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2022 Supreme(Bom) 988

IN THE HIGH COURT OF JUDICATURE AT BOMBAY BENCH AT AURANGABAD
S.G. Dige, J.
Manik Rambhau Pawar (Died) and ors. – Appellants
Versus
Kamlakar Atmaram Kadam and ors. – Respondents
First Appeal No.2803 of 2008
Decided On : 02-08-2022

Advocates:
Advocate Appeared:
For the Appellant :Mr. P.S. Chavan, Advocate
For the Respondent:Mr. R.P. Bhumkar, Advocate, Mr. S.V. Kulkarni, Advocate

The main legal point established in the judgment is the consideration of notional income, future prospects, and conventional head for calculating compensation in motor accident claims cases involving the death of a child, as emphasized by legal precedents.

Headnote:

Compensation - Motor Accident Claims - Notional income, Future prospects, and Conventional head - [COMPENSATION] - Motor Accident Claims - [Motor Vehicles Act, 1988, Section 166] - The court discussed the application of the multiplier method for ensuring just compensation, considered notional income, future prospects, and conventional head for calculating the compensation. The court referred to judgments of the Hon’ble Supreme Court and applied the legal principles established in those judgments to determine the compensation amount.

Fact of the Case:

On 06.04.2006, the son of the appellants – claimants, Dattu, was fatally injured in a road accident involving a Jeep. The claimants filed a petition for compensation before the Motor Accident Claims Tribunal, Latur. The Tribunal awarded compensation, which was challenged in the appeal for enhancement of compensation.

Finding of the Court:

The court found that the Tribunal had not considered the notional income of the deceased nor applied the multiplier method while awarding compensation. It observed that the deceased was more than 15 years old and had been helping his father in agricultural work, indicating the need to consider notional income. The court referred to legal precedents and calculated the enhanced compensation amount based on notional income, future prospects, and conventional head.

Issues: The issues revolved around the calculation of compensation, including the consideration of notional income, future prospects, and conventional head, and the application of the multiplier method for ensuring just compensation.

Ratio Decidendi: The court's decision was based on the application of legal principles established in judgments of the Hon’ble Supreme Court, which emphasized the consideration of notional income and future prospects for calculating compensation in motor accident claims cases involving the death of a child.

Final Decision: The appeal was allowed, and the amount of compensation was enhanced from Rs.1,50,000/- to Rs.4,67,500/-. The appellants were entitled to the enhanced amount with interest at 6% from the date of filing the claim petition till realization of the amount. The appellants were also entitled to withdraw the amount deposited by respondent no.3.

JUDGMENT :

Being aggrieved and dissatisfied by the judgment and award passed by the Member, Motor Accident Claims Tribunal, Latur, the appellant – original claimant preferred this appeal for enhancement of compensation.

2. Brief facts of the case are as under :-

On 06.04.2006, the son of the appellants – claimants viz :- Dattu, a boy around 15 years studying in class-IX was proceeding by road near Sakhara Pati, Latur at that time, Jeep bearing registration No.MH-24/F-3214 gave dash to Dattu, who died on the spot due to injury sustained by him. The said vehicle was driven by respondent no.1- Shri Kamlakar Kadam and owned by respondent no.2 – Hanumant Nagtilak. The said vehicle was insured with respondent no.3. Crime was registered against respondent no.1.

3. Appellants – original claimants filed claim petition before the Motor Accident Claims Tribunal, Latur (for short, “the Tribunal”) for getting compensation. Considering the evidence on record and after hearing the parties, the Tribunal has awarded compensation. The said judgment and order is under challenge.

4. Heard Mr.P.S. Chavan, the learned counsel for the appellant, Mr.R.P. Bhumkar, the learned counsel for respondent nos.1 and 2 and Mr.S.V. Kulkarni, the learned counsel for respondent no.3.

5. The learned counsel for the appellant submits that the Tribunal has not applied the multiplier method while awarding the compensation. Deceased Dattu was more than 15 years old. The Tribunal should have applied the multiplier method for ensuring the just compensation. The Tribunal has not awarded compensation for pecuniary losses, future prospects as well as other expenses like funeral expenses. Hence requested to allow the appeal. The learned counsel relied upon the judgments of the Hon’ble Supreme Court in the case of Kishan Gopal and another Vs Lala and others reported in (2014) 1 SCC 244, M.S. Grewal Vs. Deep Chand Sood reported in (2001) 8 SCC 151 and the judgment of Kerla High Court in the case of The New India Assurance Co. Ltd., Regional Office, Kandamkulathy Towers, M.G. Road, Ernakulam, Represented by its Duty Authorised Officer V/s Sarasu, W/o Gangadharan, Chillikkottathil House, Kolothumparambu, Kedamangalam Kara, Parvavur village and others reported in 2020 SCC Online Ker. 20473.

6. The learned counsel for respondent no.3 submits that the Tribunal has considered all the aspects while passing the judgment. There is no evidence on record to show that the deceased was earning some amount. The deceased was 16 years old school going boy, hence the compensation awarded by the Tribunal is just and proper.

7. The learned counsel for respondent nos.1 and 2 supported the submissions of the learned counsel for respondent no.3.

8. Perused the judgment and order passed by the Tribunal.

9. Admittedly the Tribunal has not considered notional income of deceased nor multiplier is applied while awarding compensation. A lumsum amount of Rs.1,50,000/- is awarded as compensation. Hence it is necessary to see evidence on record.

10. Deceased Dattu was more than 15 years old. The school leaving certificate produced on record shows his date of birth is 25.06.1990. In the evidence of appellant no.1, it has come on record that the deceased used to help him in agricultural work. The Tribunal has denied this fact on the ground that in cross-examination, the appellant has admitted that the deceased was busy throughout the day in his studies. I have seen evidence given by appellant. In his cross examination, this witness denied the suggestion that Dattu never helped him in agricultural work. The Tribunal by figment of imagination come to know that Dattu was busy in study throughout day. The occupation of appellant no.1 is agriculture and the deceased was his son. It is common in village that the son helps his father in the agricultural work. It indicates the Tribunal has not applied his mind while consid

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