Point of Law: A self employed person between the age group of 40-50 years is entitled to 25% more as future prospects.

JUDGMENT :

This appeal is filed by the applicant/appellant against the award in O.P.(M.V.) No.995 of 2014 dated 14.8.2018 of Additional Motor Accident Claims Tribunal -IV, Thiruvananthapuram.

2. The brief facts of the case is as follows:-

On 20.2.2014 at 8.45 p.m., when the petitioner was walking through Killippalam -Attakkulangara public road and when he reached near Attakkulangara Junction, a lorry bearing Reg.No.KL 20-A-5252 driven by the first respondent in a rash and negligent manner and in over speed, hit the petitioner from behind and thereby he fell down and sustained serious injuries.

3. The first respondent/owner of the vehicle was set ex-parte. The 2nd respondent Insurance company filed a written statement contending that the petition is not maintainable. It was admitted that the lorry bearing Reg.No.KL 20 A 5252 was validly insured at the time of accident. There was no negligence on the part of the first respondent and the accident occurred only because of the negligence on the part of the petitioner. The Tribunal, relying on Ext.A1 to A11 and the oral evidence of PW1, awarded a compensation of Rs.15,91,600/-with 9% interest from the date of petition. Aggrieved by the same, this appeal is filed.

4. The main contention raised by the learned counsel for the appellant is regarding the notional income taken. The Tribunal took the income as Rs.6,000/-. Relying on the decision reported in Ramachandrappa v. Manager, Royal Sundaram Alliance Insurance Company Limited [2011 (13) SCC 236], the notional income of the appellant is taken as Rs.9,500/-instead of Rs.6,000/-as the accident happened in the year 2014. The Tribunal took 75% as loss of earning capacity, though the Medical Board issued certificate showing permanent disability as 45% because being a foot path footwear seller and due to the amputation of leg below knee, there is substantial reduction in his earning capacity. Going by the schedule to the Employees Compensation Act, the percentage of disability for amputation of leg below knee is 50%. Taking into consideration of all these facts, the Tribunal fixed the loss of earning capacity as 75%. I am also in agreement with the Tribunal in fixing the percentage of earning capacity at 75% due to the amputation of leg below knee. The appellant was aged 48 years. So the multiplier applicable as per the decision reported in Sarla Verma v. Delhi Transport Corporation & Another (2010 (2) KLT 802), is 13.

5. In National Insurance Company Ltd., v. Pranay Sethi [2017 (16) SCC 680], the Constitution Bench held that, while determining the income, an addition of 50% of actual salary to the income of the deceased towards future prospects, where the deceased had a permanent job and was below the age of 40 years, should be made. The addition should be 30%, if the age of the deceased was between 40 to 50 years. In case the deceased was between the age of 50 to 60 years, the addition should be 15%. Actual salary should be read as actual salary less tax. The Apex Court held further that in case the deceased was self-employed or on a fixed salary, an addition of 40% of the established income should be the warrant where the deceased was below the age of 40 years. An addition of 25% where the deceased was between the age of 40 to 50 years and 10% where the deceased was between the age of 50 to 60 years should be regarded as the necessary method of computation. The established income means the income minus the tax component.

6. The question whether in a case of permanent disablement incurred as a result of a motor accident, the claimant can seek apart from compensation for future loss of income, amounts for future prospects too came up for consideration before the Apex Court reported in Pappu Deo Yadav v. Naresh Kumar and others (AIR 2020 SC 4424).

The Apex Court in paragraph No.7 of the said decision held thus:-

“Two questions arise for consideration: one, whether in cases of permanent disablement incurred as a result of a motor accident, the claim