United States District Court for the Southern District of New York
74 F. Supp. 2d 305 (1999)
The Estevez family (plaintiffs), including Joseph Estevez (plaintiff), a five-year-old child, were injured when their car collided with a United States Postal Service truck in New York. The Estevezes sued the United States (Government) (defendant) for negligence. The United States District Court for the Southern District of New York awarded damages in favor of the Estevezes, including an award of $750,000 in future damages to Joseph and a pain-and-suffering award that ordered the Government to purchase an annuity to pay Joseph over a 10-year period. The Government moved for reconsideration on the ground that (1) the structured judgment was unauthorized under the Federal Tort Claims Act (FTCA), 28 U.S.C. §§ 1346, 2671-80, which only allows lump-sum damage awards; (2) the awards for future lost earnings were not reduced to account for federal income taxes; and (3) the lump-sum awards that the district court did order for future pain and suffering were not reduced to reflect the time value of money.
Rule of Law
Holding and Reasoning (Scheindlin, J.)
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