Case Note & Summary
The appeal was filed by The Oriental Insurance Company Limited against the judgment and award dated 31.7.2008 passed by the Motor Accident Claims Tribunal, Akola, in Claim Petition No.119 of 2005, whereby compensation of Rs.8,00,000/- was granted jointly and severally against the appellant, tractor owner, and driver, with interest at 8% per annum. The accident occurred on 6.10.2004 when deceased Rajesh was driving an auto-rickshaw carrying three passengers. A tractor-trolley driven by Shrikrushna Ramrao Barde dashed the auto-rickshaw, causing fatal injuries to Rajesh. The claimants, being the widow, mother, and minor daughters of the deceased, sought compensation. The Tribunal held the tractor driver negligent and awarded Rs.8,00,000/-. The Insurance Company appealed, contending contributory negligence by the deceased and excessive compensation. The High Court examined the evidence, including the spot panchnama and police papers, which indicated that the auto-rickshaw was being driven without lights and the deceased failed to give way to the oncoming tractor-trolley. The Court found that the deceased was 50% contributory negligent. Regarding quantum, the Court upheld the multiplier of 17 as per Sarla Verma v. DTC, but reduced the compensation proportionately due to contributory negligence. The interest rate was reduced from 8% to 6% per annum. The appeal was partly allowed, modifying the award accordingly.
Headnote
A) Motor Accident Claims - Contributory Negligence - Apportionment of Liability - Deceased auto-rickshaw driver was driving without lights and failed to give way to tractor-trolley coming from opposite direction - Held that deceased was 50% contributory negligent, reducing insurer's liability proportionately (Paras 5-7). B) Motor Accident Claims - Compensation - Quantum - Multiplier - Deceased aged 30 years, income Rs.3,000 per month - Tribunal applied multiplier of 17 and deducted 1/3rd towards personal expenses - Held that multiplier of 17 is correct as per Sarla Verma v. DTC, but compensation reduced due to contributory negligence (Paras 8-9). C) Motor Accident Claims - Interest Rate - Reduction - Tribunal awarded interest at 8% per annum - Held that interest rate reduced to 6% per annum considering prevailing bank rates (Para 10).
Issue of Consideration
Whether the deceased auto-rickshaw driver was guilty of contributory negligence and whether the compensation awarded by the Tribunal was excessive.
Final Decision
Appeal partly allowed. The award is modified: compensation reduced by 50% due to contributory negligence of deceased. Interest rate reduced from 8% to 6% per annum. The Insurance Company is liable to pay 50% of the awarded amount with interest at 6% per annum.
Law Points
- Contributory negligence
- Apportionment of liability
- Motor accident compensation
- Interest rate reduction
