Case Note & Summary
The case involves a first appeal filed by the claimants (appellants) against the judgment and award dated 18.03.2020 passed by the Motor Accident Claims Tribunal (Aux.), Limbdi, Surendranagar in Motor Accident Claim Petition No.15 of 2015. The deceased was a pillion rider on a motorcycle that was hit by a tractor-trailer on 24.11.2014, resulting in fatal injuries. The claimants sought compensation, and the Tribunal awarded Rs.3,500/- per month as the deceased's income, without future prospects, and Rs.30,000/- for loss of consortium and Rs.15,000/- for funeral expenses. The appellants contended that the deceased earned Rs.6,000/- per month from selling milk, owning four buffaloes and three cows, and that the Tribunal erred in not considering future prospects and adequate conventional heads. The respondent insurance company supported the Tribunal's award. The High Court, after hearing both sides, held that the deceased's income should be taken as Rs.6,000/- per month, and added 40% towards future prospects as per Pranay Sethi. The multiplier of 18 was applied, and deductions for personal expenses were made. The compensation under conventional heads was enhanced: Rs.40,000/- for loss of consortium, Rs.15,000/- for funeral expenses, and Rs.15,000/- for loss of estate. The total compensation was recalculated, and the appeal was partly allowed, enhancing the award from Rs.5,76,000/- to Rs.9,27,000/- with interest at 7.5% per annum.
Headnote
A) Motor Accident Claims - Compensation Assessment - Income of Deceased - The Tribunal assessed the income of the deceased at Rs.3,500/- per month, but the High Court held that the deceased was earning Rs.6,000/- per month from selling milk, owning four buffaloes and three cows, and thus the income should be taken as Rs.6,000/- per month. (Paras 4, 6) B) Motor Accident Claims - Future Prospects - The Tribunal did not award any amount towards future prospects. The High Court held that in view of the decision in National Insurance Co. Ltd. v. Pranay Sethi, 40% of the income should be added towards future prospects as the deceased was self-employed. (Para 6) C) Motor Accident Claims - Conventional Heads - The Tribunal awarded Rs.30,000/- towards loss of consortium and Rs.15,000/- towards funeral expenses. The High Court enhanced these amounts to Rs.40,000/- and Rs.15,000/- respectively, and also awarded Rs.15,000/- towards loss of estate. (Para 6)
Issue of Consideration
Whether the Tribunal erred in assessing the income of the deceased at Rs.3,500/- per month instead of Rs.6,000/- per month, and whether the Tribunal failed to award future prospects and adequate compensation under conventional heads.
Final Decision
The appeal is partly allowed. The judgment and award dated 18.03.2020 passed by the Motor Accident Claims Tribunal (Aux.), Limbdi, Surendranagar in MACP No.15 of 2015 is modified. The total compensation is enhanced from Rs.5,76,000/- to Rs.9,27,000/-. The enhanced amount shall carry interest at the rate of 7.5% per annum from the date of filing of the claim petition till realization. The respondent No.3 (Insurance Company) is directed to deposit the enhanced amount within eight weeks.
Law Points
- Motor Accident Claims
- Compensation Assessment
- Income of Deceased
- Future Prospects
- Conventional Heads
- Just Compensation
