Case Note & Summary
The appeal was filed by the widow and sons of the deceased Bhayyalalsing Rajput, who died in a motor vehicle accident on 12.2.2001. The accident occurred when a taxi, in which the deceased was a passenger, driven rashly and negligently, dashed against a stationary ST bus. The claimants filed a petition under Section 166 of the Motor Vehicles Act, 1988, seeking compensation. The Motor Accident Claims Tribunal, Buldana, awarded Rs. 2,91,000/- with interest, holding the taxi driver solely negligent and exonerating the ST bus driver. The appellants contended that the compensation was inadequate and that the ST bus driver was also negligent. The High Court examined the evidence and found that the ST bus was stationary and there was no evidence of negligence on its part, thus upholding the Tribunal's finding on negligence. However, on quantum, the court found that the Tribunal had applied an incorrect multiplier of 13 instead of 14 as per Sarla Verma v. Delhi Transport Corporation, and had not added future prospects. The deceased was 45 years old and earning Rs. 3,000 per month. The court added 30% towards future prospects, applied multiplier 14, deducted 1/4th for personal expenses (since there were 4 dependents), and awarded Rs. 5,29,200/- as compensation, along with interest at 7.5% per annum from the date of petition. The appeal was partly allowed.
Headnote
A) Motor Accident Claims - Compensation for Death - Negligence - Deceased was a passenger in a taxi that dashed against a stationary ST bus - Tribunal held taxi driver solely negligent - No evidence of negligence by ST bus driver - Held that the finding of contributory negligence against ST bus driver was erroneous and set aside (Paras 4-6). B) Motor Accident Claims - Compensation - Quantum - Multiplier - Deceased aged 45 years, income Rs. 3,000 per month - Tribunal applied multiplier of 13 and deducted 1/3rd for personal expenses - Held that multiplier of 14 as per Sarla Verma case should be applied and future prospects of 30% should be added (Paras 7-10). C) Motor Accident Claims - Compensation - Dependency - Deceased had 4 dependents - Deduction of 1/4th for personal expenses appropriate - Held that compensation recalculated accordingly (Para 10).
Issue of Consideration
Whether the compensation awarded by the Motor Accident Claims Tribunal was inadequate and whether the finding of contributory negligence against the ST bus driver was correct.
Final Decision
Appeal partly allowed. The finding of contributory negligence against the ST bus driver is set aside. Compensation enhanced to Rs. 5,29,200/- with interest at 7.5% per annum from the date of petition till realization. Respondent nos. 1 and 2 are jointly and severally liable to pay the enhanced compensation. Respondent no.3 is exonerated.
Law Points
- Motor Vehicles Act
- 1988
- Section 166
- Compensation for death
- Negligence
- Contributory negligence
- Multiplier method
- Future prospects
- Deduction for personal expenses





