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2026 Supreme(Kar) 49

IN THE HIGH COURT OF KARNATAKA AT BENGALURU
C.M.Joshi, J.
Reliance General Insurance Company Limited – Appellant
Versus
Sharada V Mulagund And Ors. - Respondents
Miscellaneous First Appeal No. 5936 of 2016 (MV-D)
Decided On : 05-01-2026

Advocates Appeared:
For the Appellant :Sri H.S Lingaraj, Advocate
For the Respondent:Sri B.M Chandrashekara, Advocate, Sri M K Nagendra Kumar, Advocates

The court upheld the Tribunal's compensation assessment for loss of dependency but modified non-pecuniary damages, reaffirming the need to align with established Supreme Court precedents on compensation structures.

Headnote:(A) Motor Vehicles Act, 1988 - Compensation claims - Petitioner sought compensation for death in an accident caused by a lorry - Tribunal awarded Rs.13,25,000/-; appeal by Insurance Company questioned assessment and liability. (Paras 4, 7, 10)

(B) Negligence - Tribunal found no contributory negligence on part of deceased based on police charge sheet. (Paras 7, 9)

(C) Appropriate assessment of compensation - The appellate court affirmed the assessment of loss of dependency but modified damages under consortium and love and affection to align with apex court guidelines. (Paras 8, 11)

(D) Interest Rate - Tribunal's interest rate of 9% upheld as justified. (Para 12)

Facts of the case:
On 15.07.2013, the deceased was killed in an accident involving a lorry. The appellant, as Insurance Company, contested the claim alleging negligence by the deceased.

Findings of Court:
The Tribunal awarded compensation but the appellate court modified it to Rs.11,27,000/- based on the assessment of dependency and damages.

Issues: The court examined the existence of contributory negligence and the proper assessment of damages.

Ratio Decidendi: The court maintained the Tribunal's assessment of earnings while modifying non-pecuniary damages in accordance with established precedents, asserting that issues of negligence should not be interfered with unless shown to be perverse.

Result: Appeal allowed in part.

Table of Content
1. accident details and victim's background. (Para 4)
2. arguments on contributory negligence and compensation disputes. (Para 5 , 8)
3. court's analysis of evidence and tribunal's compensation assessment. (Para 6 , 9 , 11)
4. final order on compensation adjustment and interest. (Para 7 , 12 , 13)

JUDGMENT :

C M JOSHI, J.

1. Heard the learned counsel appearing for the appellant. None appears for respondents.

2. Aggrieved by the judgment and award in MVC No.6660/2013 by learned X Additional Judge, Court of Small Causes and MACT , Bangalore, respondent No. 2- Insurance Company is before this Court in appeal.

3. The parties would be referred to as per their rank before the Tribunal for the sake of convenience.

4. The petitioner is the wife of the deceased-Vasant V. Mulagund and on 15.07.2013 the deceased was proceeding on his scooter as a rider near Nagarbavi ring road, Bangalore, and a gas lorry bearing No. KA.09.A.2273 came in high speed and in rash and negligent manner and dashed against the deceased resulting in his instantaneous death. A case was registered by the concerned police and ultimately, a charge sheet was filed against the lorry driver. The owner and insurer of the lorry are arrayed as respondent No. 1 and respondent No. 2. The petitioner contended that deceased was working as a Lecturer in Viswabharathi Vidya Mandira School earning Rs.42,000/- per month and used to contribute to the family. The deceased was aged about 64 years at the time of the accident and therefore, the petitioner is entitled for compensation from the owner and insurer of the offending vehicle.

5. The petition was opposed by respondent No. 2-Insurance Company, contending that there was negligence on the part of the deceased also and as such, the compensation claimed by the petitioner being exorbitant, imaginary and untenable, the same is liable to be dismissed. Inter alia, it was contented that the terms and conditions of the policy were violated by the driver of the lorry.

6. Appropriate issues were framed by the Tribunal and the petitioner was examined as PW1. Exhibit P1 to Exhibit 16 were marked in evidence. Official of respondent No. 2/appellant was examined as RW 1 and Exhibit R1 was marked. Driver of the lorry was examined as RW 2. After hearing the arguments, the Tribunal held that the petitioner is entitled for a compensation of Rs.13,25,000/- under following heads:

Sl.No.Head of CompensationAmount/Rs
1Loss of dependency10,50,000
2Loss of consortium1,00,000
3Loss of estate50,000
4Loss of love and affection1,00,000
5Funeral Expenses25,000
Total13,25,000

7. The Tribunal rejected the contention of respondent No. 2 that there was contributory negligence on the part of the deceased.

8. Learned counsel appearing for the appellant-Insurance Company would submit that the assessment of the compensation by the Tribunal is not proper and it could not have granted a sum of Rs.1,00,000/- towards loss of consortium and loss of love and affection as it violates the principles laid down by the Apex Court in the case of National Insurance Company Limited Vs. Pranay Sethi and others , 2017 (16) SCC 680 . He submits that the reassessment be made in this regard. He further submits that the Tribunal also erred in holding that there was no contributory negligence on the part of the deceased. He also submits that the rate of interest awarded by the Tribunal is on the higher side.

9. A perusal of the records would reveal that after investigation the Investigating Agency had filed a charge sheet against the driver of the lorry and therefore, the Tribunal mainly relying upon the investigation papers has held that there was no negligence on the part of the deceased. The testimony of RW2, who is the driver of the lorry is also appreciated by the Tribunal in detail. Para 19 of the impugned judgment would show that the Tribunal has applied its mind and has considered the contentions canvassed by the learned counsel for the appellant. Obviously, when the appreciation of t

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