SUPREME COURT OF INDIA
R. Subhash Reddy, Hrishikesh Roy, JJ.
Chandra @ Chanda @ Chandraram & Anr. - Appellants
Versus
Mukesh Kumar Yadav & Ors. - Respondents
Civil Appeal No. 6152 of 2021 [Arising out of S.L.P.(C)No.6466 of 2019]
Decided On : 01-10-2021
Motor Vehicles Act, 1988 – Section 166 – Fatal accident – Quantum of compensation – Deceased aged 32 years – Total compensation of Rs.10,99,700/- with 6% interest awarded by Tribunal – It is specific case of claimants that deceased was possessing heavy vehicle driving licence and was earning Rs.15000/- per month – Possessing such licence and driving of heavy vehicle on the date of accident is proved from evidence on record – Merely because claimants were unable to produce documentary evidence to show monthly income of deceased, same does not justify adoption of lowest tier of minimum wage while computing income – There is no reason to discard oral evidence of wife of deceased who has deposed that deceased was earning around Rs.15000/- per month – Deceased was in possession of heavy vehicle driving licence and was driving such vehicle on day of accident – Keeping in mind enormous growth of vehicle population and demand for good drivers and by considering oral evidence on record Court may take income of deceased at Rs.8000/- per month for the purpose of loss of dependency – Deceased was aged about 32 years on date of accident and as he was on fixed salary, 40% enhancement is to be made towards loss of future prospects – At the same time deduction of 1/3rd is to be made from income of deceased towards his personal expenses – Income of deceased can be arrived at Rs.7467/- per month – By applying multiplier of ‘16’ claimants are entitled for compensation of Rs.14,33,664/ – As an amount of Rs.10,99,700/- is already paid towards loss of dependency appellant-parents are entitled for differential compensation of Rs.3,33,964/-appellants are entitled for further compensation amount of Rs.3,33,964/- on account of loss of dependency and consortium amount of Rs.40,000/- each – Total compensation payable to appellants fixed at Rs.4,13,964/- with 6% interest p.a. from date of filing of claim petition. (Paras 10 and 11)
Facts of the case:
Parents who lost their son aged about 32 years in the motor vehicle road accident on 27.02.2016, are before this Court claiming enhancement of compensation arising out of an application filed under Section 166 of the Motor Vehicles Act, 1988. The appellants are the parents; 4th respondent is the wife; 5th respondent is the minor son; 6th respondent is the brother; and 7th respondent is the sister of the deceased . The appellants and respondent nos.4 to 7 were the applicants in the application filed under Section 166 of the Motor Vehicles Act, 1988 before the Motor Vehicle Accident Claims Tribunal, Ajmer, Rajasthan claiming compensation of Rs.93,08,000/- with interest @ 15% p.a. The Tribunal by judgment dated 25.11.2017 has awarded total compensation of Rs.10,99,700/- with interest @ 6% p.a. The appellant-parents alone have filed appeal before the High Court. The High Court by impugned judgment dated 06.07.2018 dismissed appeal. As such the appellants are before this Court.
Findings of Court:
Though the wife of the deceased has categorically deposed as AW1 that her husband was earning Rs.15000/- per month, same was not considered only on the ground that salary certificate was not filed. The Tribunal has fixed the monthly income of the deceased by adopting minimum wage notified for the skilled labour in the year 2016. In absence of salary certificate minimum wage notification can be a yardstick but at the same time cannot be an absolute one to fix the income of the deceased.
Result : Appeal Partly allowed.
JUDGMENT :
R. Subhash Reddy, J.
1. Leave granted.
2. Unfortunate parents who lost their son aged about 32 years in the motor vehicle road accident on 27.02.2016, are before this Court claiming enhancement of compensation arising out of an application filed under Section 166 of the Motor Vehicles Act, 1988.
