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2026 Supreme(Online)(P&H) 81801

IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
Sudeepti Sharma, J
Jagdeep Singh – Appellant
Versus
Rafia Mohammed – Respondent
FAO-5635-2016



Advocates:
For the Appellants/Petitioners: Sonia Monga
For the Respondents: Paul S. Saini, Vipul Sharma

Compensation for motor accident victims must be 'just', ensuring full restoration through functional disability assessment, adequate future prospects, and realistic provision for necessary lifelong medical aids like prosthetic limbs, irrespective of standardized nominal government rates.

Headnote:(A) Motor Vehicles Act, 1988 - Section 166 - Motor accident injury claim - Enhancement of compensation - Assessment of functional disability - Amputation of lower limb - Principles for awarding compensation towards prosthetic limb - Requirement for periodic replacement and maintenance - Just compensation must be fair, reasonable, and commensurate with loss - Determination of functional disability at 100% despite lower physical disability percentage when vocation is compromised - Need for including future prospects - Award for pain and suffering justified by severity of injuries - Inclusion of attendant, transportation, and special diet charges - Interest at 9% awarded on enhanced amount. (Paras 1, 9, 11, 13, 14, 16-19, 21-23, 26)

(B) Compensation - Prosthetic limb - Guidelines for assessment - Tribunals should award consolidated amounts for initial procurement, maintenance, and periodic replacement based on reasonable life span estimates and cost projections from multiple service providers - Avoidance of abysmally low government-notified rates when they fail to provide restitutio in integrum. (Paras 18, 27-29, 30-33)

Facts of the case:
An appeal was preferred against a tribunal award for compensation in a motor vehicular accident. The claimant suffered severe multiple injuries resulting in 80% physical disability and amputation of the lower limb. The lower tribunal awarded compensation primarily based on physical disability percentages without adequately accounting for the total loss of earning capacity in the claimant's vocational context, nor providing sufficient amounts for the life-long requirement of prosthetic limbs, pain and suffering, and other attendant needs.

Findings of Court:
The court reassessed the functional disability as 100% given the nature of the injury and the claimant's vocation. It awarded a consolidated sum for prosthetic limb procurement, maintenance, and replacement based on an assumed life span of 70 years, and significantly enhanced the compensation for pain, suffering, special diet, and other conventional heads, noting that the tribunal's award was on the lower side.

Issues: Whether the compensation awarded by the tribunal was just and adequate in light of the claimant's 80% disability and resulting functional loss, and whether the claim for prosthetic limbs, future prospects, and general damages was correctly adjudicated.

Ratio Decidendi: Just compensation requires that a victim be restored to the position prior to the accident, following the principle of restitutio in integrum. Where an injury leads to functional total disability, the court must assess impairment based on vocational impact rather than mere physical percentage, and must provide adequate, reasonable maintenance for necessary medical aids without being constrained by inadequate uniform government rates.

Result: Appeal allowed. Award modified by increasing compensation to Rs. 51,16,800/- with 9% interest on the enhanced amount.

Table of Content
1. factual assessment of disability and income for compensation. (Para 1 , 2 , 9 , 10 , 11)
2. parties' contentions regarding the quantum of compensation. (Para 3 , 4 , 5)
3. established supreme court principles for injury compensation. (Para 6 , 7 , 8)
4. principles for assessing functional disability and prosthetic costs. (Para 12 , 13 , 14 , 15 , 16 , 17 , 18 , 19 , 20 , 21 , 22 , 23 , 24)
5. final calculation of enhanced compensation and interest award. (Para 25 , 26 , 27 , 28)

*****

SUDEEPTI SHARMA J.

1. The present appeal has been preferred against the award dated 25.09.2015 passed by the learned Motor Accident Claims Tribunal, Panchkula (for short, 'the Tribunal’) in the claim petition filed under Section 166 of the Motor Vehicles Act, 1988 for enhancement of compensation granted to the claimant to the tune of Rs.15,25,920/- along with interest @ 6% per annum, on account of injury suffered by him in a Motor Vehicular Accident, occurred on 08/09.10.2013.

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 and is skipped herein for the sake of brevity.

SUBMISSIONS OF THE LEARNED COUNSELS FOR THE PARTIES

3. The learned counsel for the appellant/claimant contends that the compensation awarded by the learned Tribunal is on the lower side and deserves to be enhanced. Therefore, she prays that the present appeal be allowed and the compensation awarded to the appellant/claimant be enhanced, as per latest law.

4. Per contra, learned counsel for respondent No. 3-Insurance Co., however, vehemently argues on the lines of the award and contends that the amount of compensation as assessed by learned Tribunal, has rightly been granted to the appellant/claimant. Therefore, he prays for dismissal of the present appeal.

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 has settled the law regarding grant of compensation with respect to the disability. The Apex Court in the case of Raj Kumar Vs. Ajay Kumar and Another (2011) 1 Supreme Court Cases 343, has held as under:-

General principles relating to compensation in injury cases

5. The provision of the Motor Vehicles Act, 1988 ('Act' for short) makes it clear that the award must be just, which means that compensation should, to the extent possible, fully and adequately restore the claimant to the position prior to the accident. The object of awarding damages is to make good the loss suffered as a result of wrong done as far as money can do so, in a fair, reasonable and equitable manner. The court or tribunal shall have to assess the damages objectively and exclude from consideration any speculation or fancy, though some conjecture with reference to the nature of disability and its consequences, is inevitable. A person is not only to be compensated for the physical injury, but also for the loss which he suffered as a result of such injury. This means that he is to be compensated for his inability to lead a full life, his inability to enjoy those normal amenities which he would have enjoyed but for the injuries, and his inability to earn as much as he used to earn or could have earned. (See C.K. Subramonia Iyer v. T. Kunhikuttan Nair, AIR 1970 Supreme Court 376, R.D. Hattangadi v. Pest Control (India) Ltd., 1995 (1) SCC 551 and Baker v. Willoughby, 1970 AC 467).

6. The heads under which compensation is awarded in personal injury cases are the following :

Pecuniary damages (Special Damages)

(i) Expenses relating to treatment, hospitalization, medicines, transportation, nourishing food, and miscellaneous expenditure.

(ii) Loss of earnings (and other gains) which the injured would have made had he not been injured, comprising :

(a) Loss of earning during the period of treatment;

(b) Loss of future earnings o

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