Gujarat High Court
Muhammad Farooq Gandhalal vs Maganbhai Jivabhai Patel on 12 February, 2025
NEUTRAL CITATION
C/FA/1706/2007 ORDER DATED: 12/02/2025
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IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
R/FIRST APPEAL NO. 1706 of 2007
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MUHAMMAD FAROOQ GANDHALAL
Versus
MAGANBHAI JIVABHAI PATEL & ORS.
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Appearance:
MR MTM HAKIM(1190) for the Appellant(s) No. 1
MR DAKSHESH MEHTA(2430) for the Defendant(s) No. 6
MR SUNIL B PARIKH(582) for the Defendant(s) No. 3
MR. RUSHANG D MEHTA(6989) for the Defendant(s) No. 6
RULE UNSERVED for the Defendant(s) No. 1,2,4,5
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CORAM:HONOURABLE MR. JUSTICE J. C. DOSHI
Date : 12/02/2025
ORAL ORDER
1. The present First Appeal, under Section 173 of Motor Vehicles Act, 1988, is preferred by the appellant - original claimant being aggrieved and dissatisfied with the judgment and award dated 03.05.2003 passed by the Motor Accident Claims Tribunal, Kheda at Nadiad in Motor Accident Claim Petition No.1167 of 1992.
2. In this appeal seeking enhancement of compensation, learned advocate for the appellant submitted that learned Tribunal having referred to turnover of the business available from sales tax return and considering overall aspects reach to conclusion that claimant was earning Rs.8000/- per month, however it has not assessed income for loss of future prospects Page 1 of 6 Uploaded by SATISH C. VEMULLA(HC00206) on Fri Feb 14 2025 Downloaded on : Sat Feb 15 02:45:17 IST 2025 NEUTRAL CITATION C/FA/1706/2007 ORDER DATED: 12/02/2025 undefined and thereby committed serious error. It is further submitted that claimant has received serious injuries in left lef which has been shorten to some extent, which is visible from medical certificate and yet learner Tribunal assessed compensation meagerly under the head of pain, shock and suffering. Therefore it is submitted to enhance compensation and allow the appeal.
3. Learned advocates for the respective insurance companies submitted that learned Tribunal has assessed compensation on higher side adopting income of the claimant at Rs.8000/- per month in absence of documentary evidence in regard to income. Learned advocates further submitted that taking base of sales tax order to fix income of claimant is novel and unique method adopted by learned Tribunal. It is submitted that accident took place in the year 1992 and in absence of evidence amount of Rs.8000/- taken by the learned Tribunal is on higher side and and no compensation should be granted under loss of future prospects. Therefore, it is submitted to pass necessary orders.
4. I have heard learned advocates for the respective parties and perused impugned judgment as well as evidence on record. Noticeably, insurance company has not filed any appeal challenging assessment of income made by the learned Tribunal. Adoption of Rs.8000/- by learned Tribunal is based on turnover in sales tax order. Learned Tribunal has taken up 5% to 6% as commission on the assessment of sales tax made by the firm. On going through impugned judgment, in para 14, learned Tribunal has discussed this issue and believed turn over was upgraded or ascend after road accident and taking note of such aspect, Page 2 of 6 Uploaded by SATISH C. VEMULLA(HC00206) on Fri Feb 14 2025 Downloaded on : Sat Feb 15 02:45:17 IST 2025 NEUTRAL CITATION C/FA/1706/2007 ORDER DATED: 12/02/2025 undefined learned Tribunal, even in case where left leg was shorten believed to take Rs.8000/- as income of the claimant. Finding of the learned Tribunal has not been challenged by the Insurance Company and accepted as it is. Leg of the claimant is shorten. Doctor has assessed physical disability of 69% but the claimant has not examined Doctor who has issued disability certificate. Learned Tribunal noted that sales turn over of the firm owned by the claimant ascend subsequent to road accident and taking note of such aspect, learned Tribunal has assessed functional disability of 69% and granted compensation for loss of future earning.
