stage (it should be noted that normally parties in Tribunals do not receive any costs). This breaks down into a number of different elements (summarised at para 346-347).
Injury to feelings. There was a detailed discussion as to what the maximum amount that could be awarded was, and how to apply English cases to the Manx situation. The EET took the approach that “The award should be compensatory with no element of punishing the wrongdoer. Feelings of indignation ought not to inflate the award yet neither should the award be too low because that would diminish respect for the policy …. The award must ensure that such misconduct is seen to be wrong. Additionally, the award should bear some broad general similarity to those awarded in personal injury cases” (para.130). The EET considered that “During the Liability Hearing process ( including disclosure of
documents), besides in her evidence on oath, there was also an attempt by Miss Magson to cover-up her misconduct. This was bound to inflame justified injured feelings” (para. 132).. She was awarded £40,000 for injury to feelings,
Aggravated damages. These are damages which may be awarded “when the Respondent has acted in a high-handed, malicious, insulting or oppressive manner” (para.137). The Tribunal considered this to be beyond argument, and no contrary view as put forward by the DHSC. The Tribunal explicitly found that that the wrong was committed in a “demeaning and spiteful way”, motivated by “animosity and spiteful misconduct”, with subsequent misconduct in the way the DHSC opposed Dr Ranson’s action (para.140) She was awarded £20,000 of aggravated damages.
Personal injury. These are damages to reflect personal injury suffered because of the wrong committed by the other party. The Tribunal noted that there were no known Manx High Court authorities on personal injury awards following whistleblowing, and drew on the English approach. The Tribunal did not completely accept Dr Ranson’s case as to the personal injury suffered, and was not happy with the level of disclosure by Dr Ranson as to her previous medical history, “particularly after her many complaints about non-disclosure by the DHSC relating to the Liability Hearing” (para.161). It was, however, much more critical of the medical expert called by the DHSC (para.174). The two parties had proposed either £56,000 or £30,000 damages. She was awarded £40,000 of damages for personal injury.
Medical expenses. These are expenses reasonably necessary to ensure the best chance of recovery. The Tribunal accepted most of the treatments Dr Ranson’s medical expert suggested, and awarded her £6000 for medical expenses.
Exemplary damagaes. These can be awarded where conduct is “oppressive, arbitrary or unconstitutional” (para.176), and are awarded not to compensate the complainant, but to show that the governmental misconduct had to be punished. It was agreed that the DHSC was a public body against which such damages could be made. The Tribunal found that the rulings in the Liability Decision “amply justified Miss Magson’s misconduct (and to a lesser extent that of others) as being oppressive and arbitrary” (para.181), justified on the basis of unreasonable conduct and false evidence (para.187). The two parties had proposed either £100,000 or around £4,000. She was awarded £10,000 for exemplary damages. The Tribunal saw “The very fact of making the award at all demonstrates that the Tribunal considered punishment was warranted for the oppressive, arbitrary or unconstitutional behaviour – amounting to gross misconduct” (para.185). This was to be punished through the award of costs (discussed below), and adding a substantial exemplary damages head “plus a very large costs burden which is also awarded (this being, in effect, a punishment) would impact not just the DHSC but, in reality, Manx taxpayers and, in all probability, persons on hospital waiting-lists.” (para. 186).
Compensatory award. This is the amount awarded to compensate for financial losses caused by the wrong – in particular, loss of salary. As the Tribunal notes “this is not an exact science. Fortunately, there is abundant legal precedent about how to approach something which is, inevitably, unpredictable.” (para 213). I will gloss over the abundant legal principles and approach. The analysis of Dr Ranson’s future career prospects is also – in contrast to the other heads – very personal (as illustrated by the list of questions about Dr Ranson the Tribunal felt it needed to address, para.323). The Tribunal awarded £185,670.64 for past loss (i.e. loss before the date of the judgment), and £1,464,118.08 for future loss of earnings (a higher number is given earlier in the judgment, and then reduced by 25% to reflect “non-exhaustive uncertainties” (para. 334). Additionally, future pension loss was calculated at £749, 718.15, plus £8062.60 for the Manx state pension.
