Case Note & Summary
The present First Appeal under Section 173 of the Motor Vehicles Act, 1988 was filed by the appellants, who are the original claimants and legal heirs of the deceased Ravibhai Vajubhai Rudatala, against the judgment and award dated 30.08.2024 passed by the Motor Accident Claims Tribunal (Main), Surendranagar in Motor Accident Claim Petition No.104/2021. The Tribunal had partly allowed the claim petition and awarded Rs.12,67,800/- with interest at 9% per annum. The accident occurred on 28.03.2021 when the deceased was driving his motorcycle carefully on the side of the road. At about 10:15 a.m., while crossing the highway, the ST Bus No.GJ-18-Z-4643, driven by opponent No.2 in a rash and negligent manner with excessive speed, dashed into the motorcycle, causing grievous injuries to the deceased, who died during treatment. The claimants sought compensation of Rs.29 lakh. The Tribunal held the driver of the ST Bus solely negligent and awarded compensation. The claimants appealed seeking enhancement. The main legal issues were whether the Tribunal erred in determining the income of the deceased, the dependency multiplier, and the conventional heads. The appellants argued that the deceased was a skilled labourer in stone crushing and the Tribunal should have considered minimum wages for skilled labour instead of notional income of Rs.6,000/- per month. They also contended that the multiplier should be 18 as per Sarla Verma v. Delhi Transport Corporation, and that future prospects of 40% should be added. The respondent, Gujarat State Road Transport Corporation, supported the Tribunal's award. The High Court analyzed the evidence and found that the deceased was a skilled labourer, and the minimum wages for skilled labour at the time of accident were Rs.9,000/- per month. The Court applied a multiplier of 18, added 40% future prospects, deducted 1/3rd towards personal expenses, and awarded Rs.1,000/- for loss of estate, Rs.15,000/- for funeral expenses, and Rs.40,000/- per claimant for loss of consortium. The total compensation was recalculated as Rs.18,14,000/-. The Court allowed the appeal, enhancing the compensation by Rs.5,46,200/- with interest at 9% per annum from the date of claim petition.
Headnote
A) Motor Accident Claims - Compensation for Death - Income Determination - Deceased was a skilled labourer in stone crushing - Tribunal erred in taking notional income of Rs.6,000/- per month instead of minimum wages for skilled labour - Held that minimum wages for skilled labour prevailing at the time of accident should be considered (Paras 5-6). B) Motor Accident Claims - Dependency Calculation - Multiplier - Deceased aged 28 years - Tribunal applied multiplier of 15 instead of 18 as per Sarla Verma - Held that multiplier of 18 is applicable for age group 26-30 (Para 7). C) Motor Accident Claims - Conventional Heads - Loss of Estate, Funeral Expenses, Loss of Consortium - Tribunal awarded Rs.15,000/- each for loss of estate and funeral expenses, and Rs.40,000/- for loss of consortium - Held that as per Pranay Sethi, loss of estate and funeral expenses should be Rs.15,000/- each, and loss of consortium should be Rs.40,000/- per claimant (Paras 8-9). D) Motor Accident Claims - Future Prospects - Self-Employed - Deceased aged 28 years - Tribunal did not grant future prospects - Held that 40% future prospects should be added as per Pranay Sethi (Para 10).
Issue of Consideration
Whether the compensation awarded by the Motor Accident Claims Tribunal was just and proper, particularly regarding the income of the deceased, dependency calculation, and conventional heads.
Final Decision
The appeal is allowed. The impugned judgment and award dated 30.08.2024 is modified. The total compensation is enhanced from Rs.12,67,800/- to Rs.18,14,000/-. The respondent No.1 is directed to deposit the enhanced amount of Rs.5,46,200/- with interest at 9% per annum from the date of claim petition within eight weeks. The award is modified accordingly.
Law Points
- Motor Vehicles Act
- 1988
- Section 173
- Compensation for death
- Minimum wages for skilled labour
- Dependency calculation
- Multiplier as per Sarla Verma
- Conventional heads under Pranay Sethi
- Future prospects for self-employed




