Case Note & Summary
The judgment involves three miscellaneous first appeals filed by the Oriental Insurance Company against awards passed by the Motor Accidents Claims Tribunal, Gangavathi. In MFA No. 22013/2009, the claimant Mahesh sought compensation for injuries sustained in a road accident. The Tribunal awarded Rs. 6,24,347/- with interest at 8% per annum. In MFA No. 22012/2009, the legal representatives of deceased Siddrameshwar Hiremath sought compensation for his death in a road accident. The Tribunal awarded Rs. 12,98,070/- with interest at 8% per annum. In MFA No. 21122/2009, the claimant Mahesh (same as in 22013/2009) sought compensation for injuries in another accident. The Tribunal awarded Rs. 1,50,000/- with interest at 8% per annum. The Insurance Company challenged the awards on the ground that the compensation was excessive and that there was contributory negligence. The court, after hearing arguments, reduced the compensation in each case. In MFA No. 22013/2009, the court reduced the compensation to Rs. 4,00,000/-. In MFA No. 22012/2009, the court reduced the compensation to Rs. 9,00,000/-. In MFA No. 21122/2009, the court reduced the compensation to Rs. 1,00,000/-. The court held that the income of the deceased/injured was not proved and applied notional income. The court also found contributory negligence in one case. The appeals were partly allowed.
Headnote
A) Motor Vehicles Act - Compensation - Negligence - Section 173 of Motor Vehicles Act, 1988 - The court considered appeals against awards granting compensation for injuries and death in road accidents. The court held that the compensation awarded was excessive and reduced it based on lack of proof of income and contributory negligence. (Paras 1-10) B) Motor Vehicles Act - Income Proof - Multiplier - Section 166 of Motor Vehicles Act, 1988 - The court held that in the absence of proof of income, the notional income should be taken as per the guidelines. The multiplier should be applied as per the age of the deceased. (Paras 5-8) C) Motor Vehicles Act - Contributory Negligence - Section 168 of Motor Vehicles Act, 1988 - The court held that where the driver of the insured vehicle was negligent, the Insurance Company is liable to pay compensation, but the amount may be reduced if the claimant also contributed to the accident. (Paras 9-10)
Issue of Consideration
Whether the compensation awarded by the Tribunal is just and proper, and whether the Insurance Company is liable to pay compensation despite alleged breach of policy conditions.
Final Decision
The appeals are partly allowed. The compensation in MFA 22013/2009 is reduced to Rs. 4,00,000/-; in MFA 22012/2009 reduced to Rs. 9,00,000/-; in MFA 21122/2009 reduced to Rs. 1,00,000/-. The rate of interest remains at 8% per annum.
Law Points
- Motor Vehicles Act
- 1988
- Section 173
- Compensation
- Negligence
- Income Proof
- Multiplier
- Contributory Negligence
