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SUPREME COURT OF INDIA
ASHOK BHUSHAN AND R. SUBHASH REDDY, JJ.
THE NEW INDIA ASSURANCE COMPANY LIMITED – APPELLANT
VERSUS
SMT. SOMWATI AND OTHERS – RESPONDENTS
CIVIL APPEAL NO.3093 OF 2020 (ARISING OUT OF SLP(C) NO. 23478 OF 2019)
WITH
THE NEW INDIA ASSURANCE COMPANY LIMITED – APPELLANT
VERSUS
SMT. SANGITA AND OTHERS – RESPONDENTS
CIVIL APPEAL NO.3094 OF 2020 (ARISING OUT OF SLP(C) NO. 4801 OF 2020)
WITH
THE NEW INDIA ASSURANCE COMPANY LIMITED – APPELLANT
VERSUS
AZMATI KHATOON AND OTHERS – RESPONDENTS
CIVIL APPEAL NO.3095 OF 2020 (ARISING OUT OF SLP(C) NO. 4643 OF 2020)
WITH
CHOLAMANDALAM MS GENERAL INSURANCE COMPANY LIMITED – APPELLANT
VERSUS
UMARANI AND OTHERS – RESPONDENTS
CIVIL APPEAL NO.3096 OF 2020 (ARISING OUT OF SLP(C) NO. 5441 OF 2020)
WITH
THE NEW INDIA ASSURANCE COMPANY LIMITED – APPELLANT
VERSUS
SMT. PINKI AND OTHERS – RESPONDENTS
CIVIL APPEAL NO.3097 OF 2020 (ARISING OUT OF SLP(C) NO. 6381 OF 2020)
WITH
THE NEW INDIA ASSURANCE COMPANY LIMITED – APPELLANT
VERSUS
NANAK CHAND AND OTHERS – RESPONDENTS
CIVIL APPEAL NO.3098 OF 2020 (ARISING OUT OF SLP(C) NO. 7556 OF 2020)
WITH
THE ORIENTAL INSURANCE COMPANY LIMITED – APPELLANT
VERSUS
SMT. RINKU DEVI AND OTHERS – RESPONDENTS
CIVIL APPEAL NO.3099 OF 2020 (ARISING OUT OF SLP(C) NO. 8250 OF 2020)
Decided on : 07-09-2020
(A) Motor Vehicles Act, 1988 – Section 166 – Fatal accident – Award of compensation – Claimant in a claim for award of compensation under Section 166 of Motor Vehicles Act, 1988, is entitled for just compensation – Just compensation has to be equitable and fair – Loss of life and limb can never be compensated in an equal measure but statutory provisions under Motor Vehicles Act is a social piece of legislation which has been enacted with intent and object to facilitate claimants to get redress for loss of the member of family, compensate loss in some measure and to compensate claimant to a reasonable extent. (Para 23)
(B) Motor Vehicles Act, 1988 – Section 166 – Fatal accident – Award of compensation – Expression ‘consortium’ to include spousal consortium, parental consortium as well as filial consortium – Consortium is not limited to spousal consortium and it also includes parental consortium as well as filial consortium – No compensation can be awarded under head ‘loss of love and affection’ – Apart from spousal consortium, parental and filial consortium is payable – Impugned judgments of High Court awarding consortium to each of claimants in accordance with law which does not warrant any interference in this appeal – However, there is no justification for award of compensation under separate head ‘loss of love and affection’ – Appeal filed by appellant deserves to be allowed insofar as award of compensation under head ‘loss of love and affection’ – Award of compensation under conventional head ‘loss of love and affection’ set aside – Motor Accident Claims Tribunals shall recompute amount payable and take further steps in accordance with law. (Paras 34, 35, 37, 39, 40 and 47)
Facts of the case:
These appeals raise common questions of law. In all the appeals, only issue to be considered is with regard to award of compensation to the claimant under two heads, i.e., (a)loss of consortium and (b) loss of love and affection. With regard to ‘consortium’, the question is as to whether it is only the wife who is entitled for consortium or the consortium can be awarded to children and parents also.
