IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
VAIBHAVI D. NANAVATI, J.
MANOJBHAI RANCHHODBHAI BHOI – Appellant
Versus
YASINBHAI AHMEDBHAI VAHORA – Respondent
First Appeal No. 841 of 2020
Decided On : 01-02-2023
Motor Vehicle Act - Compensation under Section 173 - 163A - [Kishan Gopal and Others vs. Lala and Others, (2014) 1 SCC 244] - The court modified the judgment and award dated 19.9.2019 by enhancing the compensation amount based on the legal principles laid down in the case of Kishan Gopal and Others vs. Lala and Others, (2014) 1 SCC 244. The court referred to the Second Schedule under Section 163-A of the M.V. Act and the legal principle established in Lata Wadhwa's case to determine the notional income for compensation to those who had no income prior to the accident. The court applied the legal principles to calculate the enhanced compensation amount and directed the Insurance Company to deposit the enhanced compensation within a specified period.
Fact of the Case:
The appeal was filed under Section 173 of the Motor Vehicle Act challenging the judgment and award passed by the Motor Accident Claim Tribunal. The deceased daughter of the appellants sustained grievous injuries in a motor vehicle accident and subsequently succumbed to the injuries. The Tribunal awarded compensation to the appellants, which the appellants found to be contrary to the settled principles of law.
Finding of the Court:
The court found that the Tribunal erred in considering the income of the deceased and in awarding the compensation amount. The court referred to the legal principles established in the case of Kishan Gopal and Others vs. Lala and Others, (2014) 1 SCC 244 to modify the judgment and award by enhancing the compensation amount.
Issues: The issues revolved around the calculation of compensation under Section 163A of the Motor Vehicle Act and the application of legal principles in determining the compensation amount.
Ratio Decidendi: The court applied the legal principles established in the case of Kishan Gopal and Others vs. Lala and Others, (2014) 1 SCC 244 to calculate the enhanced compensation amount based on the notional income for compensation to those who had no income prior to the accident.
Final Decision: The court allowed the first appeal to the extent of modifying the judgment and award dated 19.9.2019 by enhancing the compensation amount. The court directed the Insurance Company to deposit the enhanced compensation within a specified period and provided instructions for the disbursement of the amount.
JUDGMENT :
VAIBHAVI D. NANAVATI, J.
1. This First Appeal is filed by the appellants-original claimant under Section 173 of the Motor Vehicle Act challenging the judgment and award dated 19.9.2019 passed by the learned Motor Accident Claim Tribunal (Aux.) at Anand in Motor Accident Claim Petition No. 475 of 2017. The said judgment and award according to the appellants herein is contrary to the settled principles of law as laid down in the case of Kishan Gopal and Others vs. Lala and Others, (2014) 1 SCC 244 and that the quantum of the award is on lower side and contrary to the evidence on record.
2. The brief facts leading to the filing of the present appeal read thus:
3. The legal representatives of the deceased daughter who was aged five months approached the learned Claim Tribunal by filing MACP No. 475 of 2017 at MACT Anand under the provision of 163A of MV Act, 1988 for the compensation to the tune of Rs.2,09,500/-. The Tribunal by judgment and award dated 19.9.2019 awarded Rs.1,69,800/- together with interest at the rate of 9% to the appellants. The said judgment and award dated 19.9.2016 reads thus:
The claim petition is hereby partly allowed.
The opponent No. 1 to 3 jointly and severally do pay the applicants Rs. 1,69,800-00 (Rupees One Lax Sixty Nine Thousand Eight Hundred only) together with interest at the rate of 9% p.a. from the date of application till realization. The aforesaid opponent is directed to deposit the awarded amount within one month from today in this Tribunal.
On such deposit being made, first of all deficit Court Fees, if any, to be deducted.
When deposited, after deducting deficit court fees, remaining amount be equally distributed amongst the applicants and from the share of respective applicant, 30% amount be paid to the applicant by A/c payee cheque, and rest 70% be fixed deposited in any nationalized bank for a period of five years in the name of applicant with a condition that no loan or advances shall be floated on the said FDR without prior permission of the Tribunal. However, the applicant will be entitled to get periodical interest which accrues on the said FDR.
Award be drawn accordingly.
Pronounced in the open Tribunal on today on 19th day of September, 2019.”
4. Being aggrieved by the said judgment and award dated 19.9.2019 the appellants have approached this Court by filing the present appeal.
5. Heard Mr. R.G. Dwivedi, the learned advocate appearing for Mr. Pradeep R. Mishra, the learned advocate appearing for the appellants and Mr. Rathin Raval, the learned advocate appearing for the respondent No. 3-Insurance Company.
6. The notice to respondent Nos.1 and 2 is served, but they have chosen not to appear. However, as the appeal is only for quantum this matter is finally heard. 6. Mr. R.G. Dwivedi, the learned advocate appearing for Mr. Pradeep Mishra, the learned advocate appearing for the appellants submitted that the learned Tribunal has erred by considering the income of the deceased only Rs.12,000/- p.m. and erred in awarding Rs.1,69,800/-. The concerned Court has erred in not applying the principles as laid down in the case of Kishan Gopal and Others v. Lala and Others, (2014) 1 SCC 244.
7. Mr. Rathin Raval, the learned advocate appearing for the respondent No. 3-Insurance Company was not in position to controvert the submissions canvassed by the learned advocate appearing for the ap
The main legal point established in the judgment is the application of legal principles from the case of Kishan Gopal and Others vs. Lala and Others, (2014) 1 SCC 244 to calculate the enhanced compen....
Compensation for minors in fatal accidents should reflect potential contributions, with a notional income of Rs.30,000/- applied, leading to an enhanced total of Rs.5,00,000/-.
The main legal point established in the judgment is the application of legal principles from various precedents to determine just and reasonable compensation in motor vehicle accident cases involving....
The court established that in cases of child fatalities due to motor vehicle accidents, the compensation should be calculated using a multiplier method, taking into account the child's potential cont....
The main legal point established in the judgment is the determination of compensation for the deceased based on the notional income and future prospects, as guided by the principles established in re....
The main legal point established in the judgment is the application of the multiplier method and the use of minimum wages for determining notional income in cases of motor accidents involving the dea....
The court established that the notional income for a non-earning child should be set at Rs.30,000 per annum, applying a multiplier of 15 for calculating compensation, considering inflation and emotio....
The main legal point established in the judgment is the application of the Motor Vehicles Act, 1988 (U/s.166) and Rule 455 of Motor Vehicle Rules in determining compensation for a road accident resul....
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.