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IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH

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104

FAO-3324-2001

Date of decision: 04.02.2026

RISHPAL KAUR AND OTHERS

. . . . Appellants

Vs.

Gurcharan Singh and others

. . . . Respondents

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CORAM: HON’BLE MR JUSTICE DEEPAK GUPTA

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Present: - Mr. Saurabh Bhardwaj, Advocate, and

Mr. A.S. Virk, Advocate, for the appellants.

Mr. Sandeep Suri, Advocate,

for respondent No.3-Insurance Company.

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DEEPAK GUPTA, J.

The present appeal has been preferred by the claimants

seeking enhancement of compensation awarded by the learned Motor

Accidents Claims Tribunal, Kurukshetra. The claim arises out of a fatal

motor vehicular accident dated 06.01.2000, in which Balwinder Singh lost

his life on account of rash and negligent driving of car No. HR-07D-5754. His

widow, minor children and parents filed a petition under Section 166 of the

Motor Vehicles Act, 1988, claiming compensation from the driver, owner

and insurer of the offending vehicle.

2. The learned Tribunal, vide award dated 03.05.2001, assessed

the compensation at ₹3,32,200/- and held all the respondents jointly and

severally liable to pay the said amount along with interest.

3. The claimants have assailed the award only on the question of

quantum, contending that the learned Tribunal has grossly underestimated

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the income of the deceased and failed to award compensation in

accordance with settled principles of law.

4. Learned counsel for the appellants submits that the deceased

was working in a workshop under the name and style of Saggu Engineering

Works, assisting his brother, and was earning about ₹10,000/- per month. It

is further contended that the Tribunal erred in assessing the income on a

notional basis at ₹2,400/- per month, failed to grant any addition towards

future prospects despite the deceased being below 40 years of age, and

further restricted the compensation under the head of loss of consortium

only to the widow, ignoring the entitlement of the children and parents.

5. Per contra, learned counsel for the Insurance Company

submits that no cogent documentary evidence was produced to establish

the actual income of the deceased. It is argued that the minimum wages for

an unskilled worker at the relevant time were approximately ₹1,905/- per

month, and therefore the notional income assessed by the Tribunal was, in

fact, on the higher side. However, it is fairly conceded that the Insurance

Company has not filed any appeal challenging the award.

6. Upon perusal of the record, it is evident that the claimants had

asserted that the deceased was associated with Saggu Engineering Works.

However, no partnership deed, account books, salary record or other

documentary evidence was produced to substantiate the claim of income.

There is also no evidence regarding the educational or technical

qualifications of the deceased. In such circumstances, the learned Tribunal

rightly resorted to notional income.

7. Though the notional income of ₹2,400/- per month is higher

than the minimum wages prevalent at the relevant time, this Court finds no

justification to reduce the same, particularly in the absence of any appeal

by the Insurance Company. It is settled law that in a claimant’s appeal, the

compensation cannot be reduced unless the insurer has independently

challenged the award.

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8. As regards future prospects, the learned Tribunal committed

an error in not granting any addition. The deceased was aged about 36

years at the time of the accident. In view of the settled legal position, even

in cases of notional income, an addition towards future prospects is

permissible. Accordingly, 40% addition to the income of the deceased is

warranted.

9. As regards the deduction towards personal and living

expenses, the deceased left behind five dependents, namely, widow, two

minor children and parents. Therefore, deduction of 1/4th of the income

towards pe