The main legal point established in the judgment is the determination of compensation for loss of dependency, considering the deceased's expertise in the bakery business, the future prospects of the family, and the need to account for higher dependency loss.

ORDER

1. Leave granted.

2. The appellants are before this Court assailing the judgment dated 02.11.2020 passed by the High Court of Karnataka at Bengaluru in M.F.A. No.3402 and 426 (MV) of 2016. The appellants claim to be aggrieved by the quantum of compensation which has been awarded by the High Court and are seeking enhancement of the same.

3. Heard learned counsel for the appellants, the learned counsel for the respondents and perused the appeal papers. The accident in question had occurred on 02.01.2013 and Vinay, the husband of the appellant No.1 died in the said accident. As on the date of the accident he was aged 29 years. It was contended that the deceased was running a Bakery which had good business and income earned. The family is deprived of the same and therefore due to his death there is loss of dependency which need to be adequately compensated.

4. Insofar as the other aspects of the matter relating to the claim there is no serious dispute except with regard to the income that has been reckoned by the High Court ultimately. On that aspect it is noticed that the appellants had relied on the Income-Tax Return which had been filed by the deceased for the years 2012-2013 whereunder the income was shown at Rs.5,99,902/- The Motor Accident Claims Tribunal (for short 'MACT') having taken note of the same had arrived at the conclusion that only the supervisory benefits are lost to the family as bakery is available and therefore the income of the deceased is to be reckoned at Rs.6,000/-per month. It is in that light the compensation was determined by MACT.

5. In the appeal filed by the appellants herein before the High Court on the same premise the High Court has enhanced the monthly income to Rs.10,000/- and on granting the future prospects at 40% has determined the compensation at Rs.20,53,932/-.

6. On this aspect it is true that there is no material on record to indicate that the Bakery business which was being run during the life time of the deceased has been closed after his death. Even if that aspect of the matter is kept in view, there is also no contrary material on record to indicate that the appellants herein who is a young lady and minor son are well versed in Bakery business. In that light keeping in view the young age of the appellants without experience, it cannot be expected that the Bakery can be run by them in the same manner as it was being run by the deceased nor is there definite evidence on record in this regard.

7. Therefore in the matter of determining the compensation certain larger aspects have to be kept in perspective and even if it is expected that the Bakery business is continued, the loss due to the death of the husband and his expertise in such business certainly would be at least to the extent of 50% of the normal way in which the business was conducted. If this aspect of the matter is kept in view and in that light the income that was being earned during his life time which was almost Rs.50,000/- per month is kept in perspective even from the income tax return for the years 2012-2013, the loss of dependency in any event cannot be less than Rs.25,000/- per month. Therefore, on reckoning the same for the purpose of determining the loss of dependency, 40% is to be added towards future prospects. Thus from the amount of Rs.35,000/-, if one third is deducted for personal expenses and the remainder is taken into consideration with the multiplier of the 17', the amount of loss of dependency will work out to Rs.47,59,993/-.

8. We, therefore modify the judgment passed by the High Court and enhance the loss of dependency to Rs.47,59,993/-. The amount awarded under the conventional heads by the High Court at Rs.1,50,000/- is maintained. The appellants will therefore be entitled to total compensation of Rs.49,09,993/-with interest @ 6% per annum from the date of the claim. Enhanced portion of the amount shall be deposited by the Insurance Company before the MACT in six weeks from the date of receipt of a copy