Gujarat High Court Allows Appeal in Motor Accident Claim Due to Erroneous Negligence Apportionment and Income Assessment. The Court Enhanced Compensation from Rs.1,45,840 to Rs.3,22,840 under Section 173 of Motor Vehicles Act, 1988, holding that the Tribunal erred in apportioning 20% negligence without rebuttal evidence and in assessing income at Rs.4,000 per month instead of Rs.9,000 per month for a heavy vehicle driver.

High Court: Gujarat High Court In Favour of Accused
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Case Note & Summary

The appellant, Rakeshgiri Arvindgiri Goswami, filed a First Appeal under Section 173 of the Motor Vehicles Act, 1988, challenging the judgment and award dated 06.07.2022 passed by the Motor Accident Claims Tribunal (Aux), Anand, in MACP No.351 of 2014. The appellant had claimed compensation of Rs.5,00,000 for injuries sustained in a motor accident on 28.02.2014, when a TATA Sumo driven rashly and negligently from the wrong side dashed into his rickshaw. The Tribunal awarded Rs.1,45,840, apportioning 20% negligence on the appellant and assessing his income at Rs.4,000 per month. The appellant contended that the Tribunal erred in holding him 20% negligent as the driver of the offending vehicle was not examined to rebut the evidence, and that his income should have been assessed at Rs.9,000 per month as he was a driver of heavy vehicles. The Insurance Company opposed the appeal, arguing the award was just and proper. The High Court, after hearing both sides, found that the Tribunal's negligence apportionment was erroneous as the driver of the offending vehicle was not examined, and the income assessment was too low given the appellant's occupation. The Court set aside the Tribunal's award and recalculated compensation, enhancing it to Rs.3,22,840 with 6% interest per annum from the date of petition till realization.

Headnote

A) Motor Accident Compensation - Negligence Apportionment - Rebuttal Evidence - The Tribunal erred in holding the appellant 20% negligent when the driver of the offending vehicle was not examined to rebut the claimant's evidence - Held that in the absence of rebuttal evidence, the negligence of the offending vehicle driver is to be considered 100% (Paras 6-7).

B) Motor Accident Compensation - Income Assessment - Self-Employed Person - The Tribunal erred in assessing the appellant's income at Rs.4,000 per month as the appellant was a driver of heavy vehicles and the minimum wage for a skilled worker was Rs.9,000 per month - Held that the income should be assessed at Rs.9,000 per month (Paras 8-9).

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Issue of Consideration

Whether the Tribunal erred in apportioning 20% negligence on the appellant without rebuttal evidence and in assessing the appellant's income at Rs.4,000 per month instead of Rs.9,000 per month.

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Final Decision

The appeal is allowed. The judgment and award dated 06.07.2022 passed by the Motor Accident Claims Tribunal (Aux), Anand, in MACP No.351 of 2014 is set aside. The appellant is entitled to enhanced compensation of Rs.3,22,840 with interest at 6% per annum from the date of petition till realization. The Insurance Company is directed to deposit the enhanced amount within eight weeks.

Law Points

  • Negligence apportionment requires rebuttal evidence
  • Income assessment for self-employed persons
  • Compensation enhancement under Motor Vehicles Act
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Case Details

2026 LawText (GUJ) (02) 1164

R/First Appeal No. 3623 of 2022

2026-02-23

Hasmukh D. Suthar

2026:GUJHC:14589

Nishit A Bhalodi for Appellant, Rathin P Raval for Respondent No.3, Muhammadyusuf M Kharadi for Respondent No.2

Rakeshgiri Arvindgiri Goswami

Yakub Abdulrahim Bhana & Ors.

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Nature of Litigation

First Appeal under Section 173 of the Motor Vehicles Act, 1988 against the judgment and award of the Motor Accident Claims Tribunal.

Remedy Sought

Enhancement of compensation from Rs.1,45,840 to Rs.5,00,000.

Filing Reason

The appellant was dissatisfied with the Tribunal's award which apportioned 20% negligence on him and assessed his income at Rs.4,000 per month.

Previous Decisions

The Motor Accident Claims Tribunal (Aux), Anand, partly allowed the claim petition and awarded Rs.1,45,840 against the claim of Rs.5,00,000.

Issues

Whether the Tribunal erred in apportioning 20% negligence on the appellant without rebuttal evidence from the driver of the offending vehicle? Whether the Tribunal erred in assessing the appellant's income at Rs.4,000 per month instead of Rs.9,000 per month?

Submissions/Arguments

Appellant: The Tribunal erred in holding 20% negligence as the driver of the offending vehicle was not examined; income should be Rs.9,000 per month as the appellant was a heavy vehicle driver. Respondent (Insurance Company): The compensation awarded is just and proper; no interference is required.

Ratio Decidendi

In the absence of rebuttal evidence from the driver of the offending vehicle, the negligence cannot be apportioned to the claimant. The income of a self-employed person should be assessed based on the minimum wage for skilled workers, which for a heavy vehicle driver is Rs.9,000 per month.

Judgment Excerpts

It is evident that the involvement of the offending vehicle and the coverage of the insurance policy are not in dispute. The Tribunal has committed error by holding 20% negligence of the appellant as the opponent No.1 has not examined driver of the offending vehicle to give any rebuttal evidence. The Tribunal has also committed error by considering the income of the appellant as Rs.4,000 p.m, which ought to have considered as Rs.9,000 as the deceased was engaged in occupation of driving of heavy vehicles.

Procedural History

The appellant filed MACP No.351 of 2014 before the Motor Accident Claims Tribunal (Aux), Anand, which was partly allowed on 06.07.2022 awarding Rs.1,45,840. Aggrieved, the appellant filed the present First Appeal under Section 173 of the Motor Vehicles Act, 1988 before the High Court of Gujarat.

Acts & Sections

  • Motor Vehicles Act, 1988: Section 173
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