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2022 Supreme(Online)(KER) 4902
HIGH COURT OF KERALA
K VINOD CHANDRAN, J
DANY L – Appellant
Versus
CLEATUS – Respondent
MACA/1940/2017
The judgment clarified that compensation for personal injuries must be reflective of notional income and the suffering endured, establishing a method for calculation.
Headnote:
Compensation - Motor Vehicle Accident - 2009 Act Section 166 - The court referenced the notional income principle and enhanced compensation due to disability and pain and suffering, leading to a total compensation adjustment.
Fact of the Case:
The appellant sustained significant injuries resulting in 28% disability from a motor vehicle accident, claiming compensation for loss of earnings and pain and suffering.
Issues: Whether the Tribunal's award of compensation was inadequate and if adjustments for notional income and pain and suffering were justified.
Ratio Decidendi: The ratio established the principle that notional income and the severity of disabilities should determine compensation increments in personal injury claims.
Final Decision: The appeal is allowed, enhancing the compensation to Rs.4,22,160.
JUDGMENT
The appeal is filed for enhancement of compensation awarded by the Tribunal. The injured/appellant aged 27 years is said to have suffered 28% disability. The injuries sustained due to the accident are as follows:-
“comminuted fracture right olicranon, dislocation elbow right, comminuted intra- articular fracture right distal radius, comminuted fracture metaphyseal, swelling right elbow with tenderness over distal radius and right olecranon, deformity right elbow and abrasions over right leg and left foot”.
2. There was no proof for income produced by the applicant before the Tribunal and the Tribunal adopted Rs.5,000/- as the notional income. Going by Ramachandrappa v. Manager, Royal Sundaram Alliance Insurance Company Limited [ (2011) 13 SCC 236 ], a coolie is entitled to notional income at Rs.7,000/- in the year, 2009. Hence, the appellant has to be granted the said amount as notional income. Appellant is also entitled to enhancement of compensation for disability which was assessed @ 22% by a Medical Board, which was reduced to 18% by the Tribunal. Further, considering the injuries sustained there shall be an additional amount of Rs.10,000/- granted for pain and suffering. The suggestion made by this Court was agreed to by both the learned counsel for the appellant and learned Standing Counsel for Insurance Company.
| Sl. No. | Head of Claim | Amount awarded by the Tribunal ` | Total amount after enhancement in appeal ` |
| 1 | Loss of earning (Total) | 15,000 | 21000(7000 X 3) |
| 2 | Partial loss of earning | Nil | Nil |
| 3 | Medical, Miscellaneous and bystander expenses | 47500 | 47500 |
| 4 | Future treatment | Nil | Nil |
| 5 | Bystander expenses | 3000 | 3000 |
| 6 | Transportation expenses | 4000 | 4000 |
| 7 | Extra Nourishment | 2000 | 2000 |
| 8 | Damage to clothing etc | 500 | 500 |
| 9 | Pain and suffering | 15000 | 25000 |
| 10 | Loss of dependency | Nil | Nil |
| 11 | Loss of consortium | Nil | Nil |
| 12 | Loss of love and affection | Nil | Nil |
| 13 | Loss of estate | Nil | Nil |
| 14 | Compensation towards permanent partial disability & earning power | 183600 | 314160 (7000 X 12 X 17 X 22%) |
| 15 | Compensation for loss of amenities | 5000 | 5000 |
| 16 | Any other heads: Loss of earning power funeral expenses | Nil | Nil |
| Total 2,75,600/- 4,22,160/- | |||
| Amount enhanced – Rs.4,22,160/- - Rs.2,75,600/- = Rs.146,560/- |
3. The Insurance Company shall pay interest for the amounts awarded by the Tribunal at the rate directed in the impugned award and for the enhanced amounts at the rate of 5% from the date of petition. If any amounts have already been paid, the same shall be granted set off. The claimant shall produce the details of the Bank account before the Insurance Company/Tribunal within one month from the date of receipt of a certified copy of this judgment and amount shall be transferred to the Bank account directly through NEFT/RTGS mode, within a period of one month thereafter. If the Bank account is not given within the time stipulated, it is made clear that no interest shall run on the enhanced amount after the period stipulated by this Court. However, if the Insurance Company fails to deposit the amount, as directed, interest shall run at the rate ordered by the Tribunal.
The appeal is allowed to the above extent.
