IN THE HIGH COURT OF GAUHATI, ASSAM, NAGALAND, MIZORAM AND ARUNACHAL PRADESH
SANJAY KUMAR MEDHI, J.
United India Insurance Company Ltd. – Petitioner
Versus
Kusum Rajkhowa W/o Late Bhaba Rajhowa – Respondent
MAC App. Nos. 135, 249 of 2018
Decided On : 02-02-2021
Motor Accident Claim - Death in a motor accident claim - MAC Case No. 2236/2014 - The Motor Vehicles Act, 1988, Section 166 - The deceased's monthly income, multiplier, and the basis for applying the multiplier were the key legal provisions discussed by the court. The court emphasized the importance of considering the deceased's actual income and age for applying the multiplier, as established by the Supreme Court in the case of National Insurance Co. Ltd. vs. Pranay Sethi and Others, (2017) 16 SCC 680.
Fact of the Case:
The case pertains to a death in a motor accident claim where the deceased's mother filed a claim petition before the Motor Accident Claims Tribunal. The tribunal awarded compensation, which was challenged by the Insurance Company and the claimants.
Finding of the Court:
The court found that the deceased died in a vehicular accident and awarded compensation based on the deceased's assumed monthly income and the multiplier applied by the tribunal. The court analyzed the evidence and legal provisions to determine the appropriate compensation.
Issues: The issues included the determination of the deceased's monthly income, the multiplier to be applied, and the quantum of compensation to be awarded.
Ratio Decidendi: The court emphasized that the deceased's actual income and age should be considered for applying the multiplier, as established by the Supreme Court in the case of National Insurance Co. Ltd. vs. Pranay Sethi and Others, (2017) 16 SCC 680.
Final Decision: The court modified the award by considering the deceased's actual income and applying the correct multiplier, resulting in a revised compensation amount. The Insurance Company was directed to deposit the balance amount for payment to the claimant.
ORDER :
1. Both these appeals having arisen out of the same judgment and award dated 15.03.2017 passed by the learned Motor Accident Claims Tribunal No. 3, Kamrup (M) at Guwahati in MAC Case No. 2236/2014, the same are taken up for disposal together.
2. While MAC Appeal No. 135/2018 has been preferred by the Insurance Company questioning the quantum of the award on various grounds, the MAC Appeal 249/2018 has been preferred by the claimants praying for enhancement of the award dated 15.03.2017.
3. Before going to the respective cases, of the parties before this Court, it would be convenient to narrate the facts of the case which have culminated into the judgment and award dated 15.03.2017.
4. The instant appeal pertains to death in a motor accident claim. The deceased Shri Girindra Rajkhowa was accompanying his friend Sankumoni Goswami in an Innova car which met with an accident on 25.06.2014 at 9.40 pm. In the said accident, Shri Girindra Rajkhowa suffered multiple injuries and died on the spot. Accordingly, the claimant who is the mother of the deceased had filed the instant claim petition before the learned Tribunal which was registered as MAC Case No. 2236/2014. The vehicle in question being insured with the United India Insurance Company, the same was made the opposite party No. 2, whereas the owner/driver of the vehicle was made the opposite party no. 1.
5. After exchange of pleadings the learned Tribunal framed the following issues:
(ii) Whether the claimant is entitled to get compensation and if so, to what would be the amount.
6. Two witnesses were produced from the side of the claimant including the claimant herself and various documents were also proved. Neither the Insurance Company, nor the owner choose to adduce any evidence in defense.
7. The claimant as PW-1 narrated that she being the mother of the deceased was present when her son had boarded the vehicle of the opposite party no. 1 on the ill fated day i.e. on 25.06.2014, after which the accident had occurred. She stated that the deceased son was aged 33 years and was earning about Rs. 17,000/- per month. The insurance cover of the vehicle by the Insurance Company was also duly stated. In support of her claim, the claimant had submitted copy of the FIR, Accident Information Report, Post Mortem Report, School Certificate and Income Tax Return. The version of PW-1 was also supported by PW-2 who was a witness to the occurrence.
8. The learned Tribunal after consideration of the matter assumed the monthly income of the deceased to be Rs. 10,000/- on the ground that no officials from the Income Tax Department had come to prove the Income Tax Return of the deceased. So far as the multiplier is concerned, the learned Tribunal took the age of the claimant into consideration and not the age of the deceased. Accordingly, after making the statutory adjustments an award of Rs. 11,90,000/- has been passed.
9. I have heard Shri S.S. Sharma, learned senior counsel for the Insurance company which is the appellant in MAC 135/2018 and respondent in MAC Appeal No. 249/2018. I have heard Shri A.J. Sharma, learned counsel for the claimant who is the respondent in MAC 135/2018 and the appellant in MAC Appeal No. 249/2018. Shri G. Alam, learned counsel is present in both the appeals representing the owner/driver.
10. Let us first deal with the contention of the Insurance Company which has questioned the quantum of the award.
11. At the outset, it is submitted that there is no challenge on the ground of any violation of the policy conditions and the challenge is only limited to the quantum. Shri Sharma, learned senior counsel submits that when the Income Tax Return were held to be not properly proved, the basis
The main legal point established in the judgment is that the deceased's actual income and age should be considered for applying the multiplier in motor accident compensation cases, as per the Supreme....
There is no justification for the learned Tribunal to award interest from date of filing the evidence on affidavit.
The appropriate income, future prospects, and multiplier for calculating compensation under the Motor Vehicles Act were determined based on legal principles established in previous cases.
The correct application of the multiplier method in compensation calculations is crucial, particularly regarding the deceased's age and tax considerations.
Multiplier has to be determined o the basis of age of the deceased and not his mother.
The correct multiplier for compensation should be based on the deceased's age, not that of the parents, affecting total compensation calculations.
The court redefined the deceased's age for compensation calculation from 38 to 46 years and adjusted future earnings based on appropriate deductions, ultimately revising the compensation awarded by t....
The age of the deceased should be the basis for determining the multiplier in motor accident compensation cases, as established in previous judgments.
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