Case Note & Summary
The appeal arises from a judgment and award dated 11.10.2011 of the Motor Accident Claims Tribunal, Amravati, in Claim Petition No. 221/06. The appellants, being the widow, minor son, and mother of the deceased Sk. Umar Sk. Farooq, sought enhancement of compensation. The deceased, aged 26 years, was a driver earning Rs. 3,000 per month. On the night of 14.7.2002/15.7.2002, while sleeping in an open ground near Badnera Railway Station, a jeep (MH-27/C-5103) driven rashly ran over him twice, causing fatal injuries. The Tribunal awarded Rs. 3,36,000 with interest at 6% per annum, applying a multiplier of 15, deducting 1/3rd for personal expenses, and granting Rs. 5,000 for funeral expenses and Rs. 5,000 for loss of consortium. The High Court held that the Tribunal erred in applying multiplier 15 instead of 18 as per Sarla Verma v. DTC, and in deducting 1/3rd for personal expenses when the deceased had three dependents (1/4th deduction is correct). The court also set aside the finding of contributory negligence against the deceased, as there was no evidence of negligence on his part. The court recalculated compensation: annual income Rs. 36,000, less 1/4th for personal expenses = Rs. 27,000, multiplied by 18 = Rs. 4,86,000. Additionally, Rs. 25,000 for funeral expenses, Rs. 1,00,000 for loss of consortium, and Rs. 10,000 for loss of estate were awarded, totaling Rs. 6,21,000. The appeal was allowed, and the award was modified accordingly.
Headnote
A) Motor Accident Claims - Compensation - Multiplier - Deceased aged 26 years, multiplier of 18 applied as per Sarla Verma v. DTC - Tribunal's use of multiplier 15 held erroneous - Compensation recalculated using multiplier 18 (Para 6). B) Motor Accident Claims - Contributory Negligence - Deceased sleeping in open ground - No evidence of negligence by deceased - Tribunal's finding of contributory negligence set aside - Held that accident occurred solely due to rash driving of jeep driver (Para 5). C) Motor Accident Claims - Future Prospects - Deceased was a driver earning Rs. 3,000 per month - No evidence of future prospects - Addition of 50% for future prospects not warranted - Income assessed at Rs. 3,000 per month (Para 6). D) Motor Accident Claims - Conventional Heads - Tribunal granted Rs. 5,000 for funeral expenses and Rs. 5,000 for loss of consortium - Enhanced to Rs. 25,000 for funeral expenses, Rs. 1,00,000 for loss of consortium, and Rs. 10,000 for loss of estate as per Rajesh v. Rajbir Singh (Para 7).
Issue of Consideration
Whether the Motor Accident Claims Tribunal erred in computing compensation by applying a multiplier of 15 instead of 18, deducting 1/3rd towards personal expenses, and not granting adequate compensation under conventional heads.
Final Decision
Appeal allowed. The judgment and award of the Tribunal is modified. The appellants are entitled to total compensation of Rs. 6,21,000 with interest at 6% per annum from the date of petition till realization. The respondent no. 2 (Insurance Company) is directed to deposit the enhanced amount within six weeks.
Law Points
- Motor Accident Claims
- Compensation Calculation
- Multiplier Method
- Contributory Negligence
- Future Prospects
- Conventional Heads
