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2024 Supreme(J&K) 256

HIGH COURT OF JAMMU AND KASHMIR AND LADAKH
MOHAMMAD YOUSUF WANI, J.
New India Assurance Co. Ltd. – Appellant
Versus
Mukhtar Begum & Ors. – Respondent
Cr. Obj No. 5 of 2020
Decided on : 03-06-2024

Advocates:
Advocate Appeared:
For the Appellant : Amrit Sarin
For the Respondent: Raghu Mehta

Compensation for vehicular accidents must be just, fair, and reasonable, determined by the deceased's age, income, and dependents, as per established legal standards.

Headnote:(A) Motor Vehicles Act, 1988 - Sections 166 and 173 - Compensation awarded for deaths in a vehicular accident involving a vehicle driven negligently, resulting in the death of eight individuals - The MACT awarded varying compensation amounts for four claim petitions based on the circumstances of each deceased. (Paras 5, 27, 30)

(B) Just Compensation - The court emphasized that compensation must be just, fair, and reasonable, not a windfall or a pittance, and must be determined based on the age, income, and number of dependents of the deceased. (Paras 19, 20, 22)

(C) Liability of Insurer - The insurer contested the award on grounds of the driver’s lack of a valid license and vehicle overloading, which were not substantiated by evidence. (Paras 8, 28)

(D) Cross Objections - Claimants sought higher compensation, arguing that the MACT did not properly adjudicate loss of dependency. (Paras 10, 11)

Facts of the case:
The appeals arise from a common award by the MACT regarding a fatal accident involving a vehicle that rolled into a river, resulting in the deaths of all eight occupants. (Paras 2, 3)

Findings of Court:
The MACT's award was upheld in part, with adjustments made to the compensation amounts based on the court's findings regarding the deceased's income and dependency. (Paras 30, 33)

Issues: The main issues included the validity of the driver's license, the determination of just compensation, and the dependency of claimants. (Paras 14, 22)

Ratio Decidendi: The court ruled that the MACT correctly applied the principles of just compensation, emphasizing the need for fairness and adherence to established legal standards in calculating compensation. (Paras 19, 20)

Result: Appeals and cross objections disposed of with modifications to the compensation amounts awarded. (Paras 35)

JUDGEMENT

1. All these four appeals with the respective cross objections are taken up together for common disposal as they arise from the same Award impugned therein.

2. Impugned in the appeals is the Award dated 31.01.2020 passed by the learned Presiding Officer, Motor Accident Claims Tribunal, Rajouri (Court of Additional District Judge) (hereinafter referred to as the 'MACT', for short) in common while disposing of four claim petitions filed by the respondents/claimants and whereby the learned MACT awarded compensation in all the four cases in favour of the respondents/claimants.

3. Before proceeding ahead, it is felt appropriate to give a brief resume of the facts of the case, relevant for disposal of the instant appeals:-

    A Vehicle (Celerio Car) bearing registration No. JK11B-4300 driven by one Mehmood Ahmed S/o Jaffar Ali R/o Ghambir Mughlan Tehsil Manjakote, District Rajouri from Jammu to Rajouri, upon reaching at Narian near Hotel Haveli, met with an accident as a result of rash and negligent driving by its driver, rolled down into the river resulting into the on spot death of all the eight persons boarded in the same including the driver. No claim petition was filed for compensation in respect of the deaths of three minors and also in respect of the insured, owner/driver of the vehicle, who too died on spot in the accident. The claim petitions came to be filed for compensation in respect of the deaths caused to (1) Mohd. Aziz S/o Jaffar Ali (2) Akhter Begum D/o Jaffar Ali (3) Jamila Mughal D/o Mohd. Iqbal W/o Mehmood Ahmed and (4) Mohd. Waqar Iqbal S/o Mohd. Iqbal.

    An FIR bearing No. 377/2017 for offences under Sections 279, 337, 304-A RPC came to be registered in respect of the incident with the Police Station, Rajouri.

4. Claim Petition No. 112/MACT, CNR No. JKRJ0200010982017 came to be filed by the legal heirs/representatives of the deceased-Mohd. Aziz S/o Jaffar Ali; Claim Petition No. 113/MACT, CNR No. JKRJ020010972017 was filed by the sister of Akhter Begum D/o Jaffar Ali; Claim Petition No. 110/MACT, CNR No. JKRJ020010962017 came to be filed in respect of the death of Mohd. Waqar Iqbal S/o Mohd. Iqbal and Claim Petition No. 111/MACT, CNR No. JKRJ020011002017 came to be filed for compensation in respect of the death of Jamila Mughal D/o Mohd. Iqbal W/o Mehmood Ahmed.

5. Learned MACT after holding the enquiry in terms of Section 166 of the Motor Vehicles Act, 1988 (hereinafter referred to as the 'Act', for short) passed the impugned award, awarding a compensation of Rs. 2,53,000/- in Claim Petition No. 112/MACT, Rs. 2,28,000/- in Claim Petition No. 113/MACT, Rs. 41,76,480/- in Claim Petition No. 111/MACT and Rs. 6,49,800/- in Claim Petition No. 110/MACT.

6. Aggrieved by the impugned award, the respondent No. 4 i.e. New India Assurance Company Limited assailed the same before this Court through four separate appeals as regards the four Claim Petitions, in terms of the provisions of Section 173 of the Act. Appeal No. 124/2020 impugns the common award dated 31.01.2020 to the extent passed in respect of Claim Petition No. 113/MACT filed by Mukhtar Begum in respect of the death of Akhter Begum; Appeal No. 125/2020 impugns the common award to the extent of Claim Petition No. 111/MACT filed by the legal representatives of deceased-Jamila Mughal D/o Mohd. Iqbal W/o Mehmood Ahmed; Appeal No. 126/2020 impugns the same as regards the Claim Petition No. 112/MACT filed by the legal representatives of deceased-Mohd. Aziz S/o Jaffar Ali and the Appeal No. 127/2020 impugns the common award to the extent of Claim Petition No. 110/MACT filed by the legal representatives of deceased Mohd. Waqar Iqbal S/o Mohd. Iqbal.

7. The common Award dated 31.01.2020 has been assailed in all the four appeals in hand almost on the identical grounds inter alia to the effect that the deceased-driver of the offending vehicle, namely, Mehmood Ahmed S/o J

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