IN THE HIGH COURT OF MADHYA PRADESH BENCH AT GWALIOR
Deepak Kumar Agarwal, J.
Somibai & Ors. – Appellants
Versus
Vijay Ram Tyagi & Ors. – Respondents
Misc. Appeal No. 1370 of 2011 & Misc. Appeal No. 104 of 2014
Decided On : 20-09-2022
| Table of Content |
|---|
| 1. details of the accident and claimants. (Para 3) |
| 2. arguments regarding compensation quantum. (Para 4 , 5) |
| 3. court's directive on insurance liability. (Para 6 , 7) |
| 4. discussion on driver's licensing issues. (Para 8 , 9 , 10 , 11 , 12) |
| 5. modification of tribunal's judgment. (Para 13 , 14) |
JUDGMENT
1. This order shall govern the disposal of Misc. Appeal Nos.1370/2011 and 104/2014.
2. Being aggrieved by the award passed on 15.07.2011 in Claim Case No.79/2010 by Fourth Additional Motor Accident Claims Tribunal Morena (M.P.), appellants have preferred these appeals.
3. In brief facts of the case are that on 09.05.2009 deceased Rajendra Singh, who had come to the house of his sister at Raptapura, to go back to his house was standing on the road side, at that time at about 4:00 pm infront of house of Dataram Kushwah on Morena-Ambah road, respondent No.2 came driving the Tata Sumo Vehicle bearing registration MP 06 BA0186 which was in the ownership of respondent No.2 rashly and negligently and dashed deceased Rajendra Singh. Due the said accident, Rajendra Singh died on the spot. In regard to the accident, report was lodged by Dataram at Police Station Dimni for the offence punishable under Section 304-A of IPC. Postmortem was conducted. After investigation, charge-sheet was filed. Rajendra was aged about 32 years and before the accident he used to earn Rs.74,000/- per annum from agriculture and selling milk. Claimant No.1 Somi Bai is his wife and claimants No. 2 to 5 are his children while claimant No.6 is his mother. All the claimants were dependents on the earnings of deceased. Due to the accident, they have become hand to mouth. Claimants preferred application under Section 166 of Motor Vehicle Act seeking compensation and adduced oral and documentary evidence. Learned Tribunal awarded a sum of Rs. 4,39,500/- as compensation to the claimants and exonerated Insurance Company to pay the compensation.
4. M.A. No. 1370/2011 has been filed by the claimants on the ground that the quantum of compensation awarded by the Tribunal is on lower side and the learned Tribunal has erred in exonerating the insurance company to pay the compensation while M.A. No. 104/2014 has been filed by the owner of the offending vehicle on the sole ground of shifting the liability to pay compensation from owner and driver to Insurance Company.
5. Looking to the facts and circumstances of the case, the tribunal should have assessed the income of deceased at Rs. 4000/- per month. Hence, the annual income of the deceased comes to Rs.4000 x 12= Rs.48,000/-. After adding 40% towards future prospects (in light of decision of Apex Court in the case of National Insurance Co. Ltd Vs. Pranay Sethi , 2017 ACJ 2700(SC) since deceased was aged about 32 years at the time of accident), his annual income comes to Rs.67,200/-. After deducting 1/4 towards self expenditure, yearly income comes to Rs.50,400/-. After applying multiplier of 16, total amount comes to Rs. 8,06,400/-. Adding Rs. 2000/- under funeral expenses and Rs.500/- under travelling expenses and Rs. 5000/- under the head of loss of consortium, the total compensation comes to Rs.8,13,900/-. Thus, the claimants are entitled for total compensation to the tune of Rs.8,13,900/-. Hence, the respondent/claimant is held entitled to receive the enhanced amount of Rs.3,74,400/- (Rs.8,13,900/- - 4,39,500/-) in addition to the amount of compensation already awarded by the Claims Tribunal. The enhanced amount of award shall carry interest at the rate of 6% per annum from the date of filing of appeal till the date of realization.
6. Now the question is as to who will pay the compensation. The three-Judges Bench of Apex Court in the case of National Insurance Co. Ltd. v. Swaran Singh & others reported in (2004) 3 SCC 297 in paragraph no.110 has observed as under:-
"110. The summary of our findings to the various issues as raised in these petitions are as follows:
(i) Chapter XI of the MOTOR VEHICLES ACT , 1988 provi
National Insurance Co. Ltd Vs. Pranay Sethi
National Insurance Co. Ltd. v. Swaran Singh & others reported in (2004) 3 SCC 297
The insurer is primarily liable to pay compensation to accident victims, with the right to recover from the vehicle owner, reinforcing the social welfare purpose of the Motor Vehicles Act.
Accident - Driving license - Validity of - Onus would shift on the insurance company only after owner of the offending vehicle pleads and proves the basic facts within his knowledge that the driver o....
The court established that the insurance company is liable under the doctrine of pay and recovery, enhancing compensation based on proper income assessment and applicable legal principles.
Accident – Licence - Liability of insurance company – When liable - Claimants are entitled to revised compensation in amount of amount along with interest @ 7.5 per annum from date of filing of claim....
The main legal point established in the judgment is the requirement for the insurance company to take coercive steps to establish the lack of a valid driving license for the driver, and the principle....
The main legal point established in the judgment is the determination of compensation under Sec. 166 of the Motor Vehicle Act, 1988, considering factors such as notional income, loss of consortium, a....
The court clarified the correct assessment of compensation, allowing enhancement based on a re-evaluation of the deceased's income and applicable deductions.
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.