Janki Devi vs Bhikam Rathore - 2023 Supreme(All) 2349

Judicial Analysis Court Copy Headnote Facts Arguments Court observation

2023 Supreme(All) 2349

IN THE HIGH COURT OF ALLAHABAD
KAUSHAL JAYENDRA THAKER, J.
Smt. Janki Devi and ors. - Appellants
Versus
Sri Bhikam Rathore and Anr. - Respondents
FIRST APPEAL FROM ORDER NO. 739 OF 1999.
Decided On : 02-08-2023

Advocates appeared:
For the Appellant : Madav Jain
For the Respondent: Nagendra Kumar Srivastava

Headnote:(A) Motor Vehicles Act, 1988 - Quantum of compensation - The appellants challenged the Tribunal's award of Rs.3,00,000/- with interest at 12% p.a. for the death of Prem Shankar Sharma in a road accident. Evidence established negligence by the driver, with the income of the deceased determined to be Rs.8,000/- monthly. The court modified the compensation to Rs.11,51,600/- with interest at 9% per annum from the date of filing and 6% thereafter. (Paras 1, 10, 12)

(B) Compensation Assessment - The court held that future prospects of income must be accounted, and personal expenses deducted appropriately, applying a multiplier based on the age of the deceased. (Paras 6, 8)

(C) Non-Pecuniary Damages - Loss of consortium and non-pecuniary damages were granted as per precedent. (Paras 9, 10)

(D) Interest on Compensation - Clarified the rate of interest and tax deduction provisions applicable to compensation. (Paras 11, 14)

Facts of the case:
The claimant is the appellant challenging the Tribunal's compensation ruling post-accident on 17.8.1996, where the deceased was fatally injured by a negligent driver.

Findings of Court:
The court recalculated compensation to reflect appropriate earning and damage assessments beneficial to the claimant.

Issues: The main issues included the assessment of income, appropriate multiplier, and non-pecuniary damages claimed.

Ratio Decidendi: The court ruled that considerations of income, future prospects, and applicable multipliers from precedents guide compensation calculations.

Result: Appeal partly allowed; compensation modified to Rs.11,51,600/-.

Table of Content
1. accident details and compensation awarded (Para 1 , 3)
2. final decision on appeal and thanks to participants (Para 4 , 12 , 17)
3. arguments for compensation adjustments (Para 5 , 6 , 8 , 9)
4. computation of compensation and interest (Para 10 , 11)
5. guidelines for disbursement and tax considerations (Para 13 , 14 , 15 , 16)

JUDGMENT

Dr. Kaushal Jayendra Thaker, J.

By way of this appeal, the appellants have challenged the judgment and award dated 5.4.1999 passed by Motor Accident Claims Tribunal / X-Additional District Judge, Agra (hereinafter referred to as 'Tribunal') in M.A.C.P. No.803 of 1998 (Smt.Janki Devi and others v. Bhikam Rathore and others) awarding sum of Rs.3,00,000/- as compensation to the claimant/appellant with interest at the rate of 12% per annum from the date of filing the claim petition.

2. Heard Mr.Madhav Jain, learned counsel for the appellants-claimants and Mr.Nagendra Kumar Srivastava, learned counsel for the respondents.

3. The brief facts of the case are that claimants-appellants filed Motor Accident Claim Petition before the Tribunal for claiming the compensation under MOTOR VEHICLES ACT , 1988 for the death of Prem Shankar Sharma in a road accident with the averments that on 17.8.1996, deceased Prem Shankar Sharma was going from his house to Agra Kantt. Railway Station by his bicycle, a Jeep bearing No. UP-80/6270 hit the deceased. The deceased was on his left side at the time of accident. The driver of the jeep was driving the vehicle rashly and negligently. In this accident, deceased sustained very serious injuries and died on the spot. The Tribunal considered the income of the deceased as Rs.7,081/- per month, deducted 1/2 as personal expenses, applied split multiplier of 7 though he was 48 years of age and granted Rs.6,000/- towards non-pecuniary damages. Total compensation granted by the Tribunal is Rs.3,00,000/- with 12% rate of interest.

4. Aggrieved mainly with the compensation awarded, the appellants preferred this appeal.

5. The accident is not in dispute. The issue of negligence has attained finality as neither the Insurance Company nor the owner of the vehicle has disputed the same even in oral submissions. The driver of the said vehicle was having valid and effective driving licence on the date of accident is also a decided fact. The vehicle being insured and there being no breach of policy condition is a finding, which has attained finality. The only issue to be decided is the quantum of compensation awarded by the Tribunal.

6. Shri Madhav Jain, learned counsel for the appellants-claimants has submitted that the deceased was working as an Assistant Grain Inspector in Food Corporation of India and, therefore, his income should be considered as Rs.8,719/- per month. It is further submitted that in view of the judgment of Hon'ble Apex Court in National Insurance Co. v. Pranay Sethi [2017 (4) TAC 673 (SC)], 30% for future prospects be added and the deduction should be 1/3. It is next submitted that the multiplier would be 13 instead of 7 as the deceased was 48 years old and Rs.70,000/- towards non-pecuniary damages be also granted.

7. The officer of the Insurance Company is present before this Court and though his Advocate submits that the rate of interest at 12% is on higher side and as the amount, which will be decided, would be beyond his statutory limits.

8. The income of the deceased can be considered to be Rs.8,000/-. The deceased will fall within the category of Government Servant and his age was 48 years at the time of accident, 30% shall be added towards future loss of income and 1/3 shall be deducted for personal expenses as held by Hon'ble Apex Court in National Insurance Company v. Pranay Sethi [2017 (4) TAC 673 (SC)]. Keeping in view the age of the deceased, multiplier of 13 will be admissible in the light of the judgment of Hon'ble Apex Court in the case of Smt.Sarla Verma v. Delhi Transport Corporation [2009 (2) TAC 677 (SC)].

9. As far as non-pecuniary dama