Case Note & Summary
The Gujarat State Road Transport Corporation (GSRTC) appealed against the judgment and award dated 20.06.2015 passed by the Motor Accident Claims Tribunal (Auxiliary), Ahmedabad (Rural) at Mirzapur in MACP No.91/2010, whereby the Tribunal partly allowed the claim petition and awarded Rs.7,17,500/- with 9% interest. The original claimants also filed a cross-objection seeking enhancement. The accident occurred on 21.10.2009 when the deceased Bharatbhai Prajapati was riding a motorcycle with pillion rider Rohitbhai Patel from Thaltej to Dehgam. An ST bus driven rashly and negligently from the wrong side dashed the motorcycle, causing fatal injuries to both. The claimants, being the widow and children of the deceased, filed a claim petition seeking Rs.7,50,000/-. The deceased was a compounder earning Rs.6,500 per month. The Tribunal awarded Rs.7,17,500/- calculating loss of dependency at Rs.6,92,500/- (Rs.6,500 income, 1/3rd deduction, multiplier 18) and Rs.25,000 under conventional heads. The High Court held that the Tribunal correctly found the bus driver solely negligent as there was no evidence of contributory negligence. On compensation, the Court applied the principles from National Insurance Co. Ltd. v. Pranay Sethi and Sarla Verma v. DTC. The deceased was 27 years old, so 40% future prospects were added, making the monthly income Rs.9,100. After 1/3rd deduction, the annual loss was Rs.72,800. Applying multiplier 18, the loss of dependency was Rs.13,10,400. Under conventional heads, the Court awarded Rs.70,000 (Rs.40,000 spousal consortium, Rs.15,000 loss of estate, Rs.15,000 funeral expenses). The total compensation was enhanced to Rs.13,80,400. The interest rate of 9% was upheld. The appeal was dismissed and the cross-objection was partly allowed.
Headnote
A) Motor Accident Claims - Negligence - Sole Negligence of ST Bus Driver - The accident occurred when the ST bus came from the wrong side and dashed the motorcycle; no evidence of contributory negligence by the deceased - Held that the Tribunal correctly held the bus driver solely negligent (Paras 2-4, 7-8). B) Motor Accident Claims - Compensation - Future Prospects - Deceased aged 27 years, compounder earning Rs.6,500 per month - 40% addition for future prospects as per National Insurance Co. Ltd. v. Pranay Sethi - Held that the Tribunal erred in not adding future prospects (Paras 9-10). C) Motor Accident Claims - Compensation - Multiplier - Deceased aged 27 years - Multiplier of 18 applied as per Sarla Verma v. DTC - Held that the Tribunal correctly applied multiplier of 18 (Para 10). D) Motor Accident Claims - Compensation - Conventional Heads - Loss of estate, loss of consortium, and funeral expenses - Rs.70,000 awarded as per Pranay Sethi - Held that the Tribunal awarded only Rs.25,000 under conventional heads, which is enhanced to Rs.70,000 (Para 11). E) Motor Accident Claims - Interest Rate - 9% per annum - Held that the interest rate of 9% is reasonable and not excessive (Para 12).
Issue of Consideration
Whether the learned Tribunal erred in holding the driver of the ST bus solely negligent and in awarding compensation of Rs.7,17,500/-; and whether the claimants are entitled to enhancement of compensation.
Final Decision
The appeal filed by the Gujarat State Road Transport Corporation is dismissed. The cross-objection filed by the original claimants is partly allowed. The compensation is enhanced from Rs.7,17,500/- to Rs.13,80,400/- with interest at 9% per annum from the date of filing of the claim petition till realization. The appellant is directed to deposit the enhanced amount within eight weeks.
Law Points
- Motor Accident Claims
- Negligence
- Contributory Negligence
- Compensation
- Future Prospects
- Multiplier
- Conventional Heads
- Interest Rate



