Case Note & Summary
The appellant, National Insurance Co. Ltd., filed an appeal under Section 173 of the Motor Vehicles Act, 1988, challenging the judgment and award dated 28th March 2012 passed by the Motor Accident Claims Tribunal, Malegaon in MACP No.36 of 2006. The Tribunal had partly allowed the claim application filed by respondent no.1, Bhagwan Bhika Shirsath, and directed the appellant and respondent nos.2 & 3 (original opponent nos.1 & 2) to jointly and severally pay compensation of Rs.2,50,000/- with interest at 7.5% per annum from the date of petition till realization. The claimant, a pillion rider on a motorcycle, sustained injuries in an accident involving a truck. The Tribunal held both drivers equally negligent. The insurance company contended that the claimant failed to prove his income and that there was contributory negligence. The High Court found that the claimant did not produce any documentary evidence to prove his monthly income of Rs.6,000/- and the Tribunal had no basis to assume such income. The Court also noted that the claimant was a pillion rider and could not be held contributorily negligent. However, the Court reduced the compensation to Rs.1,50,000/- with interest at 7.5% per annum, modifying the award accordingly.
Headnote
A) Motor Accident Claims - Compensation - Proof of Income - Section 173 Motor Vehicles Act, 1988 - Claimant failed to produce any documentary evidence to prove his monthly income of Rs.6,000/- - Tribunal awarded compensation based on assumed income without any basis - Held that in absence of proof, income cannot be assumed arbitrarily (Paras 5-7). B) Motor Accident Claims - Contributory Negligence - Section 173 Motor Vehicles Act, 1988 - Claimant was a pillion rider on a motorcycle which dashed against a truck - Tribunal held both drivers equally negligent but did not consider contributory negligence of claimant - Held that pillion rider cannot be held contributorily negligent unless he had control over vehicle (Paras 8-10).
Issue of Consideration
Whether the Tribunal erred in awarding compensation without proper proof of income and without considering contributory negligence of the claimant.
Final Decision
Appeal partly allowed. Impugned award modified. Respondent no.1 entitled to total compensation of Rs.1,50,000/- with interest at 7.5% per annum from date of petition till realization. Appellant and respondent nos.2 & 3 jointly and severally liable. Civil application disposed of.
Law Points
- Motor Vehicles Act
- 1988
- Section 173
- Compensation
- Negligence
- Income Proof
- Contributory Negligence



