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2022 Supreme(SC) 1995

SUPREME COURT OF INDIA
HEMANT GUPTA, VIKRAM NATH, JJ.
Minor Roopa D/o Basappa Minor Rep. by Her Natural Guardian and Father by Name Basappa – Appellant
Versus
The Divisional Manager, New India Assurance Company Ltd. – Respondent
Civil Appeal No. 5069 of 2022 [Arising Out of SLP (Civil) No. 19366 of 2021]
Decided On : 03-08-2022

Advocates Appeared:
For the Appellants : Anand Sanjay M. Nuli, Suraj Kaushik, Dharm Singh, Nand Kumar K.B.
For the Respondents: Vishnu Mehra, Sakshi Mittal

Courts must ensure adequate compensation for minors with permanent disabilities, considering future earnings loss and emotional suffering.

Headnote:(A) Motor Vehicles Act, 1988 - Section 166 - Compensation for injuries arising from an accident - The appellant, a 6-year-old girl, suffered severe injuries including amputation due to a lorry accident - The Tribunal awarded Rs. 8,09,000/- but the High Court enhanced it to Rs. 13,65,000/- - Key considerations included the appellant's minor status and permanent disability affecting future marital prospects and quality of life - Compensation was further enhanced to Rs. 53,07,000/- including various heads such as loss of future earnings, medical expenses, and pain and suffering. (Paras 1, 2, 6, 7, 9)

(B) Determination of compensation - The court emphasized the need for just and adequate compensation reflecting the severity of injuries sustained, future implications, and emotional distress experienced. (Paras 3, 4, 6)

Facts of the case:
The appellant was severely injured when a lorry ran over her, resulting in amputation of her leg and lifelong disability. An appeal was made following inadequate initial compensation.

Findings of Court:
The total amount awarded was Rs. 53,07,000/- with interest at 8% p.a. from the date of the claim application.

Issues: The main issues included the adequacy of initial compensation, future financial implications due to the appellant's disability, and determination of loss of marital prospects.

Ratio Decidendi: The appellate court ruled that given the young age and injuries, the compensation must reflect not only the financial losses but also the emotional and physical impact on the life of the minor, aligning with precedents in similar cases.

Result: Appeal allowed.

Table of Content
1. accident led to severe injuries and initial compensation awarded. (Para 1 , 2)
2. arguments made for enhancing compensation due to significant suffering. (Para 3 , 4)
3. calculation of future earnings and additional losses considered. (Para 5 , 6)
4. total compensation amounting to rs. 53,07,000 awarded. (Para 7)
5. distribution of compensation and appeal's conclusion. (Para 8 , 9)

ORDER :

1. The present appeal has been preferred by a 6-year old girl who met with an accident on 19.04.2012 in front of Abiruchi Family Restaurant, Kudithini. The appellant was going back home by foot from the flour mill along with her mother when a lorry bearing No. KA-34/A3719 dashed against the appellant. The lorry ran over the legs of the appellant and she suffered fracture of 9th rib and femur, and dislocation of temporal head. On account of the injuries, her right leg had to be amputated and there is also a loss of right lower limb with half of pelvis affecting her private parts as well.

2. The learned Tribunal awarded a compensation of Rs. 8,09,000/- but the High Court in appeal enhanced it to Rs. 13,65,000/- along with interest at the rate of 6% on the enhanced amount.

3. Learned counsel for the appellant relied upon an order passed by this Court in Kajal vs. Jagdish Chand and Others , (2020) 4 SCC 413 as well as judgment of this Court in Master Ayush vs. Branch Manager, Reliance General Insurance Co. Ltd. Civil Appeal No. 2205-2206 of 2022 decided on 29.3.2022 to contend that keeping view the injuries suffered, the amount of compensation is wholly inadequate. The High Court returned the following finding:

    “Since the petitioner is a minor girl and there is no future prospects of she being getting married with any other because of the reason that her left leg has been amputated up to left thigh level, even her private part has also been affected due to the accidental injuries as and when she grows, that physic is also going to grow and her feelings are also going to change by seeing the fellow colleagues of her own age. Then under such circumstances, we are of the considered opinion that throughout the life till her death she has to suffer unmarried......”

4. Learned counsel for the appellant has produced the photographs of the appellant which shows the extent of loss of limb and the consequent psychological, emotional and physical pain which the appellant would suffer for rest of her life. In fact, the other leg may not be able to support the appellant, when she grows. This Court in Ayush was considering a case of an accident of 5-year-old child wherein this Court determined compensation on account of loss of future earnings on the basis of minimum wages due to permanent disability for life, loss of future prospects, medical expenses and pain and suffering.

5. The minimum wages in the State of Karnataka on the date of accident were Rs. 4,320/- per month as per the Notification No. KAE 79 LMW 2005 dated 17.03.2006, published in Gazette dated 19.02.2007. The wages as per the notification are as under:

    “Minimum wages and VDA from 01-04-2012 to 31-03-2013

    SCHEDULE

S. No.

Class of Employment

Minimum rates of wages payable for different zones

Basic

VDA

Total

1

2

3

4

5

1

Highly Skilled

2691.80

1728.90

4420.70

2

Skilled

2591.80

1728.90

4320.70

3

Semi-Skilled

2041.80

1728.90

3770.70

4

Unskilled

1891.80

1728.90

3620.70”

6. The future prospectus would be 40% in view of National Insurance Company Limited vs. Pranay Sethi and Others , (2017) 16 SCC 680. Thus, the compensation works out to be Rs. 4320/- plus 40%, amounting to Rs. 6,048/- per month. The appellant will not be able to use any artificial limb and would always have to depend for her daily course and as she grows, she would suffer mor

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