2023 Supreme(P&H) 2444
IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
AMARJOT BHATTI, J.
Joginder & Ors. – Appellants
Versus
Surender & Anr. – Respondents
FAO-6942 of 2017
Decided On : 16-10-2023
Mr. S.S. Shekhawat, Advocate; For the Appellant
Mr. Punit Jain, Advocate for Respondent No. 2 - Insurance Company.
Compensation awarded for a deceased's family should reflect actual income, future prospects, and dependents' needs while adhering to established legal principles.
Headnote:(A) Motor Vehicles Act, 1988 - Section 166 - Appeal for enhancement of compensation - The appeal challenged the compensation of Rs.10,37,600/- awarded for the death of a self-employed victim in a motor accident. The Tribunal was criticized for underestimating the victim's monthly income, applying an incorrect multiplier, and future earnings prospects. (Paras 1, 6, 9-11)
(B) Assessment of Compensation - The court ruled the compensation should reflect the victim's true income potential and family needs while adhering to principles from precedents on self-employed persons' compensation. (Paras 9, 10, 11)
Facts of the case:
Appellants, family of the deceased victim, asserted she was earning Rs.20,000/month at the time of her death in an accident caused by a negligent motorcyclist. (Para 2)
Findings of Court:
The tribunal’s compensation awarded was deemed slightly insufficient; revised compensation calculated at Rs.10,67,500/- was ordered. (Paras 10, 11)
Issues: Whether the compensation awarded was adequate and the insurance company's arguments regarding liability. (Paras 6, 9)
Ratio Decidendi: The court emphasized the need for compensation to be just and reasonable reflecting the deceased's actual earnings and family situation. (Paras 10, 11)
Result: The appeal was accepted, and the earlier compensation amount was modified.
| Table of Content |
|---|
| 1. facts leading to claim for compensation. (Para 1 , 2) |
| 2. respondents' denial of liability in case. (Para 3 , 4) |
| 3. issues framed for determination of liability. (Para 5 , 6) |
| 4. arguments on compensation adequacy and decision. (Para 8 , 9 , 10 , 11) |
JUDGMENT
Amarjot Bhatti, J.
The appellants/claimants - Joginder husband, Navneet son, Amit (minor) son and Asha daughter have filed the present appeal for enhancement of compensation awarded by learned Motor Accident Claims Tribunal, Jhajjar vide impugned Award dated 28.02.2017 vide which the claimants have been awarded compensation to the tune of Rs. 10,37,600/- along with interest at the rate of 7.5% per annum against the respondents No. 1 and 2, from the date of the filing of claim application till realization, who are liable jointly and severally, as detailed therein.
2. The facts of the case are that Joginder (husband of deceased Dharam Devi alias Luxmi), Navneet and Amit (sons of deceased Dharam Devi alias Luxmi) and Asha (daughter of deceased Dharam Devi alias Luxmi) filed claim petition under Section 166 of MOTOR VEHICLES ACT , 1988 for grant of compensation of Rs. 40,00,000/- on account of death of Dharam Devi alias Luxmi in a motor vehicular accident on 19.07.2016. Late Dharam Devi alias Luxmi was about 48 years old at the time of accident. She was self employed, doing labour work, dairy farming and household work and was earning Rs. 20,000/- per month from all sources. On the fateful day of 19.07.2016, Dharam Devi alias Luxmi along with 3-4 other ladies were working as labour/sweeper near V.C. Hotel on NH-10 in the area of P.S. City Bahadurgarh. At about 02:30/03:00 pm, when Dharam Devi alias Luxmi was crossing the road, a motorcycle bearing Registration No. HR-13K-4273 came from the side of Jakhoda, which was being driven by its rider in a rash and negligent manner and at a very high speed and struck against the victim. Due to the impact, Dharam Devi alias Luxmi and the motorcyclist fell down on the road and Dharam Devi alias Luxmi suffered grievous injuries. The Contractor namely Pardeep son of Sh. Randhir Singh under whom Dharam Devi alias Luxmi was working, was also present on the spot who noted down the number of motorcycle and also asked about the identity of motorcyclist, who disclosed his name as Surender son of Sh. Balwan. Thereafter, Pardeep took Dharam Devi alias Luxmi to General Hospital, Bahadurgarh and from there she was referred to PGIMS, Rohtak where she succumbed to injuries on 20.07.2016. Regarding this accident, FIR No. 361 dated 20.07.2016 was registered under Section 304A, 279 I.P.C. Police Station City Bahadurgarh. The claimants have filed this claim petition claiming compensation to the tune of Rs. 40,00,000/- on account of death of late Dharam Devi alias Luxmi, from the date of accident till final realization of the amount, as detailed in the claim petition.
3. The claim petition was contested by respondents No. 1 and 2. In the written statement filed by respondent No.1, preliminary objections regarding maintainability, locus standi, petition being vague and incomplete were taken. On merits, it was admitted that respondent No. 1 is the owner-cum-driver of motorcycle bearing No. HR-13K-4273. However, it was denied that the said motorcycle was involved in the alleged accident. It was further admitted that the vehicle of respondent No. 1 is insured with respondent No. 2. The local police in collusion with petitioner has falsely registered the FIR against the answering respondent. Remaining averments were denied for want of knowledge. It was submitted that the claim application deserved dismissal with costs.
4. The Insurance Company - respondent No. 2 admitted the fact that the offending vehicle was insured with them. However, it is submitted that respondent No. 1 was riding the motorcycle in contravention of terms and conditions of insurance policy. He was not holding valid effective driving license at the time of alleged accident. The