SUPREME COURT OF INDIA
SANJAY KAROL, PRASHANT KUMAR MISHRA, JJ.
Nur Ahamad Abdulsab Kanavi - Appellant
Versus
Abdul Munaf & Ors. – Respondents
Civil Appeal No. 2322 of 2025 (Arising out of SLP(C) No. 21766 Of 2024)
Decided On : 11-02-2025
ORDER :
| Time taken for disposal of the claim petition by MACT | Time taken for disposal of the appeal by the High Court | Time taken for disposal of the appeal in this Court |
| 5 years | 2 years 6 months | 5 months |
Leave granted.
2. This appeal is directed against the judgment and order dated 30th August, 2023 in MFA No.100308/2021 passed by the High Court of Karnataka, Dharwad Bench, which in turn was preferred against the judgment and order dated 4th December, 2020 passed in MVC No.111/2015 by the Addl. Senior Civil Judge and Addl. MACT, Hangal.
3. The brief facts giving rise to this appeal are that on 24th June, 2014, the driver of the offending goods vehicle bearing No.KA-16/A-6260, while driving rashly and negligently, dashed into the Claimant-Appellant, aged 27 years, who was travelling on his motorcycle bearing No.KA-02/EC-3487 from Kashambi village. Upon collision, the Claimant-Appellant sustained injuries and, as such, was taken to SDM Hospital, Dharwad, where he was treated and remained admitted for two months completely bedridden.
4. The Claimant-Appellant filed an application for compensation under the Motor Vehicle Act, 1988, seeking compensation to the tune of Rs.30,00,000/- with cost and interest @18% per annum from the date of accident till realisation, submitting therein that he was working as a Goundy and earning more than Rs.10,000/- per month before the accident and was the sole breadwinner of his family. After the incident, due to mental and physical suffering, he is not in a position to do any work.
5. The Tribunal, by its judgment and order, directed the Insurance Company to pay an amount of Rs.6,78,000/- along with interest @ 6% per annum from the date of petition till the date of realisation. The Tribunal considered the monthly income of the Claimant-Appellant to be Rs.7,500/- per month and the permanent disability to be 20%.
6. Being aggrieved with the amount of compensation awarded, the Claimant-Appellant filed an appeal before the High Court on the ground that the disability has been incorrectly assessed at 20% by the Tribunal, while the Appellant has actually suffered 100% functional disability. Furthermore, his monthly income should have been taken as Rs.10,000/-.
7. The High Court, vide the impugned order, enhanced the amount awarded to the Claimant-Appellant with an additional sum of Rs.18,90,938/-. The High Court enhanced the percentage of disability suffered to 100%, and as such, the compensation awarded by the High Court was as under:
CALCULATION OF COMPENSATION
| Monthly Income | Rs.7,500/- |
| Yearly Income | 7500 X 12 = Rs.9,00,000/- |
| Future Prospects (40%) | Rs.10,500/- per month |
| Multiplier (17) | 84,000 X 17 = Rs.14,28,000/- |
| Permanent Disability (100%) | Rs.21,42,000/- |
| Special Diet | Rs.50,000/- |
| Loss of Amenities | Rs.30,000/- |
| Loss of Income during treatment | Rs.45,000/- |
| Medical Expenses | Rs.1,96,938/- |
| Pain and Suffering | Rs.75,000/- |
| Total | Rs.25,68,938/- |
8. Yet dissatisfied, the Claimant-Appellant is now before us. He submits that his salary ought to have been taken as Rs.10,000/- per month.
9. We have heard the learned counsel for the parties. We are unable to agree with the view taken by the Tribunal and High Court on the income of the Appellant. This Court in Chandra v. Mukesh Kumar Yadav, (2022) 1 SCC 198 had placed reliance on the statement of the deceased’s wife therein to establish the income of the person. Similarly, in the absence of any material to discard the oral evidence of PW1 Wife, we deem it appropriate to fix the monthly income of the Claimant-Appellant as Rs.10,000/-.
10. As a result of the discussion above, the compensation now payable to the Claimant-Appellant is itemised as under:
FINAL COMPENSATION
The court established that oral evidence is crucial for determining income in compensation claims, emphasizing the need for accurate assessment of disability.
The court established that the claimant's functional disability should be assessed at 90% due to amputation, and his age fixed at 22 years, applying a multiplier of 18 for compensation calculation.
Injury in motor accident – Objective when granting compensation under Motor Vehicles Act, 1988, is to ensure that just and fair compensation is paid to aggrieved party.
Injury in motor accident – Quantum of compensation must be adequate and in consonance with minimum wage prevalent in the area where is an unskilled labourer.
Injury in motor accident – Quantum of compensation must be adequate and it cannot be meager.
Injuries suffered in motor accident – Quantum of compensation must be just and commensurate with percentage of disability.
Income Tax Returns are essential statutory documents for determining compensation in motor accident claims, overriding previous assessments.
The court established that compensation for loss of dependency must consider the deceased's potential income and appropriate deductions based on the number of dependents, affirming a broader interpre....
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