Gujarat High Court
Ansuyaben Rameshbhai Kishor vs Anup Transport Company on 28 July, 2025
NEUTRAL CITATION
C/FA/71/2024 JUDGMENT DATED: 28/07/2025
undefined
IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
R/FIRST APPEAL NO. 71 of 2024
FOR APPROVAL AND SIGNATURE:
HONOURABLE MS. JUSTICE NISHA M. THAKORE
=============================================
Approved for Reporting Yes No
NO
=============================================
ANSUYABEN RAMESHBHAI KISHOR & ORS.
Versus
ANUP TRANSPORT COMPANY & ANR.
=============================================
Appearance:
NISHIT A BHALODI(9597) for the Appellant(s) No. 1,2,3,4
MANDEEP SINGH SALUJA(8791) for the Defendant(s) No. 2
RULE SERVED for the Defendant(s) No. 1
=============================================
CORAM:HONOURABLE MS. JUSTICE NISHA M. THAKORE
Date : 28/07/2025
ORAL JUDGMENT
1. Heard Mr. Nishit Bhalodi, learned advocate for the appellants- original claimants. Mr. Mandeep Saluja, learned advocate has entered his appearance on behalf of the respondent no.2- Insurance Company. Rule of admission of appeal issued by this Court upon the respondent no.1 is reported to have been duly served, however no appearance has been entered. Noticing the limited issue involved, present appeal is taken up for hearing in absence of respondent no.1.
2. Present appeal under Section 173 of Motor Vehicle Act, 1988 (hereinafter referred to as the "Act, 1988") at the Page 1 of 13 Uploaded by RATHOD KAUSHIKSINH JILUSINH(HC00957) on Wed Jul 30 2025 Downloaded on : Wed Jul 30 22:30:35 IST 2025 NEUTRAL CITATION C/FA/71/2024 JUDGMENT DATED: 28/07/2025 undefined instance of the original claimants essentially challenges the impugned judgment and award dated 6.4.2023 passed by the Motor Accident Claims Tribunal (Auxi), Khambhaliya in MACP No.12 of 2021, to the extent whereby their claim of amount of compensation to the tune of Rs.20 lakhs for the untimely demise of their sole earning member in the family has not been entertained entirely.
3. The brief facts leading to the present appeal as can be gathered from the record are as under:
3.1. On 21.03.2021, the deceased, who is son of the appellant no.1 and husband of the appellant no.2 and father of the appellant nos.3 and 4, was returning on his motorcycle bearing no. GJ-10-Q-7473 after attending his work. According to the claimants, the deceased was driving slowly, carefully and following traffic rules. While he had reached near village Naghedi, at that time the driver of the opponent no.1 had driven his Truck bearing registration no. GJ-12-BX-6745 in rash and negligent manner violating the traffic rules and same has resulted into accident with the motorcycle driven by the deceased. Due to impact caused by the offending vehicle, Page 2 of 13 Uploaded by RATHOD KAUSHIKSINH JILUSINH(HC00957) on Wed Jul 30 2025 Downloaded on : Wed Jul 30 22:30:35 IST 2025 NEUTRAL CITATION C/FA/71/2024 JUDGMENT DATED: 28/07/2025 undefined deceased had sustained injuries and has succumbed to the injuries. The FIR was lodged against the driver of the respondent -transport company which was insured with respondent no.2- Insurance Company.
4.0. Before the Tribunal, though the notice was served upon the respondent no.1 being the owner of the offending vehicle, he had chosen not to appear and contest the claim petition.
The respondent no. 2 Insurance Company has appeared through its lawyer and has submitted that the written statement at Exh.22 inter alia disputing the averment made in the claim petition and the negligency of the truck driver. 5.0. The Tribunal upon appreciation of the oral as well as documentary evidence brought on record by the claimants proceeded to examine the issue. The Tribunal after considering the evidence in the nature of FIR at Exh.24, panchnama of place of accident at Exh.25 had held the driver of the respondent no.1 owner of the truck solely responsible for the occurrence of the accident.
