IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
J. C. Doshi, J.
Bajaj Allianz General Insurance Company Limited – Appellant
Versus
Kapilaben Vipulbhai Sindhav & Ors. – Defendants
R/FIRST APPEAL NO. 3238 of 2009
Decided On : 06-12-2024
(A) Motor Vehicles Act, 1988 - Sections 166 and 173 - Compensation awarded for fatal injuries sustained by the deceased in a road accident - Appeal restricted to a specific sum - Tribunal's reliance on an offer letter for calculating dependency loss - Court emphasized the need for just and fair compensation. (Paras 1, 4, 6, 15, 18)
(B) Contributory negligence - Tribunal's finding of 50% negligence by the deceased upheld - No challenge to this finding by the claimants. (Paras 16, 18)
Facts of the case:
The deceased was fatally injured in a road accident involving a motor cycle and a car due to the negligent driving of the car. The claimants sought compensation under the Motor Vehicles Act.
Findings of Court:
The tribunal's calculation of compensation was adjusted to account for contributory negligence, with an enhanced amount awarded to the claimants.
Issues: The main issues included the validity of the income evidence presented and the calculation of fair compensation.
Ratio Decidendi: The court ruled that the tribunal correctly considered the potential earnings of the deceased based on the offer letter and applied the principle of just compensation.
Result: Appeal dismissed; compensation enhanced.
JUDGMENT :
J. C. DOSHI, J.
Being aggrieved and dissatisfied by the final judgment, order and award dated 7.5.2009 passed by the Motor Accident Claims Tribunal, Fast Track Court No.1, Ahmedabad (Rural) at Viramgam in MACP No.45/2008 whereby a sum of Rs. 10,68,200/- with interest at the rate of 7.5% p.a. from the date of the claim petition till realization with proportionate costs is awarded to the present respondents 1 to 3 (Orig. claimants) as compensation under Sec. 166 of the Motor Vehicles Act, 1988, and the present appellant is held jointly and severally liable for payment of 50% of the said sum, the present appellant has preferred the present First Appeal under Sec.173 of the Motor Vehicles Act, 1988. The challenge in the present appeal is restricted to a sum of Rs.3,26,600/- only.
2. The brief facts of the present petition are that on 26.8.2008 at about 7.30 AM hours, deceased Vipul Shankarbhai Sindhav, wanted to go to Viramgam for the study and service purpose and was standing nearby pick up bus stand of village Vani, situated in Dhangdhra- Viramgam village, time one between at that Bharatbhai Arjanbhai resident of village Vani came near by to said deceased Vipulbhai taking motor cycle bearing registration no. GJ.1.CS 8423, and he has stopped his motor cycle nearby the deceased Vipulbhai and both were talking with each other, mean while one Ford car bearing its registration no. GJ 3 CA 9495 came from the Viramgam driven by the opponent no.1 with full speed, rashly and negligently and even further coming to the wrong side of the road thereon had dashed his said ford car with the motor cyclist Bharatbhai Arjanbhai, therefore said motor cycle went in to the ditch nearby the road, and the said motor cycle was totally damaged, and deceased Vipulbhai sustained fatal injuries over the head and other injuries over the body, therefore, injured Vipulbhai was brought to Medilink Hospital at A'bad for medical treatment, where he was admitted as a indoor patient and during the medical treatment, he succumbed to said injuries on 27.8.2008 i.e. next day after incident, hence widow and the parents of the deceased Vipulbhai have filed this claim petition under section 166 of M.V. Act to get compensation of Rs.10.00.000/-.
2.1 The tribunal after considering the oral as well as documentary evidence led during the trial passed the judgment and award as referred in paragraph 1 of this judgment which has given rise to the present appeal.
3. Heard learned advocates appearing for the respective parties.
4. Learned Advocate Mr.Ninad Shah for Ms.Raol, learned advocate for the appellant – insurance company would submit that tribunal committed serious error in taking up the offer letter issued by the ICICI Bnak Ltd., to the deceased as the base for considering the dependency loss as the deceased had not joined the services of the Bank and therefore document relied upon at Exh.27 could not be said to be evidence to establish the income of the deceased. He would further submit that tribunal ought to have considered that there is no evidence on record produced by the claimant to prove the income of the deceased and in that event the tribunal should consider income of the deceased at Rs.3,000/- for calculating dependency loss and therefore he would submit that compensation computed by the tribunal is for more than the adequate and just compensation which could be granted to the claimant.
4.1 By placing reliance upon the decision in case of Syed Basheer Ahamed & Ors., vs. Mohammed Jameel & Anr., [(2009) 2 SCC 225], more particularly, paragraph 14 and 21 thereof, he would submit that merely bare assertion of income by the heir of the claimant is not sufficient to discharge the onus on behalf of the claimant and therefore he would submit to allow this appeal.
5. On the other hand, leaned advocate Mr.Mehul Mehta for the org. claimant would submit that it was not a mere offer letter produced at Exh.27 but the ICICI Bank issued issue letter to the deceased – Vipul
Surekha W/o Rajendra Nakhate Versus Santosh S/o Namdeo Jadhav 2021 (16) SCC 467
Divisional Controller, KSRTC v. Mahadeva Shetty and Another
Concord of India Insurance Co. Ltd. v. Nirmala Devi (1979) 4 SCC 365
K. Suresh v. New India Assurance Co. Ltd.
The court affirmed the principle of just compensation under the Motor Vehicles Act, emphasizing that potential earnings should be considered when calculating dependency loss.
The court reaffirmed the principle of just compensation, allowing enhancement beyond the claimed amount, emphasizing the duty to assess fair compensation under the Motor Vehicles Act.
The main legal point established in the judgment is the Court's duty to award just compensation under the Motor Vehicles Act, taking into account recent legal developments and the power of the Court ....
The appellate court can enhance compensation under the Motor Vehicles Act even without a cross-appeal from claimants, ensuring just compensation based on evidence.
Compensation for vehicular accidents must be just and reasonable, focusing on equitable loss recovery, while applying correct legal principles without succumbing to strict technicalities.
The court affirmed that the insurance company is liable for compensation when the driver, even if related to the owner, was covered under the policy, emphasizing the principle of just compensation.
The court established that contributory negligence must be proven, and compensation should be just and adequate, reflecting the actual loss suffered by the claimants.
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