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R.M.LODHA, AFTAB ALAM
Arvind Kumar Mishra – Appellant
Versus
New India Assurance Co. Ltd. – Respondent
Key Points: - The judgment endorses the multiplier method for assessing damages in personal injury cases under Section 166 of the Motor Vehicles Act, 1988, and discusses the basis as compensation to place the claimant in the position he would have been in financially (!) (!) . - The Court applies the concept of loss of future earnings using a multiplicand (42,000 per annum) and a multiplier (18) to calculate total future earnings loss of Rs. 7,56,000 for a 25-year-old claimant with 70% disability (!) . - The appeal is allowed in part; compensation enhanced from Rs. 3,50,000 to Rs. 9,06,000 with 9% simple interest from August 7, 2002, and costs awarded Rs. 15,000 (!) .
JUDGMENT
R.M. Lodha, J. —
The present appeal, by special leave, raises the issue, indeed the only issue, of assessment of loss of earnings in respect of the victim of a motor accident who was certified 70% permanent disablement.
2. Arvind Kumar Mishra - appellant - a student of engineering final year at Birla Institute of Technology, Mesra (B.I.T.) at the time of accident was seriously injured as a result of a truck bearing registration No. DEG 3291 being negligently driven on June 23, 1993. The truck coming from the opposite direction hit the motorcycle and the appellant riding the motorcycle was thrown on the road. He sustained multiple injuries; diffused multifocal damage of brain with interventricular hemorrhage; optic atrophy in right eye and 3+ relative afferent papillary in left eye; amputation of right hand distal to carpometacarpal joint level; compound fracture of shaft of tibia (left); total bronchial plexus palsy; blocking of anterior wall of the trachea at the level of the 3rd and 4th cartilaginous rings and disfiguration. He was treated by several doctors at various hospitals namely, R.M.C.H, Ranchi, C.C.L .Hospital, Gandhinagar, Christian Medical College and Hospital
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