Citation : 2021 Latest Caselaw 2046 AP
Judgement Date : 21 June, 2021
THE HON'BLE SRI JUSTICE U. DURGA PRASAD RAO
AND
THE HON'BLE MS. JUSTICE J. UMADEVI
M.A.C.M.A. Nos. 3362 of 2016 and 987 of 2017
COMMON JUDGMENT: (Per UDPR,J)
On 25.11.2012 at about 10:30 AM while one Boddu Srinivasa
Rao working as police constable at Mangalagiri was proceeding on his
motor cycle bearing registration No.AP07 AD 7690 to attend
Bandobast duty at Sivalayam temple, Peddakakani Village and
reached Kali Gardens on NH5 road, Namburu Village, a TATA Indica
car bearing registration No.AP24 AG 0126 being driven in a rash and
negligent manner and at high speed and without blowing horn came
behind his motor cycle and hit him and he fell down and sustained
grievous injuries and while undergoing treatment in Apollo Hospital,
Hyderabad, succumbed to injuries and died on 30.11.2012. The
claimants who are his wife, minor children and aged parents filed
MVOP No.847/2012 before MACT-cum-I Additional District Judge,
Nellore claiming Rs.30,00,000/- as compensation against respondent
Nos.1 and 2 who are the owner and insurer of the offending car.
2. The 1st respondent remained ex-parte and 2nd respondent/
Insurance Company filed counter and opposed the claim petition. It
mainly contended that the car was validly insured with the 2nd
respondent Insurance Company; the driver of the car did not posses
valid and effective driving licence on the date of accident; the
deceased drove his vehicle in a rash and negligent manner and UDPR,J & JUD,J
contributed to the accident; the compensation was highly exorbitant
and thus prayed to dismiss the petition.
3. The lower tribunal framed following issues:
i) Whether the accident occurred due to rash and negligent driving of the driver of Tata Indica Car Bearing No. AP 24 AG 0126?
ii) Whether the petitioners are entitled for compensation ? If so, to what extent and amount ?
iii) To what relief?
4. During trial the PW 1 to 3 are examined and Ex.A1 to A4 and
X1 to X3 were marked on behalf of petitioners/claimants. Ex.B1 was
marked on behalf of respondent.
a) Lower tribunal basing on the evidence on record, awarded
Rs.26,85,900/- with interest @ 6% p.a against respondent Nos.1 and 2
under the following heads:
(i) Loss of dependency Rs.25,50,900/-
(ii) Loss of consortium to the 1st claimant Rs.1,00,000/-
(iii) Funeral expenses Rs. 25,000/-
(iv) Loss of estate Rs. 5,000/-
(v) Transportation charges Rs. 5,000/-
TOTAL Rs.26,85,900/-
b) Challenging the above quantum of compensation awarded by
the lower tribunal, the 2nd respondent Insurance Company filed
M.A.C.M.A.No.3362 of 2016 and claimants also filed UDPR,J & JUD,J
M.A.C.M.A.No.987 of 2017 against 2nd respondent Insurance
Company.
c) It should be noted that in judgment dated 21.04.2016, the lower
tribunal did not give any finding on issue No.1. Therefore, a Division
Bench of this High Court in its order dated 18.01.2018 directed the
tribunal to render a specific finding with detailed reasons on issue
No.1 and submit to the appellate Court to decide the appeal.
Accordingly, the tribunal basing on the evidence on record, gave its
finding vide order dated 08.08.2018 on issue No.1 to the effect that
the accident in question was occurred due to rash and negligent
driving of the driver of the offending car bearing registration No.AP
24 AG 0126.
5. Heard arguments of Sri D. Ravi Kiran, learned counsel for
appellant/Insurance Company in M.A.C.M.A No.3362 of 2016 and
respondent in M.A.C.M.A.No.987 of 2017 and Sri K. Gopal, learned
counsel for appellants/claimants in M.A.C.M.A.No.987 of 2017 and
respondent Nos.1 to 5 in M.A.C.M.A.No.3362 of 2016.
a) The fulcrum of argument of learned counsel for
appellant/Insurance Company Sri D. Ravi Kiran is that the accident
was occurred due to contributory negligence of the deceased, thereby,
the two vehicles collided together. Hence, the lower tribunal ought to
have apportioned the responsibility between both the drivers.
However, it erroneously fixed the responsibility entirely on the car
driver. Nextly, learned counsel argued that the tribunal committed UDPR,J & JUD,J
grave error in adding 50% of the earnings of the deceased towards
future prospects. Since the deceased was in the age group of 40 to 50
years, the tribunal by following dictum in Sarla Verma and Ors Vs.
Delhi Transport Corporation and Ors1, should have added only 30%
of his earnings towards future prospects. In view of such mistake, the
compensation was drastically increased. He thus prayed to allow the
appeal and re-assess the compensation.
b) Per contra, Sri K. Gopal, learned counsel for claimants/
appellants in M.A.C.M.A.No.987 of 2017 firstly argued that having
regard to the oral and documentary evidence on record, the tribunal
has rightly held that the entire responsibility was with the car driver
and the contra argument of Insurance Company is untenable.
c) Nextly, regarding the quantum of compensation, while
opposing the contention of Insurance Company, learned counsel
argued that the tribunal has rightly taken 50% of the income towards
future prospects. He however carped the tribunal's decision to deduct
10% towards income tax. He argued that there was no need to deduct
any tax because the deceased was exempted from paying income tax.
