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2026 Supreme(SC) 508

SUPREME COURT OF INDIA
SANJAY KAROL, MANMOHAN, JJ.
Kumari Laxmisree – Appellant
Versus
The Managing Director, Ksrctc Depot, Bengaluru – Respondents
Civil Appeal No. 4493 of 2025 (Arising out of SLP(C)No. 2695 of 2024)
Decided On : 05-03-2025

Advocates appeared:
For the Petitioner(s): Mr. Arjun Krishnan, AOR Mr. Arpit Lahoti, Adv.
For the Respondent(s): Mrs. T.S Shanthi, Adv. Mr. Nishant Verma, AOR Ms. Sneha Irine Kachhap, Adv. Mr. Amit J, Adv.

Compensation for a minor victim suffering total permanent disability must be reasonable, encompassing sufficient notional income, lifelong future medical expenses for hardware maintenance, and necessary attendant charges, ensuring the claimant can maintain a standard of living appropriate to their lifetime care requirements.

Headnote:(A) Motor Vehicles Act, 1988 - Section 166 - Motor accident - Injury resulting in permanent disability - Quantum of compensation - Principles of just and fair compensation - For a minor victim suffering permanent physical impairment due to amputation of lower limbs, compensation must encompass a realistic assessment of notional income, future medical expenses including periodic replacement of artificial limbs for the duration of the biological lifespan, and attendant charges necessitated by total physical impairment. (Paras 11, 12, 13, 14)

(B) Assessment of compensation - Future medical expenses - Liability to pay for periodic replacement of prosthetic devices must be calculated based on the anticipated lifespan of the victim - Amount for attendant charges must reflect the continuous requirement of assistance due to total physical disability. (Paras 12, 14, 15)

Facts of the case:
The appeal originated from a motor vehicle accident involving a minor pedestrian who suffered grievous injuries, resulting in bilateral above-knee amputation and total permanent disability. The claimant sought enhancement of the award, challenging the lower assessment of notional income, the inadequate estimation for lifetime prosthetic limb costs, and the insufficient grant for attendant support.

Findings of Court:
The court determined that the assessment of notional income for a child must reflect a reasonable standard of living. It emphasized that compensation for future medical expenses must realistically account for the recurring cost of replacing prosthetic hardware throughout the claimant’s lifetime. Furthermore, it affirmed the right to adequate compensation for attendant charges based on the lifelong need for physical assistance. The total compensation was recalculated to include these items comprehensively.

Issues: The primary issues were the determination of appropriate notional income for a minor victim, the method for computing lifetime future medical expenses for equipment, and the quantification of requisite attendant charges for a person with total physical disability.

Ratio Decidendi: Compensation for a minor with permanent disability must account for realistic economic factors, including reasonable notional income and comprehensive future support. The assessment of lifetime expenses for medical hardware and human assistance must be calculated based on long-term necessity and a reasonable standard of care.

Result: Appeal allowed.

Table of Content
1. procedural history and factual background of the motor accident claim. (Para 1 , 2 , 3 , 4 , 5 , 6 , 7 , 8)
2. grounds for challenging the adequacy of the high court's compensation assessment. (Para 9 , 10)
3. principles for increasing compensation based on life-long medical needs and realistic notional income. (Para 11 , 12 , 13 , 14)
4. determining total compensation by applying statutory precedents to individual disability needs. (Para 15)
5. final judicial order for the disbursement of enhanced compensation. (Para 16 , 17)

ORDER

Time taken for disposal of the claim petition

Time taken for disposal of appeal by the High Court

Time taken for disposal of the appeal in this Court

3 years 8 months

4 years 4 months

1 year 2 months

Leave granted

2. This appeal is directed against the judgment and order dated 17th April, 2023, passed in Miscellaneous First Appeal No. 10130/2018 (MV-I) by the High Court of Karnataka at Bengaluru, which, in turn was preferred against the order dated 26th September, 2018 in M.V.C No.982/2015 passed by the Motor Accident Claims Tribunal, Bengaluru City, SCCH-4.

3. The brief facts giving rise to this appeal are that on 11th August, 2013, the claimant-appellant, then aged 12 years, after practising dance class for the Independence Day Program at her school, was returning home in an auto-rickshaw at Tuppadamaduvina Gate, Bindiganavile, Nelamangala. While crossing the road after alighting from an auto-rickshaw, the KSRTC Bus (hereinafter referred to as the “offending vehicle”) bearing registration number K.A.09.F.3563 collided with the claimant-appellant in a rash and negligent manner, dragging her for a certain distance. Consequently, the front wheel of the offending vehicle ran over both her legs and caused multiple injuries to the claimant-appellant. She initially received first aid at Nelamangala Hospital, was then transferred to the Beluru IT Hospital, and, subsequently, shifted to Hosmat Hospital, where she was treated for two months in the ICU. On account of multiple fractures and injuries suffered, both the legs of the claimant-appellant above the knee were amputated.

4. In connection with this incident, a criminal case was registered against the driver of the offending vehicle under Sections 279, 337 and 338 of the Indian Penal Code, 1860.

5. A claim petition was filed on behalf of the claimant-appellant under Section 166 of the Motor Vehicle Act, 1989, before the Tribunal, seeking compensation to the tune of Rs. 1,00,00,000/-, submitting therein that the claimant-appellant was still receiving treatment and has already spent more than Rs.10 Lakhs on medical and conveyance. After the incident, due to the injuries suffered, she was completely bedridden and needed the assistance of a female servant.

6. The Tribunal, vide its order, held that the respondent, being the owner and insurer, is liable to pay an amount of Rs.18,50,000/- as compensation to the claimant-appellant, along with interest @ 6% per annum from the date of filing of the claim petition. The Tribunal assessed the disability suffered by her as 100%. An amount of Rs.6,00,000/- was awarded towards the loss of income due to permanent disability and further awarded varied compensation towards different heads.

7. Aggrieved, the claimant-appellant filed an appeal before the High Court seeking enhancement of the amount of compensation awarded by the Tribunal.

8. The High Court, vide the impugned order, partly allowed the appeal and enhanced the compensation amount by an amount of Rs.34,69,200/-, the total compensation arrived at was Rs.53,19,200/- along with interest @ 6% per annum. The Court assessed the notional income of the claimant-appellant as Rs.8,000/- per month as per the cost of living and wages at the time of the incident. In furtherance of the exposition of law in Master Ayush v. the Branch Manager, Reliance General Insurance Co. Ltd. & Anr., (2022) 7 SCC 738 the Court awarded Rs.24,19,200

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