Bombay High Court Dismisses Insurance Company's Appeal Against Compensation Award for Traumatic Amputation. The Tribunal's assessment of 70% disability and award of Rs.5,02,600 under Section 166 of Motor Vehicles Act, 1988 was upheld as just and proper.

High Court: Bombay High Court Bench: BOMBAY In Favour of Accused
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Case Note & Summary

The case involves an appeal by the insurance company against an award of the Motor Accident Claims Tribunal, Mumbai, granting compensation to the claimant who suffered traumatic amputation of his right forearm in a road accident. The accident occurred on 18th October 2006 when the claimant was riding a motorcycle and was hit from behind by a dumper driven rashly and negligently. The claimant sustained multiple injuries including a fracture of the ulna and traumatic amputation of the right forearm. He filed a claim under Section 166 of the Motor Vehicles Act, 1988 seeking compensation of Rs.7 lakhs. The Tribunal, after evaluating evidence, held that the accident was due to the negligence of the dumper driver and assessed the claimant's disability at 70%. The Tribunal awarded total compensation of Rs.5,02,600 comprising treatment expenses (Rs.1,20,000), conveyance (Rs.3,000), special diet (Rs.2,000), loss of income (Rs.36,000), pain and suffering (Rs.1,00,000), disability (Rs.2,01,600), and loss of amenities of life (Rs.40,000). The insurance company appealed contending that the compensation was excessive. The High Court, after hearing the parties, dismissed the appeal, holding that the compensation awarded was just and proper and did not warrant interference. The court noted that the Tribunal had correctly assessed the disability and the compensation was fair in light of the grievous injury suffered.

Headnote

A) Motor Accident Compensation - Assessment of Disability - Traumatic Amputation - Section 166 Motor Vehicles Act, 1988 - The claimant sustained traumatic amputation of right forearm in a road accident caused by rash and negligent driving of a dumper. The Tribunal assessed 70% disability and awarded compensation including Rs.2,01,600 for disability. The High Court upheld the award, holding that the compensation was just and proper and not excessive. (Paras 1-6)

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Issue of Consideration

Whether the compensation awarded by the Motor Accident Claims Tribunal for traumatic amputation of right forearm is just and proper.

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Final Decision

Appeal dismissed. The award of the Motor Accident Claims Tribunal dated 2nd May 2012 in Application No. A.25/2007 is upheld.

Law Points

  • Motor accident compensation
  • assessment of disability
  • traumatic amputation
  • just compensation
  • Section 166 Motor Vehicles Act
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Case Details

2019 LawText (BOM) (03) 241

First Appeal No. 1620 of 2012 with Civil Application No. 4005 of 2012

2019-03-19

N. J. Jamadar, J.

Mr. Mehta I/b KMC Legal Venture for appellant; Mr. T.J. Mendon for respondent No.1

Royal Sundaram Alliance Insurance Co. Ltd.

Mr. Ajit Chandrakant Rakvi and M/s. Concrete & Mortar India

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Nature of Litigation

Appeal against award of compensation by Motor Accident Claims Tribunal under Section 166 of Motor Vehicles Act, 1988.

Remedy Sought

Insurance company sought reduction of compensation awarded to claimant.

Filing Reason

Insurance company contended that the compensation awarded by the Tribunal was excessive.

Previous Decisions

Motor Accident Claims Tribunal, Mumbai awarded Rs.5,02,600 as compensation to the claimant on 2nd May 2012 in Application No. A.25/2007.

Issues

Whether the compensation awarded by the Tribunal for traumatic amputation of right forearm is just and proper?

Submissions/Arguments

Appellant insurance company argued that the compensation was excessive. Respondent claimant supported the award.

Ratio Decidendi

The compensation awarded by the Tribunal for traumatic amputation of right forearm was just and proper and did not warrant interference.

Judgment Excerpts

The Tribunal, after appraisal of the evidences adduced and documents tendered, came to the conclusion that the accident occurred due to negligence of the driver of the offending Dumper. The applicant suffered grievous injury and 70% disability on account of traumatic amputation of right forearm.

Procedural History

The claimant filed Application No. A.25/2007 before the Motor Accident Claims Tribunal, Mumbai under Section 166 of the Motor Vehicles Act, 1988. The Tribunal awarded compensation on 2nd May 2012. The insurance company appealed to the High Court by way of First Appeal No. 1620 of 2012.

Acts & Sections

  • Motor Vehicles Act, 1988: Section 166
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