3. The appellants are the parents; 4th respondent is the wife; 5th respondent is the minor son; 6th respondent is the brother; and 7th respondent is the sister of the deceased Shivpal. The appellants and respondent nos.4 to 7 were the applicants in the application filed under Section 166 of the Motor Vehicles Act, 1988 before the Motor Vehicle Accident Claims Tribunal, Ajmer, Rajasthan (for short, ‘the Tribunal’) claiming compensation of Rs.93,08,000/- with interest @ 15% p.a. The Tribunal by judgment dated 25.11.2017 has awarded the total compensation of Rs.10,99,700/- with interest @ 6% p.a. The appellant-parents alone have filed appeal before the High Court. The High Court by impugned judgment dated 06.07.2018 dismissed the appeal. As such the appellants are before this Court.
4. The deceased Shivpal was employed as driver on the vehicle, i.e., truck trailer bearing No.RJ-06-GA-6576. When he was driving the vehicle on 27.02.2016, within the limits of Adarsh Nagar Police Station, Ajmer, the vehicle – truck trailer bearing no.RJ-14-GD-1156, driven by the 1st respondent; belonging to the 2nd respondent; and insured with the 3rd respondent, came on the wrong side and rammed into the vehicle of the deceased resulting in the accident, as a result of which Shivpal died in the said accident.
5. It was the case of the claimants before the Tribunal that deceased Shivpal was in possession of heavy vehicle driving licence and was earning Rs.15,000/- per month. Apart from the claim on account of loss of dependency, they also claimed compensation on all other conventional heads. The Tribunal has held that accident occurred due to rash and negligent driving of the vehicle, driven by the 1st respondent. The Tribunal by taking into account the income of the deceased at Rs.5746/- per month has awarded a total compensation of Rs.10,99,700/- inclusive of consortium of Rs.40000/- to the wife and minor child. The Tribunal had merely awarded an amount of Rs.10000/- each to the appellant-parents, of the deceased.
6. We have heard Sri Aditya Singh, learned counsel for the appellants and Sri Sahil Raveen, learned counsel for respondent no.3.
7. Mainly it is contended by learned counsel for the appellants that though the deceased was earning Rs.15,000/- per month, being a heavy vehicle driver, the Tribunal has awarded compensation on account of loss of dependency by taking the income of the deceased at Rs.5746/- per month. It is submitted that wife of the deceased, i.e. respondent no.4 has clearly stated in her deposition that deceased was earning Rs.15000/- per month. It is submitted that inspite of such evidence on record the Tribunal has committed error in taking the income of the deceased at Rs.5746/- as per the minimum wage notified to the skilled labour. Further it is submitted that Tribunal has committed error in recording a finding that the appellants are not dependents as they were living separately. Lastly it is submitted that appellants are also entitled to compensation under the head of ‘loss of consortium’.
8. The learned counsel appearing for the 3rd respondent has submitted that in absence of any documentary evidence on record to show the salary of the deceased at Rs.15,000/- per month the Tribunal has correctly taken into account the monthly earnings of the deceased at Rs.5746/-. By relying on a judgment of this Court in the case of Kirti & Anr. v. Oriental Insurance Company Limited, (2021) 2 SCC 166 , learned counsel has submitted that there are no grounds to interfere with the impugned judgment of the High Court.
9. Having heard the learned counsels on both sides, we have perused the impugned order and other material placed on record. At th
The term 'legal representative' in Section 166 of the Motor Vehicles Act, 1988 should be construed liberally and that all persons dependent on the deceased's earnings are entitled to compensation.
The court established that notional income for compensation should reflect prevailing rates, leading to an enhancement of total compensation awarded.
Compensation for loss of dependency must reflect realistic earnings and consider future prospects, necessitating a recalculation when initial assessments are inadequate.
The main legal point established in the judgment is the determination of compensation under various heads, including loss of dependency, loss of consortium, and funeral expenses, based on the notiona....
The main legal point established in the judgment is the broader interpretation of the term 'dependent' under the Motor Vehicles Act, 1988, and the principles of just and fair compensation, emphasizin....
Determination of compensation for wrongful death must utilize notional income when actual income is unproven and it should reflect the loss suffered by claimants, including appropriate filial consort....
The court determined that the tribunal erred in calculating compensation by not considering the deceased's full income, leading to a revised compensation amount based on established legal principles.
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