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2017 Supreme(SC) 516

SUPREME COURT OF INDIA
A.K. SIKRI, ASHOK BHUSHAN, JJ.
Ankush – Appellant(s)
Versus
Hanmanta & Ors. - Respondent(s)
CIVIL APPEAL No.4707 OF 2017 (Arising out of S.L.P.(Civil) No.28773/2016)
Decided On : 30-03-2017

Additional compensation may be awarded for loss of future prospects due to permanent disability under Article 132 of the Constitution.

Headnote:

Compensation - Motor Vehicles Act - The court awarded additional compensation for loss of future prospects due to permanent disability resulting from a road accident.

Fact of the Case:

The appellant, a laborer, was injured in a road accident and claimed compensation under the Motor Vehicles Act. The lower courts awarded compensation, but the appellant appealed seeking additional compensation for loss of future prospects due to permanent disability.

Finding of the Court:

The court found that the appellant's permanent disability would affect his future prospects and, therefore, awarded additional compensation for loss of future prospects.

Issues: The main issue was the appellant's claim for additional compensation for loss of future prospects due to permanent disability.

Ratio Decidendi: The court held that in cases of permanent disability affecting future prospects, additional compensation beyond the claimed amount may be awarded to ensure justice under Article 132 of the Constitution.

Final Decision: The court allowed the appeal and awarded a total compensation of Rs.5,03,200/-, including additional compensation for loss of future prospects, with interest at the rate of 9%.

Judgement Key Points

Key Points: - The court awarded additional compensation for loss of future prospects due to permanent disability (Rs 1,50,000) under Article 132 of the Constitution, in addition to the base compensation, totaling Rs 5,03,200 with 9% interest (!) (!) (!) . - The appellant sustained permanent disability of 60% with loss of the right hand, affecting future prospects; the court deemed it just to provide additional compensation for loss of future prospects beyond the amount claimed (!) (!) . - The consolidated total compensation of Rs 5,03,200 was to be paid with interest at 9% from the date of petition till realization, with existing amount already paid to be adjusted and the balance payable within 8 weeks from receipt of the order (!) .

What is the scope of additional compensation for loss of future prospects under Article 132 of the Constitution in a Motor Vehicles Act case?

What is the appropriate total compensation when permanent disability affects future prospects, and how should interest be applied?


ORDER

1. Nobody has appeared on behalf of the respondents, including the Insurance Company (respondent No.6), in spite of service of notice. In these circumstances, we have no option but to proceed ex-parte in the matter.

2. Leave granted.

3. We have heard learned counsel for the appellant and gone through the record. The appellant is a labourer who met with an accident on 18.04.1999 while he was travelling by tractor and trolley bearing No.MH-24-A-6176 and MH-24-A-0218 respectively on Latur – Nanded road from Chikalana village, when a truck bearing No.MH-12-6454 came from behind and rammed into the tractor and trolley in which the appellant was travelling. As a result, the accident occurred and the appellant sustained multiple injuries and he was admitted to Civil Hospital, Latur for medical treatment. The appellant filed the case of compensation under the Motor Vehicles Act before the Motor Accident Claims Tribunal claiming compensation of Rs. 3 lakhs. The Evidence was led by both the parties. The Motor Accident Claims Tribunal on analysing the evidence before it came to the conclusion that the accident took place because of the rash and negligent driving by the driver of the truck as a result of which the appellant had sustained various injuries. The Tribunal also arrived at the conclusion that the income of the appellant was Rs.21,600/-per annum and by applying multiplier of 18 for loss of income, arrived at a figure of Rs.2,33,200/-and 60% thereof as the compensation on the ground that disability was 60% and not 100%. In this manner a sum of Rs.1,72,800/-with interest of 9% from the date of the petition till realization of the amount in full was awarded to the appellant. After addition of the interest, total sum of Rs.2,33,200/- was awarded by the Tribunal.

4. Not satisfied with the aforesaid amount of compensation, the appellant preferred an appeal before the High Court. The High Court accepted the finding of the Trial Court that the annual income of the appellant was Rs.21,600/-, multiplier of 18 was applicable and disability was 60%. Thus award for loss of income in the sum of Rs.1,72,800/-is maintained. The High Court, however, found that while awarding the amount, no amount towards pains and suffering is awarded nor any amount is awarded towards loss of future prospects and medical expenses. Accordingly, the High Court has awarded a sum of Rs.20,000/-by way of medical expenses and Rs.50,000/- towards pains and sufferings and with the addition of further sum of Rs.50,000/-towards loss of amenities. In the manner, total compensation to the appellant is worked out at Rs.3,53,200/-with interest @ 9% per annum from the date of petition till realization.

5. Being dissatisfied, the appellant has filed the instant appeal. The counsel for the appellant submitted that though the appellant had suffered 60% disability resulting into loss of right hand, no amount towards loss of future prospects has been awarded by the courts below. Learned counsel for the appellant is right in his submission. Once we find that there was a permanent disability to the extent of 60% and there is a loss of right hand of the appellant, it is definitely going to affect future prospects of the appellant.

6. We are of the opinion that the ends of justice would be sub-served by giving a consolidated sum of Rs.1,50,000/-towards loss of future prospects. We are conscious of the fact that the appellant in his petition before the Motor Accident Claims Tribunal was given only an amount of Rs.3 lakhs. However, in a case like this where the compensation is to be given to the appellant for suffering the accident due to the fault of the driver of the truck and which has resulted in permanent disability to the extent of 60%, we are of the opinion that whatever amount that is legitimately due to the appellant in law should be paid to him and this Court can exercise such power by granting more amount than what he claimed once that amount is found to be due and legitimatel


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