IMPORTANT POINT
The court established that future job prospects must be considered when determining notional income for compensation in motor vehicle accident cases.

JUDGMENT :

JOHNSON JOHN, J.

1. The appellants are the petitioners in O.P. (MV) No. 1432 of 2015 on the file of the Motor Accident Claims Tribunal, Pathanamthitta and they are challenging the quantum of compensation fixed by the Tribunal under various heads as inadequate.

2. The appellants are the legal heirs of the deceased Nitheesh Nanu, who died in a motor vehicle accident on 30.09.2015. According to the appellants, while the deceased was riding a motorcycle, bus driven by the 2nd respondent in a rash and negligent manner from the opposite side caused to hit the motorcycle and thereby, the deceased sustained serious injuries and subsequently, succumbed to his injuries on the same day.

3. Before the Tribunal, Exhibits A1 to A13 were marked from the side of the petitioners and no evidence adduced from the side of the respondents.

4. After trial and hearing both sides, the Tribunal found that the accident occurred because of the negligence on the part of the 2nd respondent and that respondents are jointly and severally liable to pay compensation and awarded a total compensation of Rs. 19,00,400/- to the petitioners.

5. Heard the learned counsel for the appellants and the learned Standing Counsel appearing for the respondent insurance company.

6. According to the appellants/petitioners, the deceased was a final year engineering student aged 23 years at the time of the accident and the Tribunal fixed only Rs. 12,000/- as his notional income and the same is on the lower side. Exhibit A9 course and conduct certificate issued by the Principal, Baselios Mathews-II College of Engineering, Sasthamcotta shows that the deceased was a student of the said college for the B. Tech degree course in Mechanical Engineering Branch from 2011 to 2015. Exhibit A10 is a call letter for an interview in the name of the deceased from Larsen and Toubro. Exhibit A11 is an admit card from Larsen and Toubro. Exhibit A12 is a certificate of training in the name of the deceased for successfully completing all the course requirements for Nebosh International General Certificate-I, II, III.

7. In Ramakrishnapillai K. and Others v. New India Assurance Co. Ltd. 2015 (3) KLJ 750, this Court fixed the monthly income of a B. Tech 4th Semester student who died in an accident on 10.03.2006 as Rs. 12,000/-. In Kandasamy v. Linda Briyal, 2023 KHC 5361, the Honourable Supreme Court reckoned Rs. 25,000/- as the monthly income of an engineering graduate who died in an accident occurred on 28.09.2008.

8. The learned counsel for the respondent insurance company argued that the deceased herein was only a final year student of engineering and he was aged only 23 years and in the case of Kandasamy (supra), the deceased was a B. Tech graduate aged 28 years and working in a company.

9. In this case, the accident occurred in the year 2015. Therefore, considering the date of accident and also taking into account the increased prospects of job opportunities for engineering graduates, this court is of the view that Rs. 22,000/- can be fixed as the notional monthly income of the deceased for the purpose of calculating the loss of dependency. In view of the decision of the Honourable Supreme Court in National Insurance Co. Ltd. v Pranay Sethi, (2017) 16 SCC 680 and Jagdish v. Mohan, (2018) 4 SCC 571, an addition of 40% can be made towards future prospects.

10. The Tribunal accepted 18 as the multiplier applicable and deducted 50% of the income towards the personal and living expenses of the deceased by following the decision of the Hon'ble Supreme Court in Sarla Varma v. Delhi Transport Corporation, 2010 (2) KLT 802 (SC). Thus, while re-assessing the compensation for loss of dependency as per the revised criteria, the amount would come to Rs. 33,26,400/- [(22000 + 40%) x ½ x 12 x 18]

11. The decision of the Hon'ble Supreme Court in Pranay Sethi (Supra) would show that the reasonable amount payable on conventional heads namely loss of estate, loss of consortium and funeral expenses should be Rs. 1