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2025 Supreme(Mad) 2645

IN THE HIGH COURT OF JUDICATURE AT MADRAS
J. NISHA BANU, R. SAKTHIVEL, JJ.
The Manager, Magma HDI General Insurance Company Limited - Appellant
Versus
A. Rajkannu & Ors. - Respondents
CMA No.2915 of 2024 And CMP No.24345 of 2024
Decided On : 08-04-2025

Advocates Appeared:
For the Appellant : Mr. B. Murugavel.
For the Respondents: M/s. K.R. Santhakumari.

The court upheld the Tribunal's use of the multiplier method for calculating compensation based on the petitioner's 45% permanent disability, affirming the award as fair and reasonable.

Headnote:

(A) Motor Vehicles Act, 1988 - Compensation for personal injury - The petitioner sustained grievous injuries due to a collision caused by the negligent driving of the first respondent's vehicle, leading to a claim for Rs. 49,00,000/- - The Tribunal awarded Rs. 21,37,800/- based on 45% permanent disability and other heads of compensation. (Paras 3, 7, 16)

(B) Disability Assessment - The Tribunal adopted the multiplier method for calculating compensation based on the petitioner's 45% permanent disability, impacting his earning capacity and daily activities. (Paras 15, 16)

(C) Appeal - The Insurance Company contested the compensation amount, arguing the petitioner could continue his business post-accident, but the court upheld the Tribunal's decision as fair and reasonable. (Paras 9, 16)

Facts of the case:
The petitioner was involved in an accident on January 27, 2020, resulting in grievous injuries and a claim for compensation. The Tribunal concluded the accident was due to the first respondent's negligence and awarded compensation based on the evidence presented.

Findings of Court:
The Tribunal's award of Rs. 21,37,800/- was confirmed, with interest at 7.5% per annum from the date of filing the claim petition.

Issues: The main issues were the assessment of permanent disability and the appropriateness of the multiplier method for compensation calculation.

Ratio Decidendi: The court affirmed the Tribunal's application of the multiplier method based on the petitioner's functional disability and the nature of his injuries, concluding that the compensation awarded was justifiable.

Result: The Civil Miscellaneous Appeal is dismissed, and the Tribunal's award is confirmed.

JUDGMENT :

R. SAKTHIVEL, J.

Feeling aggrieved by the Award dated August 29, 2023 passed in M.C.O.P.No.681 of 2020 on the file of the 'Motor Accidents Claims Tribunal / II Court of Small Causes, Chennai' ['Tribunal' for short], the second respondent therein / Insurance Company has preferred this Civil Miscellaneous Appeal.

2. For the sake of convenience, the parties herein will be referred to as per their rank in the Motor Accident Claims Original Petition.

Petitioner's case

3. The case of the petitioner is that on January 27, 2020 at about 03.00 p.m., he was riding his Motorcycle bearing Registration No.TN-14-E-3746 on Velachery - Tambaram Main Road, near Santhosapuram Mental Hospital Compound in East to West direction. When he attempted to stop his vehicle, the driver of the Tata Ace bearing Registration No.TN-11-AE-8116, which was being driven in the same direction, collied with the petitioner's vehicle, due to which, he sustained grievous injuries in both his legs and he was admitted in Cosh Private Hospital, East Tambaram. The accident occurred only due to the rash and negligent driving of the first respondent’s driver. At the time of the accident, the first respondent’s vehicle was duly insured with the second respondent. Hence, the petitioner filed the claim petition before the Tribunal seeking compensation of Rs. 49,00,000/- from the respondents.

First Respondent's case

4. The 1st respondent did not chose to appear before the Tribunal. He was called absent and set ex-parte on March 16, 2021.

Second Respondent's case

5. The 2nd respondent – Insurance Company filed counter denying the manner of the accident. It was stated in the counter that the petitioner is put to strict medical proof of his disability certificate issued by the Medical Board. Further, it was stated that the age, occupation and income mentioned in the claim petition are false. Since the petitioner claims Rs. 60,000/- as his salary, he has to produce income tax returns as proof. It was further stated that the petitioner is put to strict proof regarding the validity of the driving license of the driver of TATA Ace bearing registration No. TN-11-AE-8116 and that of the petitioner as rider of motorcycle bearing registration No.TN-14-E-3746. The insurance policy, fitness certificate, permit badge as applicable at the time of the accident ought to have been produced. The compensation claimed by the petitioner is highly speculative, exaggerated and excessive and without any legal or factual basis. Therefore the 2nd respondent contended that he has no liability to pay compensation to the petitioner. Accordingly, he prayed to dismiss the claim petition.

Tribunal

6. In order to prove his case, the petitioner examined himself as P.W. 1 and marked Ex-P.1 to Ex-P.14 marked. No document or oral evidence was adduced on the side of the second respondent. Disability certificate issued by the Medical Board was marked as Ex-C.1.

7. The Tribunal after hearing both sides and considering the evidence available on record, by relying on Ex.P2 – First Information Report (FIR), Ex-P.3 - Rough Sketch, Ex-P.4 – Motor Vehicle Inspection Report [M.V.I. Report] and Ex-P.5 - Final Report, came to the conclusion that the accident occurred due to the rash and negligent driving of the 1st respondent’s driver. As regards the disability, based on Ex-C.1, the Tribunal concluded that the petitioner suffered 45% permanent disability. Further concluded that the petitioner suffers from locomotor disability due to bilateral fracture of both leg bones and hence he would not be able to carry out his work easily, and accordingly, the Tribunal adopted multiplier method. Though the petitioner stated that he was running an ice cream and cool bar business, he failed to prove his case by adducing relevant documents and hence the Tribunal notionally took a sum of Rs.15,000/- as his monthly income, added 25% future prospects and applied multiplier '14' to arrive at a sum of Rs.14,17,500/- as compensation towards disab

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