Bombay High Court Reduces Compensation in Motor Accident Claim Due to Contributory Negligence of Deceased. Apportionment of Liability at 50% Each Between Truck Driver and Jeep Driver Based on Evidence of Collision on Wrong Side.

High Court: Bombay High Court Bench: NAGPUR
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Case Note & Summary

The appeal under Section 173 of the Motor Vehicles Act, 1988 was filed by the Maharashtra State Road Transport Corporation (MSRTC) against the judgment and award dated 15-09-1998 passed by the Motor Accidents Claims Tribunal at Yavatmal in MACP No.47 of 1991. The Tribunal had partly allowed the claim of the respondents (legal heirs of deceased Mukundrao Dongre and others) and awarded Rs.6,49,000/- with interest at 12% p.a. The deceased, Mukundrao Dongre, aged 38 years, was an Agricultural Supervisor in Yavatmal District Central Cooperative Bank. On 08-12-1990, after taking cash to the bank, he was returning in a jeep (MHX-4365) driven by Shivaji Palkar. Near village Yarad, between 12:00 to 1:00 p.m., a truck (MTB-1442) belonging to MSRTC and driven by Anil Mate collided with the jeep, causing fatal injuries to Dongre and injuries to others. The claimants (widow, minor children, and the jeep driver) sought compensation. The Tribunal held the truck driver solely negligent and awarded compensation. The appellant MSRTC contended that the jeep driver was also negligent as both vehicles were on the wrong side. The court examined the evidence, including the spot panchnama and oral testimony, and found that both drivers were negligent as the collision occurred on the wrong side of the road for both vehicles. The court apportioned liability equally at 50% each. On compensation, the court upheld the multiplier of 15 and the multiplicand of Rs.36,000/- (after deducting 1/3rd for personal expenses), but reduced the interest rate from 12% to 6% p.a. The award was modified accordingly, reducing the total compensation payable by the appellant to Rs.3,24,500/- with interest at 6% p.a.

Headnote

A) Motor Vehicles Act - Compensation - Contributory Negligence - Section 173 Motor Vehicles Act, 1988 - Appeal against award of Rs.6,49,000/- for death in motor accident - Court found contributory negligence by jeep driver as both vehicles were on wrong side - Held that liability must be apportioned equally at 50% each (Paras 5-8).

B) Motor Vehicles Act - Compensation - Multiplier - Section 166 Motor Vehicles Act, 1988 - Deceased aged 38 years, multiplier of 15 applied by Tribunal - Court upheld multiplier as per Sarla Verma guidelines (Para 9).

C) Motor Vehicles Act - Compensation - Interest Rate - Section 171 Motor Vehicles Act, 1988 - Tribunal awarded 12% interest - Court reduced to 6% p.a. considering prevailing rates (Para 11).

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Issue of Consideration

Whether the Tribunal erred in fixing 100% negligence on the truck driver and awarding excessive compensation without considering contributory negligence of the deceased's driver.

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Final Decision

Appeal partly allowed. The finding of contributory negligence is modified to 50% each. The total compensation is reduced to Rs.3,24,500/- (after deducting 50% contributory negligence) with interest at 6% p.a. from the date of petition till deposit. The award is modified accordingly.

Law Points

  • Motor Vehicles Act
  • 1988
  • Section 173
  • Compensation
  • Contributory Negligence
  • Apportionment of Liability
  • Interest Rate Reduction
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Case Details

2013 LawText (BOM) (08) 177

First Appeal No.35 of 1999

2013-08-22

A. P. Bhangale, J.

Shri R.S.Charpe for appellant, Shri R.S.Kurekar for respondent Nos.1 to 4, Smt. R.D.Raskar for respondent No.6, Shri A.M.Sudame for respondent No.7

Maharashtra State Road Transport Corporation, through its Divisional Controller, Chandrapur Division, Chandrapur

1) Smt.Sushma Wd/o Mukundrao Dongre, 2) Ku.Pranjali D/o Mukundrao Dongre, 3) Ku.Prachi D/o Mukundrao Dongre, 4) Gaurav S/o Mukundrao Dongre, 5) Shivaji S/o Laxman Palkar, 6) The Manager, Yavatmal District Central Cooperative Bank, Yavatmal, 7) The Manager, New India Insurance Co.Ltd., Branch at Yavatmal, 8) Anil son of Govindrao Mate

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Nature of Litigation

Appeal against award of compensation in motor accident claim

Remedy Sought

Appellant sought reduction of compensation and finding of contributory negligence

Filing Reason

Appellant challenged the Tribunal's finding of 100% negligence on truck driver and quantum of compensation

Previous Decisions

Motor Accidents Claims Tribunal at Yavatmal partly allowed claim in MACP No.47 of 1991 on 15-09-1998, awarding Rs.6,49,000/- with 12% interest

Issues

Whether the Tribunal erred in holding the truck driver solely negligent? Whether the compensation awarded is excessive? Whether the interest rate of 12% p.a. is proper?

Submissions/Arguments

Appellant argued that the jeep driver was also negligent as both vehicles were on the wrong side, and the compensation was excessive. Respondents supported the Tribunal's finding and award.

Ratio Decidendi

In a collision between two vehicles, if both drivers are on the wrong side, contributory negligence must be apportioned equally. The multiplier should be as per Sarla Verma guidelines. Interest rate should be reduced to 6% p.a. in the absence of special reasons.

Judgment Excerpts

The spot panchnama indicates that the accident took place on the wrong side of the road for both the vehicles. In the circumstances, I am of the opinion that both the drivers were equally negligent. The multiplier of 15 adopted by the Tribunal is correct as per the decision in Sarla Verma's case. The interest rate of 12% p.a. is on higher side; hence reduced to 6% p.a.

Procedural History

The claim petition (MACP No.47 of 1991) was filed before the Motor Accidents Claims Tribunal at Yavatmal. The Tribunal partly allowed the claim on 15-09-1998. The appellant (MSRTC) filed First Appeal No.35 of 1999 before the Bombay High Court, Nagpur Bench. The appeal was reserved on 13-08-2013 and pronounced on 22-08-2013.

Acts & Sections

  • Motor Vehicles Act, 1988: Section 173, Section 166, Section 171
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