5.1. On the issue of quantum of compensation, the Tribunal Page 3 of 13 Uploaded by RATHOD KAUSHIKSINH JILUSINH(HC00957) on Wed Jul 30 2025 Downloaded on : Wed Jul 30 22:30:35 IST 2025 NEUTRAL CITATION C/FA/71/2024 JUDGMENT DATED: 28/07/2025 undefined had taken into consideration the examination in chief affidavit of the wife of the deceased (at Exh.20). The Tribunal had considered the birth certificate of the deceased produced on record at Exh.32, considering the date of birth as 19.10.1976 and noticing the fact that the accident had taken place on 21.03.2021, had arrived at a conclusion that the age of the deceased was 45 years on the date of accident. As regards the income of the deceased is concerned, the Tribunal has considered the evidence of the wife of the deceased that the deceased was running Auto Garage in the name and style of Royal Auto Garage and was earning out of the aforesaid work. No documentary evidence has been led by the claimants, the Tribunal has fixed the notional income of the deceased as Rs.60,000/- The reference was made to the decision of the Hon'ble Supreme Court in the case of Sarla Verma and ors. vs. Delhi Transport Corporation and Anr. reported in (2009) 6 SCC 121 as well as judgment of the Constitutional Bench of the Hon'ble Supreme Court in the case of National Insurance Company Limited vs. Pranay Sethi & ors reported in (2017) 16 SCC 680 to arrive at a conclusion that the addition of 25% future rise can be considered in the facts of the case. Thus, the Tribunal has considered Rs.75000/- Page 4 of 13 Uploaded by RATHOD KAUSHIKSINH JILUSINH(HC00957) on Wed Jul 30 2025 Downloaded on : Wed Jul 30 22:30:35 IST 2025
NEUTRAL CITATION C/FA/71/2024 JUDGMENT DATED: 28/07/2025 undefined towards future prospects (Rs.60,000/- + Rs.15,000/-). The Tribunal had thereafter deducted 1/4th of the amount considering the fact that the deceased was survived by four members in the family. Thus, considering the age of the deceased as 45 years old at the time of accident, has applied multiplier of 14. The Tribunal has accordingly determined the future loss of income and dependency as Rs.7,87,500/-. 5.2. As regards the amount towards loss of estate, loss of consortium and funeral expenses is concerned, the Tribunal has considered Rs.40,000/-, Rs.15,000/- and Rs.15,000/- respectively thereby awarding total amount of compensation to the tune of Rs.8,57,500/- with interest at the rate of 8% pa from the date of filing of claim petition till its realization. 6.0. By the said impugned judgment and award, the Tribunal has not entertained the claim of the original claimants to the tune of Rs.20 lakhs. Hence, present appeal at the instance of the original claimants.
7. Learned advocate Mr. Nishit Bhalodi for the appellant at the outset, has submitted that the challenge in the present Page 5 of 13 Uploaded by RATHOD KAUSHIKSINH JILUSINH(HC00957) on Wed Jul 30 2025 Downloaded on : Wed Jul 30 22:30:35 IST 2025 NEUTRAL CITATION C/FA/71/2024 JUDGMENT DATED: 28/07/2025 undefined appeal is essentially on the ground of income of the deceased being determined on the lower side and the amount of compensation under the head of loss of consortium as awarded by the Tribunal. Learned advocate has placed reliance upon the decision of the Hon'ble Supreme Court in the case of Govind Yadav vs. New India Assurance Company Limited reported in 2012 ACJ 28 (SC) to contend that in absence of any proof of income, noticing the fact that the deceased was engaged in the work of Auto Garage, the Tribunal ought to have considered him as a skilled labour and ought to have followed the yardstick of minimum wages in order to determine the income of the deceased. Learned advocate has further pointed out that at the time accident i.e. in the month of March, 2021, the rates of minimum wages prescribed by the State Government in case of skilled labour was around Rs.8800/- per month. He has therefore, urged this Court to apply the aforesaid yardstick in the facts of the case and to enhance the amount of compensation accordingly. Secondly, learned advocate has placed reliance upon the decision of this Court in the case of New India Assurance Company Limited vs. Somwati and Ors reported in (2020) 9 SCC 644 as well as in the case of Magma General Page 6 of 13 Uploaded by RATHOD KAUSHIKSINH JILUSINH(HC00957) on Wed Jul 30 2025 Downloaded on : Wed Jul 30 22:30:35 IST 2025 NEUTRAL CITATION C/FA/71/2024 JUDGMENT DATED: 28/07/2025 undefined Insurance Co. Ltd vs. Nanu Ram Alias Chuhur Ram & Ors reported in (2018)18 SCC 130 in order to justify his claim for enhancement towards loss of consortium is concerned, learned advocate has pointed out that indisputably the appellants consists of the mother of the deceased, widow and their two minor children. He has therefore, submitted that each of the claimants shall be entitled to an amount of Rs.48,400/- towards loss of consortium individually. He has therefore, urged this Court to award an amount of Rs.1,93,600/- towards loss of consortium. Lastly, learned advocate has also urged this Court to take into consideration the principle laid down by the Hon'ble Supreme Court in the case of Pranay Sethi (supra) in order to enhance the amount of compensation towards conventional head is concerned. He has urged this Court to award an amount of Rs.18,150/- towards loss of estate as well as funeral expenses respectively. He has therefore, urged this Court to enhance the total amount of compensation to the tune of Rs.16,15,900/-.
