IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
ORIENTAL INSURNANCE COMAPNY LTD. – Appellant
Versus
AKALEEMAN AND ANR. – Respondent
IN THE HIGH COURT OF PUNJAB & HARYANA AT CHANDIGARH ORIENTAL INSURANCE CO. LTD.
......Appellant vs.
AKALEEMAN AND ANR.
......Respondents Reserved on:- 15.01.2026 Pronounced on:- 19.02.2026 Uploaded on:- 23.02.2026 Whether only the operative part of the judgment is pronounced? NO Whether full judgment is pronounced? YES CORAM: HON'BLE MRS. JUSTICE SUDEEPTI SHARMA Present: Mr. Varun Sharma, Advocate for the appellant.
Mr. Ashish Rana, Advocate for respondent No.1.
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SUDEEPTI SHARMA J.
1. The present appeal has been preferred against the award dated 09.10.2023 passed by the learned Motor Accident Claims Tribunal, Sonepat (for short, 'the Tribunal’) in the claim petition filed under Section 166 read with Section 140 of the Motor Vehicles Act, 1988, wherein, the appellant/insurance company was held liable to pay the compensation to the claimants/respondents to the tune of Rs.11,91,600/- along with interest @ 7%
per annum, on the ground of quantum of compensation to be on higher side.
2. As sole issue for determination in the present appeal is confined to quantum of compensation awarded by the learned Tribunal, a detailed narration of the facts of the case is not required to be reproduced here for the sake of brevity.
SUBMISSIONS OF LEARNED COUNSEL FOR THE PARTIES
3. Learned counsel for the appellant-Insurance Company contends that the learned Tribunal has erred in taking entire notional income of the deceased, as assessed by it, into consideration without making any deduction therefrom on the count of personal and living expenses. He relies upon the judgment rendered by the three Judges' Bench of the Apex Court in Kirti and anr. etc versus Oriental Insurance Company Ltd, Law Finder Doc Id # 1795020, in support of his contentions, therefore, he prays that the present appeal be allowed and amount of compensation be reduced.
4. Per contra, learned counsel for respondent No.1/claimant contends that compensation awarded by the learned Tribunal is on the lower side hence warrants enhancement. He fairly concedes that no independent appeal has been preferred by the respondent-claimant for seeking such enhancement. Nonetheless, placing reliance on the judgment of this Court passed in FAO-5934-2015 titled as ‘National Insurance Co. Ltd. Vs. Laltesh and others’, decided on 31.01.2026, he contends that this Court, in exercise of its appellate jurisdiction, possesses ample power to enhance the quantum of compensation even in the absence of a cross-appeal or cross-objections filed by the claimant. He therefore, prays that the compensation be enhanced.
5. I have heard learned counsel for the parties and perused the whole record of this case with their able assistance.
SETTLED LAW ON COMPENSATION
6. Hon’ble Supreme Court in the case of Sarla Verma Vs. Delhi Transport Corporation and Another [(2009) 6 Supreme Court Cases 121] laid down the law on assessment of compensation and the relevant paras of the same are as under:-
“30. Though in some cases the deduction to be made towards personal and living expenses is calculated on the basis of units indicated in Trilok Chandra, the general practice is to apply standardised deductions. Having a considered several subsequent decisions of this Court, we are of the view that where the deceased was married, the deduction towards personal and living expenses of the deceased, should be one-third (1/3rd) where the number of dependent family members is 2 to 3, one-fourth (1/4th) where the number of dependent family members is 4 to 6, and one-fifth (1/5th) where the number of dependent family members exceeds six.
31. Where the deceased was a bachelor and the claimants are the parents, the deduction follows a different principle. In regard to bachelors, normally, 50% is deducted as personal and living expenses, because it is assumed that a bachelor would tend to spend more on himself. Even otherwise, there is also the possibility of his getting married in a short time, in which event the contribution to the parent(s) and siblin
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