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2025 Supreme(Bom) 1269

IN THE HIGH COURT OF JUDICATURE AT BOMBAY BENCH AT AURANGABAD
NEERAJ P. DHOTE, J.
Shantabai W/o Ramesh Salve - Appellant
Vs.
Ashok S/o Kishanrao Kharat - Respondent
First Appeal No. 653 Of 2017
Decided On : 12-06-2025

Advocates:
Advocate Appeared:
For the Appellant :Mr. Shahaji B. Ghatol Patil Advocate
For the Respondent:Mr. Vilas S. Janephalkar Mr. S. R. Bodade Advocate

Compensation must incorporate future prospects and the correct multiplier based on the deceased's age, following established legal precedents for justice.

Headnote:(A) Motor Vehicles Act, 1988 - Section 173 and Section 166 - Appeal for enhancement of compensation due to death in a motor accident - Compensation originally set at Rs.2,85,000/- is modified to Rs.5,63,600/- with 6% interest from date of claim - The Tribunal originally considered monthly income as Rs.3,000/- while Claimants asserted it should be Rs.4,500/-. The multiplier applied was based on mother's age instead of deceased's, and future prospects were not added. Court found that the deceased’s established monthly income should include a 40% increase for future prospects, following previous cases. (Para 12)

(B) Compensation Calculation - The higher monthly income was justifiable as the deceased was under 40 years old and a deduction for living expenses was appropriately made. Conventional heads of loss were also awarded based on statutory precedents. The appeal was partly allowed. (Paras 8, 10, 11, 12)

Facts of the case:
This appeal is filed by the parents of the deceased who died in a vehicular accident, where the Tribunal initially awarded Rs.2,85,000/- based on a notional income without proper substantiation of claimed earnings.

Findings of Court:
The court upheld the necessity to apply a proper multiplier and included future prospects in income calculations.

Issues: Main issues included the determination of monthly income, application of the correct multiplier relevant to the deceased's age, and inclusion of additional amounts under conventional heads.

Ratio Decidendi: The court emphasized the necessity of calculating compensation based on established legal precedents regarding income, future prospects, and proper application of multipliers specific to the deceased's demographics.

Result: The Appeal is partly allowed with costs, modifying compensation to Rs.5,63,600/-.

Table of Content
1. overview of the case and circumstances of the accident. (Para 1 , 2)
2. arguments for compensation enhancement by claimants and defense by insurance company. (Para 3 , 4)
3. court's observations and considerations regarding income, multiplier, and interest. (Para 5 , 6 , 7 , 8 , 9 , 10 , 11)
4. final determination of compensation and order. (Para 12 , 13)

JUDGMENT :

NEERAJ P. DHOTE, J.

1. This is an Appeal under Section 173 of the Motor Vehicles Act, 1988 [hereinafter referred to as ‘the M.V. Act’] by the Original Claimants, who are the parents of Vishal Salve (hereinafter referred to as ‘Deceased’), who died in a Motor Vehicular Accident, for further enhancement.

2. The facts giving rise to the present Appeal are as under : -

2.1. The Claimants filed the Claim Petition bearing No. 5 of 2010 before the learned Motor Accident Claims Tribunal, Parbhani [for short ‘the Tribunal’] under Section 166 of the M.V. Act. Their Deceased son was working as the Cleaner on Tempo bearing No. MH-22/1707. On 14.03.2009, at about 01:30 am, Deceased was travelling in the aforesaid Tempo which was bring driven by its Driver from Parbhani to Osmanabad. On their way, Deceased asked the Driver to stop the Tempo for urine purpose. When the Deceased was alighting the said Tempo, the Driver lost his control over the Tempo and Deceased fell down and suffered injuries. The Deceased was hospitalized, and he succumbed to the injuries. They claimed compensation of Rs.4,00,000/- as Deceased was earning Rs.4,500/- per month by working as a Cleaner and he was 20 years old at the time of accidental death, and they were dependent on him.

2.2. The Claim Petition was contested by Respondents by filing the Written Statements at Exhs. 25 and 27. They denied the contentions of the Claimants. The Insurance Company took a plea that the Driver was not holding the valid and effective driving license at the time of accident. It was pleaded by Respondent No. 1, who was the owner of the said Tempo that the Deceased fell down from the Tempo on his own negligence and it was the act of God. They contended that the Claim Petition be dismissed.

2.3. The learned Tribunal framed the issues below Exh. 28. The Mother of Victim filed her Evidence Affidavit below Exh. 36 and she was cross-examined on behalf of the Insurance Company. The police papers, copy of Insurance Certificate and other relevant documents were brought on record during the evidence. On appreciating the evidence on record and after hearing both the sides, the learned Tribunal passed the Judgment and Award granting compensation of Rs.2,85,000/- with interest at the rate of 6% p.a. from the date of order.

3. It is submitted by the learned Advocate for the Appellants that the Appeal is preferred on the ground of Quantum. Though the evidence was led by the Claimants, the learned Tribunal considered the notional income as Rs.3,000/- per month, instead of Rs. 4,500/-. The multiplier is applied by taking into consideration the age of the Mother instead of considering the age of Deceased. The interest should have been granted from the date of Claim Petition. The amounts under conventional heads are also not granted. He submitted that the Appeal be allowed and the Compensation be enhanced.

4. It is submitted by the learned Advocate for the Insurance Company that there was no documentary evidence in respect of the monthly income of the Deceased and, therefore, the learned Tribunal has rightly considered the notional income of Rs. 3,000/-. He fairly submitted that, there was no dispute about applying proper multiplier by considering the age of the Deceased and the interest should have been from the date of Application and the other amounts under the conventional heads are to be awarded. Judgments in Laxmi Devi and others Versus Mohammad Tabbar and another , (2008) 12 SCC 165 and in Shri Ram General Insurance Co. Ltd. Vs. Bhagat Singh Rawat , LAWS(SC)-2023-3-140, are cited.

5. Heard both the sides. Perused the evidence a

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