asked the Attorney-General if, arising out of the recent decision of the House of Lords in the case of the British Transport Commission v. Gourley, and the difficulties which will occur if in every case there has to be an elaborate assessment of tax liability, he will introduce legislation which will provide that no regard to tax liability shall be paid where the damages are less than £5,000.

asked the Attorney-General if, as a result of the decision in Gourley's case, he will introduce legislation to allow the assessment of damages either without regard to tax liability or on the assumption that the amount would be payable in annual instalments over a period of years.

No, Sir.

Is my right hon. and learned Friend aware that one of the noble Lords who decided this case said that it would be unfortunate if, as a result of the decision, there had to be an elaborate assessment of tax liability in running-down cases? Will my right hon. and learned Friend bear in mind that if my suggestion were adopted it would mean that the courts would not need to be troubled with the assessment of tax liability in the vast majority of cases in which damages are awarded for loss of earnings?

I agree that it would be unfortunate if there had to be an elaborate assessment of tax liability in all such cases, but I think we should see first the extent to which this decision applies to other cases in actual practice.

Will the right hon. and learned Gentleman not reconsider the Answer? The decision in this case has given widespread affront both to common sense and indeed many legal authorities. From the controversy it does appear that it will lead to serious injustice in some cases, and is it not logically indefensible?

I agree that the impact of this decision on the law relating to assessment of damages does require to be carefully watched.

Will the Attorney-General bear in mind that the decision did in fact overturn what for very many years had been considered to be the law of the country and the practice? Accordingly, while no doubt we must accept the decision of the House of Lords as declaring what the true law of the country is, is it not the function of this House to change the law if it does not agree that that ought to be the law?

As the hon. Member knows, decisions of the House of Lords in a judicial capacity are sometimes altered by decisions of this House.

Motion made, and Question proposed. That this House do now adjourn.— [Mr, Heath.]