IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
BIREN VAISHNAV, NISHA M. THAKORE, JJ.
NIRMALADEVI WD/O NATHULAL KUBERJI PATEL – Appellant
Versus
SHANKERLAL DHANAJI KOTAK (MINA) – Respondent
First Appeal No. 244 of 2012
Decided On : 22-01-2024
Motor Vehicles Act - Compensation - Section 173 - Summary of Acts and Sections: Motor Vehicles Act, 1988, Section 166 - The court discussed the principles governing the determination of compensation in case of death in a motor vehicle accident, emphasizing fairness, reasonableness, and equitability. The court also referred to the decision in National Insurance Company Limited vs. Pranay Sethi and Others, (2017) 16 SCC 680, which emphasized determining compensation based on fairness and reasonableness without falling into the trap of arithmetical formulas.
Fact of the Case:
The appeal sought enhancement of compensation for a fatal motor vehicle accident. The deceased, a pipe fitter, died in an accident while visiting his native village. The claimants sought compensation for loss of future income, loss of consortium, loss of estate, and funeral expenses.
Finding of the Court:
The court found that the Tribunal erred in not considering documentary evidence of the deceased's income and in not extending the benefit of prospective income. The court re-determined the compensation under various heads, including future loss of income, loss of consortium, and loss of estate and funeral expenses, and awarded an enhanced compensation of Rs. 37,69,416 with 9% interest.
Issues: The issues included the determination of compensation for loss of future income, loss of consortium, loss of estate, and funeral expenses, and the application of appropriate legal principles in determining just and proper compensation.
Ratio Decidendi: The court applied the principles of fairness, reasonableness, and equitability in determining compensation, and emphasized the need to consider documentary evidence of income and extend the benefit of prospective income. The court also referred to the decision in National Insurance Company Limited vs. Pranay Sethi and Others, (2017) 16 SCC 680, which emphasized determining compensation based on fairness and reasonableness without falling into the trap of arithmetical formulas.
Final Decision: The court allowed the appeal, holding the original claimants entitled to an enhanced compensation of Rs. 37,69,416 with 9% interest, to be paid by the respondents jointly and severally within 8 weeks.
JUDGMENT :
NISHA M. THAKORE, J.
1. This appeal is filed by the original claimants under Section 173 of the Motor Vehicles Act, 1988 praying for enhancement of the amount of compensation for Rs. 15,49,470/- as against the judgment and award dated 22.09.2009 passed by the Motor Accident Claims Tribunal (Auxi) Himatnagar, Sabarkantha in Motor Accident Claim Petition No. 956 of 1997. By the said judgment and award, the learned Tribunal has partly allowed the aforesaid claim petition by granting compensation of Rs. 4,09,000/- along with interest at the rate of 6% p.a. from the date of filing of claim petition till its realization as well as with proportionate costs of the petition.
2. The facts of the case as emerged on record are as under:
2.2. On 14.6.1997, the original opponent no. 1 who was driving the offending jeep in excessive speed and in rash and negligent manner, lost his control over the steering and the jeep went off the road. It further proceeded in a ditch on the southern side of the road, whereby, the said vehicle dashed with a tree causing fatal injuries to the persons traveling in the jeep.
2.3. The husband of the original applicant no. 1 Nathubhai Kuberji sustained fatal injuries, on account of which, he died. The accident was reported with Shamlaji Police Station, which was registered as CR - I No. 68 of 1997.
2.4. The claim petition came to be filed by the family members of the deceased Nathubhai Patel which include his three children and his wife and mother. The minor children- applicant nos. 2 and 3 were represented through their natural guardian i.e. wife of the deceased. The claim of compensation of Rs. 15,59,470/- was initially preferred towards the death of the deceased in the said motor accident, which was later on enhanced for additional compensation of Rs. 10 lakhs.
3. It was the case of the applicants that deceased Nathubhai Kuberji was aged about 34 years and since he had technical knowledge as a pipe fitter, he had traveled abroad to Kuwait to work as a pipe fitter in a National Company for Mechanical and Electrical Works Limited at Kuwait. It was contended before the Tribunal that the passport was issued by the Government of India on 31.3.1994 and the Visa period sanctioned was for five years i.e. up to 22.6.1999 and the deceased had stayed back at Kuwait till 1.5.1997. It was further contended that the deceased had returned back to India to attend marriage at his village Deval in the month of May, 1997.
4. The wife of the deceased had deposed before the Court that during the period from 1.7.1997 to 2.5.1997 the deceased had earned income of 168.750 Dinar and the deceased was paid 200 Dinar for a period of 32 days while he was on leave. It was further submitted that at the time of accident the conversion rate of the Dinar to Rupees was Rs. 180.251 per Dinar and thus, it was submitted that the deceased had saved Rs. 43,605/- while he had returned back to India. By referring to the aforesaid evidence, it was submitted that the income of the deceased if converted into Indian Currency would come to around Rs. 20,781/- per month and Rs. 2,49,377/- per year.
5. Apart from the aforesaid oral evidence, the applicants have placed on record various documentary evidence, which includes translated statement of salary account at Exh.80, which shows that the deceased was working in Mechanical and Electrical Company Limited on 1.2.1996 for daily wages of 6.250 Dinar. It further transpires that the deceased was working as daily
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The main legal point established in the judgment is the application of principles of fairness, reasonableness, and equitability in determining just and proper compensation in motor vehicle accident c....
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The main legal point established in the judgment is the re-assessment of notional income and enhancement of compensation under various heads to ensure just and reasonable compensation for the claiman....
The court affirmed the principle of just compensation in motor accident claims, emphasizing the need for adequate assessment of loss of dependency and future prospects based on established income.
The Court applied the principles laid down by the Supreme Court in determining compensation under the Motor Vehicles Act, emphasizing the retrospective applicability of Supreme Court decisions.
The court established that actual income evidence must be prioritized over notional income in compensation claims under the Motor Vehicle Act.
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