The division judge bench of Justice Krishna Murari and Justice S. Ravindra Bhat of the apex court in the case of Harpreet Kaur & Ors Vs Mohinder Yadav & Ors held that Consortium is a special prism reflecting changing norms about the status and worth of actual relationships.
Modern jurisdictions world over have recognized that the value of a child's consortium far exceeds the economic value of the compensation awarded in the case of the death of a child.
Most jurisdictions therefore permit parents to be awarded compensation under loss of consortium on the death of a child. The amount awarded to the parents is a compensation for loss of the love, affection, care and companionship of the deceased child.
BRIEF FACTS
The factual matrix of the case is that when the deceased was returning, he got hit by a truck and succumbed to his injuries. The claimant-petitioners instituted a claim before the Motor Accident Claim Tribunal (hereafter, “MACT”) under Section 166 of the MV Act.
The appellants take issue with the High Court of Punjab & Haryana's final ruling in Chandigarh, which partially upheld their initial appeal and increased the amount of compensation granted to the petitioners from Rs 660,000 (plus 6% interest) to Rs 176,000 (plus 7.5% interest). The complaint of the appellants is that, while calculating the ultimate compensation under the Motor Vehicles Act of 1988 (hereafter, "MV Act"), the High Court erred in computing compensation for loss of income and neglected to award any sum under the head of "loss of love and affection."
COURT’S OBSERVATION
The hon’ble court held that the assessment of income @ 95,000/- appears to be on the lower end, and insufficient. It would in the circumstances of the case, be appropriate that the actual income should be computed @ 1,50,000/- per annum. Applying 40% ₹ towards future prospects, the total annual income ( 1,50,000 + 60,000) ₹ ₹ amounts to 2,10,000. With a 1/4th deduction (4 dependents), the annual loss of ₹ dependency ( 2,10,000 - 52,500) would be 1,57,500. Applying a multiplier ₹ ₹ ₹ of 16, total loss of dependency (i.e., 1,57,500 x 16) is Rs. 25,20,000. Furthermore, the amount towards loss of consortium awarded – especially in favour of the fourth petitioner, is too low. A sum of ₹ ₹ 40,000/- was awarded towards spousal consortium and 1,00,000/- towards filial and parental consortium.
While deciding the issue of consortium, the hon’ble court relied upon the judgements titled Rajesh Vs Rajbir Singh, National Insurance Co. v. Pranay Sethi, and Magma General Insurance Co. v. Nanu Ram. The appellants are entitled to 25,20,000/- towards loss of dependency; and the three appellants being the children and mother of the deceased, are entitled to ₹40,000/- each towards filial and parental consortium.
CASE NAME- Harpreet Kaur & Ors Vs Mohinder Yadav & Ors
CITATION- CIVIL APPEAL NO(S). 9233 OF 2022
[@ SPECIAL LEAVE PETITION (CIVIL) NO. 10860 OF 2020]
CORUM- Justice Krishna Murari and Justice S. Ravindra Bhat
DATE- 15.12.22
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