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2025 Supreme(P&H) 1533

IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
Nidhi Gupta, J.
National Insurance Co. Ltd. - Appellant
Versus
Harkiran Kaur and others - Respondents
FAO-4561-2014 (O&M), FAO-10566-2014 (O&M)
Decided On : 18-11-2025

Advocates Appeared:
For the Appellant :Mr. Rahul Pathania, Advocate for Mr. R.C.Kapoor, Advocate Mr. Vikas Prakash, Advocate for Mr. G.S.Gill, Advocate
For the Respondent:Mr. Chandan Deep Singh, Advocate

Compensation in motor accident claims is determined based on preponderance of probabilities, with emphasis on establishing negligence through witness testimony and recalibrating compensation according to structured formulas.

Headnote:(A) Motor Vehicles Act, 1988 - Section 166 - Compensation awarded in a motor accident claim - Compensation granted of Rs.14,47,000/- with interest at 9% p.a. - Appeal for modification and enhancement of compensation - Eyewitness testimony corroborates negligence of respondent driver - Findings affirmed on preponderance of probabilities. (Paras 2-15)

(B) Affirmation of evidence - Eyewitness, though a colleague of the deceased's father, sufficient to establish negligence - Involvement established through preponderance of evidence rather than stringent standards applicable to criminal trials. (Paras 10-11)

(C) Quantum re-assessment - Income established at Rs.8,000/- p.m. with addition of future prospects - Total compensation recalculated with application of structured formula resulting in Rs.16,33,268/-. (Paras 12-14)

Facts of the case:
The deceased Avtar Singh died in a vehicular accident due to the rash driving of the respondent, resulting in significant financial and emotional losses for the claimants, his widow and mother. The original compensation was claimed to be inadequate based on future prospects and losses incurred.

Findings of Court:
The Tribunal found sufficient evidence for negligence and granted compensation under the Motor Vehicles Act; however, some aspects required recalibration, particularly the awarded amounts for loss of consortium and love.

Issues: Main issues included establishing negligence of the respondent driver, appropriate compensation calculations, and the consideration of witness credibility.

Ratio Decidendi: The court emphasized that negligence can be established through eyewitness accounts without needing criminal standard certainties. Compensation figures were recalibrated to align better with structured formulas for similar cases.

Result: Appeals resolved; Insurance Company’s appeal dismissed; Claimants' appeal partly allowed.

Table of Content
1. facts of the accident and its consequences. (Para 1 , 2 , 3)
2. arguments regarding negligence and compensation. (Para 4 , 5 , 6 , 7 , 8)
3. court analysis on evidential weight and negligence. (Para 9 , 10 , 11)
4. assessment of compensation based on legal standards. (Para 12 , 13 , 14)
5. final judgment and orders. (Para 15 , 16)

JUDGMENT :

NIDHI GUPTA, J.

FAO-4561-2014:

The present appeal has been filed by the Insurance Company seeking modification of the Award dated 20.03.2014 passed by the learned Motor Accident Claims Tribunal, Ludhiana (hereinafter referred to as “the Tribunal”); whereby MACT No. 30 dated 01.09.2011 filed by the claimants/respondents No.1 and 2 herein, under Section 166 of the Motor Vehicles Act, 1988 (hereinafter referred to as “the Act”), has been allowed; and the claimants have been awarded compensation of Rs.14,47,000/- alongwith interest @ 9% p.a.

FAO-10566-2014 (O&M)

The present appeal has been filed by the claimants seeking enhancement of compensation of Rs.14,47,000/- granted by the learned MACT, Ludhiana vide Award dated 20.03.2014 passed in MACT Case No. 30 dated 01.09.2011 filed under Section 166 of the Act. The 2 claimants are the widow; and mother of the deceased Avtar Singh, who was 30 years old at the time of accident.

CM-29102-CII-2014 in FAO-10566-2014:

Prayer in this application filed by the claimants u/s 5 of the Limitation Act is for condonation of delay of 116 days in filing the appeal.

2. For the reasons cited in the application, which is duly supported by an affidavit of the applicant/appellant-claimant No.1, the same is allowed; and the delay of 116 days in filing the appeal is condoned.

FAO Nos.4561 and 10566 of 2014 (O&M)

Both the above said appeals are being decided by this common order as parties in both the appeals are same; both appeals pertain to the same accident dated 29.07.2011; are against the same Award dated 20.03.2014 passed by learned MACT, Ludhiana; and the facts and issues involved in both the cases are identical. For the sake of facility, facts are being drawn from FAO-4561-2014 titled as National Insurance Company Ltd. Vs. Harkiran Kaur and others

2. The case as pleaded by the claimants in the Claim Petition as recorded by the Tribunal in paras 2 and 3 of the Award is as as follows:-

“2. The facts of this case, in brief, are that deceased Avtar Singh was travelling in vehicle No.PB-35F-5050 owned by respondent No.2 Dr. Bhupinder Singh and driven by respondent No.1 Gurjinder Singh on 29.7.2011 at 11.45 PM. He was going from Neelon canal bridge Restaurant to his house at Krishna Nagar, Civil Lines, Ludhiana. When the car reached near Sodhi Da Dhaba, it was 12.00 mid night. A truck was crossing the road for going towards Sodhi Da Dhaba. Respondent No.1 was driving the car so rashly and negligently that he could not stop the car and struck the same into the truck. As a result, Avtar Singh received serious injuries on throat and veins of throat were cut. He also received injuries near his ear and between throat and ear. He died as a result of injuries.

3. Claimant Harkiran Kaur is his wife and claimant Rajinder Kaur is his mother. He was hale and hearty. He was 30 years old at the time of the accident. He was expected to live for another 50 years. He was not addicted to any vice and was totally devoted to his family consisting of his wife, mother and father who were dependent upon him. He was independently working as an Advocate and was also junior to Sh. R. K. Talwar Advocate, District Courts, Ludhiana. He was earning Rs. 12,000/- per month approximately. He was sincere and hard working. Due to sudden death of the deceased, the claimant No.1 has lost her life companion and claimant No.2 has lost her son. They have suffered great mental, physical and financial loss due to his death. Rs.50,000 were spent on cremation and funeral ceremonies.”

3. The learned Tribunal upon appraisal of the pleadings, and the oral and documentary evidence adduced by the parties, concl

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