.Interest on some elements of these awards totalled a further £ 8,994.95 (para. 345).
It is striking to find aggravated and, especially, exemplary damages, awarded against the DHSC in this case. The concerns over the way in which the defence of the action was conducted are returned to in the, exceptional, award of costs for the Liability Decision. The Tribunal notes that “In effect, when an order for costs is made, it is because of gross misconduct” (p348). The Tribunal considered that the proceedings were conducted unreasonably, and “involved a false allegation (and indeed, more than one)” (para. 351). This is discussed at length from para. 352-
In particular, at para 363-4 the Tribunal said: “It is however inexcusable for a Chief Executive such as Miss Magson to mislead both the Tribunal and Dr Ranson. The case on liability was fought tooth and nail by the DHSC on a false basis to the substantial detriment of Dr Ranson and at the expense of taxpayers on the Isle of Man … Miss Magson knew that the denials of liability in the Response contained assertions and allegations that were untrue. She knew or should have known and understood that the way she had drafted the Response was unsustainable. She knew or should have known that her pleaded arguments could never survive scrutiny once the documents which needed to be revealed were in fact disclosed”.
The Tribunal did not award full costs to Dr Ranson for the Liability Decision, on the basis that “Even if the DHSC case had contained bona fide but ultimately unsuccessful cornerstones, Dr Ranson would have had to incur quite considerable costs which, as a norm, would not be recoverable at all.” (para. 366) – reducing recovery to 70% of the legal costs once assessed or agreed.
It did not, however, make the same order in relation to the costs of the Disclosure Proceedings. As part of explaining this decision making, the Tribunal discuss the EXPOL report seeking to resolve whether there were concocted documents. To quote at length:
From almost as soon the EXPOL report became available, the Tribunal was informed
that Dr Ranson did not agree with the conclusions. Thereafter, it was apparent from
her evidence in this Tribunal in January 2023 that she did not agree with the outcome,
at least to some extent. Inter alia, she did not consider EXPOL to be independent.
However, her witness statement never set out any reasoned attack on the
conclusions. It did not point out why she stood by her allegations that all or some of
the documents were concocted. She gave no evidence to expand on her rejection of
any of the conclusions.
- Because of the influence on potential issues of Exemplary Damages and costs, the
Tribunal had anticipated that, because the conclusions of the EXPOL report were
controversial or disputed, there would have been a request on Dr Ranson’s behalf for
a Witness Order (or Orders) for cross-examination of EXPOL officers at the Remedy
Hearing. That did not happen. - The appeal process last year regarding documentation issues was heard by the learned
First Deemster. He rejected the appeal but in his judgment, he had cautioned against
the Tribunal taking on too much of an investigatory role. It was therefore not
considered to be the role of the Tribunal of its own initiative to require attendance of
the personnel behind the EXPOL Report, even though the Tribunal had expected this
to happen. - In the event, Dr Ranson’s team did not seek to call anybody involved with preparation
of the EXPOL report. However, in his Closing Submissions, Mr Segal alleged quite
detailed and serious shortcomings about the conclusions of no improper concoction.
Mr Segal still maintained that some of the documents were concocted – to the extent
that he encouraged this Tribunal to refer the allegations of concocted documents to
the Isle of Man Constabulary for further investigation. - While the Tribunal had hoped and expected to have the issue of the alleged
concoctions tested and resolved, this was not possible. Without questioning the
appropriate witnesses, as Mr Segal had the chance to do by seeking witness orders
against the authors of the EXPOL report, it would be quite wrong for this Tribunal to
come to any conclusions one way or the other – let alone to refer the matter to the
Isle of Man Constabulary. There remains nothing to stop Dr Ranson referring the
matter to the Constabulary herself.
The award of the Tribunal in relation to exemplary damages, and costs, although a relatively small part of the overall award, are sobering. The DHSC has been found by the Tribunal to have acted in a high-handed, malicious, insulting or oppressive manner; in a way which was “oppressive, arbitrary or unconstitutional”; and in a way which involved gross misconduct.
