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2007 Supreme(Pat) 1115

PATNA HIGH COURT
Barin Ghosh and Rekha Kumari JJ.
Mumtaz Begum
Versus
Ram Chandra Mukhiya
Letters Patent Appeal No. 779 of 1998 ;
Decided On : JULY 11, 2007

Headnote:

Motor Vehicles Act - Compensation for Death in Motor Vehicle Accident - The court held that the claimant was entitled to compensation of Rs. 30,000/- together with interest as per the provisions of the Motor Vehicles Act, 1939.

Fact of the Case:

A child died in a motor vehicle accident, and the claimant, the mother of the victim, sought compensation.

Finding of the Court:

The court found that the claimant was entitled to compensation of Rs. 30,000/- together with interest, as the death of the victim resulted in loss of estate and consortium.

Issues: The issues involved the determination of compensation under the Motor Vehicles Act, 1939, for the death of a child in a motor vehicle accident.

Ratio Decidendi: The court applied the provisions of the Motor Vehicles Act, 1939, and held that the claimant was entitled to compensation based on the loss of estate and consortium, in addition to the no-fault basis compensation.

Final Decision: The court allowed the appeal, set aside the order of the First Appellate Court, and modified the order of the tribunal to award the claimant compensation of Rs. 30,000/- together with 12% interest per annum from the date of the accident.

Judgment

Barin Ghosh and Rekha Kumari JJ.

1. A motor vehicle accident occurred on 8.4.1988 when a child, aged about 15 years, died. At that time, the Motor Vehicles Act, 1939 was holding the fort. Chapter VII-A was inserted in the said Act in 1980. Chapter Vll-A prescribed liability of the owner without fault and at the same time provided that the same would not take away the right to claim compensation on the principle of fault. While the said Act by Section 92(a), contained in the said Chapter, fixed compensation on no fault basis at Rs. 15,000/-, it prescribed in Section 92(b), also contained in the said Chapter, that if the liability on fault basis exceeds the liability on no fault basis, then the fixed liability on no fault basis would merge with the liability on the basis of fault, and accordingly the claimant will be entitled to only the liability assessed on the basis of fault.

2. It is now well settled in law that a death occasions three losses, namely, (1) loss of income; (2) loss of estate and (3) loss of consortium.

3. In the instant case, the victim, being a child, was not entitled to engage himself in any profession or vocation to earn money, although attempts were made to lead evidence as if he was working as a Khalasi and in turn was being remunerated.

In a situation of this nature, it would be safe to proceed on the basis that by reason of death of the victim there was no loss of income.

4. Inasmuch as death occurred by reason of a motor vehicle accident, the claimant, being the mother of the victim, became entitled to a compensation of Rs. 15,000/- on

"No Fault Basis" in terms of Section 92(a) of the said Act. The Hon ble Supreme Court has held that on account of loss of estate and loss of consortium, the claimant is entitled to a sum of Rs. 15,000/- each assessed conventionally.

Therefore, at the best, the compensation on fault basis in the instant case can be assessed at Rs. 30,000/-. The sum of Rs. 30,000/- being more than the sum of Rs, 15,000/-, the claimant, according to us, was entitled to in accordance with the provisions of the said Act to a compensation of Rs. 30,000/- together with interest thereon. The tribunal as well as the First Appellate Court in not awarding such compensation and interest committed error.

5 It does not appear to us that any attempt was made before the tribunal to establish that the death occurred by reason of contributory negligence on the part of the victim. In such view of the matter, we have no other option, but to allow the appeal.

6. Before doing so, it is our duty to point out that the learned counsel for the parties cited a judgment of a learned Single Judge of this Court in the case of Oriental Insurance Company Ltd. V/s. Paspati Prasad & Ors., 1998 2 PLJR 617 wherein the learned Single Judge held that in case of death of a person, compensation on no fault liability should not be less than Rs. 50,000/-. This observation, the learned Judge made in connection with Motor Vehicles Act, 1988. In the instant case we are concerned with the Motor Vehicles Act, 1939 .

7. In the circumstances, the appeal is allowed. The order of the First Appellate Court is set aside and the order of the tribunal is modified by incorporating therein that the claimant was entitled to a compensation of Rs. 30,000/- together with 12% interest per annum thereon from the date of the accident until payment of the compensation amount.

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