Gujarat High Court Allows Appeal in Motor Accident Claim for Death of Housewife — Enhances Compensation from Rs.2,79,540 to Rs.6,72,000. Notional Income of Rs.3,000 per month and Multiplier of 7 Applied for Deceased Aged 62 Years.

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

The present appeal arises from a judgment and award dated 12.05.2016 passed by the Motor Accident Claims Tribunal (Aux.) & 6th Additional District Judge, Limbdi, in M.A.C.P. No. 186 of 2012 (Old M.A.C.P. No.613 of 2002). The claimants, being the husband and children of the deceased Chandrikaba, sought enhancement of compensation for her death in a motor vehicle accident that occurred on 28.01.2002. The deceased was a passenger in a car driven by her husband when a truck bearing registration No. GJ-6-U-7827, driven rashly and negligently, dashed against the car, causing fatal injuries. The Tribunal partly allowed the claim petition, awarding Rs.2,79,540/- with 9% interest, and apportioned negligence between the truck and car in the ratio of 90:10. The claimants appealed, contending that the compensation was inadequate. The High Court examined the issues of notional income, multiplier, and consortium. It held that for a housewife aged 62 years, notional income should be Rs.3,000 per month as per the Second Schedule of the Motor Vehicles Act, 1988, and applied a multiplier of 7 as per Sarla Verma v. DTC. The Court also awarded Rs.40,000 each to the four claimants for loss of consortium, and upheld the 90:10 apportionment of negligence. The total compensation was recalculated as Rs.6,72,000/- with interest at 9% per annum, and the appeal was partly allowed.

Headnote

A) Motor Accident Compensation - Death of Housewife - Notional Income - For a housewife aged 62 years, notional income of Rs.3,000 per month is appropriate as per Second Schedule of Motor Vehicles Act, 1988 - Tribunal erred in taking Rs.1,500 per month - Held that notional income should be Rs.3,000 per month (Para 6).

B) Motor Accident Compensation - Multiplier - Age of Deceased - For deceased aged 62 years, multiplier of 7 applies as per Sarla Verma v. DTC - Tribunal applied multiplier of 5 - Held that multiplier of 7 is correct (Para 7).

C) Motor Accident Compensation - Loss of Consortium - Claimants entitled to Rs.40,000 each for loss of consortium under head of loss of love and affection - Tribunal awarded only Rs.5,000 - Held that each claimant is entitled to Rs.40,000 (Para 8).

D) Motor Accident Compensation - Contributory Negligence - Apportionment of 90:10 between truck and car upheld - No evidence to show negligence of car driver - Held that apportionment is correct (Para 10).

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Issue of Consideration

Whether the compensation awarded by the Tribunal for the death of a housewife is just and proper, and whether the apportionment of negligence between the truck and car was correct.

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Final Decision

Appeal partly allowed. Compensation enhanced from Rs.2,79,540/- to Rs.6,72,000/- with interest at 9% per annum from the date of filing of the claim petition till realization. Apportionment of negligence at 90:10 upheld.

Law Points

  • Notional income for housewife
  • multiplier for age above 60
  • loss of consortium
  • contributory negligence
  • Motor Vehicles Act
  • 1988
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Case Details

2026 LawText (GUJ) (03) 701

R/First Appeal No. 1818 of 2016

2026-03-06

Mool Chand Tyagi

2026:GUJHC:17232

Ms. Amrita Ajmera for the Appellants, Mr. Rituraj M Meena for Defendant No.3, Mr. Tanmay B Karia for Defendant No.4

Natvarsinh M Zala & Ors.

Jethabhai Jesabhai Bharvad & Ors.

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Nature of Litigation

First Appeal against judgment and award of Motor Accident Claims Tribunal in a claim petition for compensation for death in a motor vehicle accident.

Remedy Sought

Enhancement of compensation awarded by the Tribunal.

Filing Reason

Claimants dissatisfied with the quantum of compensation and apportionment of negligence.

Previous Decisions

Tribunal partly allowed claim petition awarding Rs.2,79,540/- with 9% interest and apportioned negligence 90:10 between truck and car.

Issues

Whether the notional income of the deceased housewife should be Rs.3,000 per month instead of Rs.1,500? Whether the multiplier of 7 should be applied instead of 5? Whether the claimants are entitled to Rs.40,000 each for loss of consortium? Whether the apportionment of negligence at 90:10 is correct?

Submissions/Arguments

Appellants argued that the Tribunal erred in taking notional income of the deceased housewife as Rs.1,500 per month; it should be Rs.3,000 per month as per Second Schedule. Appellants argued that multiplier of 7 should be applied as per Sarla Verma v. DTC for age 62, not 5. Appellants argued that each claimant is entitled to Rs.40,000 for loss of consortium. Appellants argued that the apportionment of negligence at 90:10 is correct and should be upheld.

Ratio Decidendi

For a housewife aged 62 years, notional income of Rs.3,000 per month is appropriate under the Second Schedule of the Motor Vehicles Act, 1988. Multiplier of 7 applies as per Sarla Verma v. DTC. Claimants are entitled to Rs.40,000 each for loss of consortium. Apportionment of negligence at 90:10 between truck and car is correct.

Judgment Excerpts

The Tribunal has erred in taking the notional income of the deceased as Rs.1,500/- per month. As per the Second Schedule of the Motor Vehicles Act, 1988, the notional income of a housewife is Rs.3,000/- per month. As per the decision of the Hon'ble Apex Court in the case of Sarla Verma v. DTC, the multiplier of 7 is applicable for the age group of 61-65 years. Each claimant is entitled to Rs.40,000/- under the head of loss of consortium.

Procedural History

Claim petition filed in 2002 (M.A.C.P. No.613 of 2002, later renumbered as M.A.C.P. No.186 of 2012). Tribunal passed award on 12.05.2016. Appeal filed on 06.03.2026.

Acts & Sections

  • Motor Vehicles Act, 1988: Second Schedule
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High Court Gujarat High Court Allows Appeal in Motor Accident Claim for Death of Housewife — Enhances Compensation from Rs.2,79,540 to Rs.6,72,000. Notional Income of Rs.3,000 per month and Multiplier of 7 Applied for Deceased Aged 62 Years.
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