IN THE HIGH COURT OF KERALA AT ERNAKULAM
EASWARAN S., J.
THE BRANCH MANAGERUNITED INDIA INSURANCE COMPANY LIMITED REP. BY ITS MANAGER – Appellant
Versus
MUJEEB RAHMAN A.P. S/O HYDRU – Respondent
M.A.C.A. No. 45 of 2021, M.A.C.A. No. 2000 of 2022
Decided On : 20-01-2025
JUDGMENT :
1. “Death is certain in life but yet the timing remains uncertain.” Death of a 15-year old child is inconsolable. No amount can compensate the parents for loss of their ward. Yet the award of compensation will remain thin commiseration.”
1.1 In these appeals this Court is called upon to decide the quantum of compensation required to be awarded on account of the death of a minor Child. M.A.C.A. No. 45 of 2021 is preferred by the insurance company and M.A.C.A. No. 2000 of 2022 is preferred by the claimants aggrieved by the quantum of compensation awarded by the tribunal.
2. Brief facts for disposal of these appeals are as follows:
3. According to the Insurance Company the grant of compensation is exorbitant whereas, the claimants contended that the compensation awarded by the tribunal is insufficient.
4. Heard Sri. Mathews Jacob, the learned Senior counsel assisted by Smt. Preethi R. Nair, the learned counsel appearing for the insurance company, Sri. M. Sadiqali, the learned counsel appearing for the claimants and Sri. Nimod A.R. the learned Amicus Curiae appointed by this Court.
5. The appeal preferred by the insurance company shall be dealt with first since the decision of this Court in this appeal will have an impact on the appeal preferred by the claimants. Sri. Mathews P. Jacob, the learned Senior counsel assisted by Smt. Preethy R Nair, appearing for the insurance company contended that the tribunal erred in fixing the notional income at Rs. 18,000/- per month. In respect of a child who is aged less than 15 years, according to the learned Senior counsel, the tribunal could not have fixed the notional income and should have applied the principles of global compensation as enunciated by the Hon’ble Supreme Court in Meena Devi vs. Nunu Chand Mahto @ Nemchand Mahto and Others, 2023 (1) SCC 204. Reliance is also placed on the judgment of this Court in Preethu and others vs. Sukumaran P and another, MACA No. 595 of 2021 dated 6.9.2024 rendered by E.S. (J). It is further submitted that the tribunal had applied 50% of the income towards future prospects whereas, only 40% can be taken. This, according to the learned Senior counsel, is an alternate submission if this Court finds that the fixation of the notional income is inevitable.
6. On the other hand, the learned counsel appearing for the claimants contended that it has become the necessity of the day to revisit the law laid down by this Court on this point. Referring to the decision of this Court in National Insurance Company vs. K.K. Assainar and others, 2019 (4) KLT 39, the learned counsel submitted that the principles laid down by this Court in the above decision requires to be revisited in the light of the subsequent judgments rendered by the Hon’ble Supreme Court.
7. Sri. Nimod A.R., the learned Amicus Curiae submitted that irrespective of the age of the deceased/claimant, even if the claimant or the victim being a minor, the Court should apply the minimum wages to arrive at the notional income. This according to the learned Amicus Curiae is inevitable because the principle enshrined under Section 166 of the Motor Vehicles Act, 1988 requires the tribunal and the court to fix just and fair com
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The court established that in compensation claims for the death of a minor, the notional income should be based on minimum wages, especially after the omission of the Second Schedule to the Motor Veh....
Post deletion of the Second Schedule, compensation for child victims of accidents must be based on Minimum Wages and include future prospects and proper deductions for personal expenses.
The court established that the notional income for a minor in a motor accident claim must reflect just compensation, emphasizing the application of the multiplier system for calculating damages relat....
The court established that compensation for the death of a minor must account for both immediate and future financial dependencies of parents, ensuring just compensation under the Motor Vehicles Act.
The court established that for minors' deaths in accidents, just compensation must account for both future dependency and non-pecuniary losses while emphasizing methodologies that align with uniform ....
The main legal point established in the judgment is the application of the multiplier method and the use of minimum wages for determining notional income in cases of motor accidents involving the dea....
The court established that compensation calculations must consider the deceased's role and proper deductions for personal expenses, following established legal principles.
The court established a dual-component methodology for calculating compensation for minors injured in motor vehicle accidents, addressing both pecuniary and non-pecuniary losses.
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