Case Note & Summary
The present appeal was filed by the original claimants under Section 173 of the Motor Vehicles Act, 1988, aggrieved by the judgment and award dated 19th February, 2013 passed by the Motor Accident Claims Tribunal (Aux.), Narmada at Rajpipla in Motor Accident Claim Petition no.40 of 2012. The Tribunal had partly allowed the claim petition under Section 166 of the Motor Vehicles Act, 1988, holding the claimants entitled to recovery of Rs.3,53,200/- towards compensation from the original opponent nos.2 and 3, jointly and severally with 9% interest and costs. The claimants sought enhancement of the compensation amount. The accident occurred on 23rd February, 2012, when the deceased Sardarbhai Hanabhai Vasava was travelling from Rajpipla to his village Namalgadh on his motorcycle bearing registration no.GJ-22 3028. At around 8:00 p.m., near Boridra village, a truck bearing registration no.GRZ-2043 owned by respondent no.2 and driven by respondent no.1 came from the opposite direction in a rash and negligent manner and dashed with the motorcycle, causing fatal injuries to the deceased. The claimants, being the widow and children of the deceased, filed the claim petition. The Tribunal assessed the income of the deceased at Rs.3,000/- per month, applied multiplier of 13, and deducted 1/3rd towards personal expenses, awarding Rs.3,12,000/- towards loss of dependency, plus Rs.5,000/- for loss of consortium, Rs.2,000/- for funeral expenses, and Rs.34,200/- for medical expenses, totaling Rs.3,53,200/-. The High Court found that the Tribunal erred in applying multiplier of 13 instead of 14 as per the age of the deceased (45 years), and in not adding future prospects. Following the principles laid down in National Insurance Company Ltd. v. Pranay Sethi, the Court added 25% future prospects, applied multiplier of 14, deducted 1/4th towards personal expenses (since there were 4 dependents), and awarded Rs.1,500/- for loss of estate, Rs.15,000/- for loss of consortium, and Rs.15,000/- for funeral expenses. The total compensation was enhanced to Rs.7,02,400/- with 9% interest per annum from the date of petition till realization. The appeal was allowed accordingly.
Headnote
A) Motor Accident Claims - Compensation - Enhancement - Section 166, 173 Motor Vehicles Act, 1988 - Claimants sought enhancement of compensation for death of Sardarbhai Hanabhai Vasava in a truck-motorcycle accident - Court held that the Tribunal erred in applying multiplier of 13 instead of 14 and in not adding future prospects - Held that compensation is enhanced from Rs.3,53,200/- to Rs.7,02,400/- with 9% interest (Paras 1-31).
Issue of Consideration
Whether the claimants are entitled to enhancement of compensation awarded by the Motor Accident Claims Tribunal?
Final Decision
The appeal is allowed. The judgment and award dated 19th February, 2013 passed by the Motor Accident Claims Tribunal (Aux.), Narmada at Rajpipla in MACP No.40 of 2012 is modified. The claimants are entitled to enhanced compensation of Rs.7,02,400/- with interest at 9% per annum from the date of petition till realization. The respondent no.3 (Insurance Company) is directed to deposit the enhanced amount within eight weeks.
Law Points
- Motor Vehicles Act
- 1988
- Section 166
- Section 173
- Compensation
- Multiplier
- Future Prospects
- Contributory Negligence
- Income Proof
