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2022 Supreme(Raj) 2439

HIGH COURT OF JUDICATURE FOR RAJASTHAN BENCH AT JAIPUR
Anoop Kumar Dhand, J.
Smt Mumtaj & Ors. – Appellants
Versus
Punji Lal Yadav & Ors. – Respondents
S.B. Civil Miscellaneous Appeal No. 6249 of 2011
Decided On : 17-02-2022

Advocates appeared:
Mr. Prashant Sharma and Mr. Jaip Prakash Gupta, for the Appellant
Ms. Sweety Mishra, Mr. Deshraj Kalwania, for the Respondent.

The main legal point established in the judgment is the correct assessment of compensation under the Motor Vehicles Act, including the assessment of income, deduction for personal expenses, consideration of future prospects, and the award of compensation for conventional expenses.

Headnote:

Motor Vehicles Act - Compensation Calculation - Section 173 - MAC Case No.36/2011 (163/2010) - The court discussed the application of the Motor Vehicles Act, 1988, specifically Section 173, and referenced the judgments of Sarla Verma v. Delhi Transport Corporation and National Insurance Company Ltd. v. Pranay Sethi & Ors. The court highlighted the principles of compensation calculation, including the assessment of income, deduction for personal expenses, future prospects, and conventional expenses, and how they influenced the decision.

Fact of the Case:

The appellants appealed against the judgment and award passed by the Motor Accident Claims Tribunal-cum-Additional District Judge, seeking enhancement of compensation for the death of Sharif Mohammad in a motor accident.

Finding of the Court:

The court found that the Tribunal had not correctly assessed the income of the deceased and had failed to consider the minimum wages of skilled labor prevailing at the time of the accident. It also noted that no compensation had been awarded for future prospects and conventional expenses, which led to the decision to enhance the compensation amount.

Issues: The issues included the correct assessment of the deceased's income, deduction for personal expenses, consideration of future prospects, and the award of compensation for conventional expenses.

Ratio Decidendi: The court held that the Tribunal's failure to consider the minimum wages of skilled labor and the omission of compensation for future prospects and conventional expenses warranted an enhancement of the compensation amount.

Final Decision: The court decided to enhance the compensation amount by Rs. 2,36,000 and ordered the Insurance Company to pay the enhanced compensation within six weeks, with interest at 6% per annum.

ORDER

1. The instant appeal under Section 173 of the Motor Vehicles Act, 1988 has been preferred by the appellants against the judgment and award dated 20.07.2011, passed by the Motor Accident Claims Tribunal-cum-Additional District Judge (Fast Track Court No.1), Beawar (for short 'Tribunal') in MAC Case No.36/2011 (163/2010), whereby, the Tribunal has awarded a sum of Rs. 4,55,000/- on account of death of Sharif Mohammad, which occurred on 08.09.2009.

2. Learned Tribunal after framing the issues, evaluating the evidence available on record and hearing both the sides, decided the claim petition of the appellants and awarded compensation of Rs.4,55000/- under various heads.

3. Learned counsel for the appellants submitted that deceased was aged about 40 years at the time of accident and he was working as 'Mistri' which falls within the definition of skilled labour and at the prevalent time, the minimum wages of skilled labour was Rs.115/- per day i.e. Rs.3450/- per month. While the learned Tribunal has assessed the income of the deceased as Rs.3000/- only without any basis.

4. Counsel for the appellant further submitted that the number of dependants were eight and as per the principles laid down in the case of Sarla Verma v. Delhi Transport Corporation: (2009) 6 SCC 121, the deduction of 1/5th should have been applied while the Tribunal has deducted 1/4th towards income of the deceased.

5. Learned counsel further submitted that no amount has been awarded in the head of future prospects in the light of the judgment of Hon'ble Apex Court in the case of National Insurance Company Ltd. v. Pranay Sethi & Ors. : (2017) 16 SCC 680. Learned counsel further submitted that as per the judgment of Pranay Sethi (supra), looking to the age of of the deceased i.e. 40 years, the claimant-appellants are entitled to get future prospects of 25 per cent. Lastly, he argued that under the conventional heads, namely loss of estate, loss of consortium and funeral expenses, the claimant-appellants are entitled to get amount of Rs.70,000/- while the learned Tribunal has awarded a sum of Rs.10,000/- only and thus he prayed that the impugned judgment and award passed by the learned Tribunal needs suitable enhancement.

6. Per contra, learned counsel for the respondent-Insurance Company as well as counsel appearing for owner of the vehicle submitted that the learned Tribunal while deciding the claim petition of the appellants has rightly taken into consideration the factors while calculating the amount of compensation, on the case anvil of the evidence produced before it. Thus, there is no justification for enhancement of compensation.

7. Learned counsel for the respondent, however, are not in a position to controvert the submissions made by the learned counsel for the appellants with respect to re-computation of the award in the present case in the light of the judgment of Hon'ble Supreme Court in the case of 'Sarla Verma & Ors. (supra)' and 'Pranay Sethi (supra)'.

8. I have considered the submissions made at bar and gone through the judgment dated 20.07.2011, as well as the other relevant documents available on the record. Admittedly, the deceased Sharif Mohammad was aged about 40 years at the time of accident and therefore the learned Tribunal was not right in applying the deduction of 1/4th looking to the number of dependants of the deceased. The learned Tribunal has failed in taking into consideration the minimum wages of the skilled labour prevaling at the releant time when the accident occurred. Once, when the learned Tribunal has determined that the deceased was working as Motor Mechanic (Mistri) which falls within the definition of skilled labour, and at the releant time, the minimum wages of the skilled labour was Rs.3450/- per month.

9. Since, no compensation has been awarded in the head of future prospects, 25% of the annual income is to be added to the yearly income of the deceased in the light of the judgment of Hon'ble Supreme Court in the case of "Pra

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