SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2025 Supreme(Mad) 4939

IN THE HIGH COURT OF JUDICATURE AT MADRAS 
J. Nisha Banu, R.Sakthivel, JJ.
S.Balaraman - Appellant 
Versus 
S.R.M.Institute of Science and Technology, Rep. by its Chairman - Respondent 
C.M.A.NO.1915 OF 2022 
Decided On : 19-02-2025

Advocates:
Advocate Appeared:
For the Appellant : Mr.P.L.Narayanan
For the Respondent: Mr.R.Gokul for Mrs.P.R.Umamaheswari Mr.R.Rajesh

Compensation for motor accident injuries must consider future earning capacity and apply the multiplier method for accurate assessment.

Headnote:(A) Motor Vehicles Act, 1988 - Sections 166 and 168 - Claim for compensation due to motor accident - Claimant sustained grievous injuries in an accident caused by the rash driving of a bus - Tribunal awarded Rs.3,84,000/- as compensation, which was deemed inadequate - Court enhanced compensation to Rs.17,89,400/- considering functional disability and future earning capacity. (Paras 16, 17)

(B) Compensation - Assessment of compensation must consider future prospects and functional disability - The multiplier method should be applied for calculating loss of earning capacity. (Paras 14, 15)

Facts of the case:
The claimant was involved in an accident on August 30, 2016, caused by a bus driven negligently, resulting in grievous injuries and a claim for compensation of Rs.40,00,000/- was filed. (Paras 3, 4)

Findings of Court:
The Tribunal found the bus driver liable and awarded Rs.3,84,000/- as compensation, which was later enhanced by the Court to Rs.17,89,400/- considering the claimant's functional disability and loss of future earnings. (Paras 6, 16)

Issues: The main issues were the adequacy of the compensation awarded by the Tribunal and the proper method for calculating future earning capacity. (Paras 9, 14)

Ratio Decidendi: The Court ruled that the Tribunal failed to apply the multiplier method and did not adequately consider the claimant's future earning capacity, leading to an enhancement of the compensation amount. (Paras 14, 15)

Result: Civil Miscellaneous Appeal partly allowed with enhanced compensation of Rs.17,89,400/- awarded.

JUDGMENT :

R.SAKTHIVEL, J.

Feeling aggrieved by the Award dated August 18, 2021 passed in M.A.C.T.O.P.No.6593 of 2017 on the file of 'Motor Accident Claims Tribunal (Special Sub-Court No.2, Motor Accident Claims Petition) Small Causes Court, Chennai' (in short 'Tribunal'), the appellant / claimant therein has preferred this Civil Miscellaneous Appeal.

2. For the sake of convenience, the parties herein are referred to as per their array in the Original Petition.

Brief facts put forth by the Claimant

3. The case of the claimant is that on August 30, 2016 at about 07.30 a.m., while the he was travelling in his motorcycle bearing Registration No.TN-10-K-4530 at K.K.Nagar, Nesappakkam, Thiruvalluvar Road Junction in east to west direction, the SRM College bus bearing Registration No. TN-19-AB-0823, driven in a rash and negligent manner in the same direction i.e., from east to west, dashed against him, on account of which, he had sustained grievous injury. The accident had occurred due to the fault of the driver of the bus. The 1st respondent is the owner of the bus and the bus was insured with the 2nd respondent / Insurance Company. Stating that the respondents are vicariously liable to pay compensation to the claimant, a claim Petition was filed before the Tribunal, seeking compensation of Rs.40,00,000/- (Rupees Forty Lakhs only) restricted to Rs.35,00,000/- (Rupees Thirty Five Lakhs only) from the respondents.

Case of the Second Respondent

4. At the first blush, the involvement of the 1st respondent's bus in the alleged accidence was denied and it is stated that on the date of accident, the driver of the 1st respondent's bus had no valid and effective license to drive the bus. The claimant has to prove the injuries sustained by him, nature of injuries, nature of treatment, period of treatment, age, income and disability through proper documentary and oral evidence. Stating that the amount of compensation claimed is unsustainable, the 2nd respondent prayed to dismiss the claim petition.

Tribunal

5. Before the Tribunal, claimant was examined as P.W.1 and Ex-P.1 to Ex-P.11 were marked by him. On the side of the 2nd respondent, neither any witness was examined nor any exhibit was marked. The Disability Certificate issued by the Regional Medical Board, Government Kilpauk Medical College Hospital, Chennai was marked as Ex-C.1.

6. The Tribunal, after considering the evidence available on record, held that the driver of the 1st respondent's vehicle is responsible for the accident. Accordingly, the Tribunal held that the 2nd respondent / Insurance Company, being insurer of the 1st respondent's bus, is liable to pay the compensation to the petitioner/claimant.

7. With regard to quantum of compensation, the claimant stated that he worked as Field Executive in Innovsource Pvt. Ltd., Guindy and earned a sum of Rs.12,871/- per month at the time of accident and in proof thereof, he produced the appointment order (Ex-P.1), ID card (Ex-P.2) and the salary slip (Ex-P.3) for the month May, 2016. Hence, the Tribunal, upon considering the percentage of disability of the claimant at 45% and also taking note of the fact that the accident had occurred in the year 2016, fixed Rs.5,000/- per percentage and computed the compensation as stated below:-

Sl.No.HeadAmount
1.DisabilityRs.2,25,000/-
2.Pain and SufferingsRs.40,000/-
3.TransportationRs.4,000/-
4.Extra NourishmentRs.15,000/-
5.Attender ChargesRs.36,000/-
6.Loss of EarningsRs.63,905/-
TotalRs.3,83,905/-
Rounded off toRs.3,84,000/-

8. Feeling aggrieved by the meagre quantum of compensation awarded, the claimant has filed the Civil Miscellaneous appeal praying for enhancement of compensation amount.

Arguments

9. Mr.P.L.Narayanan, learned Counsel for the appellant / claimant would submit that though as per Ex-C.1 - Disability Certificate issued by the Regional Medical Board, the claimant sustained 45% permanent disability, since his job requires driving of two wheelers and four wheelers and since his left leg has been deforme

Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top