Case Note & Summary
The appellants, parents of the deceased Manju Kolkar, filed a claim petition under Section 166 of the Motor Vehicles Act, 1988, seeking compensation of Rs. 10,00,000/- for the death of their 19-year-old son in a motor vehicle accident on 03.09.2008. The accident occurred when the deceased was riding a bicycle and was hit by a bus driven by respondent no.1, owned by respondent no.2, and insured by respondent no.3. The Motor Accident Claims Tribunal, Salcete, Margao, awarded Rs. 1,60,500/- with 9% interest, including Rs. 50,000/- under Section 140. Dissatisfied, the parents appealed. The High Court considered the issues of notional income and multiplier. The Tribunal had assessed the deceased's income at Rs. 1,500/- per month and applied multiplier 13. The High Court, relying on Sarla Verma v. DTC, held that for a 19-year-old, the appropriate multiplier is 18, and the notional income should be Rs. 3,000/- per month. After deducting 1/3rd for personal expenses, the annual loss of dependency was calculated as Rs. 24,000/-. Applying multiplier 18, the total loss of dependency was Rs. 4,32,000/-. Adding Rs. 50,000/- under Section 140 and Rs. 18,000/- for funeral expenses, the total compensation was enhanced to Rs. 5,00,000/-. The court also upheld the finding of negligence against the bus driver. The appeal was partly allowed, and the enhanced amount was directed to be paid with 9% interest from the date of the claim petition.
Headnote
A) Motor Accident Claims - Compensation for Death of Minor - Notional Income - Multiplier - The parents of a 19-year-old deceased claimed enhanced compensation. The Tribunal had assessed notional income at Rs. 1,500/- per month and applied multiplier of 13. The High Court held that the notional income should be Rs. 3,000/- per month and multiplier of 18 should be applied as per Sarla Verma v. DTC, (2009) 6 SCC 121. Compensation enhanced from Rs. 1,60,500/- to Rs. 5,00,000/- with 9% interest. (Paras 7-10) B) Motor Vehicles Act, 1988 - Section 140 - Interim Compensation - The Tribunal had awarded Rs. 50,000/- under Section 140 which was included in the total award. The High Court did not disturb this finding. (Para 5) C) Motor Accident Claims - Contributory Negligence - The Tribunal found that the accident occurred due to rash and negligent driving of the bus driver. The High Court upheld this finding as no evidence was led to the contrary. (Para 6)
Issue of Consideration
Whether the compensation awarded by the Motor Accident Claims Tribunal was just and proper, and whether the Tribunal erred in assessing the income of the deceased and applying the correct multiplier.
Final Decision
The appeal is partly allowed. The compensation is enhanced from Rs. 1,60,500/- to Rs. 5,00,000/- with interest at 9% per annum from the date of the claim petition till realization. The respondent no.3 is directed to pay the enhanced amount within six weeks.
Law Points
- Motor Vehicles Act
- 1988
- Section 166
- Section 140
- compensation for death of a minor
- notional income
- multiplier method
- contributory negligence
- interest rate
