High Court of Karnataka Reduces Compensation in Motor Accident Claim Due to Contributory Negligence of Deceased. Claimants awarded Rs. 9,22,400/- instead of Rs. 13,27,400/- after finding 25% contributory negligence on part of deceased Gururaj.

High Court: Karnataka High Court Bench: BENGALURU In Favour of Prosecution
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Case Note & Summary

The appeal arises from a judgment and award dated 20.08.2015 passed by the Additional Court of Small Causes, Senior Civil Judge and MACT, Mysuru in MVC No. 1229/2012, awarding compensation of Rs. 13,27,400/- with interest at 6% p.a. to the claimants (respondents 1 to 3), who are the wife, mother, and minor son of deceased Gururaj. The deceased died in a road accident on 10.03.2012 involving a motorcycle (driven by the deceased) and a luxury taxi bearing No. KA-05-C-9735. The claimants filed a claim petition under Section 166 of the Motor Vehicles Act, 1988 seeking compensation. The Tribunal held the taxi driver (respondent No. 4) solely negligent and awarded compensation. The insurer (appellant) challenged the award on grounds of contributory negligence and excessive compensation. The High Court heard the insurer's counsel and perused records. The claimants, driver, and owner remained unrepresented. The Court found that the accident occurred at a junction and the deceased was not wearing a helmet, indicating contributory negligence. The Court attributed 25% contributory negligence to the deceased. On compensation, the Court noted the deceased was a bachelor aged 28 years, earning Rs. 7,000/- per month as per Tribunal's assessment. Applying Sarla Verma, the Court deducted 50% towards personal expenses (instead of 1/3rd) and applied multiplier 18 (instead of 17). The Court calculated loss of dependency as Rs. 7,000 x 12 x 18 x 50% = Rs. 7,56,000/-. Adding Rs. 1,00,000/- for loss of consortium, Rs. 50,000/- for loss of love and affection, Rs. 25,000/- for funeral expenses, and Rs. 5,000/- for transportation, total compensation was Rs. 9,36,000/-. After deducting 25% contributory negligence, the net compensation was Rs. 7,02,000/-. However, the Court also considered the Tribunal's award of Rs. 13,27,400/- and reduced it to Rs. 9,22,400/- (apparently a calculation error in the judgment). The appeal was partly allowed, reducing the compensation to Rs. 9,22,400/- with interest at 6% p.a.

Headnote

A) Motor Accident Claims - Contributory Negligence - Apportionment of Liability - Motor Vehicles Act, 1988, Section 166 - The deceased Gururaj, a pillion rider on a motorcycle, died in a collision with a luxury taxi. The Tribunal held the taxi driver solely negligent. The High Court, on appeal by the insurer, found contributory negligence on the part of the deceased as he was riding without a helmet and the accident occurred at a junction. Held that contributory negligence of 25% should be attributed to the deceased. (Paras 5-7)

B) Motor Accident Claims - Computation of Compensation - Deduction towards Personal Expenses - Motor Vehicles Act, 1988, Section 166 - The deceased was a bachelor aged 28 years. The Tribunal deducted 1/3rd towards personal expenses. The High Court held that for a bachelor, 50% should be deducted towards personal expenses as per Sarla Verma v. DTC. (Para 8)

C) Motor Accident Claims - Multiplier - Motor Vehicles Act, 1988, Section 166 - The deceased was aged 28 years. The Tribunal applied multiplier 17. The High Court held that the correct multiplier for age 28 is 18 as per Sarla Verma. (Para 8)

D) Motor Accident Claims - Income Proof - Motor Vehicles Act, 1988, Section 166 - The claimants claimed the deceased was earning Rs. 10,000/- per month as a driver. The Tribunal assessed income at Rs. 7,000/- per month. The High Court upheld this assessment as there was no documentary proof of income. (Para 8)

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Issue of Consideration

Whether the Tribunal erred in not considering contributory negligence of the deceased and in awarding excessive compensation.

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Final Decision

Appeal partly allowed. Compensation reduced from Rs. 13,27,400/- to Rs. 9,22,400/- with interest at 6% p.a. from date of petition till realization. 25% contributory negligence attributed to deceased.

Law Points

  • Contributory negligence
  • Motor accident compensation
  • Deduction towards personal expenses
  • Multiplier method
  • Income proof
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Case Details

2018 LawText (KAR) (02) 1

MFA NO. 556/2016 (MV)

2018-02-15

K. Somashekar

Sri. L. Sreekanta Rao (for appellant)

The United India Insurance Co. Ltd.

Smt. Kavitha, Smt. Kamala, Yathish (minor), Sri. K. Chandrashekar, Mahendra

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Nature of Litigation

Appeal against award of compensation in motor accident claim

Remedy Sought

Insurer sought reduction of compensation on grounds of contributory negligence and excessive award

Filing Reason

Insurer challenged the Tribunal's award of Rs. 13,27,400/- to claimants for death of Gururaj in road accident

Previous Decisions

Tribunal awarded Rs. 13,27,400/- with 6% interest; held taxi driver solely negligent

Issues

Whether the Tribunal erred in not considering contributory negligence of the deceased? Whether the compensation awarded is excessive?

Submissions/Arguments

Insurer argued that the deceased was negligent as he was riding without helmet and accident occurred at junction. Insurer argued that compensation was excessive and not in accordance with Sarla Verma principles.

Ratio Decidendi

In motor accident claims, contributory negligence of the deceased must be considered based on facts. For a bachelor, 50% deduction towards personal expenses and multiplier as per Sarla Verma should be applied.

Judgment Excerpts

The deceased was riding a motorcycle without helmet and the accident occurred at a junction, indicating contributory negligence. As per Sarla Verma, for a bachelor, 50% should be deducted towards personal expenses and multiplier 18 should be applied for age 28.

Procedural History

Claim petition filed under Section 166 MV Act before MACT, Mysuru. Tribunal awarded compensation on 20.08.2015. Insurer filed MFA under Section 173(1) MV Act before High Court on 15.02.2018.

Acts & Sections

  • Motor Vehicles Act, 1988: Section 166, Section 173(1)
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High Court High Court of Karnataka Reduces Compensation in Motor Accident Claim Due to Contributory Negligence of Deceased. Claimants awarded Rs. 9,22,400/- instead of Rs. 13,27,400/- after finding 25% contributory negligence on part of deceased Gururaj.
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