The approval of a settlement agreement by the court modifies the initial compensation awarded by the Tribunal.

JUDGMENT

This appeal is filed by the appellants in O.P.(MV) No.1121 of 2014 on the file of the Motor Accidents Claims Tribunal, Perumbavoor. The said claim petition was filed by the appellants herein, claiming an amount of ₹22,69,600/- limited to ₹20,00,000/- as compensation in a motor accident occurred on 02.08.2014. The Tribunal awarded an amount of ₹11,66,800/- as compensation under different heads, directing the respondent insurer to deposit the said amount along with interest at the rate of 9% per annum from the date of petition till the date of realization. Disputing the quantum of compensation awarded, the appellants have come up with this appeal.

2. Today, when the matter came up for consideration, the learned counsel for the appellants as well as the learned counsel for the respondent submitted that the matter has been settled between the parties on 10.02.2026 before the Mediator, Kerala High Court Mediation Centre.

3. The Mediator has submitted a Final Report along with settlement agreement before this Court, wherein it is stated that the respondent insurer offered to settle this appeal by paying an additional consolidated amount of ₹5,15,000/- (Rupees Five lakhs fifteen thousand only) inclusive of interest and costs. The same is agreed to and accepted by the appellants towards full and final settlement of the claims advanced in this appeal.

4. The respondent insurer undertakes to deposit the above amounts before the Tribunal within a period of two months from the date of receipt of this judgment, and in default to pay interest @7% per annum on the above amount from the date of default and hence, the matter is settled.

5. In the light of the settlement agreement filed by the Mediator, the impugned award is modified, awarding the claimants an amount of ₹5,15,000/- (Rupees Five lakhs fifteen thousand only) in full and final settlement of all the claims put forward by the claimants within a period of two months from the date of receipt of this judgment, and in case of any default, to pay interest @7% per annum on the above amount from the date of default. The claimants shall furnish copies of the PAN Card, AADHAAR Card and bank details before the respondent insurer within a period of two months from the date of receipt of a certified copy of this judgment so as to enable the insurance company to make the deposit as ordered above. In case of failure to furnish details as above, it shall be open for the insurance company to deposit the said amount before the Tribunal.

The appeal is disposed of, in terms of the settlement agreement as above. The settlement agreement will form part of the judgment.

Sd/-