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2025 Supreme(Mad) 4284

BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT
R. KALAIMATHI, J.
Esakkimuthu - Appellant 
Versus 
Jeyakumar - Respondent  
C.M.A(MD)No.402 of 2023
Decided on : 29-01-2025

Advocates:
Advocate Appeared:
For the Appellant : Mr.V.Sakthivel
For the Respondent: Mr.J.S.Murali

The court clarified the distinction between permanent disability and loss of earning capacity, emphasizing that compensation must be assessed on the full context of the claimant's situation.

Headnote:(A) Motor Vehicle Act - Compensation for injuries - Rash and negligent driving - Appellant awarded compensation of Rs.11,70,200/- enhanced from Rs.4,55,000/- for injuries sustained in an accident caused by the first respondent's vehicle - Appeals focus on reassessment of compensation based on disability and loss of income. (Paras 12, 13)

(B) Permanent disability and loss of earning capacity - The court explained the distinction between permanent disability and loss of earning capacity, emphasizing that loss of earning capacity must be assessed based on the entire evidence, not solely disability percentage. (Para 9)

(C) Calculation of compensation - The application of the multiplier method for determining loss of income was justified, with reference to the age of the claimant and standard practices established in prior case law. (Paras 11, 12)

Facts of the case:
The claimant sustained fractures in both legs due to a negligent collision with a Mahindra Van while traveling in a TATA ACE van. The crash occurred on February 4, 2021, resulting in significant medical expenses and loss of earning capacity.

Findings of Court:
Compensation was re-evaluated based on the claimant's evidence and the nature of injuries, leading to a total award of Rs.11,70,200/-.

Issues: The main issues included the assessment of permanent disability, the need for a reassessment of income loss, and the adequacy of initial compensation.

Ratio Decidendi: The court noted that the fixed disability percentage does not equate to loss of earning capacity, and emphasized the importance of the multiplier method in compensation calculations.

Result: Appeal partly allowed and compensation increased from Rs.4,55,000/- to Rs.11,70,200/-.

Table of Content
1. accident facts and initial conditions (Para 1 , 3)
2. contentions regarding the driver's license (Para 4 , 6)
3. evidence and documentation presented (Para 5)
4. compensation awarded by the tribunal (Para 7 , 12)
5. disability assessment and income loss computation (Para 8 , 11)
6. legal principles on disability and earning capacity (Para 9 , 10)
7. final orders and compensation enhancement (Para 13)

JUDGMENT :

This Civil Miscellaneous Appeal is preferred by the claimant against the award dated 13.10.2022 passed in MCOP No.941 of 2021 by the MACT/Special Sub-Court, Tirunelveli.

2. Despite the receipt of notice, the first respondent neither appeared nor entered appearance through his counsel.

3. The facts of the case as set out in the claim petition are stated in brief:

On 04.02.2021 at about 11.10 a.m., while the claimant was travelling in TATA ACE van bearing Registration No.TN-72-A-0487 from Sattur to Alangulam along Devarkulam Kalugumalai Main Road, near Keela Sivagamipuram proceeding from North to South, a Mahindra Van bearing Registration No.TN67-D-6366, belonging to the first respondent came in a high speed driven in a rash and negligent manner hit from behind on the TATA ACE van. Due to the said impact, he sustained fractures over both legs and he was taken to Tirunelveli Medical College, (TVMC) and he was treated as inpatient for a month and he underwent surgery and implants were fixed in both legs. The accident took place due to rash and negligent driving of the driver of the aforesaid van. The first respondent, who is the owner of the said van and the second respondent, insurer of the said van are liable to pay compensation to the petitioner.

4. It was contended by the second and third respondents by way of filing counter to the effect that the driver of the first respondent's vehicle did not have valid driving license with badge endorsement at the time of the accident. The petitioner is put to strict to prove his age, income, avocation and nature of injuries etc.

5. At trial, on the petitioner's side two witnesses have been examined and 7 documents were marked. On the side of the second and third respondents, no evidence was let in. Ex.C.1 is the disability certificate issued by the Medical Board.

6. This appeal is focussed on enhancement of compensation.

7. Upon consideration, the Tribunal has taken the disability at 70% as fixed by the Medical Board and granted Rs.5,000/ per percentage of the disability(Rs3,50,000/-). For loss of amenities and for pain and sufferings, an amount of Rs.30,000/ under each head were granted. For transport expenses, attendant charges and for extra nourishment, an amount of Rs.5,000/ under each head was granted. In total, a sum of Rs.4,55,000/- was awarded by the Tribunal as compensation

8. It is the evidence of P.W.1 that he was doing tailoring work and thereby he was earning a sum of Rs.15,000/- per month. Relying upon the Aadhar Card and copy of the treatment records(Ex.P.2, Ex.P.3, Ex.P.7 and Ex.P.8), his age is fixed at 63 years. It is the evidence of P.W.1 that he sustained fractures over both the right and left legs and immediately after the accident, he was taken to Tirunelveli Medical College and he was taken treatment till 22.03.2021. He suffered fracture of Tibia with fibula neck. In the left leg, for fracture open reduction with internal fixation by fixing plate with 9 cc Screws fixed. 10 cm long incision was made over posteromedial border of proximal tibia and it was fixed. As regards the right leg, 8 cm L shape incision was made from 1 cm distal to knee joint direction.

9. For about 48 days, he was under treatment at Tirunelveli Medical College Hospital, as inpatient and he underwent surgery for both legs on 10.02.2021 and 03.03.3021. From a careful perusal of the treatment records, plates to a length of 10 cm and 8 cm along with screws have been implantated and fixed. The Medical Board has fixed his disability at 70%. He will be able to work with internal fixation, but

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