In early 2012, John Johnson, a 42 year old Marketing Associate1 at Cisco was feeling increasingly run down. After a series of doctor visits it was…

In early 2012, John Johnson, a 42 year old Marketing Associate1 at Cisco was feeling increasingly run down. After a series of doctor visits it was discovered that his kidneys were failing. It turned out that he’d been born with only one kidney and, for reasons that were unclear, that one was failing. After consulting with the medical team at UCSF, John and his sister Jane started the series of tests to see if Jane could donate one of her kidneys to John. By July 2012, the doctors determined that Jane could donate a kidney to John and on July 23, 2012 the team operated. After a few days in recovery John was doing really well. His new kidney was doing its job and John was starting to feel better.

John’s elderly father picked John up from the hospital and got him in the car for the drive back to John’s apartment. Haflway home, a delivery truck owned by Acme, Inc. ran a red light and smashed into the passenger side of the car. John was hospitalized for another month to recover from the significant internal injuries he sustained in the accident. After another couple of months at home doing rehab, he was ready to return to work.

But it was clear once he got back to work that his brain had suffered from the trauma. Tasks that used to take him an hour would now take him all afternoon – if he could do them at all. His work as a marketing analyst didn’t require him to be physically active, but it did require the use of his brain. After he’d been back at work for 6 weeks, John’s supervisor called him in to tell him that it just wasn’t working; he was no longer a capable marketing analyst. John was not surprised at the news; he knew that he was no longer capable of doing the work.

John’s supervisor told him that the management team had discussed John’s case and wanted to keep him on at Cisco doing work that he was capable of performing. The idea was to try him out at various positions to see what worked for John and worked for Cisco. Obviously his pay would be reduced, but Cisco management was willing to commit to paying him a salary of $30,000 per year for full time work.

John was grateful to Cisco for the offer but also very discouraged about the loss of income. At $30,000 per year, he was going to have trouble affording his apartment and any thought of marrying his partner was out. Furthermore, while his kidney had survived the accident, he was going to have to pay $1,200 per year for medicine to deal with his transplanted kidney and that was going to be hard to afford on a reduced income.

John decided to seek legal counsel. After some searching, John found Steve Henry – an attorney specializing in employment law. Mr. Henry advised John that he could file suit against Acme for lost earnings potential. 

Calculate the lost earnings for John Johnson.

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