Citation : 2023 Latest Caselaw 850 AP
Judgement Date : 14 February, 2023
HON'BLE SRI JUSTICE T.MALLIKARJUNA RAO
M.A.C.M.A. No.776 OF 2015
AND
M.A.C.M.A. No.1138 OF 2015
COMMON JUDGMENT:
1. Challenging the award and decree dated 10.01.2015 in
M.V.O.P.No.326 of 2011 passed by the Chairman, Motor
Accidents Claims Tribunal-cum-V Additional District Judge,
Fast Track Court, East Godavari District, Rajahmundry, (for
short "the tribunal"), the respondents have preferred the
appeal in M.A.C.M.No.776 of 2015 questioning the award
passed by the tribunal. On the other hand, the claimants
have preferred M.A.C.M.A. No.1138 of 2015 seeking
enhancement of compensation.
2. For convenience, the parties will hereinafter be referred to as
arrayed in the M.V.O.P.
3. The claimants have filed a petition under Section 166 (1) (c)
and 168 of the Motor Vehicles Act claiming compensation
Rs.20,00,000/- on account of the death of Muppasani
Aravinda Babu (hereinafter referred to as "the deceased") in a
MACMA_776_2015 & MACMA_1138_2015
motor vehicle accident that occurred on 26.09.2010. The first
claimant is the wife, claimants 2 to 4 are the children,
claimant 5 is the mother, claimant 6 is the sister, and
claimant 7 is the brother of the deceased.
4. The case of the claimants is that on 26.09.2010 at about 8
am the deceased and his father, Srinivasulu, started from
Pamur in their car to go to Ongole to meet their auditor, when
they reached Anjaneya Swamy temple near Valetivaripalem on
Pamur-Kandukur road, one RTC bus bearing No.AP 11 Z
1351 (hereinafter referred to as the 'offending vehicle') came in
opposite direction and dashed against the car, as a result, the
deceased sustained multiple injuries and died on the spot and
his father died while undergoing treatment.
5. The first respondent appeared through his counsel and filed
its written statement denying the material allegations made in
the claim petition and contended that there was no negligence
on the part of the driver of the RTC bus, but there is
negligence on the part of the driver of the car the deceased
who drove the car and caused the accident, and as such, they
MACMA_776_2015 & MACMA_1138_2015
are not responsible for the payment of compensation to the
claimants.
6. The second respondent remained exparte.
7. Based on the pleadings, the tribunal framed relevant issues.
To substantiate the claim, on behalf of the claimants, P.Ws.1
to 3 got examined and marked Exs.A.1 to A.10. On behalf of
the first respondent, the driver of the RTC bus, R.W.1 was
examined, but no documents were marked. After evaluating
the evidence on record, the tribunal held that the accident
occurred due to the rash and negligent driving of the RTC bus
driver; and awarded compensation Rs.18,50,000/- with
interest at 9% per annum.
8. Heard the learned counsel appearing for both parties.
9. In the grounds of appeal, and during the hearing, learned
counsel for the claimants has contended that the tribunal
erred in deducting 1/3rd of the personal expenses of the
deceased, erred in not awarding future prospects, and also
failed to grant reasonable compensation under the head loss
of estate, consortium and nourishment to the children of the
deceased.
MACMA_776_2015 & MACMA_1138_2015
10. Learned counsel for the respondents has contended that the
compensation awarded by the tribunal is highly excessive; the
claim petition is bad for the non-joinder of the necessary
party i.e. the insurer of the car.
11. As seen from the grounds of appeals and the material on
record and the submissions made on either side, there is no
dispute about the occurrence of the accident in question. It is
also not in dispute that the death of the deceased was due to
the injuries sustained in the accident. The said fact is also
established by Ex.A.2, inquest report, Ex.A.3, PME report,
and Ex.A.5, charge sheet.
12. Now the points for consideration are,
I. Whether the tribunal is justified in holding that the accident occurred due to the rash and negligent driving of the driver of the offending vehicle.
II. Whether the quantum of compensation awarded by the tribunal is just and reasonable and requires modification.
MACMA_776_2015 & MACMA_1138_2015
POINT No.I:
a. To prove the manner of the accident, the claimant mainly
relied on the evidence of P.W.2, P. Venkata Subbaiah, who is
said to be an eyewitness to the accident. Though P.W.1, the
wife of the deceased, testified about the manner of the
accident, admittedly, she is not an eyewitness to the accident
in question.
b. According to the evidence of P.W.2, on the date of the
accident, he was going to Pamur in the RTC bus sitting in the
front seat, when the bus reached Anjaneya Swamy temple
near Valetivaripalem, some passengers cried loudly and
requested to stop the bus and the conductor also gave a
signal, thereby the driver of the bus turned his head to
backside and the bus went to the wrong side and dashed the
car, which was coming in opposite direction, as a result, the
driver of the car, the deceased herein, died on the spot and
the other person in the car, father of the deceased, received
multiple injuries. After the accident, he alighted the bus and
identified the persons injured in the accident.
