Case Note & Summary
The present appeal arises from a judgment and award dated 30.10.2013 passed by the Motor Accident Claims Tribunal (Aux), Kheda at Nadiad in Motor Accident Claim Petition No.741 of 2007. The claimants, being the widow and children of the deceased Popatbhai Bhikhabhai Panchal, filed the claim petition seeking compensation for his death in a road accident that occurred on 18.12.2006. The deceased was travelling in a rickshaw bearing registration No.GJ-7-TT-308 from Matar to Kheda. When the rickshaw was passing near the Khodiyar Mata Temple, another rickshaw driven by respondent no.1 in a rash and negligent manner dashed against it, causing grievous injuries to the deceased, who later succumbed to those injuries. The claimants alleged that the accident was solely due to the negligence of the driver of the offending rickshaw. The Tribunal, after considering the evidence, held that the accident occurred due to the rash and negligent driving of the offending rickshaw driver. The Tribunal assessed the income of the deceased at Rs.2,000/- per month, applied a multiplier of 13, deducted 1/3rd towards personal expenses, and awarded a total compensation of Rs.61,615/- with interest at 7.5% per annum. The claimants, being dissatisfied with the quantum of compensation, filed the present appeal seeking enhancement. The High Court, upon hearing the parties, re-assessed the compensation. The Court noted that the deceased was a vegetable vendor earning Rs.3,000/- per month as per the evidence. The Court enhanced the monthly income to Rs.3,000/-. Applying the multiplier of 11 as per the age of the deceased (50 years) and adding 10% towards future prospects, the Court calculated the loss of dependency. The Court also deducted 1/4th towards personal expenses instead of 1/3rd, as the deceased had 5 dependents. Under conventional heads, the Court enhanced the amounts for loss of estate and funeral expenses to Rs.15,000/- each and awarded Rs.40,000/- for loss of consortium to each appellant. The total compensation was recalculated at Rs.4,26,600/-. The Court directed the respondent insurance companies to pay the enhanced amount with interest at 7.5% per annum from the date of filing of the claim petition till realization. The appeal was partly allowed.
Headnote
A) Motor Accident Claims - Negligence - Rash and Negligent Driving - Motor Vehicles Act, 1988, Section 166 - The claimants sought compensation for the death of Popatbhai Bhikhabhai Panchal in a road accident caused by the rash and negligent driving of a rickshaw by respondent no.1. The Tribunal held that the accident occurred due to the negligence of the driver of the offending rickshaw. (Paras 2-3) B) Motor Accident Claims - Compensation - Determination of Income - Motor Vehicles Act, 1988, Section 168 - The deceased was a vegetable vendor earning Rs.3,000/- per month. The Tribunal assessed his income at Rs.2,000/- per month. The High Court enhanced it to Rs.3,000/- per month based on evidence. (Paras 5-6) C) Motor Accident Claims - Multiplier - Applicable Multiplier - Motor Vehicles Act, 1988, Section 168 - The deceased was aged 50 years. The Tribunal applied multiplier of 13. The High Court applied multiplier of 11 as per Sarla Verma case. (Para 7) D) Motor Accident Claims - Future Prospects - Addition to Income - Motor Vehicles Act, 1988, Section 168 - The deceased was self-employed. The High Court added 10% towards future prospects as per Pranay Sethi case. (Para 8) E) Motor Accident Claims - Deduction - Personal Expenses - Motor Vehicles Act, 1988, Section 168 - The deceased had 5 dependents. The Tribunal deducted 1/3rd towards personal expenses. The High Court deducted 1/4th as per Sarla Verma case. (Para 9) F) Motor Accident Claims - Conventional Heads - Loss of Estate, Funeral Expenses, Loss of Consortium - Motor Vehicles Act, 1988, Section 168 - The Tribunal awarded Rs.5,000/- for loss of estate and Rs.2,000/- for funeral expenses. The High Court enhanced these to Rs.15,000/- and Rs.15,000/- respectively, and awarded Rs.40,000/- for loss of consortium to each appellant. (Paras 10-11) G) Motor Accident Claims - Interest Rate - Just and Proper Compensation - Motor Vehicles Act, 1988, Section 171 - The Tribunal awarded interest at 7.5% per annum. The High Court maintained the interest rate. (Para 12)
Issue of Consideration
Whether the compensation awarded by the Motor Accident Claims Tribunal was just and proper, and whether the appellants are entitled to enhancement of compensation.
Final Decision
The appeal is partly allowed. The impugned judgment and award is modified. The appellants are entitled to total compensation of Rs.4,26,600/- with interest at 7.5% per annum from the date of filing of the claim petition till realization. The respondent insurance companies are directed to deposit the enhanced amount within eight weeks.
Law Points
- Motor Accident Claims
- Negligence
- Compensation Enhancement
- Income Calculation
- Multiplier
- Future Prospects