8. Per contra, learned advocate for the respondent no.2- Insurance Company has vehemently objected to the aforesaid Page 7 of 13 Uploaded by RATHOD KAUSHIKSINH JILUSINH(HC00957) on Wed Jul 30 2025 Downloaded on : Wed Jul 30 22:30:35 IST 2025 NEUTRAL CITATION C/FA/71/2024 JUDGMENT DATED: 28/07/2025 undefined submissions made by the learned advocate for the appellants. Learned advocate has mainly relied upon the findings and reasons assigned by the Tribunal and has submitted that the Tribunal has awarded just and reasonable amount of compensation under the respective head which does not call for any interference of this Court in the present appeal. It is submitted that in absence of any proof of income, the Tribunal has proceeded to fix notional income and looking to the work with which the deceased was attached, it cannot be said that the Tribunal has assessed the income on lower side. As regards the amount towards loss of consortium is concerned, learned advocate has submitted that in light of the decision of the Hon'ble Supreme Court as relied upon the Court may pass appropriate orders in this regard.
9. Considering the aforesaid submissions of the learned advocates for the respective parties, in light of the findings and reasons assigned by the Tribunal and having perused the original record and proceeding, the only question which falls for consideration of this Court in the present appeal is as to whether the Tribunal committed any error in determining the amount of compensation in the facts and circumstances of the Page 8 of 13 Uploaded by RATHOD KAUSHIKSINH JILUSINH(HC00957) on Wed Jul 30 2025 Downloaded on : Wed Jul 30 22:30:35 IST 2025 NEUTRAL CITATION C/FA/71/2024 JUDGMENT DATED: 28/07/2025 undefined case and evidence brought on record ?
10. As regards the issue of income being determined on the lower side is concerned, it is an undisputed fact that no documentary proof of income has been brought on record by the original claimant. The only evidence which is available on record is the deposition of the widow of the deceased. In her deposition, she has categorically stated that the deceased was running Garage. The aforesaid evidence gets corroborated from the FIR produced on record at Exh.24. The brother of the deceased has lodged FIR wherein he has mentioned that the deceased was occupied in the business of running Garage. Thus, it is established on record that the deceased was occupied in the business of running Garage. In absence of any evidence being brought on record with regard to proof of income, the Tribunal has thought it fit to determine the income on notional basis. However, as rightly pointed out by learned advocate for the original claimant that in view of the decision of the Hon'ble Supreme Court in the case of Govind Yadav (supra), the Tribunal can always follow the yardstick of minimum wages in absence of any strict proof of document of income. The Courts are thus expected to consider the Page 9 of 13 Uploaded by RATHOD KAUSHIKSINH JILUSINH(HC00957) on Wed Jul 30 2025 Downloaded on : Wed Jul 30 22:30:35 IST 2025 NEUTRAL CITATION C/FA/71/2024 JUDGMENT DATED: 28/07/2025 undefined aforesaid yardstick with regard to nature of work that was being performed by the deceased. The State Government in exercise of its statutory powers under Section 3 of the Minimum Wages Act, 1948 has issued notification for fixing wages of skilled workers. Thus, considering the schedule of minimum wages prevailing on the date of accident for the skilled labour, in absence of income proof, this Court is inclined to follow the same yardstick in the facts of the case. The perusal of the schedule of rates of minimum wages as prevailing on the date of occurrence of accident which is 21.3.2021, this Court is inclined to accept the appeal of the original claimant by fixing the income of the deceased as Rs.8,800/- per month.
