Case Note & Summary
The appellant, Vallabhbhai Karshanbhai Godavariya, was injured in a motor accident on 07.09.2016 when a car driven rashly and negligently collided with his motorcycle. He filed a claim petition before the Motor Accident Claims Tribunal, Gondal, which awarded compensation of Rs.3,58,400. The appellant appealed under Section 173 of the Motor Vehicles Act, 1988, primarily on the ground of quantum of income and future prospects. However, during arguments, the appellant's counsel did not press the income aspect, leaving only the issue of future prospects. The respondent insurance company opposed the appeal, arguing that the compensation was just and proper. The High Court noted that the Tribunal had assessed the appellant's income at Rs.5,000 per month based on minimum wages, which was not challenged. The court then considered whether future prospects should be added. Relying on the principle that an injured person is entitled to compensation for loss of future earnings, the court held that future prospects must be added. The court directed that 40% future prospects be added to the income of Rs.5,000 per month, and the compensation be recalculated accordingly. The appeal was partly allowed, and the Tribunal was directed to recompute the compensation.
Headnote
A) Motor Accident Compensation - Future Prospects - Addition of Future Prospects to Income - Motor Vehicles Act, 1988, Section 173 - The issue was whether future prospects should be added to the income of an injured claimant when the income is assessed based on minimum wages. The court held that future prospects must be added to the income for computing compensation for injuries, following the principle that an injured person is entitled to compensation for loss of future earnings. The court directed the Tribunal to add 40% future prospects to the assessed income of Rs.5,000 per month. (Paras 7-8)
Issue of Consideration
Whether future prospects are required to be considered while computing compensation for injuries in a motor accident claim when the income is assessed based on minimum wages.
Final Decision
Appeal partly allowed. The Tribunal is directed to add 40% future prospects to the income of Rs.5,000 per month and recompute the compensation accordingly.
Law Points
- Future prospects must be added to income for calculating compensation for injuries
- even if income is based on minimum wages
- Motor Vehicles Act
- 1988
- Section 173
