Case Note & Summary
The case arises from a motor accident claim where the deceased, Bhikhaji Thakor, was a pillion rider on a scooter that was hit by a Gujarat State Road Transport Corporation bus. The accident occurred on 26 November 2001 when the bus, driven rashly and negligently from the wrong side, collided with the scooter. The deceased sustained fatal injuries. The claimants, the widow and children of the deceased, filed a claim petition seeking Rs.10,00,000/- compensation. The Motor Accident Claims Tribunal partly allowed the claim, awarding Rs.2,51,325/- after deducting 25% on account of the scooter driver's negligence, with interest at 7.5% per annum. The claimants appealed, challenging both the finding on negligence and the quantum. The High Court held that the Tribunal erred in attributing the scooter driver's negligence to the pillion rider, as a pillion rider is a third party and cannot be held vicariously liable. The court set aside the 25% deduction. On quantum, the court noted that the deceased was 28 years old and earned Rs.4,000/- per month as a mason. Following the Supreme Court's decision in National Insurance Co. Ltd. v. Pranay Sethi, the court added 40% towards future prospects, making the monthly income Rs.5,600/-. After deducting 1/4th towards personal expenses, the annual loss of dependency was Rs.50,400/-. Applying a multiplier of 17, the loss of dependency was calculated at Rs.8,56,800/-. Additionally, the court awarded Rs.70,000/- under conventional heads (loss of estate, loss of consortium, and funeral expenses). The total compensation was enhanced to Rs.9,26,800/-, with interest at 7.5% per annum from the date of the claim petition. The appeal was allowed accordingly.
Headnote
A) Motor Accident Claims - Contributory Negligence - Pillion Rider - Negligence of scooter driver cannot be attributed to pillion rider - The Tribunal erred in deducting 25% compensation on account of negligence of the scooter driver when the deceased was a pillion rider, as a pillion rider is a third party and cannot be held vicariously liable for the driver's negligence - Held that the deduction of 25% on account of contributory negligence is set aside (Paras 8-10). B) Motor Accident Claims - Compensation - Computation of Loss of Dependency - Future Prospects - The deceased, aged 28 years, was a mason earning Rs.4,000/- per month - Following the principles laid down in National Insurance Co. Ltd. v. Pranay Sethi, 40% future prospects should be added - After adding 40%, the monthly income is Rs.5,600/-, annual income Rs.67,200/-, deducting 1/4th towards personal expenses, loss of dependency is Rs.50,400/- per annum - Applying multiplier of 17, total loss of dependency is Rs.8,56,800/- (Paras 11-14). C) Motor Accident Claims - Compensation - Conventional Heads - Under the head of loss of estate, loss of consortium, and funeral expenses, the claimants are entitled to Rs.70,000/- as per Pranay Sethi - The total compensation is recomputed as Rs.9,26,800/- with interest at 7.5% per annum from the date of petition till realization (Paras 15-16).
Issue of Consideration
Whether the Tribunal was justified in deducting 25% compensation on account of contributory negligence of the scooter driver when the deceased was a pillion rider, and whether the quantum of compensation awarded was just and proper.
Final Decision
The appeal is allowed. The impugned judgment and award dated 23.10.2012 is modified. The deduction of 25% on account of contributory negligence is set aside. The total compensation is enhanced to Rs.9,26,800/- with interest at 7.5% per annum from the date of filing of the claim petition till realization. The respondent is directed to deposit the enhanced amount within eight weeks.
Law Points
- Negligence of scooter driver cannot be attributed to pillion rider
- Pillion rider is a third party
- Contributory negligence not applicable to pillion rider
- Compensation enhancement for loss of dependency
- Future prospects to be added
- Multiplier as per age of deceased
- Conventional damages under Motor Vehicles Act
