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2026 Supreme(Online)(Guj) 14324

IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
Nisha M. Thakore, J
Mukeshbhai Bachusinh Chauhan – Appellant
Versus
Shanmugraj Kolandi Goundar – Respondent
R/FIRST APPEAL NO. 1983 of 2015



Advocates:
For the Appellants/Petitioners: Hiren M Modi
For the Respondents: Palak H Thakkar, V C Thomas

Compensation for an injured minor in a motor accident must be calculated using the minimum wage of a skilled worker, including 40% for future prospects and evaluating the physical impairment as a significant functional disability to ensure just and fair relief for the victim.

Headnote:(A) Motor Vehicles Act, 1988 - Section 166 - Motor accident injury case - Quantum of compensation - Minor victim - Assessment of loss - It is a well-entrenched principle of law that a minor child who suffers permanent disability in a motor vehicle accident cannot be categorized as a non-earning individual for the purpose of assessing compensation; rather, computation ought to be made adopting minimum wages payable to a skilled workman (Paras 8, 9).

(B) Quantum of compensation - Future prospects and disability - Determination of future loss of income for a child requires addition of future prospects at 40% and, in cases of severe injuries like amputation, the loss of earning capacity can be assessed as high functional disability (Paras 10, 11).

(C) Future medical expenses - When injury results in permanent impairment such as limb amputation, the assessment of loss must include reasonable provision for future surgical interventions and the periodic replacement of assistive devices (Para 13).

Facts of the case:
The claimant, a child of approximately nine years, was involved in a vehicular accident resulting in severe injuries, including the amputation of the right leg. The tribunal passed an award that the claimant challenged in appeal, seeking enhancement on grounds that the monetary compensation failed to reflect the child's life-long struggle and the prevailing legal benchmarks for such injuries.

Findings of Court:
The court found that the tribunal erred in treating the claimant as a non-earning person for income assessment. By applying the skilled worker minimum wage standard, adding 40% for future prospects, and considering the permanent nature of the physical impairment as a 100% functional disability, the court significantly enhanced the award to cover pain, suffering, future medical requirements, and loss of amenities.

Issues: Whether the compensation awarded by the tribunal for a minor victim of a motor accident was just and reasonable, and whether the income of a child should be assessed based on the minimum wages of a skilled workman.

Ratio Decidendi: A child victim of a motor accident must be compensated by applying objective financial metrics, specifically the minimum wage for skilled labor, to account for potential future earnings. The court underscored that failure to do so results in inadequate compensation and necessitates appellate intervention to ensure the relief is sufficient for the victim's life-long disabilities.

Result: Appeal allowed; compensation enhanced and awarded with interest.

Table of Content
1. procedural context and initiation of appeal in motor vehicle accident claims. (Para 1 , 2 , 3 , 4)
2. parties argument on compensation quantum based on medical evidence and disability. (Para 5 , 6)
3. applying skilled-worker minimum wages and total functional disability for minor victims. (Para 7 , 8 , 9 , 10 , 11 , 12 , 13 , 14 , 15)
4. final award determination, disbursement, and implementation of recovery orders. (Para 16 , 17 , 18 , 19 , 20 , 21)

ORAL JUDGMENT

FOR APPROVAL AND SIGNATURE:

HONOURABLE MS. JUSTICE NISHA M. THAKORE --Sd/-

======================================

Approved for Reporting Yes No

No

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1. Heard Mr. Hiren M. Modi, learned advocate for the appellant – original claimant. Mr. Palak H. Thakkar, learned advocate has appeared on behalf of the respondent no.2 and Mr. V. C. Thomas, learned advocate has appeared on behalf of the respondent no.4 – insurance company.

2. The record suggests that the notice of admission of appeal is duly served upon the respondent no.3, who is the owner of one of the vehicles involved in the accident. However, he has chosen not to appear and contest the appeal. The notice of admission of appeal has remained unserved qua the respondent no.1, who is also one of the owner of the vehicle involved in the accident. Despite sufficient opportunity being granted to the appellant to serve the respondent no.1, the appellant having failed to serve the respondent no.1. The matter has been dismissed for non-prosecution against the respondent no.1.

3. Considering the fact that the respective insurance companies of the vehicles involved in the accident are represented, the appeal is taken-up for final hearing with the assistance of the learned advocates on record.

4. Considering the grounds raised in the appeal and submissions made by the learned advocate for the appellant, the appeal was admitted by this Court by order dated 31st October, 2015. The Record and Proceedings were called for, which is reported to have been received.

5. Learned advocate for the appellant has assailed the impugned judgment and award mainly on the issue of quantum of compensation being determined on lower side by the Tribunal. The attention of this Court was invited to the manner in which the accident had taken place. It was submitted that the victim of the accident is a child aged 9 years and 9 months at the time of accident, who had sustained injury of amputation of the right leg. It was submitted that the claimant has sustained injuries on various part of the face including the nose, left cheek near right side of eye, compound fracture of left leg, middle half region right leg above ankle joint crushed with bleeding and blunt injuries on the other part of the body. The claimant was initially treated at Palanpur Civil Hospital and thereafter was shifted to Dr. Pravin Thakkar’s hospital at Deesa. He was admitted with history of vehicular accident on 16th April, 2004 and was thereafter, discharged on the same day after being referred to higher center. Considering the nature of injuries sustained, the claimant was operated on both the legs in the aforesaid nursing home. The claimant had also undergone an operation for the compound fracture sustained in the left leg. Referring to the medical case papers produced on record, the prescriptions of medicines and the medical expenses incurred, produced on record at Exhs.34 to 81, suggests the prolonged treatment undergone by the claimant. It was submitted that considering the aforesaid medical evidence on record, the Tribunal ought to have appreciated the physical pain and mental agony undergone by the victim child at this tender age. Learned advocate had therefore submitted that the amount of compensation awarded under the head of pain, shock and suffering as well as loss of amenities is required to be reconsidered.

5.1 Learned advocate had further assailed the impugned award as regards the amount of compensation awarded under the h

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