Rs.14,000/- x 12 x 5 x 2/3
HIGH COURT OF JUDICATURE AT MADRAS
RMT. TEEKAA RAMAN, J.
Pavathal (Died) & Others - Appellants
Versus
Thirumurugan & Others - Respondents
CMA. No. 339 of 2023
Decided On : 17-03-2023
Motor Vehicles Act - Compensation Enhancement - Section 173 of Motor Vehicles Act, 1988 - [Section 173] - [Summary of the acts and sections referenced and discussed by the court: The court discussed the pecuniary loss and the calculation of compensation under the Motor Vehicles Act, 1988. It referred to the National Insurance Company Limited Vs. Pranay Sethi, reported in 2017 (16) SCC 680, and Sarla Varma Vs. Delhi Transport Corporation Ltd., reported in TNMAC 2009 (2) SC to determine the notional income, future prospects, right multiplier, and deduction towards personal and living expenses of the deceased. These legal provisions influenced the court's decision in reassessing the pecuniary loss and enhancing the compensation awarded by the claims tribunal.]
Fact of the Case:
The appellants sought enhancement of compensation awarded by the Motor Accident Claims Tribunal (Special District Judge), Erode, for the death of the deceased in a motor accident. The deceased was engaged in a rig lorry business and the tribunal fixed a lesser income for the deceased, leading to the appellants' request for enhancement.
Finding of the Court:
The court confirmed the findings of the tribunal regarding the accident and negligence. It reassessed the notional income of the deceased, considered the deceased's age and legal provisions, and enhanced the compensation from Rs.5,50,020/- to Rs.7,10,000/-.
Issues: The main issue was the quantum of compensation, specifically the notional income of the deceased and the pecuniary loss.
Ratio Decidendi: The court's decision was influenced by the determination of notional income, future prospects, right multiplier, and deduction towards personal and living expenses of the deceased, as per relevant legal provisions.
Final Decision: The court partly allowed the Civil Miscellaneous Appeal, enhancing the compensation to Rs.7,10,000/- and directing the 3rd respondent-Insurance Company to deposit the enhanced compensation amount.
JUDGMENT
(Prayer: This Civil Miscellaneous Appeal is filed under Section 173 of Motor Vehicles Act, 1988 to enhance the award dated 10.12.2021 passed in MCOP No.655 of 2018 on the file of the Motor Accident Claims Tribunal [Special District Judge], Erode.)
1. Claim petitioners are the appellants herein seeking enhancement of compensation awarded by the Motor Accident Claims Tribunal (Special District Judge), Erode, vide judgment and decree dated 10.12.2021 in MCOP No.655 of 2018.
2. For the sake of convenience, the parties are hereinafter referred to as per their ranking before the claims tribunal.
3. The factum of the accident, the manner of the accident and the negligence on the part of the driver of the offending vehicle, are not disputed and hence, the findings of the tribunal are confirmed.
4. On the point of quantum of compensation both the parties are heard.
5. Main contention of the learned counsel for the appellants/claim petitioners, is that the claims tribunal by fixing a lesser income i.e. Rs.10,000/- as notional income of the deceased-Muthusamy, who was doing Rig lorry business and earning 1,00,000/- per month, has awarded a meage sum of Rs.4,00,020/- as pecuniary loss and hence, he seeks for enhancement.
6. Perusal of the award reveals that the 1st claim petitioner is the widow of the deceased Muthusamy. As per Ex.P5 to Ex.P7 viz., the Acknowledgment for filing Income Tax Returns of the years 2016-17, 2017- 18 and 2018-19 respectively, the Date of Birth of the deceased is 09.03.1949 and the date of the accident is 24.04.2018 and accordingly, the trial Court has fixed the age of the deceased as 69. In Ex.P5, Ex.P6 and Ex.P7, there is no indication that he has received any salary. In the cross examination, the PW1/3rd claim petitioner/son of the deceased has admitted that even during the life time of the deceased, he was looking after the business and hence, the trial Court has rightly come to the conclusion that the rig lorry business was conducted by PW1 and accordingly, fixed the notional income of the deceased as Rs.10,000/- per month. However, taking into consideration the date of accident i.e., 24.08.2018, I find that the notional income may be fixed as R.14,000/- per month. Further, since the deceased is already 69 years old at the time of the accident, as per National Insurance Company Limited Vs. Pranay Sethi, reported in 2017 (16) SCC 680, he is not entitled for future prospects. The right multiplier as per Sarla Varma Vs. Delhi Transport Corporation Ltd., reported in TNMAC 2009 (2) SC is ''5'' and 1/3rd deduction is made towards the personal and living expenses of the deceased as there are three dependants. Thus, the pecuniary loss accessed by the claims tribunal, is reassessed as under.
| Pecuniary loss | Rs.14,000/- x 12 x 5 x 2/3 |
|
| Rs.5,60,000/- |
Accordingly, a sum of Rs.5,60,000/- is awarded under the head ''pecuniary loss'', as against Rs.4,00,020/- awarded by the tribunal. Except the above head, the award of the tribunal under other heads, is just and reasonable and hence, the same is confirmed.
7. In view of the above discussion, the award of the tribunal is enhanced from Rs.5,50,020/- to Rs.7,10,000/- as detailed hereunder.
| Pecuniary loss | Rs. 5,60,000/- |
| Loss of consortium to wife | Rs. 40,000/- |
| Loss of love and affection to son and daughter @ Rs.40,000/- each | Rs. 80,000/- |
| Loss of Estate | Rs. 15,000/- |
| Funeral Expenses | Rs. 15,000/- |
| Amount now awarded | Rs. 7,10,000/- |
| Amount awarded by the Tribunal | Rs. 5,50,020/- |
| Enhanced Amount | Rs. 1,59,980/- |
8. In the result, it is ordered as follows:
(i) The judgment and decree dated 10.12.2021, made in MCOP No.655 of 2018 on the file of the Motor Accident Claims Tribunal [Special District Judge], Erode, stands modified to the limited extent that the compensation of Rs.5,50,020/- awarded
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