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IN THE HIGH COURT OF PUNJAB AND HARYANA AT

CHANDIGARH

FAO-2320-2017 (O&M)

Date of Decision: January 31, 2026

Geeta and others

...Appellants

VERSUS

Pawan Kumar and others

...Respondents

CORAM: HON'BLE MRS. JUSTICE ARCHANA PURI

Present: Mr.Narender Kaajla, Advocates

for the appellants.

Mr.Vipul Sharma, Advocate for

Mr.Subhash Goyal, Advocate

for respondent No.3.

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ARCHANA PURI, J.

The present appeal has been filed by the appellants-claimants,

thereby, seeking enhancement of the compensation awarded by learned

Motor Accident Claims Tribunal, on account of death of Jai Pal, in a motor

vehicular accident.

At this stage, learned counsel for the insurance company

submits that in view of evidence, brought on record, before the Tribunal, as

evident from the photocopy of the record of the Tribunal, which has been

summoned by the Court, there is scope of amicable settlement. Considering

the financial transaction record of the deceased, who was allegedly running a

pesticides shop and was an LIC agent, he fairly concedes that the extent of

VINEET GULATI

2026.02.05 08:58

I attest to the accuracy and

authenticity of this document

Chandigarh

FAO-2320-2017 -2-

earnings of deceased can be taken as Rs.2,50,000/- per annum. The

insurance company is ready for amicable settlement, while considering this

extent of earnings of deceased Jaipal.

The offer so made by the insurance company is acceptable to the

counsel for the appellant and counsel also submits that he has no objection,

if the further computation of the compensation, while considering the

earnings as Rs.2,50,000/- per annum, is worked upon.

In view of the submissions made by both the counsel, with their

able assistance, gone through the impugned Award as well as the evidence,

brought on record.

On the basis of the evidence, brought on record, it stands

established that the deceased was 47 years old, at the relevant time and he

was running pesticides shop, under the name and style of Sagar Beej

Bhandar and was also an LIC agent. On appraisal of the evidence, brought

on record, learned Tribunal, while considering annual earnings of deceased

as Rs.1,58,330/- per annum, had worked upon the compensation, which in

tabular form is given in paragraph No.31 of the Award, which, for the

purpose of convenience, is reproduced, as herein given:-

Annual income Rs.1,58,330/-

Deduction of self 1/4th Rs.39583/-

Total annual income Rs.1,18,747/-

Multiplier of 13 Rs.15,43,711/-

Funeral & transportation expenses Rs.50,000/-

Loss of consortium (widow) Rs.1,00,000/-

Love and affection (children) Rs.1,50,000/-

Loss of estate (father) Rs.50,000/-

Total Rs.18,93,711/-

However, the ‘work on’ of the compensation aforesaid, do call

for re-computation, more particularly, considering the evidence, with regard

VINEET GULATI

2026.02.05 08:58

I attest to the accuracy and

authenticity of this document

Chandigarh

FAO-2320-2017 -3-

to the financial transactions done by the deceased, during his lifetime, while

transacting his business. But anyhow, keeping in view the evidence, brought

on record, an offer has been made by learned counsel for the insurance

company, for re-calculation of the compensation, while considering the

extent of earnings of deceased Jaipal to be Rs.2,50,000/- per annum, which

offer is also acceptable to counsel for the appellant.

Given the same, the earnings of deceased are taken as

Rs.2,50,000/- per annum. Deduction, on the count of ‘personal expenses’

ought to be made to the extent of 1/4th. Further, considering the age of

deceased to be 47 years, as per National Insurance Company Limited vs.

Pranay Sethi and others, 2017(4) RCR (Civil) 1009, addition on the count

of ‘future prospects’ ought to be made to the extent of 25%. As per

Smt.Sarla Verma vs. Delhi Transport Corporation and anr., 2009(3) RCR

(Civil) 77, the appropriate multiplier to be applied is ‘13’ as applied by

learned Tribunal.

However, under the conventional heads, the amount of

compensation awarded by learned Tribunal, needs to be scaled down.

Before proceeding further, it is pertinent