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2025 Supreme(AP) 853

IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI
V. SUJATHA, J.
Rgico Ltd. - Appellant
Versus
C. Visveswara Rao and Others - Respondents
Motor Accident Civil Miscellaneous Appeal No. 95 of 2019
Decided On : 20-06-2025

Advocates:
Advocate Appeared:
For the Appellant : Harinath Reddy Soma
For the Respondent: Kambhampati Ramesh Babu

In motor accident claims, the court established proper calculations for dependency loss and emphasized the need for evidence of contributory negligence to support liability assertions.

Headnote:(A) Motor Vehicles Act, 1988 - Sections 140 and 166 - Compensation awarded for death in a motor vehicle accident - Appellate court reduced the awarded compensation from Rs.26,22,000/- to Rs.25,41,000/- based on assessment of income, personal expenses, and future prospects - Death of the deceased was linked to injuries sustained in the crash despite occurring months later - Contribution to negligence was not established against the opposing vehicle. (Paras 1-24)

(B) Compensation Assessment - Law mandates that in cases of bachelor’s death, 50% be deducted for personal expenses, while a 25% addition for future earnings is permissible. (Paras 19-21)

(C) Award reduction justified due to miscalculation of personal expenses by the Tribunal. (Paras 20-22)

Facts of the case:
The appeal is related to the award of compensation for Ch.Prakash's death arising from an accident, wherein the Insurance company contested findings on negligence and causation. The deceased suffered multiple injuries necessitating extensive medical treatment prior to death.

Findings of Court:
The award of Rs.25,41,000/- required due adjustment for personal expenses, while necessity for future prospects was established.

Issues: Focus on determination of negligence, assessment of income, and overall entitlement to compensation under Motor Vehicle laws.

Ratio Decidendi: The court reaffirmed principles guiding the assessment of financial loss related to dependency and the necessity of substantiating claims of contributory negligence.

Result: Appeal partly allowed, adjusting compensation downwards.

Table of Content
1. appellant's grievance regarding compensation awarded. (Para 1 , 2)
2. circumstances surrounding the accident detailed. (Para 3 , 4)
3. arguments made by the insurance company and claimants. (Para 6 , 11 , 12)
4. court analyzed evidence and rationale for compensation. (Para 7 , 9 , 14 , 15 , 18 , 20 , 21)
5. final compensation adjusted based on court findings. (Para 10 , 22 , 24)

JUDGMENT :

V. SUJATHA, J.

1. Aggrieved by the impugned award passed in M.V.O.P.No.53 of 2014 on the file of the Chairman, Motor Accidents Claims Tribunal-cum-XV Additional District Judge, Nuzvid whereby the Tribunal awarded an amount of Rs.26,22,000/- towards total compensation to the claimants, this instant appeal is preferred by the Insurance company (respondent No.2 before the Tribunal).

2. For the sake of convenience, both the parties in the appeal will be referred to as they are arrayed in the claim application.

3. The claimants filed a claim petition under Sections 140 and 166 of the MOTOR VEHICLES ACT claiming compensation of Rs.40,00,000/- towards compensation for the death of the Ch.Prakash (herein after referred to as “deceased”) who died in a motor vehicle accident that occurred on 10.06.2012. Petitioner Nos.1 and 2 are the parents of the deceased.

4. The brief averments of the claim petition are as follows:

On 09.06.2012, the deceased Ch.Prakash along with his friends viz. P.Pradeep Kumar, K.Tirumalesh, Sriramula Ramesh left for Mumbai from Hyderabad in a vehicle AP 09 BX 6334 driven by Syed Abdullah. On 10.06.2012 during return journey to Hyderabad, when the car reached Bombay Dabha at Yavali village on Mohal Pune Road, the driver of the car Abdullah tried to overtake another vehicle and lost control of the car, went on the wrong side of the road and colluded with a lorry bearing No.TN 52A 7789 coming in the opposite direction, as a result of which, the deceased sustained severe multiple injuries and he was admitted in Shriram C.S.M. General Hospital, Sholapur initially and treated there upto 12.06.2012. Thereafter, he was shifted to Prime Hospital, Hyderabad for better treatment and treated there upto 15.08.2012, and also undergone number of surgeries and spent about Rs.15,00,000/- for his treatment. On 15.08.2012 he was discharged from Prime Hospital, Hyderabad and taken to Tiruvuru, where he was treated by local doctors. Subsequently, his condition was deteriorated and again he was admitted in Super Speciality Hospital, Vijayawada on 24.09.2012, where he was treated upto 03.10.2012 and the petitioners incurred huge expenditure towards his treatment. The deceased died on 06.10.2012 in Tiruvuru due to the injuries sustained by him. The driver of the crime vehicle died on the spot. The petitioners suffered lot of pain and mental agony due to the death of their son. He completed his B.Tech., course in distinction, would have secured a job. The petitioners lost their support. Respondent No.1 is the owner of the offending vehicle bearing No.AP 09 BX 6334, respondent No.2 is the insurance company with which the offending vehicle was insured and the insurance policy was in force as on the date of accident.

5. Respondent No.1 remained ex parte.

6. Respondent No.2 – Insurance company filed a counter by denying the claim of the claimants and contended that there is no rash and negligent driving of driver of crime vehicle and there was contributory negligence on the part of the deceased in resulting the accident. The petition is bad for non-joinder of owner and insurer of opposite vehicle who drove the vehicle without valid driving licence and badge. The insurance company of crime vehicle is not liable to pay any compensation, but the owner, driver and insurer of the opposite vehicle bearing No.TN 52A 7789 are alone liable to pay compensation. The deceased was a spinster and he was not an earning member at the time of accident. The claim of compensation is highly excessive and requested to dismiss the petition.

7. Based on the above pleadings,

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