Case Note & Summary
The dispute arose from a motor accident involving a Haryana Roadways bus that resulted in the death of Suraj Bhan on 15th September 1996. The appellants, heirs of the deceased, sought compensation under Section 166 of the Motor Vehicles Act, 1988, claiming a total of Rs.10 lakhs based on his pension and salary. The Motor Accident Claims Tribunal awarded Rs.1,26,000/- as compensation, considering the pension but rejecting the salary claim due to lack of evidence. The appellants appealed under Section 173 of the Act, presenting a revised pension certificate showing an increase from Rs.3,228/- to Rs.4,556/- per month effective from 1st January 1996. The High Court, however, did not factor in this increase and only slightly raised the compensation to Rs.1,28,000/- using a multiplier of 11. The Supreme Court noted that the revised pension was undisputed and should have been considered, leading to a recalculation of dependency at Rs.2,200/- per month. Consequently, the total compensation was adjusted to Rs.2,90,400/-, with interest at 12% per annum from the date of the original petition. The appeal was allowed in part, modifying the previous orders and granting the revised compensation amount.
Headnote
A) Motor Vehicles Act - Compensation Calculation - Revised Pension Consideration - Motor Vehicles Act, 1988, Section 166 - The court held that the High Court should have considered the revised pension of the deceased for enhancing compensation, leading to a recalculation of dependency and total compensation. The dependency was fixed at Rs.2,200/- per month, resulting in a total compensation of Rs.2,90,400/- when applying the multiplier of 11 (Paras 2-3).
Issue of Consideration
Whether the revised pension of the deceased should be considered for calculating compensation under the Motor Vehicles Act, 1988.
Final Decision
The Supreme Court allowed the appeal in part, modifying the compensation to Rs.2,90,400/- and directing interest at 12% per annum from the date of filing the petition until payment.
Law Points
- Motor Vehicles Act
- compensation calculation
- dependency assessment
- multiplier application
