Case Note & Summary
The appellants, wife, son, and daughter of the deceased Ganapathy KGS Mani, filed a claim petition under Section 166 of the Motor Vehicles Act, 1988, seeking compensation of Rs.75,00,000 for the death of the deceased in a motor accident that occurred on May 12, 2019. The deceased, aged 70 years, was walking opposite Sangeetha Hotel, Rajiv Gandhi Salai, Thuriapakkam, when a motorcycle bearing Registration No.TN-85-C-7084 belonging to the first respondent and insured with the second respondent, came in a rash and negligent manner and hit him, causing multiple grievous injuries leading to his death. The deceased was working as an EB Consultant (Private) and earning Rs.13,72,869 per annum. The Tribunal awarded Rs.19,80,000 with interest at 7.5% per annum. The appellants appealed for enhancement. The first respondent denied negligence and liability. The High Court considered the evidence and arguments. The court applied the multiplier method as per Sarla Verma v. DTC, (2009) 6 SCC 121, and added 15% future prospects as per Pranay Sethi. The multiplier of 7 was upheld. Deduction of 1/3rd for personal expenses was correct. Loss of consortium was enhanced to Rs.40,000 per claimant (total Rs.1,20,000), funeral expenses to Rs.15,000, and loss of estate to Rs.15,000. The total compensation was enhanced to Rs.30,00,000 with interest at 7.5% per annum from the date of petition till payment. The appeal was partly allowed.
Headnote
A) Motor Accident Compensation - Death of Pedestrian - Multiplier Method - Future Prospects - The deceased aged 70 years, self-employed EB Consultant earning Rs.13,72,869/- per annum - Tribunal applied multiplier 7 and deducted 1/3rd for personal expenses - High Court held that future prospects of 15% should be added as per National Insurance Co. Ltd. v. Pranay Sethi, (2017) 16 SCC 680 - Multiplier of 7 is correct - Deduction of 1/3rd is proper - Loss of consortium enhanced to Rs.40,000 per claimant - Funeral expenses enhanced to Rs.15,000 - Loss of estate enhanced to Rs.15,000 - Total compensation enhanced from Rs.19,80,000 to Rs.30,00,000 - Interest at 7.5% per annum - Motor Vehicles Act, 1988, Section 166 (Paras 1-16).
Issue of Consideration
Whether the compensation awarded by the Tribunal is just and proper and whether the appellants are entitled to enhancement.
Final Decision
The appeal is partly allowed. The compensation is enhanced from Rs.19,80,000 to Rs.30,00,000 with interest at 7.5% per annum from the date of petition till payment. The second respondent is directed to deposit the enhanced amount within eight weeks.
Law Points
- Compensation for death in motor accident
- multiplier method
- future prospects for self-employed persons
- deduction for personal expenses
- loss of consortium
- funeral expenses
- loss of estate
- interest rate
