Compensation for the death of a minor in a motor accident should be calculated using the minimum wages for a skilled workman, applying appropriate future prospects and reasonable deductions to ensure just and equitable relief.

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HARKESH MANUJA, J.

1. By way of present appeal, challenge has been laid to an award dated 18.08.2017 passed by the learned Motor Accident Claims Tribunal, Palwal (for brevity, “the Tribunal”), whereby an amount of Rs.4,40,000/- was awarded as compensation to the appellants/claimants along with interest @ 7.5 % per annum from the date of filing of petition till its realization on account of death of Mohit (aged 14 years) in a motor vehicular accident, occurred on 20.04.2016.

2. Since the sole issue for determination in the present appeal is confined to the quantum of compensation awarded by the learned Tribunal, a detailed narration of the facts of the case is omitted herein for the sake of brevity.

ARGUMENTS ON BEHALF OF LEARNED COUNSEL FOR THE APPELLANTS.

3. Learned counsel for the appellant-claimant assailed the impugned award by contending that the deceased, at the time of the accident, was a minor aged about 14 years and a meritorious student, and that the ld. Tribunal erred in assessing his income @ Rs.30,000 per annum. Ld. counsel further contended that the amount of compensation granted under conventional heads was not in consonance with the settled law. The multiplier applied as well as rate of interest awarded was also assailed being on the lower side.

ARGUMENTS ON BEHALF OF LEARNED COUNSEL FOR RESPONDENT No.3/INSURANCE COMPANY

4. Per contra, learned counsel representing respondent No. 3/Insurance Company neither refuted the factum of accident nor even the negligence of the offending vehicle, however submitted that in the facts of the present case, the compensation assessed by the learned Tribunal called for no interference.

DISCUSSION AND REASONING

5. I have heard learned counsels for the parties and perused the paper-book of the case. I find force in the arguments advanced by learned Counsel for the appellants.

6. A perusal of the record reveals that the deceased, at the time of the accident, was aged about 14 years and was studying in the 9th standard at DAV School, Palwal. The learned Tribunal, while applying the principle of notional income, assessed the income of the deceased at Rs.30,000/- per annum. However, as per the latest exposition of law, a Division Bench of the Hon’ble Supreme Court, in Hitesh Nagjibhai Patel v. Bababhai Nagjibhai Rabari and Anr, reported as 2025 INSC 1070, observed that compensation in motor accident claim cases involving minors ought to be determined on the basis of the minimum wages applicable to skilled workers in the relevant state and time. Relevant paragraph of the said judgment is reproduced hereinunder:

“9. On the aspect of monthly income of the minor appellant, we are inclined to interfere with the judgment and order of the Courts below. In the present case, it is evident that the Courts below have failed to take into account the monthly income of the appellant while determining the quantum of compensation. It is now a well-entrenched and consistently reiterated principle of law that a minor child who suffers death or permanent disability in a motor vehicle accident, cannot be placed in the same category as a non-earning individual for the purposes of assessing the amount of