5. In the case of Sidram Versus Divisional Manager, United India Insurance Co.Ltd. [2023 (3) SCC 439], the Hon'ble Apex Court in para 31 has held as under :-
"31. It is now a well settled position of law that even in cases of permanent disablement incurred as a result of a motor-accident, the claimant can seek, apart from compensation for future loss of income, amounts for future prospects as well. We have come across many orders of different tribunals and unfortunately affirmed by different High Courts, taking the view that the claimant is not entitled to compensation for future prospects in accident cases involving serious injuries resulting in permanent disablement. That is not a correct position of law. There is no justification to exclude the possibility of compensation for future prospects in accident cases involving serious injuries resulting in permanent disablement. Such a narrow reading is illogical because it denies altogether the possibility of the living victim progressing further in life in accident cases and admits such possibility of future prospects, in case of the victims death."Page 3 of 6 Uploaded by SATISH C. VEMULLA(HC00206) on Fri Feb 14 2025 Downloaded on : Sat Feb 15 02:45:17 IST 2025
NEUTRAL CITATION C/FA/1706/2007 ORDER DATED: 12/02/2025 undefined
6. In the present case, claimant has suffered injury on the left leg and it is shorten due to injury and therefore, additional amount for future prospects is warranting. There is no cavil that deceased was below 35 years at the time of road accident. Such fact attracts multiplier of 16 and also 40% rise towards income for loss of future prospects. In case of shortening of leg, learned Tribunal has assessed compensation of Rs.15,000/- towards pain, shock and suffering, which is quite lower side and it is enhanced to Rs.1,00,000/-. Rest of compensation granted under other heads are maintained.
7. Learned Tribunal has assessed inter-se negligence of two vehicles i.e. Luxury Bus and Tractor in tune of 75% and 25%, same is maintained.
8. Therefore, total compensation would be as under, which the claimant/s is/are entitled to get.
Particulars Amount (Rs.)
Future loss of income 7,52,640/-
Rs.8000/- pm + 40% (Rs.3200/-) =
Rs.11,200/- x 12 = Rs.1,34,400/- per year Considering disability of 35%, the amount would be Rs.47,040/- per year and apply 16 multiplier, total amount would be Rs.7,52,640/-
Actual loss of income 24,000/-
Medial expenses 60,000/-
Special diet, attendant charges and 15,000/-
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NEUTRAL CITATION
C/FA/1706/2007 ORDER DATED: 12/02/2025
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transportation expenses
Pain, shock and suffering 1,00,000/-
Total... 9,51,640/-
Less : Amount which is already awarded 6,08,000/-
Additional amount which is awarded 3,43,640/-
9. Therefore, I hold that the claimant is entitled to get the enhanced compensation of Rs.3,43,640/- with 9% p.a. interest from the date of filing the claim petition till its realisation, which would meet the ends of justice. Rest of the direction(s) of the Tribunal remain same.
10. For the reasons recorded above, the following order is passed.
10.1 The present appeal is partly allowed.
10.2 The Insurance Company is directed to deposit the enhanced amount Rs.3,43,640/- with 9% p.a. interest from the date of claim petition till its realization before the concerned Tribunal, within a period of six weeks from the date of receipt of this order.
10.3 The Tribunal shall disburse the entire awarded amount lying in the FDR and/or with the Tribunal, with accrued interest thereon, if any, to the claimant, by account payee cheque / NEFT / RTGS, after proper verification and after following due procedure.
Page 5 of 6 Uploaded by SATISH C. VEMULLA(HC00206) on Fri Feb 14 2025 Downloaded on : Sat Feb 15 02:45:17 IST 2025NEUTRAL CITATION C/FA/1706/2007 ORDER DATED: 12/02/2025 undefined 10.4 While making the payment, the Tribunal shall deduct the courts fees, if not paid, in accordance with rules/law.
10.5 Record and proceedings be sent back to the concerned Tribunal, forthwith.
(J. C. DOSHI,J) SATISH Page 6 of 6 Uploaded by SATISH C. VEMULLA(HC00206) on Fri Feb 14 2025 Downloaded on : Sat Feb 15 02:45:17 IST 2025