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2023 Supreme(P&H) 3185

IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
SANJAY VASHISTH, J.
Sangtari Muleem & Ors. – Appellants
Versus
Karnail Singh & Ors. – Respondents
FAO NO. 2538 of 2006
Decided On : 07-07-2023

Advocates Appeared:
Mr. Shoaib Khan, Advocate; For the Appellant
Mrs. Shamsher Kaur, Advocate for Respondent No.3 - Insurance Co.

Headnote:(A) Motor Vehicle Act - Rash and negligent driving - Death due to accident caused by vehicle driven in reckless manner - Assessment of compensation based on income and multiplier - Principles laid down in Pranay Sethi case followed for determining future prospects and deductions for personal expenses - Award modified from Rs. 7,85,000/- to Rs. 24,27,116/- (Paras 4, 16, 20).

(B) Compensation claims - Appropriate calculations involve deduction towards personal expenses based on dependents - Multiplier adjusted according to age group of deceased stipulations as per Supreme Court guidelines - Loss of consortium and funeral expenses specified based on precedents.

(C) Court maintains interest rate at 7.5% decided by Ld. Tribunal.

Facts of the case:
The appeal arises from an accident on 28.07.2004 where the deceased was struck by a bus, leading to his death. The appellants claim enhancement of compensation awarded by the Motor Accidents Claims Tribunal (MACT).

Findings of Court:
The appeal partially successful; assessed compensation increased significantly due to error in multipliers and failures to account for dependents adequately.

Issues: The pivotal issues included the multiplier appropriate for calculation of compensation and correct award for consortium and funeral expenses.

Ratio Decidendi: The court clarified that existing precedents and Supreme Court judgments warranted a different approach to calculating multipliers and compensation amounts pertaining to loss of consortium.

Result: Appeal allowed with modifications to the awarded compensation.

Table of Content
1. circumstances of the accident and claimants' relationship to deceased (Para 2 , 3 , 4)
2. claims for compensation and basis for enhancement appeal (Para 5 , 6 , 7)
3. recognition of tribunal's award by insurance company (Para 8 , 9)
4. application of guidelines from pranay sethi's case for calculating compensation (Para 10 , 11)
5. determination of multiplier and loss of future income (Para 12 , 14 , 15)
6. breakdown of total compensation including loss of consortium and funeral expenses (Para 16 , 17)
7. final decision on interest rate and award modification (Para 18 , 19 , 20)

JUDGMENT

Mr. Sanjay Vashisth, J. (Oral)

Counsel appearing for the appellants, after getting no objection from the previous counsel, files his Vakalatnama in Court today, which is taken on record, subject to all just exceptions. Office to tag the same at appropriate place.

2. Present appeal has been filed by the appellants, being the petitioners-claimants in MACT case No.133 of 2004 dated 29.09.2004 (computerized case No. 52901C0006752005) for modification of the award/judgment dated 27.03.2006, passed by the Ld. Motor Accidents Claims Tribunal, Panchkula (hereinafter referred to as 'Ld. Tribunal')by way of seeking enhancement of amount of compensation, on account of death of one Surjeet Muleen.

3. Briefly stated facts of the case are that, on 28.07.2004 at about 09:00 A.M., deceased - Surjeet Muleen was going to his office situated at Sector 26, Chandigarh, from his residence at Sector 2, Panchkula, on his scooter bearing registration No. HR03-A-3782, which was being driven by him. When he reached near Railway Lights point, Mani Majra, suddenly a bus, bearing registration No.CH01-G-5864, struck him from back, which was being driven by respondent No.1 - Karnail Singh (driver) in a rash and negligent manner. Deceased - Surjeet Muleen fell down on the road along with scooter and rear wheel of the bus passed over his body, resulting in his death on the spot.

Regarding the said accident, FIR No. 161, dated 28.07.2004, under Sections 279 , 337, 304A of IPC, was registered against respondent No.1 with the Police Station Mani Majra (UT), Chandigarh.

4. For claiming damages, appellants (petitioners/claimants), who are related as widow and three children of the deceased, filed a claim petition before the Ld. Tribunal at Panchkula.

After completion of pleadings, Ld. Tribunal framed the following issues:-

    I. Whether the accident, causing the death of Surjeet Muleen took place on 28.7.2004 due to rash and negligent driving of bus No.CH-01/G-5864 driven by respondent No.1 as alleged ? OPA

    II. If issue no.1 is proved, whether claimants are entitled to compensation, if so, to what amount and from whom? OPA

    III. Whether respondent no.1 was not having valid and effective driving licence at the time of accident as alleged? OPR-3

    IV. Relief.

5. After proving of the happening of accident because of the rash and negligent driving of respondent No.1, issue No.1 was decided against him and in favour of the appellants/petitioners-claimants. Thereafter, on the basis of record available before the Ld. Tribunal, total compensation amount of Rs. 7,85,000/- along with interest @ 7.5% per annum from the date of institution of the claim petition till its realization, was awarded as payable in favour of the claimants, by assessing monthly income of the deceased - Surjeet Muleen as Rs. 19,377/- per month and multiplier was applied of 5.

Hence, the appellants are in appeal before this Court for seeking enhancement of awarded amount of compensation.

6. While addressing arguments, counsel for the appellants has relied upon the judgment of the Constitution Bench passed by the Hon'ble Apex Court in National Insurance Company Limited v. Pranay Sethi and Ors., 2017(4) RCR (Civil) 1009, (Law Finder Doc Id #918174). Counsel also relies upon the judgment subsequently passed by the Hon'ble Apex Court in Smt. Anjali & Ors. v. Lokendra Rathod & Ors., 2023(1) RCR (Civil) 229, (Law Finder Doc I

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