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2017 Supreme(All) 2589

IN THE HIGH COURT OF ALLAHABAD
Sudhir Agarwal, Ajit Kumar, JJ.
National Insurance Co. Ltd. - Appellant
Vs.
Rajendra Singh & Others - Respondent
First Appeal From Order No. 4025 of 2017
Decided On : 14-12-2017

Advocates:
Advocate Appeared:
For the Appellant : Anand Kumar Sinha

The judgment emphasized the non-discriminatory assessment of notional income for a housewife and the entitlement of compensation to legal representatives irrespective of financial dependency.

Headnote:

Motor Vehicles Act - Compensation for Housewife - Section 173 of Motor Vehicles Act, 1988 - Act, 1988 - 166, 163A, 2(11) of Code of Civil Procedure

Fact of the Case:

The appellant-Insurance Company appealed against the judgment and award passed by the Motor Accident Claims Tribunal, which awarded compensation to the claimants-respondents for the death of a housewife in a road accident.

Finding of the Court:

The court found no merit in the appellant's contentions regarding the assessment of notional income for a housewife, dependency of claimants, and the application of future prospects. The court also highlighted the gender bias against women and emphasized the invaluable contribution of a housewife to the household.

Issues: Assessment of notional income for a housewife, dependency of claimants, application of future prospects, and interpretation of legal provisions under the Motor Vehicles Act.

Ratio Decidendi: The court emphasized the non-discriminatory assessment of notional income for a housewife, the definition of 'legal representative' under Section 2(11) of the Code of Civil Procedure, and the entitlement of compensation to legal representatives irrespective of financial dependency.

Final Decision: The appeal was dismissed, and the compensation awarded by the Tribunal was upheld.

JUDGMENT :

1. Heard Sri A.K. Sinha, learned counsel for appellant and perused the record.

2. This appeal under Section 173 of Motor Vehicles Act, 1988 (hereinafter referred to as “Act, 1988”) has arisen from judgment and award dated 06.09.2017 passed by Sri Sanjay Kumar Verma, Motor Accident Claims Tribunal/Additional District and Sessions Judge, Court No. 3, Azamgarh in Motor Accident Claim Petition No. 180 of 2015 awarding compensation of Rs. 5,46,500/- with 7 per cent holding the appellant-Insurance Company to pay awarded amount of compensation to claimants-respondents with right to recover the said amount from owner of vehicle. Assailing the said award, learned counsel for appellant-Insurance Company contended that the deceased was house wife and therefore had no income at all. Her notional income has been assessed which cannot be said to be established income in the light of Constitution Bench judgment in National Insurance Company Limited Vs. Pranay Sethi and others 2017 (13) SCALE 12, therefore, unless the income is established and proved, notional income in respect to house wife ought not to have been taken into consideration and in any case future prospects to the extent of 50 per cent has been wrongly applied inasmuch at the best it could have been 25 per cent treating deceased as self employed. Thirdly it is contended that claimants are not dependent and therefore compensation is excessive.

3. However, we find no force in any of the submissions.

4. The gamut of argument of learned counsel for appellant in respect to income of house wife is that she cannot be said to be employed or has any income from employment and, therefore, no notional income of a house wife could have been assessed and she should be treated to be a non earning person. The argument suggests a clear gender bias against women and is in the teeth of mandate against discrimination on the ground of mere sex provided under Article 15(1) of Constitution.

5. A similar argument, we find was advanced before Supreme Court in Arun Kumar Agrawal and Anr. Vs. National Insurance Company and others (2010) 9 SCC 218 but has been repelled with strong observations. That was also a judgment went from this Court to the Highest Court and question up for consideration before Apex Court was income need to be assessed in respect to Smt. Renu Agrawal, a house wife, died in a road accident, leaving behind husband and a daughter. Relevant observations made by Court in Para 22, 26 and 27 are reproduced as under:

“22. We may now deal with the question formulated in the opening paragraph of this judgment. In Kemp and Kemp on Quantum of Damages, (Special Edition -1986), the authors have identified various heads under which the husband can claim compensation on the death of his wife. These include loss of the wife's contribution to the household from her earnings, the additional expenses incurred or likely to be incurred by having the household run by a house-keeper or servant, instead of the wife, the expenses incurred in buying clothes for the children instead of having them made by the wife, and similarly having his own clothes mended or stitched elsewhere than by his wife, and the loss of that element of security provided to the husband where his employment was insecure or his health was bad and where the wife could go out and work for a living.”

“26. In India the Courts have recognised that the contribution made by the wife to the house is invaluable and cannot be computed in terms of money. The gratuitous services rendered by wife with true love and affection to the children and her husband and managing the household affairs cannot be equated with the services rendered by others. A wife/mother does not work by the clock. She is in the constant attendance of the family throughout the day and night unless she is employed and is required to attend the employer's work for particular hours. She takes care of all the requirements of husband and children including cooking of food, washi































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