The court emphasized the importance of considering notional income and the deceased's contribution to the family for determining compensation in motor accident claims under Section 166 of the Motor Vehicles Act.

ORDER

1. Leave granted.

2. The appellant is before this Court seeking enhancement of the compensation as against the amount awarded by the Motor Accident Claims Tribunal (for short 'MACT') through the award dated 18.10.2004, which was marginally enhanced by the High Court through its judgment dated 14.03.2016. Keeping in view the fact that the issues relating to the accident having occurred on 08.9.1999 and the wife of the first claimant who is the mother of the claimants 2 and 3 had died in the said accident is not in dispute, we need not advert to those aspects of the matter.

3. The only issue for consideration in this appeal is with regard to the quantum of compensation. The appellant had contended that the deceased who was aged 29 years was preparing household items for sale and was also working in the photo studio. It is in that light the appellant had contended that the deceased was earning a sum of Rs. 5,000/-per month. The Tribunal as well as the High Court on noting that there is no evidence available on record has erroneously adopted the notional income as contained in the Schedule to the Motor Vehicles Act. In a matter of the present nature where the claim petition was filed under Section 166 of the Motor Vehicles Act, the Notional income on a monthly basis was required to be taken note and thereafter the compensation should have been determined. Since that has not been done we propose to re-determine the compensation through this order by taking the monthly notional income.

4. Though there is no proof of the income, if the fact that the deceased was a house wife who had two children is taken into consideration and on that basis her contribution to the family is taken,it would be appropriate to reckon the monthly income at Rs.4,500/-. The deduction towards personal expenses at one third if made and the balance amount of Rs.3,000/- be taken into consideration as loss of dependency per month and the appropriate multiplier of 18' is applied, the loss of dependency would work out to Rs.6,48,000/-. The amount under the conventional head is awarded at Rs.1,52,000/- in the facts of this case. Hence, in all, the appellant is awarded a sum of Rs.8,00,000/- with interest at 7.5% from the date of the claim petition till the date of payment. The enhanced compensation after deducting the amount already paid shall be deposited by the Insurance Company before the MACT within a period of four weeks which shall be disbursed in equal proportion.

5. The appeal is, accordingly, allowed.