SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2022 Supreme(Raj) 2904

IN THE HIGH COURT OF JUDICATURE FOR RAJASTHAN
Manoj Kumar Garg, J.
Bhuvneshwari – Appellant
Versus
Goverdhan – Respondent
S.B. Civil Misc. Appeal No. 2206/2007
Decided On : 24-02-2022

Advocates Appeared:
Prashant Panwar, Advocate, Anish Bhadala, Advocate, Murli Sain, Advocate, Rajesh Panwar, Advocate, A.K.Dadhich, Advocate

The main legal point established in the judgment is the correct calculation of compensation in motor accident cases, considering the deceased's income, application of the multiplier, and the inclusion of future prospects.

Headnote:

Compensation - Motor Accident Claims Tribunal - Calculation of Compensation

Fact of the Case:

The appellants filed an appeal against the judgment and award passed by the Tribunal, seeking enhancement of the compensation awarded for the death of the deceased in a motor accident.

Finding of the Court:

The Court found that the Tribunal had wrongly assessed the income of the deceased and applied the wrong multiplier for calculating the compensation. It also noted that future prospects and advancements in the deceased's life should have been considered in the calculation.

Issues: The main issues were the assessment of the deceased's income, the application of the multiplier, and the consideration of future prospects in the calculation of compensation.

Ratio Decidendi: The Court applied the principles established in the judgments of the Hon’ble Supreme Court in the cases of Sarla Verma (Smt.) & Ors. v. Delhi Transport Corporation & Anr., National Insurance Company Ltd. vs. Pranay Sethi, and New India Insurance Company Ltd.V/s Somwati and Ors. to determine the correct calculation of compensation.

Final Decision: The Court partly allowed the appeal and enhanced the compensation awarded by the Tribunal, ordering the Insurance Company to pay the enhanced amount to the appellants-claimants with interest.

JUDGMENT

1. Instant misc. appeal has been filed by the appellantsclaimants against the judgment and award dtd. 28/5/2007 passed by learned Special Judge, SC & ST (Prevention of Atrocity) Court and Motor Accident Claims Tribunal, Bikaner whereby the learned Tribunal has awarded a compensation of Rs.5,09,176.00 in favour of the appellants-claimants with interest at the rate of 6% per annum from the date of filing of the claim petition.

2. While praying for enhancement, learned counsel for the appellants submits that the appellant-claimant No.1 Bhuvneshwari herself examined before the Tribunal as AW-1 and she categorically stated that her husband was working as Lower Division Clerk in Employment Department of State Government and he used to earn Rs.7,345.00 per month. The learned Tribunal wrongly assessed the income of the deceased as Rs.5502.00. The learned Tribunal also used the wrong principle for application of the multiplier. The deceased was 33 years of age at the time of accident and the learned Tribunal ought to have applied the multiplier of 17 instead of 11. It is also contended that the learned Tribunal further erred in not taking into account future prospects and advancement in life and career of the deceased. It is settled law that the future prospects of advancement in life and career should also be sounded in terms of money to augment the multiplicand. It is prayed that the amount of compensation awarded by the Tribunal may be enhanced.

3. Per contra, learned counsel for the respondent-Insurance Company while vehemently opposing the prayer of the appellants has submitted that amount granted by the Tribunal is fair and just. Therefore, no interference is required in the impugned judgment and award.

4. Heard learned counsel for the appellants as well as learned counsel for the respondents and perused the award impugned. The learned Tribunal after taking into account the documents placed on record by the claimants has rightly assessed the monthly income of the deceased as Rs.5502.00. However, considering the fact that the deceased was 33 years of age at the time of accident, this Court is of the opinion that while calculating the amount of compensation, the multiplier of 16 ought to have been applied by the learned Tribunal instead of 11 in the light of the judgment of the Hon’ble Surpeme Court in the case of Sarla Verma (Smt.) & Ors. v. Delhi Transport Corporation & Anr., (2009) 6 SCC 121. Further, the amount of compensation awarded by the Tribunal to the claimants Rs.10,000.00 towards spousal consortium, Rs.10000.00 towards loss of love and affection and Rs.5000.00 towards funeral expenses needs to be increased in the facts and circumstances of the case. Moreover, the future prospects are also required to be added while calculating the amount of compensation in the present case in view of the judgments of the Hon’ble Supreme Court rendered in the case of National Insurance Company Ltd. vs. Pranay Sethi, (2017) 16 SCC 680 and New India Insurance Company Ltd.V/s Somwati and Ors. (2020) 9 SCC 644. Accordingly, the re-computation of the award shall be as under :- Income : Rs.5502.00 (per month) Age : 33 years Deduction : 1/3 Multiplier :16 Future Prospects : 50% Calculation: 5502X12X16X1/3X50%= Rs.10,56,384.00 For loss of love & affection and funeral expenses=Rs.70,000.00 Total amount of compensation : Rs.11,26,384.00 Amount awarded by the Tribunal : Rs.5,09,176.00 Enhanced amount : 11,26,384 - 5,09,176 = Rs.6,17,208.00 along with interest @ 6% p.a. from the date of passing of award.

5. In view of the above, the amount of compensation awarded by learned Tribunal is enhanced by Rs.6,17,208.00 along with interest @ 6% p.a. from the date of passing of award. Accordingly, the civil misc. appeal is partly allowed. The enhanced amount of Rs.6,17,208.00 (Six Lakh Seventeen Thousand Two Hundred Eight only) shall be paid by the Insurance Company to the appellants-claimants, in addition to the amount already awarded by the Tribuna

Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top