Case Note & Summary
The appellant, Mukeshbhai Babubhai Parmar (Koli), was a pillion rider on a motorcycle on 19.03.2011 when a rickshaw coming from the wrong side at excessive speed collided with the motorcycle, causing grievous injuries. He filed a claim petition seeking Rs. 2,00,000/- compensation. The Motor Accident Claims Tribunal (Aux), Rajkot, partly allowed the petition and awarded Rs. 2,03,200/- with 9% interest. The appellant appealed, contending that the Tribunal failed to add future prospects to his income (he was 28 years old) and awarded meager amounts under pain, shock and suffering, special diet, and attendant charges. The High Court heard arguments. The appellant's counsel argued for 40% future prospects and enhanced damages. The respondent-insurance company opposed. The Court analyzed that as per the claimant's age (28 years), 40% future prospects should be added to the notional income of Rs. 3,000/- per month, making it Rs. 4,200/-. Applying a multiplier of 17 and deducting 1/3rd for personal expenses, the loss of income was calculated at Rs. 2,85,600/-. The Court also enhanced compensation for pain, shock and suffering to Rs. 50,000/-, special diet to Rs. 15,000/-, and attendant charges to Rs. 15,000/-, while confirming other heads. The total compensation was recomputed at Rs. 3,65,600/-. The appeal was partly allowed, enhancing the award to Rs. 3,65,600/- with 9% interest from the claim petition date till realization. The insurance company was directed to deposit the enhanced amount within eight weeks.
Headnote
A) Motor Accident Compensation - Future Prospects - Addition of 40% to Income - The claimant, aged 28 years, was entitled to 40% addition towards future prospects as per settled law under the Motor Vehicles Act, 1988 - The Tribunal failed to consider future prospects, leading to inadequate compensation - Held that future prospects must be added for self-employed or fixed salary earners below 40 years (Paras 4-6). B) Motor Accident Compensation - Heads of Damages - Pain, Shock, Suffering, Special Diet, Attendant - The Tribunal awarded meager amounts under these heads - The High Court enhanced compensation for pain, shock and suffering to Rs. 50,000/-, special diet to Rs. 15,000/-, and attendant charges to Rs. 15,000/- - Held that compensation should be just and fair (Paras 7-8).
Issue of Consideration
Whether the Tribunal erred in not adding future prospects to the income of the claimant and in awarding inadequate compensation under various heads.
Final Decision
The appeal is partly allowed. The impugned judgment and award is modified. The appellant is entitled to total compensation of Rs. 3,65,600/- with interest at 9% per annum from the date of filing of the claim petition till realization. The respondent-insurance company is directed to deposit the enhanced amount of Rs. 1,62,400/- with proportionate costs and interest within eight weeks from the date of receipt of the order.
Law Points
- Future prospects
- multiplier method
- just and fair compensation
- Motor Vehicles Act
- 1988
