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2026 Supreme(Bom) 90

IN THE HIGH COURT OF JUDICATURE AT BOMBAY CIRCUIT BENCH AT KOLHAPUR
M. M. SATHAYE, J.
Shri. Sanjay Laxman Kakade – Appellant
Versus
Shri. Ajinath Shankar Tele – Respondent
First Appeal No. 279 of 2025
Decided On : 10-04-2026

Advocates Appeared:
For the Appellant : Mr.Santosh Bhosale a/w Amol S. Deshinge
For the Respondent: Mr. Avesh Ghadge h/f Shalini Shankar, Mr. Ruturaj U. Kadam i/b Shankar Katkar

In motor accident death claims for unmarried non-earning students, 50% deduction for personal expenses applies unless claimants prove family dependency on deceased's future income; multiplier based solely on deceased's age.

Headnote:(A) Motor Vehicles Act, 1988 - Section 166 - Motor accident death claim by parents and siblings of 23-year-old unmarried student pursuing higher education and preparing for competitive exams - Tribunal assessed notional monthly income at Rs.25,000/-, applied 50% deduction for personal expenses, 40% future prospects, and multiplier of 5 based on age of parent, awarding Rs.13,28,300/- with 9% interest against owner and insurer jointly - In appeal, multiplier of 18 correctly applied based on age of deceased - 50% deduction upheld as normal rule for unmarried deceased absent evidence of family dependency or contribution from deceased to family expenses; family comprising parents and multiple studying siblings unlikely fully dependent on future earnings of deceased - No deviation to 1/3 deduction warranted without positive proof - Compensation enhanced to Rs.40,58,300/- with 9% interest payable by insurer. (Paras 3,8,9-15,17-18)

Facts of the case:
Claimants filed petition after deceased student died in accident caused by rashly driven tractor dashing her two-wheeler. Tribunal held owner and insurer liable for awarded amount. Appeal contested multiplier and deduction, arguing larger family size justified lower deduction.

Findings of Court:
Notional income Rs.25,000/-, 40% future prospects, 50% deduction, multiplier 18, resulting in Rs.40,58,300/- with 9% interest from date of claim petition, payable by insurer.

Issues: Correct multiplier for compensation calculation; appropriate deduction for personal expenses in claim by family of unmarried non-earning deceased student with studying siblings.

Ratio Decidendi: Multiplier determined by deceased's age, not claimants'; for unmarried non-earning deceased, 50% deduction standard unless evidence establishes large family dependent on deceased's prospective income; claimants bear burden to prove deviation from norm; notional income and future prospects applied uniformly to avoid denying compensation.

Result: Appeal partly allowed.

Table of Content
1. fatal accident facts and tribunal award details. (Para 1 , 2 , 3)
2. arguments for multiplier 18 and 1/3 deduction. (Para 4 , 10)
3. defense of 50% deduction lacking contribution evidence. (Para 5 , 6)
4. multiplier fixed at 18 per deceased's age. (Para 7 , 8)
5. 50% deduction upheld without dependency proof. (Para 9 , 11 , 12 , 13 , 14 , 15)
6. appeal partly allowed with recalculated compensation. (Para 16 , 17 , 18 , 19 , 20)

JUDGMENT :

M. M. SATHAYE, J.

1. Admit. Learned counsel for the Respondents waive service. Considering the narrow controversy involved, the Appeal is taken up for final disposal by consent of learned counsel for the parties.

2. The Appeal is filed by the Claimants challenging the impugned judgment and award dated 02.09.2024 passed in Motor Accident Claim Petition (MACP) No. 15/2024 by Motor Accident Claims Tribunal (MACT), Phaltan, Dist. Satara. By the impugned judgment and award, both the Respondents (Owner and Insurance Company) are held jointly and severally liable to pay Rs.13,28,300/- with interest @ 9% p.a. from the date of claim application till realization.

3. Few facts are necessary for disposal of the Appeal are as under :

3.1. The Appellants are parents and siblings of deceased Parvani Sanjay Kakade. Claim is filed under Section 166 of the Motor Vehicle Act, 1988 (‘M.V. Act’ for short). The Appellants filed the said application contending inter alia that on 01.01.2021 at around 2.30 pm, the deceased was traveling on her two wheeler from Phaltan to Pandharpur when the offending vehicle tractor (MH-45-S-3372) came from behind in rash and negligent manner and dashed the two wheeler. In the said accident, the deceased died on the spot. They contended that deceased was a bright student studying in second year M.A. and was a UPSC aspirant. They further contended that apart from excellent academics, deceased was also an all-rounder being an NSS Cadet, holding special knowledge about sanskrit language who has passed related examination. That she had also completed basic computer typing course and was studying in SP College, Pune. The Appellants made a claim of Rs.78,00,000/- as compensation contending that she would have earned at least Rs.50,000/- per month.

3.2. The Respondents including the Insurance Company filed written statement raising various defences. Considering the limited scope of argument, it is not necessary to elaborate on the defences raised. Suffice it to note that the Insurance Company contended that the claim made is exorbitant.

3.3. The learned Tribunal on appreciation of evidence arrived at the figure of Rs.25,000/- per month as income of the deceased, applied deduction of 50% towards personal expenses and applied multiplier of 5 along with future prospects of 40%. Accordingly the compensation figure is arrived at, as indicated above.

4. Learned counsel for the Appellants/Claimants submitted as under.

4.1. That the multiplier applied by the Tribunal is ex-facie incorrect and multiplier of 18 is applicable.

4.2. That 50% deduction is not appropriate because though the deceased was unmarried, the family size of the Appellants/Claimants is large including parents and three siblings and therefore, 1/3 deduction ought to have been applied. He relied upon the judgments of Hon’ble Supreme Court in the case of Ashvinbhai Jayntilal Modi vs. Ramkaran Ramchandra Sharma And Anr. - LAWS(SC)-2014-9-96 and Oriental Insurance Co. Ltd vs. Deo Patodi, Devendra Arora - LAWS(SC)-2009-5-35 in support of his submission about the deduction.

4.3. That non-earning deceased is an alien concept to the motor accident claim. That actual contribution in family expenses has no role to play so far as deduction on notional income is concerned. He further submitted that the Insurance Company is trying to carve out a separate class of Claimants by connecting the applicable deduction to the aspect of dependency. That such creation of class which is not as per settled position of law, is discriminatory and therefor

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