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

2023 Supreme(P&H) 42

IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
Deepak Gupta, J.
New India Assurance Company Ltd - Appellant
Versus
Lal & Ors. - Respondents
XOBJC-247 of 2019 in First Appeal Order No. 28 of 2019 (O&M)
Decided On : 09-01-2023

Advocates Appeared:
Vinod Gupta, Advocate, Vipul Sharma, Advocate

The main legal point established in the judgment is the computation of income for compensation under the Motor Vehicles Act, including deductions and allowances for future prospects and loss of consortium.

Headnote:

Motor Accident Claims Tribunal - Compensation - Motor Vehicles Act - Section 166 - 279, 337, 304-A IPC

Fact of the Case:

The case involves an appeal filed by the Insurance Company against an award of compensation for the death of Rama Kant in a motor accident. The deceased was hit by a truck and the claimants, his father and siblings, sought compensation under Section 166 of the Motor Vehicles Act.

Finding of the Court:

The court found that the accident was caused due to rash and negligent driving of the offending vehicle, and the compensation was assessed at Rs.64,87,536/- by the Tribunal. The court modified the compensation to Rs.36,93,252/-, allowing the claimants' cross-objections for loss of parental/filial consortium.

Issues: The main issue involved the quantum of compensation, including deductions for personal expenses and future prospects, and the allowance for loss of consortium.

Ratio Decidendi: The court considered various legal provisions and interpretations related to the computation of income for compensation, including deductions for transport and travelling allowances, future prospects, and loss of consortium.

Final Decision: The court accepted the appeal by modifying the compensation awarded by the Tribunal and allowed the cross-objections filed by the claimants for loss of parental/filial consortium.

JUDGMENT

Deepak Gupta, J. - This is an appeal filed by the Insurance Company against award dated 12.09.2018, whereby Motor Accident Claims Tribunal, Chandigarh has allowed compensation of Rs.64,87,536/- on account of death of Rama Kant, in MACT No.458 of 2017 titled 'Shri Lal and others vs Shiv Dularey and others'.

2. The facts of the case, in brief, are that on 21.06.2017 at about 7 p.m., Rama Kant S/o Shri Lal along with his colleague Manoj Kumar was moving on foot on left side of road near railway Crossing Satarhi, Haidergarh, District Barabanki (UP), when a truck bearing registration No.UP-35T-1848 (hereinafter referred as 'offending vehicle') being driven by respondent Shiv Dularey came at high speed, in rash and negligent manner and struck against Rama Kant, who fell down. His head was crushed under the wheels of the offending vehicle, due to which he died on the spot. Manoj Kumar ran fast to the extreme left side and saved his life. FIR No.216 dated 21.06.2017 was registered under Sections 279, 337 and 304-A IPC at Police Station Haidergarh, District Barabanki.

3. Claimants are father and siblings of deceased Rama Kant. They sought compensation under Section 166 of the Motor Vehicles Act on account of death of said Rama Kant by pleading that deceased was 24 years of age on the date of accident and used to work as a Signal KHALLASI at Rail Coach Factory, Rae Bareli, under Lucknow Division of Northern Railway and at the time of his death, he was drawing salary of Rs.29,896/-per month. It was further pleaded that deceased was a graduate and was pursuing his Master's degree through correspondence from Punjab University.

4. All the respondents opposed the claim petition. Insurance Company also took the plea that driver did not have the effective and valid driving licence at the relevant time and that the offending vehicle was being driven in contravention of the terms and conditions of Insurance Policy.

5. Necessary issues were framed. After taking evidence perused by the parties and hearing both the sides, learned Tribunal came to the conclusion that accident was caused due to rash and negligent driving of the offending vehicle, which resulted into the death of Rama Kant. Salary Certificate Ex. C-10 showing Rs.29,896/- per month as the last salary of the deceased, was taken to be the earnings of the deceased, to which 50% was added towards future prospects. As there were three number of claimants, so 1/3rd of the income was deducted towards personal expenses of the deceased. Multiplier of 18 was applied and total compensation was assessed at Rs.64,87,536/-. Insurance Company failed to produce any evidence regarding not holding of the effective and valid driving licence by the driver or regarding its allegation of violation of the terms and conditions of the insurance policy. As such, all three respondents were held jointly and severally liable to pay compensation amount, which was allowed along with interest @ 7.5% per annum from the date of filing of the petition till its realization, vide impugned Award dated 12.09.2018.

6. Feeling aggrieved by the Award, Insurance Company filed this appeal. The two fold contentions made by learned counsel for the Insurance Company is that as the deceased was unmarried, so 50% amount of the earnings should have been deducted towards personal expenses as held by the Hon'ble Supreme Court in Sarla Verma (Smt.) & Others Vs. Delhi Transport Corporation & Another, (2009) 6 SCC 121.

Claimant Nos.2 and 3 being siblings were not dependent upon the income of the deceased. Even claimant No.1 - father was not the dependent. Further, learned Tribunal failed to appreciate that out of Rs.29,896/- per month being drawn by the deceased, an amount of Rs.1,350/- was transport allowance and Rs.5890/- was travelling allo

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
whatsapp-icon Back to top