IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
YASHVIR SINGH RATHOR, J.
Narinder Kaur and Others – Appellants
Versus
Surjit Singh and Others – Respondents
FAO No. 966 of 2000
Decided On : 09-03-2026
JUDGMENT :
YASHVIR SINGH RATHOR. J.
1. This appeal has been instituted against the Award dated 06.10.1999 for enhancement of compensation awarded in MACT case No.107T of 1999 decided by the MACT, Patiala (for short “Tribunal”) in a petition under Section 166 of Motor Vehicles Act, 1988 vide which a sum of Rs.2,35,000/- has been awarded as compensation to the claimants alongwith interest at the rate of 10% per annum from the date of filing of claim petition till realization on account of death of Gurdev Singh in a motor vehicular accident caused due to rash and negligent driving by respondent No.2 while driving the offending vehicle bearing No.PB-11-A-5985 (for short ‘offending vehicle’), owned by respondent No.1, which was insured with respondent No.3.
2. Learned counsel for the appellants has filed grounds of appeal during hearing, which is taken on record. The Registry is directed to tag the same at an appropriate place.
3. From the pleadings of parties, following issues were framed by the ld. MACT:-
“1. Whether Gurdev Singh son of Sheesha Singh died in a motor vehicular accident at about 12.30 p.m on 30.7.95, on Ujain- Badnagar road, due to rash and negligent driving of truck No.PB-11- A-5985, on the part of Joginder Singh, driver-respondent No.2? OPP.
2. Whether the claimants are entitled to compensation, if so, to what extent and from which of the respondents? OPP.
3. Whether the driver of the truck in question was not having a valid driving licence, at the time of alleged accident? OPR-3.
4. Relief.”
4. Thereafter, the parties led evidence in support of their case.
5. After hearing the parties and going through the material on the file, learned Tribunal awarded a sum of Rs.2,35,000/- as compensation to the claimants, on account of death of Gurdev Singh along with interest @ 10% per annum from the date of filing of claim petition till realization.
6. Feeling aggrieved, the appeal in hand has been preferred. The material on file has been perused and parties have been heard.
7. The only issue required to be determined in the present appeal relates to the assessment of compensation. Therefore, the entire facts regarding the manner of the accident are not required to be reproduced in detail, as the Tribunal has already held under Issue No.1 that the accident occurred due to the rash and negligent driving on the part of respondent No.2 while driving the offending vehicle, owned by respondent No.1 and insured with respondent No.3 and they have been held liable to pay compensation jointly and severally. No appeal or cross-objections have been filed by respondents, challenging the said finding and accordingly finding on issue No.1 is not required to be interfered with.
8. The term `just compensation’ has been elaborated by Hon’ble Supreme Court in Syed Basheer Ahamed and Others Vs. Mohd. Jameel and Another, 2009 (1) RCR (Civil) 867 (SC) and it has been held that while assessing compensation in a motor accident claims case, the Tribunal should award compensation which appears to be just. The expression “which appears to be just” vests a wide discretion in the Tribunal in the matter of determination of compensation. Nevertheless, the wide amplitude of such power does not empower the Tribunal to determine the compensation arbitrarily, or to ignore settled principles relating to determination of compensation. It has been further held that although the Act is a beneficial legislation, it can neither be allowed to be used as a source of profit, nor as a windfall to the persons affected nor should it be punitive to the persons liable to pay compensation and that determination of compensation must be based on certain data establishing reasonable nexus between the loss incurred by the victim or dependents. It has been further held that misplaced sympathy, generosity and benevolence cannot be the guiding factors for determining the compensation. As such, compensation is required to be assessed by taking into consideration above-said parameters.
9. As pe


In motor accident claims, 'just compensation' requires calculating income without deducting statutory contributions like provident fund, adding future prospects for permanent employees, and applying ....
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