Case Note & Summary
The present appeal was filed by the original claimants, Kavita Gurnule (widow) and her minor son Priyanshu, seeking enhancement of compensation awarded by the Motor Accident Claims Tribunal, Chandrapur, in respect of the death of Ravindra Gurnule, who died in a motor accident on 05/05/2012. The deceased was a self-employed unskilled labourer earning Rs.250-300 per day. The Tribunal, due to lack of documentary evidence, assessed his notional income at Rs.3,000 per month and awarded total compensation of Rs.5,99,000 with 9% interest, apportioned between the appellants and the parents of the deceased (respondents No.2 and 3). The appellants contended that the notional income was too low and sought enhancement based on Supreme Court judgments. The High Court, relying on Rajendra Singh and other cases, enhanced the notional income to Rs.6,000 per month, applied a multiplier of 17 (as per Sarla Verma), deducted 1/3rd for personal expenses, and awarded Rs.40,000 each to the wife and parents for loss of consortium, Rs.50,000 for loss of care and guidance to the minor child, Rs.15,000 for loss of estate, and Rs.15,000 for funeral expenses. The total compensation was recalculated at Rs.9,64,000, with interest at 9% per annum from the date of claim petition till realization. The appeal was allowed, and the respondent No.1 (MSRTC) was directed to deposit the enhanced amount within eight weeks.
Headnote
A) Motor Accident Claims - Compensation - Notional Income - Deceased was a self-employed unskilled labourer without documentary evidence of income - Tribunal assessed notional income at Rs.3,000 per month - High Court enhanced it to Rs.6,000 per month following Supreme Court judgments in Rajendra Singh and other cases - Held that notional income should be assessed reasonably considering the nature of work and prevailing wage rates (Paras 4-5). B) Motor Accident Claims - Compensation - Multiplier - Deceased aged 28 years - Tribunal applied multiplier of 17 as per Sarla Verma - High Court upheld the multiplier - Held that multiplier of 17 is appropriate for age group of 26-30 years (Para 5). C) Motor Accident Claims - Compensation - Deduction towards personal expenses - Deceased had three dependents (wife, child, and parents) - Tribunal deducted 1/3rd towards personal expenses - High Court upheld the deduction - Held that deduction of 1/3rd is correct when number of dependents is three (Para 5). D) Motor Accident Claims - Compensation - Conventional Heads - Tribunal granted Rs.1,00,000 towards loss of consortium, Rs.50,000 towards loss of care and guidance for minor child, and Rs.25,000 towards funeral expenses and loss of estate - High Court enhanced loss of consortium to Rs.40,000 each for wife and parents, and added Rs.15,000 for loss of estate - Held that conventional heads should be awarded as per Pranay Sethi guidelines (Para 5).
Issue of Consideration
Whether the Motor Accident Claims Tribunal erred in assessing the notional income of the deceased at Rs.3,000 per month and whether the compensation awarded requires enhancement.
Final Decision
Appeal allowed. Compensation enhanced from Rs.5,99,000 to Rs.9,64,000 with 9% interest per annum from date of claim petition till realization. Respondent No.1 to deposit enhanced amount within eight weeks.
Law Points
- Notional income assessment for self-employed persons without documentary evidence
- Application of multiplier as per Sarla Verma
- Enhancement of compensation under Motor Vehicles Act
- 1988





