Bombay High Court Reduces Compensation in Motor Accident Claim Due to Contributory Negligence of Deceased Employee. Deceased conductor returning on scooter from depot held equally negligent; compensation reduced by 50% with proper deductions under Motor Vehicles Act, 1988.

High Court: Bombay High Court Bench: NAGPUR
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Case Note & Summary

The appeal arises from a judgment of the Motor Accident Claims Tribunal, Nagpur, dated 13/12/2005 in Claim Petition No.301/2001, awarding compensation of Rs.8,06,000/- to the respondents-claimants, who are the widow, three minor children, and parents of deceased Vinod Bante. The deceased was a conductor employed with the appellant Maharashtra State Road Transport Corporation (MSRTC). On 05/09/2000, after completing his duties, he was returning home on his scooter (MFW-8183) from the ST Depot premises. At about 1:15 p.m., an ST bus (MH-31/8725) belonging to the appellant came from the opposite direction at high speed and dashed against his scooter. The deceased sustained injuries, was admitted to Government Medical College and Hospital, Nagpur, later shifted to a private hospital, but succumbed to injuries on 21/10/2000. The police registered offences under Sections 279, 337, and 304A IPC against the bus driver. The claimants filed a petition under Section 166 of the Motor Vehicles Act, 1988, claiming Rs.13,50,000/-. The appellant resisted the claim, denying negligence and alleging contributory negligence. The Tribunal held the bus driver solely negligent and awarded compensation. The appellant challenged the award on grounds of contributory negligence and excessive compensation. The High Court found that the deceased was equally negligent as he emerged from the depot without proper lookout, and thus reduced compensation by 50%. The Court also corrected the deduction for personal expenses from 1/3rd to 1/4th, applied a multiplier of 15, and upheld 50% addition for future prospects. The final compensation was recalculated as Rs.4,38,750/- with interest at 6% per annum from the date of petition.

Headnote

A) Motor Accident Claims - Contributory Negligence - Deceased conductor returning on scooter from depot was hit by ST bus - Held that deceased was equally negligent as he failed to keep proper lookout while emerging from depot - Compensation reduced by 50% (Paras 5-8).

B) Motor Accident Claims - Computation of Compensation - Deduction towards personal expenses - Deceased had 5 dependents - Held that 1/4th deduction is appropriate as per Sarla Verma v. DTC - Tribunal's deduction of 1/3rd set aside (Paras 9-10).

C) Motor Accident Claims - Future Prospects - Deceased was 40 years old with permanent job - Held that 50% addition for future prospects is warranted as per Pranay Sethi - Tribunal's addition of 50% upheld (Para 11).

D) Motor Accident Claims - Multiplier - Deceased aged 40 - Held that multiplier of 15 is applicable as per Sarla Verma - Tribunal's use of multiplier 15 upheld (Para 12).

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Issue of Consideration

Whether the Tribunal erred in not considering contributory negligence of the deceased and in computing compensation without proper deduction for personal expenses and future prospects.

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Final Decision

Appeal partly allowed. The finding of contributory negligence is modified to 50% each. Compensation recalculated as Rs.4,38,750/- with interest at 6% per annum from the date of petition till realization. The award of the Tribunal is modified accordingly.

Law Points

  • Contributory negligence
  • Motor accident compensation
  • Deduction towards personal expenses
  • Multiplier method
  • Future prospects
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Case Details

2017 LawText (BOM) (07) 204

First Appeal No. 269/2006

2017-07-18

Dr. Smt. Shalini Phansalkar-Joshi, J.

Shri R.S. Chapre for appellant, Shri S.B. Bangde for respondents

Maharashtra State Road Transport Corporation Ltd., Nagpur Division

Smt. Alka Wd/o Vinod Bante & Ors.

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Nature of Litigation

First appeal against award of compensation by Motor Accident Claims Tribunal

Remedy Sought

Appellant sought reduction of compensation on grounds of contributory negligence and excessive computation

Filing Reason

Appellant challenged the Tribunal's finding of sole negligence and the quantum of compensation awarded

Previous Decisions

Tribunal awarded Rs.8,06,000/- with interest at 6% per annum from date of petition

Issues

Whether the deceased was guilty of contributory negligence? Whether the compensation awarded by the Tribunal is just and proper?

Submissions/Arguments

Appellant argued that the deceased was negligent as he emerged from the depot without proper lookout and the bus driver had no time to avoid accident. Respondents argued that the bus driver was solely negligent as he drove at high speed and dashed against the scooter.

Ratio Decidendi

In motor accident claims, when the deceased emerges from a depot without proper lookout and is hit by a bus, contributory negligence can be attributed equally. For computation of compensation, deduction for personal expenses should be 1/4th for 5 dependents, multiplier of 15 for age 40, and 50% addition for future prospects for a permanent employee.

Judgment Excerpts

The deceased was equally negligent in causing the accident as he failed to keep proper lookout while emerging from the depot. The deduction towards personal expenses should be 1/4th as per Sarla Verma's case. The addition of 50% towards future prospects is justified as per Pranay Sethi's case.

Procedural History

Claim Petition No.301/2001 filed before MACT Nagpur on 13/12/2005 awarded Rs.8,06,000/-. Appellant filed First Appeal No.269/2006 before Bombay High Court (Nagpur Bench) which was decided on 18/07/2017.

Acts & Sections

  • Motor Vehicles Act, 1988: Section 166
  • Indian Penal Code, 1860: Section 279, 337, 304A
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