IN THE HIGH COURT OF JAMMU AND KASHMIR AND LADAKH AT JAMMU
Tashi Rabstan, J.
Adarsh Gupta & Ors. – Petitioners
Versus
National Insurance Co. Ltd. & Ors. – Respondents
MA No. 413 of 2012
Decided On : 29-09-2021
Motor Accidents - Compensation - Motor Vehicles Act - 2017 (16 SCC 680), 2019 SC 1825, 2009 SC 3104 - The court discussed the appropriate income of the deceased, future prospects, multiplier, loss of dependency, loss of consortium, funeral expenses, and loss of estate. The interpretation of various sections of the Motor Vehicles Act was towards the fulfillment of objectives to aid victims and their dependants to lead a respectable life.
Fact of the Case:
A young man lost his life in a road accident. The claimants filed a petition for compensation, which was initially awarded at Rs. 6,39,000. The claimants appealed for enhancement of the award, arguing that the deceased's income was underestimated and future prospects were not considered.
Finding of the Court:
The court found that the deceased's income was underestimated and future prospects were not considered. It referred to legal principles established in previous cases to determine the appropriate income, future prospects, and multiplier for calculating compensation.
Issues: Underestimation of deceased's income, failure to consider future prospects, and incorrect calculation of compensation.
Ratio Decidendi: The court applied legal principles from previous cases to determine the appropriate income, future prospects, and multiplier for calculating compensation.
Final Decision: The court allowed the appeal, modified the compensation amount to Rs. 36,20,500, and directed the insurance company to pay the compensation with interest. It also circulated the judgment to all Motor Accidents Claims Tribunals in the UT of J&K and UT of Ladakh.
JUDGMENT :
1. This Judgment shall dispose of MA No. 413/2012 which arises out of impugned award dated 09.05.2012 passed by learned Motor Accidents Claims Tribunal, Rajouri, (for short MACT, Rajouri) whereby an amount of Rs. 6,39,000 was awarded in favour of claimant/appellant No. 1 alongwith interest @ 6% per annum from the date of filing of claim petition till its realization.
2. Factual matrix of this case, as gathered from the impugned award, is that on 08.08.2007, a young man lost his life in a tragic road accident in the prime of his youth when he was travelling in a Maruti Car bearing Registration No. JK02V/4099. The vehicle was being driven by respondent No. 2 herein in a rash and negligent manner and when the vehicle reached near Sujanpur (Punjab), the driver lost control over the vehicle after which the vehicle collided with an Eucalyptus tree, as a result thereof deceased died on spot. The deceased, Dr. Abhinav Gupta was Final Year MBBS student in Acharya Shri Chander College of Medical Sciences & Hospital Jammu, and had taken his final year examination about 2/3 days before the unfortunate accident.
3. Claimants filed a claim petition before the learned MACT, Rajouri for claiming compensation on account of death of the deceased. National Insurance Company Ltd. contested the claim petition and following issues came to be framed:
2) In case issue no. 1 is proved in affirmative, to what amount of compensation the petitioner is entitled to and from whom? OPP. 3) Whether the driver of the offending vehicle was not holding a valid driving licence, therefore the respondent No. 3 is not liable to pay compensation? OPR-3.
4) Whether the offending vehicle was being driven against the terms & conditions of insurance policy, if so, what is its effect? OPR-3.
4. The Tribunal after examining the entire record and on the basis of the evidence led awarded Rs. 6,39,000/- alongwith interest @ 6% per annum in favour of claimant/appellant No. 1 herein. Being not satisfied with the awarded amount, claimants have filed this MA No. 413/12 for enhancement of the award.
5. The appellants have preferred this appeal mainly on the ground that the learned Tribunal has failed in its duty to award just and reasonable compensation and the act of the learned Tribunal in assessing income of the deceased at Rs. 10000/- per month is too low and disproportionate to the qualification and keeping in view the profession of the deceased. The other ground inter alia taken by the appellants in this appeal is that the learned Tribunal was duty bound to enhance the income of the deceased by at least 50% towards the future prospects. The appellants are also aggrieved of the Multiplier applied by the learned Tribunal while calculating the compensation.
6. Mr. Sunil Malhotra, learned counsel appearing for the Insurance Company submitted that the award passed by the learned Tribunal is appropriate and in consonance with the law laid down by the Hon'ble Supreme Court and, thus, needs no interference from this Court.
7. I have heard learned counsel appearing for the parties and also perused the memo of appeal as well as record of the Tribunal.
8. Admittedly, the insurance company has not disputed the age of the deceased nor his qualification. Otherwise too, it is borne out from the record that the deceased was a final year MBBS student in Acharya Shri Chander College of Medical Sciences & Hospital Jammu, and had take
M.R. Krishna Murthi versus New India Assurance Co. Ltd.
Ashvinbhai Jayantilal Modi versus Ramkaran Ramchandra Sharma
National Insurance Company Ltd. Vs Pranay Sethi
Royal Sundaram Alliance Insurance Company Ltd. Vs Mandala Yadagiri Goud and Ors.
Sarla Verma & Ors. vs. Delhi Transport Corporation & Anr. AIR 2009 SC 3104
The appropriate income, future prospects, and multiplier for calculating compensation under the Motor Vehicles Act were determined based on legal principles established in previous cases.
The main legal point established in the judgment is the reliance on oral testimony to determine the deceased's income and the application of established legal principles to modify the compensation am....
The court upheld the Tribunal's compensation award, emphasizing the importance of considering future earning potential and just compensation principles for qualified individuals in motor accident cas....
Accident claim - Multiplier to be used should be as provided in column 4 of the judgment. Multiplier prescribed for the age group of 21-25 years is 18.
There is no justification for the learned Tribunal to award interest from date of filing the evidence on affidavit.
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.