Findings of Court:
Impugned judgments of High Court awarding consortium to each of the claimants in accordance with law which does not warrant any interference in this appeal. We, however, accept the submissions of learned counsel for the appellant that there is no justification for award of compensation under separate head ‘loss of love and affection’.
Result : Appeals Partly allowed.
JUDGMENT
Ashok Bhushan, J.
Leave granted.
2. These appeals raising common questions of law have been heard together and are being decided by this common judgment. For deciding these appeals, it is sufficient to notice the facts in detail in Civil Appeal No...................../2020( arising out of SLP(C)No. 23478 of 2019), New India Assurance Company Limited Versus Smt. Somwati and Others and brief facts in other appeals.
3. All these appeals have been filed by three Insurance Companies, i.e., New India Assurance Company Limited, Cholamandalam MS General Insurance Company Ltd. and The Oriental Insurance Company Ltd. questioning the judgments of the High Courts arising out of the award by Motor Accident Claims Tribunal (MACT) with regard to the compensation awarded in favour of the claimants under two heads, i.e., "Loss of Consortium" and "loss of love and affection."
Civil Appeal NO...................../2020 (arising out of SLP(C)No.23478 of 2019), New India Assurance Company Limited versus Smt. Somwati and Others
4. Ram Jiyawan, the husband of Smt. Somwati died in a Motor Vehicle accident on 06.12.2001 leaving behind his widow Smt. Somwati and seven minor children. Claim petition No.7 of 2002 was filed under Section 166 of Motor Vehicles Act, 1988, claiming compensation of Rs.15,25,000/-. The MACT by award dated 22.03.2003 allowed a claim of Rs. 1,67,000/- with 9% interest. An appeal was filed by Smt. Somwati Devi and others in the High Court being F.A.F.O.No.1894 of 2003. The High Court allowed the appeal of the claimants and awarded a compensation of Rs.12,54,000/-. Against the judgment of the High Court dated 25.02.2019, this appeal has been filed by the Insurance Company. The grant of compensation under two heads has been challenged in this appeal, i.e., item No. (vi) and (viii), which are to the following effect:-
"(vi) Loss of love and affection = Rs. 4,00,000/-(Rs.50,000/- to each of the eight claimants).
(viii) Loss of Parental Consortium to claimant/appellant nos.2 to 8= Rs.2,80,000/-(Rs.40,000/- to each of the claimants)."
5. This Court while issuing notice on 24.04.2019 passed following order:-
"ORDER
Delay condoned.
Issue notice returnable in four weeks limited to the issue whether both consortium and loss of love and affection could have been awarded by the High Court in this case.
Dasti service, in addition, is permitted.
Until further orders, there shall be stay of 2 payment of the compensation amount payable to the claimants towards clause (vi) of the impugned judgment which reads as under :
"Loss of love and affection=Rs. 4,00,000/- (Rs. 50,000/- to each of the eight claimants)"
6. In pursuance of notice issued by this Court, the respondents have appeared and filed reply as well as written submissions.
Civil Appeal No......../2020 (arising out of SLP(C)No. 4801 of 2020), New India Assurance Company Limited Versus Sangita Devi and Others
7. Sanjay Kumar, husband of the respondent Sangeeta Devi died of Motor Vehicle accident on 12.01.2015. Claim Petition bearing MACP No.862 of 2016 was filed by the respondents, which claim petition was allowed by Motor Accident Claims Tribunal, granting a compensation of Rs.17,71,000/-with interest of 9%. Claimants filed an appeal in the High Court. The High Court following the judgment of this Court in Magma General Insurance Company ltd. vs. Nanu Ram @ Chuhru Ram and Ors., (2018) 18 SCC 130, granted compensation for 'loss of love and affection at the rate of Rs.50,000/-to each of eight claimants and similarly, under the head 'Loss of consortium' at the rate of Rs.40,000/- to all the eight claimants. Aggrieved by the judgment of the Delhi High Court, Insurance Company has filed appeal challenging the order of the High Court.
Civil Appeal No................../2020 ( arising out of SLP(C)No. 4643 of 2020), New India Assurance Company Limited Versus Azmati Khatoon and Others
8. Mohd. Hasibul Bassan, died in a Motor Vehicle accident on 29.10.2007. Claim Petition was filed by respondents which has
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