He further argued that the tribunal ought to have awarded
compensation under separate heads for loss of love and affection
towards parents and children of the deceased. In this regard he relied
2009ACJ1298 = MANU/SC/0606/2009 UDPR,J & JUD,J
upon the judgment in The New India Assurance Company Limited
and Ors Vs. Somwati and Ors.2
Heard.
6. Points for consideration in both the appeals are:
(i) Whether the tribunal was right in holding that the car driver
was entirely responsible for the accident?
(ii) Whether the compensation awarded by the tribunal is
factually and legally correct or requires re-consideration?
POINT
(i) As already sated supra, when the tribunal failed to give its
finding on issue No.1 framed by it, this Court vide its order dated
18.01.2018 directed the tribunal to render a specific finding on issue
No.1 and transmit to this Court. The tribunal obliged the same and
recorded its specific finding on issue No.1 holding that the car driver
was responsible for the accident vide its order dated 08.08.2018.
We perused the aforesaid finding. The tribunal having regard
to the oral evidence of PW2 eye-witness, who is having a shop near
the accident spot i.e. Kali Gardens on NH5 road, Namburu Village
and also considering the documentary evidence such as Ex.A1 FIR
and A4 - Charge Sheet, whereunder car driver was charge-sheeted by
the Investigating Officer, held that car deriver was entirely responsible
for the accident. The facts would disclose that offending car went
2020ACJ2321 = MANU/SC/0674/2020 UDPR,J & JUD,J
behind the motor cycle at high speed and without blowing horn and
dashed the motor cycle. This fact which is undisputed would manifest
that the car driver was responsible for the accident. As observed by
the tribunal, the car driver was not examined to explain under what
circumstance, he happened to dash the front going motor cycle and
whether the motor cycle suddenly appeared in front of the car etc.,
facts. Therefore, considering the evidence on record, the tribunal has
rightly held that the car driver was responsible for the accident. We
see no reason to disagree with the said finding. This point is answered
accordingly.
(ii) Point No.2 is concerned, as already stated supra, both the
Insurance Company as well as claimants have challenged the quantum
of compensation. The prime contention of the Insurance Company is
that the tribunal ought to have taken 30% of the income of the
deceased towards his future prospects instead of 50%. In this regard,
a perusal of the judgment of the tribunal shows that having regard to
the fact that as per Ex.X2 Service Register, the date of birth of the
deceased was 01.07.1973 and by the date of his death on 30.11.2012,
he was aged 39 years and 3 months and thus below 40 years, the
tribunal added 50% to the actual income of the deceased towards
future prospects by following the judgment in Sarla Vermai's case
(Supra 1). Then, taking the net salary of the deceased as Rs.13,997/-
(vide Ex.X1) and adding 50% of future prospects, the tribunal arrived
that the gross annual income of the deceased at Rs.2,51,940/-
UDPR,J & JUD,J
[(13,997+6,998) X 12 = 2,51,940]. From the gross annual income, it
deducted 10% towards income tax and thus arrived the net income at
Rs.2,26,746/-. In Sarla Verma's case (Supra 1), it was observed by
the Hon'ble Apex Court that 50% of the actual salary has to be added
where the deceased had a permanent job and was below 40 years. In
that view, we do not find any flaw in the calculation of the tribunal as
narrated supra and consequently we cannot countenance the argument
of learned counsel for Insurance Company.
7. Then, regarding the argument of learned counsel for claimants
that not only the wife but the parents and minor children of the
deceased are also entitled to compensation for loss of filial consortium
and parental consortium is concerned, in The New India Assurance
Company Limited and Ors Vs. Somwati and Ors case (Supra 2) while
referring judgment in Magma General Insurance Co Ltd. Vs. Nanu
Ram and Ors3, Hon'ble Apex Court held that like spousal consortium
and parental consortium, filial consortium is also payable. In the
instant case, the lower tribunal granted only spousal consortium. In
that view, we deem it appropriate to award Rs.10,000/- each towards
parental consortium and filial consortium. In that view, the total
compensation is enhanced from Rs.26,85,900/- to 27,05,900/-.
8. In the result, the M.A.C.M.A No.3362 of 2016 filed by the
Insurance Company is dismissed and M.A.C.M.A No.987 of 2017
filed by the petitioners/claimants is partly allowed and compensation
2018ACJ2782 = MANU/SC/1012/2018 UDPR,J & JUD,J
of Rs.26,85,900/- awarded by the lower tribunal is enhanced to
Rs.27,05,900/- with interest @ 6% p.a from the date of petition till the
date of realization and costs. The respondents are directed to deposit
compensation within two months from the date of receipt of a copy of
this order failing which, the petitioners can take out execution against
the respondents. No costs.
As a sequel, interlocutory applications, if any pending, shall stand
closed.
_________________________ U. DURGA PRASAD RAO, J
________________ J. UMADEVI, J st 21 June, 2021 krk UDPR,J & JUD,J
HON'BLE SRI JUSTICE U. DURGA PRASAD RAO AND HON'BLE MS. JUSTICE J. UMADEVI
M.A.C.M.A. Nos. 3362 of 2016 and 987 of 2017
21st June, 2021 krk
Publish Your Article
Campus Ambassador
Media Partner
Campus Buzz
LatestLaws.com presents: Lexidem Offline Internship Program, 2026
LatestLaws.com presents 'Lexidem Online Internship, 2026', Apply Now!