IN THE HIGH COURT OF KERALA AT ERNAKULAM
EASWARAN S., J.
Glitto John S/o John - Appellant
Versus
Sinan Saleem S/o T.K. Mohammed Saleem - Respondent
MACA. Nos. 14, 1924 of 2021
Decided On : 06-03-2025
(A) Motor Vehicles Act, 1988 - Liability on owner and driver of vehicle without insurance coverage - Appeal from MACA No. 14 of 2021 for enhancement of compensation and MACA No. 1924 of 2021 questioning grant of compensation - Claimant sustained severe injuries in a collision caused by a vehicle driven negligently - Tribunal awarded compensation based on notional income of Rs.10,000/- despite claimant claiming Rs.20,000/- - Tribunal's findings on income and disability challenged by both parties. (Paras 1 - 3 , 5-6, 12-20)
(B) Notional Income - Tribunal's fixation of notional income and disability percentage must reflect realities of life and not adhere to rigid formulas - Claimant's evidence of income as a tuition teacher was accepted, leading to a revised notional income. (Paras 13 - 16 )
(C) Compensation - Tribunal's award was found inadequate, leading to enhancement for loss of earnings, medical expenses, and other heads of claims. (Paras 21 - 22 )
Findings of Court:
The Tribunal's calculation of compensation was found to be erroneous, and the court modified the disability percentage and increased the overall compensation awarded.
Issues: The main issues included the appropriateness of the notional income fixed by the Tribunal, the assessment of functional disability, and the calculation of various heads of compensation.
Ratio Decidendi: The court emphasized that the assessment of disability and compensation should be based on the impact of the injury on the claimant's earning capacity, rejecting rigid adherence to previous formulas.
Result: MACA No. 14 of 2021 is allowed with enhanced compensation; MACA No. 1924 of 2021 is dismissed.
JUDGMENT :
EASWARAN S., J.
This appeal arises out of the award passed by the Tribunal in O.P. (MV) No. 1186/2016 on the files of Motor Accidents Claims Tribunal, Thrissur. In MACA No. 14 of 2021 the claimant has come up in appeal dissatisfied the quantum of compensation granted by the Tribunal whereas MACA No. 1924 of 2021 is preferred by the driver of the vehicle questioning the grant of compensation. It is pertinent to mention that in the present case there is no insurance coverage for the offending vehicle and therefore the owner and driver of the offending vehicle have been mulcted with the liability to pay the entire compensation.
2. The facts in brief of the disposed case are as follows.
The appellant/claimant on 11.11.2015, while riding a motorcycle bearing Reg.No. KL-46-H-2016 through Thrissur – Chammannur public road and when he reached near Peramangalam Village office at about 8.30 am a Maruthi Baleno Car bearing Reg.No. KL-08-AK-8309 driven by the appellant in MACA No. 1924 of 2021 came in a rash and negligent manner in terrific speeds jumped over the divider of the road ran through the wrong side and collided with the Car bearing Reg. No. KL-8-AT-8388 which was proceeding in front of the claimant’s motorcycle. Due to the impact of the collision both the cars were turned around and hit the claimant’s motorcycle. The Claimant was thus thrown on to the road and sustained severe injuries. The claimant contended that he was a tuition teacher drawing a monthly income of Rs.20,000/-. In support of his contention, Exts. A1 to A29 documents were produced. The claimant also produced Ext.A21 Disability Certificate. The claimant was examined as PW1 and PW2 was examined to prove the contents of Ext.A21. The Tribunal on appreciation of evidence found that the claimant was not successful in proving the income as claimed in the claim petition and accordingly, proceeded to fix the income notionally at Rs.10,000/- and fixed the disability as such under Ext.A21 and granted the following compensation.
| Sl. No. | Head of Claim | Amount claimed (in Rupees) | Amount awarded (in Rupees) |
| 1. | Loss of earning (Total) | 1,40,000 | 1,00,000 |
| 2. | Medical expenses | 20,00,000 | 5,84,345 |
| 3. | Bystander expenses | -- | 3,000 |
| 4. | Transportation expenses | 1,00,000 | 15,000 |
| 5. | Extra nourishment | 1,00,000 | 25,000 |
| 6. | Damage to clothing etc. | 5,000 | 1,000 |
| 7. | Pain and suffering | 3,00,000 | 75,000 |
| 8. | Compensation for continuing or permanent disability | 25,00,000 | 16,63,200 |
| 9. | Compensation for the loss of earning power | 20,00,000 | -- |
| 10. | Loss of amenities and enjoyment of life | 3,00,000 | 70,000 |
| 11. | Compensation for the shortened expectancy of life | 10,00,000 | --- |
| 12. | Personal attendant | 1,00,000 | 50,000 |
| 13. | Compensation for disfigurement | 10,00,000 | 20,000 |
| 14. | Compensation for loss of marriage prospects | -- | 25,000 |
| Total Claim limits to | 95,45,000 90,00,000 | 26,31,545 |
3. As stated above, since the vehicle in question did not have an insurance, the owner of the vehicle and the appellant in MACA No. 1924 of 2021 was directed to pay the entire amount of compensation.
4. Heard, Sri. Nimod A.R., learned counsel appearing for the appellant/ claimant in MACA No.14/2021 and Smt K.A.Sanjeetha, learned counsel appearing for the appellant/1st respondent in MACA No. 1924 of 2021.
5. The learned counsel appearing for the claimant/appellant contended that the Tribunal erred egregiously in fixing the notional income of claimant at Rs.10,000/-. In the nature of disability suffered by the claimant, it was not possible for the Tribunal to have fixed the percentage of disability at 55%. In support of his contention, the learned counsel relied on the decision of the Supreme Court in Pappu Deo Yadav v. Naresh Kumar [(2022) 13 SCC 790]. The learned counsel further placed reliance on the decision of the Supreme Court in Sunita Tokas & Anr. v. New India Insurance Company Ltd. and Another [ AIR 2019 SC 3921 ] to contend for the preposition that the notional income of a student and an outstanding sports person has to be fixed appropriately. He further pointed out that the Tribunal though accepted Exts
Pappu Deo Yadav v. Naresh Kumar
Sunita Tokas & Anr. v. New India Insurance Company Ltd.
Mangla Ram v. Oriental Insurance Co. Ltd.
Ramachandrappa v. Royal Sundaram and Alliance Insurance Company Ltd.
The court ruled that compensation must reflect the claimant's actual earning capacity and the impact of disability, rejecting rigid formulas for calculation.
A charge sheet is considered valid evidence of negligence for claims, impacting the assessment of damages significantly.
Minimum wage rates must be adhered to when calculating notional income for compensation in motor accident claims, and disability percentages cannot be reduced without proper justification.
A claimant in a motor accident case is entitled to just compensation, which may exceed the claimed amount, ensuring the award reflects the injury's nature and financial impact.
The court established that compensation in motor accident cases must reflect actual earnings and the impact of disability on the claimant's livelihood.
Compensation under the Motor Vehicle Act must be just and reasonable, reflecting the claimant's actual loss, including permanent disability and income loss.
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