2010 Supreme(Ori) 414

2011 (I) OLR (SC) — 43
G.S. SINGHVI, J.
CIVIL APPEAL NO.5843 OF 2010
(Arising out of SLP(C) No.19655 of 2004)
Arun Kumar Agrawal
and another ... Appellants
Versus
National Insurance Company
and others ... Respondents
Decided on 22nd July, 2010.

Headnote:1. MOTOR VEHICLES ACT, 1988 - Sec. 166 - Road accident - Death of a woman - No regular source of income - Tribunal assessed the total loss of dependency at Rs. 6 lakhs and instead of awarding that amount as compensation reduced the same to Rs. 2,50,000/- - High Court held the compensation awarded as just and proper - Appeal before Apex Court - Discussing the facts, contention and ratio laid down in cited cases held, the reason assigned by the Tribunal for reducing the amount of compensation are wholly untenable and the approach adopted by High Court in dealing with the issue of payment of compensation to the appellants was ex facie erroneous and unjustified - Appellants entitled to compensation of Rs. 6 lakhs - Direction issued.

       In India the Courts have recognised that the contribution made by the wife to the house is invaluable and cannot be computed in terms of money. The gratuitous services rendered by wife with true love and affection to the children and her husband and managing the household affairs cannot be equated with the services rendered by others. A wife/mother does not work by the clock. She is in the constant attendance of the family throughout the day and night unless she is employed and is required to attend the employer’s work for particular hours. She takes care of all the requirements of husband and children including cooking of food, washing of clothes, etc. She teaches small children and provides invaluable guidance to them for their future life. A housekeeper or maidservant can do the household work, such as cooking food, washing clothes and utensils, keeping the house clean etc., but she can never be a substitute for a wife/mother who renders selfless service to her husband and children.

       (Paras - 38 and 39)

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       2. COMPENSATION - Motor accident - Husband can claim compensation on the death of his wife on various heads - These include loss of the wife's contribution to the household from her earnings - The additional expenses incurred or likely to be incurred by having the household run by a house-keeper or servant, instead of the wife - The expenses incurred in buying clothes for the children instead of having them made by the wife - Having his own clothes mended or stitched elsewhere than by his wife, and the loss of that element of security provided to the husband where his employment was insecure or his health was bad and where the wife could go out and work for a living. (Para - 22)

       3. MOTOR VEHICLES ACT, 1988 - Sec. 163-A - Road accident - Death of a woman - No regular source of income - In the absence of any other definite criteria for determination of compensation payable to the dependants of a non-earning housewife/mother, it would be reasonable to rely upon the criteria specified in clause (6) of the Second Schedule and then apply appropriate multiplier.

       (Para - 36)

       4. MOTOR ACCIDENT - Compensation - Dependants of a woman who dies in a road accident and who does not have regular source of income - Not possible to quantify any amount in lieu of the services rendered by the wife/mother to the family i.e. husband and children - For the purpose of award of compensation to the dependents, some pecuniary estimate has to be made of the services of housewife/mother - The term 'services' is required to be given a broad meaning and must be construed by taking into account the loss of personal care and attention given by the deceased to her children as a mother and to her husband a wife - They are entitled to adequate compensation in lieu of the loss of gratuitous services rendered by the deceased - The amount payable to the dependants cannot be diminished on the ground that some close relation like a grandmother may volunteer to render some of the services to the family which the deceased was giving earlier.

       (Para - 27)

       5. MOTOR VEHICLES ACT, 1988 - Sec. 163-A (Per A.K.Ganguly, J.) - Special provision for payment of compensation on structured formula basis - Clause 6 of the Second Schedule provides for notional income of those who had no income prior to accident - If the spouse who does not earn, which is normally the woman in the house and the homemaker, such a person cannot have an income more than 1/3rd of the income of the person who is earning - This categorization has been made without properly appreciating the value of the services rendered by the homemaker - To value the income of the home-maker as one third of the income of the earning spouse is not based on any apparently rational basis - Considerations to made indicated.

       The Central Government has made Census Rules, 1990 under Section 18 of the Census Act, 1948. Under Rule 5(c), (d) and (e) of the Rules, the functions of the Commissioner are listed, which include devising the census schedules or questionnaires, compiling and providing guidance in taking and computing results and publishing the statistics.

       The Census Commissioner released data on classification of population by workers and nonworkers based on provisional results of the Census of India 2001 on 30th January, 2002. Thus, the categorization, compilation and computation of the data was done under the supervision and guidance of the Census Commissioner. This is totally a statutory exercise by public authorities. Therefore, this approach of equating women, who are homemakers, with beggars, prostitutes and prisoners as economically nonproductive workers by statutory authorities betrays a totally insensitive and callous approach towards the dignity of labour so far as women are concerned and is also clearly indicative of a strong gender bias against women.

       Women are generally engaged in home making, bringing up children and also in production of goods and services which are not sold in the market but are consumed at the household level. Thus, the work of women mostly goes unrecognized and they are never valued. Therefore, in the categorization by the Census what is ignored is the well known fact that women make significant contribution at various levels including agricultural production by sowing, harvesting, transplanting and also tending cattles and by cooking and delivering the food to those persons who are on the field during the agriculture season.

       Lack of sensitiveness and recognition of their work mainly contributes to women’s high rate of poverty and their consequential oppression in society, as well as various physical, social and psychological problems. The courts and tribunals should do well to factor these considerations in assessing compensation for housewives who are victims of road accident and quantifying the amount in the name of fixing ‘just compensation’.

       Time has come for the Parliament to have a rethinking for properly assessing the value of homemakers and householders work and suitably amending the provisions of Motor Vehicles Act and other related laws for giving compensation when the victim is a woman and a homemaker. Amendments in matrimonial laws may also be made in order to give effect to the mandate of Article 15(1) in the Constitution. (Paras - 43 to 65)