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2023 Supreme(Del) 8491

DELHI HIGH COURT
UNITED INDIA INSURANCE CO LTD – Appellant
Versus
RAJNEESH SINGH & ORS – Respondent
MACAPP-199_2015



Assessment of compensation in motor accident cases involving permanent disability and loss of earning potential.

Headnote:

MOTOR ACCIDENT - COMPENSATION - [KEYWORD] - [SUBJECT] - [SUMMARY]

Fact of the Case:

The respondent, a 23-year-old Chartered Accountancy (CA) student, was involved in an accident that resulted in the death of his father and severe injuries to himself. He sustained a head injury, diffuse axonal injury, and other bodily injuries, leading to permanent physical and functional disabilities.

Finding of the Court:

The court upheld the Motor Accidents Claims Tribunal's (MACT) award of Rs. 94,35,950/- in compensation to the respondent, finding that the assessment of his monthly income, physical and functional disability, and future prospects was reasonable and justified.

Issues: 1. Whether the respondent's monthly income was correctly assessed at Rs. 25,000/-.2. Whether the respondent's physical and functional disability was correctly assessed at 100%.3. Whether the future prospects addition should be 40% or 50%.

Ratio Decidendi: 1. The court held that the respondent's potential income as a CA professional, coupled with his earnings from a tuition center, justified the assessment of Rs. 25,000/- as his monthly income.2. The court relied on medical evidence and the respondent's condition to uphold the assessment of 100% functional disability, as his weakness in all four limbs rendered him incapable of performing daily functions without support.3. The court declined to reduce the future prospects addition from 50% to 40%, considering the accident occurred before the relevant Supreme Court precedent and the respondent's significant loss of earning potential.

Final Decision: The appeal was dismissed, and the MACT's award of Rs. 94,35,950/- in compensation to the respondent was upheld.

MAC.APP. 199/2015 1/13

*

IN THE HIGH COURT OF DELHI AT NEW DELHI

%

Reserved on :23nd November, 2023

Pronounced on: 04th December, 2023

+

MAC.APP. 199/2015 & CM APPL. 36938/2023

UNITED INDIA INSURANCE CO LTD

..... Appellant

Through:

Mr. Amit Kumar Singh, Ms. K. Enatoli

Sema, Mr. Prang Newmai and Ms.

Chubalemla Chang, Advs.

versus

RAJNEESH SINGH & ORS

..... Respondents

Through:

Mr. Samrat Nigam and Mr. Abhimanyu

Ansh Walia, Advs.

CORAM:

HON'BLE MR. JUSTICE ANISH DAYAL

JUDGMENT

ANISH DAYAL, J.

1.

This appeal is under Section 173 of the Motor Vehicles Act, 1988

assailing order dated 27th November, 2014 in MACT No. 358/2012 titled as

“Rajneesh Singh v. Dharamvir Sing & Ors.” passed by the Ld. Motor

Accidents Claims Tribunal, North East District, Karkardooma, Delhi. The Ld.

Tribunal awarded a total compensation amounting to Rs. 94,35,950/- to the

respondent/claimant against which the appellant insurance company has come

up in appeal.

2.

The incident occurred at about 4:30 a.m. when respondent No.1 (then

aged 23 years) was travelling with his father on a motorcycle driven by

Digitally Signed

By:MANISH KUMAR

Signing Date:06.12.2023

13:51:19

Signature Not Verified

MAC.APP. 199/2015 2/13

respondent No.1. They met with an accident with a Tavera Car No. DL-1YB-

9593. Respondent No.1 and his father were immediately taken to GTB

Hospital, Shahdara by a PCR Van. Father of the respondent No.1 was declared

brought dead on arrival. Respondent No.1 sustained head injury and other

severe bodily injuries. FIR No.73/2012 under Section 279, 338 and 304 (A)

IPC, PS New Usmanpur came to be registered against the driver Dharamvir

Singh (respondent No.2), who was later arrested.

3.

From 22nd March, 2012 till 15th May, 2012, respondent No.1 remained

admitted at Max Healthcare Super Specialty Hospital, Indraprastha Extension,

Patparganj, Delhi and then from 15th May, 2012 to 19th June, 2012 at Indira

Gandhi ESI Hospital, Jhilmil. On 06th October, 2012, the MACT case was filed

before the Ld. Tribunal. Evidence was led by respondent No.1 and he

examined himself (PW-1), an officer from Institute of Chartered Accountants

of India, ICAI (PW-2), representative from Max Hospital (PW-3), and Dr.

Tarun Vijay (PW-4).

4.

The Ld. Tribunal awarded compensation of Rs.94,35,950/- out of which

Rs.79,60,950/- was pecuniary compensation for the loss of future income due

to permanent functional disability and the rest was on account of non-pecuniary

compensation as well as compensation for other elements like conveyance,

special diet etc. Tabulation of the compensation is provided as under:

S. No.Component of compensation

Amount Awarded

Non-Pecuniary Compensation

1.

Pain and suffering

Rs. 3,00,000/-

Digitally Signed

By:MANISH KUMAR

Signing Date:06.12.2023

13:51:19

Signature Not Verified

MAC.APP. 199/2015 3/13

2. Loss of amenities of life

Rs. 3,50,000/-

3.

Disfiguration

Rs. 50,000/-

4. Loss of marital prospects

Rs. 1,00,000/-

Total Non-Pecuniary Compensation

Rs. 8,00,000/-

Pecuniary Compensation

5.

Treatment

Nil.

6.

Loss of earning capacity (Rs. 25,000/-

p.m.)

Rs. 79,60,950/-

7. Special Diet and Conveyance

Rs. 50,000/-

8. Salary of attendant

Rs. 75,000/-

9. Future treatment/aid for rest of life

Rs. 5,00,000/-

Total Pecuniary Compensation

Rs. 86,35,950/-

Total compensation

Rs. 94,35,950/-

5.

The appeal has been filed by the insurance company canvassing the

following grounds:

(i)

Monthly income was not established.

(ii)Physical disability and functional disability are two d

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