Case Note & Summary
The appeal was filed by the original claimants (legal heirs of deceased Yashwant Dagdu Patil) against the judgment and award dated 05.01.2010 passed by the Motor Accident Claims Tribunal (Main), Surat in MACP No.1144 of 1993. The Tribunal had partly allowed the claim petition and awarded Rs.3,36,850/- with 9% interest. The accident occurred on 08.04.1993 when the deceased was travelling as a passenger in a ST Bus from Jalgaon to Surat. A trailer coming from the opposite direction at excessive speed caused a head-on collision, resulting in grievous injuries to the deceased. The claimants sought enhancement of compensation. The Insurance Company opposed the appeal. The High Court found that the Tribunal had erred in deducting 1/3rd towards personal expenses for a bachelor (should be 50%), in applying multiplier of 12 based on claimant's age instead of deceased's age (should be 18), and in not adding 40% towards future prospects. The Court also held that there was no contributory negligence by the deceased. The compensation was recalculated: monthly income Rs.3000, add 40% future prospects = Rs.4200, deduct 50% personal expenses = Rs.2100, annual income Rs.25200, multiplier 18 = Rs.4,53,600, plus Rs.70,000 under conventional heads, total Rs.5,23,600. The award was enhanced to Rs.5,23,600 with 9% interest from the date of petition till realization. The appeal was partly allowed.
Headnote
A) Motor Accident Claims - Compensation Assessment - Personal Expenses Deduction - For a bachelor claimant, deduction towards personal expenses should be 50% and not 1/3rd as per Sarla Verma v. DTC - Tribunal erred in deducting 1/3rd - Held that deduction of 1/3rd is applicable for a family of 2-3 members, not for a bachelor (Paras 6-7). B) Motor Accident Claims - Multiplier Application - Age of Deceased - Multiplier should be based on age of deceased, not claimant - Tribunal applied multiplier of 12 based on age of claimant (55 years) instead of deceased (25 years) - As per Sarla Verma, multiplier for age 25 is 18 - Held that multiplier of 18 should be applied (Paras 6-7). C) Motor Accident Claims - Future Prospects - Addition of 40% - Deceased was 25 years old, self-employed - As per Pranay Sethi, 40% addition towards future prospects is permissible for self-employed persons below 40 years - Tribunal failed to add future prospects - Held that 40% should be added (Paras 6-7). D) Motor Accident Claims - Contributory Negligence - No evidence of contributory negligence by deceased - Tribunal erroneously held deceased contributed to accident - Held that there was no contributory negligence (Para 8).
Issue of Consideration
Whether the Tribunal erred in deducting 1/3rd towards personal expenses for a bachelor claimant and in applying multiplier of 12 instead of 18, and whether the compensation awarded was just and proper.
Final Decision
Appeal partly allowed. Compensation enhanced from Rs.3,36,850/- to Rs.5,23,600/- with interest at 9% per annum from date of petition till realization. The Insurance Company to deposit the enhanced amount within 8 weeks.
Law Points
- Motor Accident Claims
- Compensation Assessment
- Personal Expenses Deduction
- Multiplier Application
- Future Prospects
- Contributory Negligence