11. In absence of any challenge being made by the respondent -Insurance Company by filing any appeal, the foundational facts of the case has remained uncontroverted and unchallenged. Hence, the factors to be considered for the computation towards future loss of income and dependency is concerned, the same being considered by the Tribunal in light of the decision of the Hon'ble Supreme Court, applying the same factors, the future loss of income of the deceased is Page 10 of 13 Uploaded by RATHOD KAUSHIKSINH JILUSINH(HC00957) on Wed Jul 30 2025 Downloaded on : Wed Jul 30 22:30:35 IST 2025 NEUTRAL CITATION C/FA/71/2024 JUDGMENT DATED: 28/07/2025 undefined reconsidered and is enhanced from Rs.7,87,500/- to Rs.13,86,000/- (Rs.8800/- X 25%: Rs.11,000/- Minus ¼ deduction: Rs.2750/- = Rs.8250/- X 12 X 14).
12. As regards enhancement sought for under the head of loss of consortium is concerned, considering the fact that the original claimants includes widow of the deceased, their two children and aged mother, the Tribunal ought to have considered each of them entitled to the amount of Rs.44,800/-. In view of the settled legal principles laid down by the Hon'ble Supreme Court in the case of Magma General Insurance Co. Ltd (supra), the amount of loss of consortium is hereby enhanced from Rs.40,000/- to Rs.1,93,600/- (Rs.48,400/- X 4 ).
13. This brings me to the issue of enhancement of the amount of compensation sought for under the different conventional heads are concerned. As rightly pointed out by the learned advocate for the original claimants, in view of the decision of the Hon'ble Supreme Court in the case of Pranay Sethi (supra), the same is required to be reconsidered and enhanced to Rs.18,150/- respectively. Thus, amount towards loss of estate and funeral expenses is enhanced to Rs.18,150/- Page 11 of 13 Uploaded by RATHOD KAUSHIKSINH JILUSINH(HC00957) on Wed Jul 30 2025 Downloaded on : Wed Jul 30 22:30:35 IST 2025
NEUTRAL CITATION C/FA/71/2024 JUDGMENT DATED: 28/07/2025 undefined respectively. Therefore, original claimant - appellant herein is held entitled to enhanced amount, as computed hereunder:
Compensation As awarded by this Court (Rs.) Dependency benefits Rs.8,800/- + 25%= Rs.11,000/- Minus Rs. 2750/-
(¼) = Rs.8,250/- X 12=
99,000/-
Multiplier 14
For loss of Future loss of 99,000/- X 14
dependency benefit = Rs.13,86,000/-
For loss of consortium 1,93,600/-- (48,400/- X 4)
Funeral expenses and 18,150/-
transportation
Loss of Estate expectation in 18,150/-
life
Total Compensation 16,15,900/-
Awarded compensation 8,57,500/-
Enhanced Compensation 7,58,400/-
14. For the foregoing reasons, the present appeal succeeds.
The impugned judgment and award dated 6.4.2023 passed by the Motor Accident Claims Tribunal (Auxi), Khambhaliya in MACP No.12 of 202 is hereby modified. The appellants- original claimants are held entitled to compensation of an amount of Rs.7,58,400/-. Since by impugned judgment and Page 12 of 13 Uploaded by RATHOD KAUSHIKSINH JILUSINH(HC00957) on Wed Jul 30 2025 Downloaded on : Wed Jul 30 22:30:35 IST 2025 NEUTRAL CITATION C/FA/71/2024 JUDGMENT DATED: 28/07/2025 undefined award the Tribunal has awarded an amount of Rs.8,57,500/-, the appellants shall be entitled to enhanced amount of compensation to the tune of Rs.7,58,400/- (Rs.16,15,900/- - Rs.8,57,500/-) with interest at the rate of 9% from the date of filing of claim petition till its actual realization. The respondents - original opponents are held jointly and severally liable to pay such enhanced amount of compensation with proportionate costs and interest. Let, the aforesaid amount be deposited with the concerned Tribunal within a period of 8 weeks from the date of receipt of the present order. On deposit of the aforesaid amount, the Tribunal shall be at liberty to release and disburse the entire award amount in favour of the original claimants, after due verification. Let, such exercise be undertaken by the Tribunal strictly in accordance with the guidelines prescribed by the Hon'ble Supreme Court in this regard; preferably within a period of two weeks from deposit of such amount.
15. The Registry is directed to send back the Record and Proceedings of the case forthwith to the concerned Court.
sd/-
(NISHA M. THAKORE,J) RATHOD KAUSHIKSINH Page 13 of 13 Uploaded by RATHOD KAUSHIKSINH JILUSINH(HC00957) on Wed Jul 30 2025 Downloaded on : Wed Jul 30 22:30:35 IST 2025