High Court of Karnataka Enhances Compensation in Motor Accident Claim, Reduces Contributory Negligence from 50% to 25%. Deceased was pushing motorcycle on extreme side of road when hit by bus; court reduced his negligence to 25% and increased notional income from Rs.4,500 to Rs.6,000 per month under Motor Vehicles Act, 1988.

High Court: Karnataka High Court Bench: BENGALURU In Favour of Accused
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Case Note & Summary

The appeal was filed by the claimants, being the wife, minor children, and parents of the deceased K.K. Sugunan, challenging the judgment and award dated 22.04.2014 in MVC No.2110/2011 passed by the IX Addl. Small Causes Judge and Addl. MACT, Bangalore (SCCH-7). The deceased died in a road traffic accident on 07.01.2011 at about 9.50 p.m. while pushing his motorcycle bearing Registration No.KA-51-Y-6408 from Veerasandra junction towards Kaveramma Temple on the extreme side of Hosur Road. A bus belonging to respondent No.2 and insured with respondent No.1 hit him from behind, causing fatal injuries. The Tribunal awarded total compensation of Rs.4,72,500/- with interest at 6% per annum, but fixed 50% contributory negligence on the deceased. The claimants sought to set aside the contributory negligence and enhance compensation. The High Court held that the deceased was on the extreme side of the road and could not be attributed 50% negligence; contributory negligence was reduced to 25%. The notional income was enhanced from Rs.4,500/- to Rs.6,000/- per month. Applying multiplier 16 as per Sarla Verma and deducting 1/4th towards personal expenses, loss of dependency was calculated at Rs.8,64,000/-. Adding conventional heads of Rs.10,000/- each for funeral expenses, loss of consortium, and loss of estate, total compensation was enhanced to Rs.8,94,000/-. After deducting 25% contributory negligence, the net compensation payable was Rs.6,70,500/-. The Insurance Company was directed to deposit the enhanced amount with interest at 6% per annum from the date of petition till deposit, within six weeks.

Headnote

A) Motor Accident Claims - Contributory Negligence - Apportionment of Fault - Deceased was pushing his motorcycle on the extreme side of the road when hit by a bus - Held that the deceased cannot be attributed 50% negligence as he was on the extreme side; contributory negligence reduced to 25% (Paras 5-7).

B) Motor Accident Claims - Compensation - Notional Income - Deceased was a driver earning Rs.6,000/- per month - Tribunal took Rs.4,500/- as notional income - Held that Rs.6,000/- per month is appropriate considering the year of accident (2011) (Para 8).

C) Motor Accident Claims - Compensation - Multiplier - Deceased aged 31 years - Tribunal applied multiplier 17 - Held that multiplier 16 is correct as per Sarla Verma v. DTC (Para 9).

D) Motor Accident Claims - Compensation - Loss of Dependency - After deducting 1/4th towards personal expenses and applying multiplier 16, loss of dependency calculated as Rs.8,64,000/- (Para 10).

E) Motor Accident Claims - Compensation - Conventional Heads - Tribunal awarded Rs.10,000/- towards funeral expenses, Rs.10,000/- towards loss of consortium, and Rs.10,000/- towards loss of estate - Held that these amounts are just and proper (Para 11).

F) Motor Accident Claims - Compensation - Enhanced Award - Total compensation enhanced from Rs.4,72,500/- to Rs.8,94,000/- with interest at 6% per annum from the date of petition till deposit (Paras 12-13).

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Issue of Consideration

Whether the Tribunal erred in fixing 50% contributory negligence on the deceased and whether the compensation awarded is just and proper.

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Final Decision

The appeal is allowed in part. The judgment and award dated 22.04.2014 in MVC No.2110/2011 is modified. The total compensation is enhanced from Rs.4,72,500/- to Rs.8,94,000/-. After deducting 25% contributory negligence, the net compensation payable is Rs.6,70,500/-. The Insurance Company is directed to deposit the enhanced compensation with interest at 6% per annum from the date of petition till deposit, within six weeks from the date of receipt of a copy of this judgment.

Law Points

  • Motor Vehicles Act
  • 1988
  • Section 173(1)
  • contributory negligence
  • compensation enhancement
  • notional income
  • multiplier method
  • loss of dependency
  • funeral expenses
  • loss of consortium
  • loss of estate
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Case Details

2022 LawText (KAR) (09) 69

M.F.A.No.5850/2014 (MV-D)

2022-09-21

Hanchate Sanjeevkumar

Sri. K.V. Shyamaprasada for appellants, Sri. O. Mahesh for respondent No.1

Mrs. Dhanya, Master Adwaith, Master Athul, Mr. K.K. Kumaran, Mrs. Parvarthy

M/s. National Insurance Co. Ltd., M/s. Travels World

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Nature of Litigation

Appeal against judgment and award of Motor Accident Claims Tribunal seeking enhancement of compensation and reduction of contributory negligence.

Remedy Sought

Appellants/claimants sought to set aside the finding of 50% contributory negligence on the deceased and enhancement of compensation.

Filing Reason

The Tribunal awarded Rs.4,72,500/- with 50% contributory negligence; claimants found the compensation inadequate and the contributory negligence excessive.

Previous Decisions

The Tribunal in MVC No.2110/2011 dated 22.04.2014 awarded Rs.4,72,500/- with 50% contributory negligence.

Issues

Whether the Tribunal erred in fixing 50% contributory negligence on the deceased? Whether the compensation awarded by the Tribunal is just and proper?

Submissions/Arguments

Appellants argued that the deceased was pushing his motorcycle on the extreme side of the road and the bus hit him from behind, so no negligence can be attributed to the deceased. Appellants contended that the notional income of Rs.4,500/- per month is low and should be Rs.6,000/- per month. Respondent No.1 Insurance Company supported the Tribunal's award.

Ratio Decidendi

The deceased was on the extreme side of the road pushing his motorcycle and was hit from behind by a bus; therefore, contributory negligence cannot be fixed at 50% and is reduced to 25%. Notional income of a driver in 2011 should be Rs.6,000/- per month. Multiplier of 16 is applicable for age 31 as per Sarla Verma. Loss of dependency calculated after deducting 1/4th towards personal expenses.

Judgment Excerpts

The deceased was pushing his Motor Cycle bearing Registration No.KA-51-Y-6408 from Veerasandra junction to proceed towards Kaveramma Temple on the extreme side of Hosur Road. Therefore, the contributory negligence on the part of the deceased is fixed at 25% and the negligence on the part of the driver of the bus is fixed at 75%. The notional income of the deceased is taken as Rs.6,000/- per month. Thus, the total compensation is enhanced from Rs.4,72,500/- to Rs.8,94,000/-.

Procedural History

The claimants filed MVC No.2110/2011 before the IX Addl. Small Causes Judge and Addl. MACT, Bangalore, which was partly allowed on 22.04.2014 awarding Rs.4,72,500/- with 50% contributory negligence. Aggrieved, the claimants filed MFA No.5850/2014 under Section 173(1) of the Motor Vehicles Act, 1988 before the High Court of Karnataka. The appeal was heard and disposed of on 21.09.2022.

Acts & Sections

  • Motor Vehicles Act, 1988: 173(1)
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