c. On behalf of the respondents, the driver was examined as
R.W.1. He stated that the accident occurred due to the
MACMA_776_2015 & MACMA_1138_2015
negligence of the car driver. According to his evidence, the
culvert was under repair on the left side of the road, and due
to that, he turned the bus towards the right side at a low
speed, but the driver of the car (deceased) did not observe and
dashed the RTC bus. In cross-examination, he admitted that
after the investigation, the police filed a charge sheet against
him, which is pending. The documents that were placed
before the tribunal clearly shows that the accident occurred
due to the rash and negligent driving of the driver of the
APSRTC bus. The respondents have not placed any material
before the court to show how they got the source of
information about the accident.
d. This court views that either negligence or contributory
negligence must be proved like any other fact, there is no
different standard for proving negligence or contributory
negligence. But they cannot be decided on suspicion or
surprise. The pleas taken in the counter will remain as pleas
as they are not substantiated by acceptable, relevant and
legal evidence. To prove the contributory negligence there
must be cogent evidence. In the instant case, there is no
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specific evidence to prove that the accident has taken place
due to the rash and negligent driving of the motorcyclist. In
the absence of any cogent evidence to prove the plea of
contributory negligence, the doctrine of common law cannot
be applied in the present case. Although no details of
contributory negligence are provided in the counter, and no
evidence is provided other than an allegation of a stray
sentence in the counter, the manner in which the accident
occurred, leaves no doubt that the driver of the offending bus
was solely negligent in causing the said accident. While
granting relief under the Act, the courts are not to be bound
by mere technicalities but should adopt a liberal approach by
giving the law a wider construction and meaning that would
favour the victims.
e. According to the evidence of R.W.1, the road was under repair
on the left side of the road and due to that, he turned the bus
towards the right side at a low speed. It is not the evidence of
R.W.1 that he has taken all the precautions while taking turn
towards the right side. In the absence of such evidence on
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record, it is difficult to conclude that R.W.1 had taken all
precautions by applying signal lights etc.
f. The contention of the respondent-Corporation regarding the
non-joinder of necessary parties is concerned, this Court
views that since the accident occurred due to the negligence
of the R.T.C. bus driver, the claimants did not implead the
insurer of the car as a party to the proceedings. Taking into
consideration the facts, the tribunal has come to a conclusion
that the R.T.C. bus driver is responsible for the accident,
which cannot be found fault with. Accordingly, point No.1 is
answered.
POINT No. II
a. The compensation under the head loss of dependency is
concerned; there is no dispute regarding the death of
Muppasani Aravind Babu (deceased herein) due to the
injuries sustained in the accident. The 1st claimant is the wife,
claimants 2 to 4 are the children, claimant 5 is the mother,
claimant 6 is the sister and claimant 7 is the brother of the
deceased. The relationship of the claimants with the deceased
is not in dispute.
MACMA_776_2015 & MACMA_1138_2015
b. The tribunal considered the age of the deceased as 32 years
and applied the multiplier '17' as per the second schedule of
the Motor Vehicles Act. In a claim petition filed under Section
166 of the Motor Vehicles Act, the tribunal ought to have
adopted the multiplier as provided by the Apex Court in
Sarala Verma v. Delhi Transport Corporation1.
c. It is the contention of the claimants that the deceased was
having fertilizers shop and a share in Vijayalakshmi
Chitralaya and Ravi Kalamandi cinema theatre and a rice mill
in Pamur and used to earn Rs.5,00,000/- per annum. To
prove the same, the claimants also adduced the evidence of
P.W.3, an income tax auditor. According to his evidence, the
deceased was having fertilizer shop in the name of Muppasani
Sujatha, wife of Srinivasulu and mother of the deceased and
they are paying income tax. He has not filed any document
that he is a chartered accountant and he had not filed any
record to show that he was filing income tax returns for the
deceased. In the absence of the said evidence, the tribunal
has not considered the evidence of P.W.3.
2009 ACJ 1298
MACMA_776_2015 & MACMA_1138_2015
d. The material on record shows that the father of the deceased
also died in the said accident. They relied on Ex.A.10, an
insurance policy, which goes to show that both the deceased
are paying amounts under the said policy. Though the
claimants have not placed any record to show the business of
the deceased and his father, they relied on Ex.A.6-B
pharmacy certificate, Ex.A.7-Diploma in pharmacy certificate
and Ex.A.8-Pharmacist registration card of the deceased. The
said documents show that the deceased was a graduate of
pharmacy.
e. In the absence of proof of income, it is appropriate to refer to
the judgment of the Division Bench of the erstwhile High
Court of Andhra Pradesh in B. Ramulamma v. Venkatesh
Bus Union, Lingarajapuram, Bangalore and another 2,
wherein it was held that in the absence of proof of income, the
notional income for an Engineering Student was considered
between Rs. 12,000/- p.m. and Rs. 15,000/- p.m. In Ashwani
Kumar Bhandari v. Darshana3 a Single Judge bench of the
Punjab and Haryana High Court took the income of B.
2011 ACJ 1702
2011 ACJ 2082
MACMA_776_2015 & MACMA_1138_2015
Pharmacy Student in a case of death as Rs. 10,000/- p.m.
Relying on the aforesaid judgments, this Court views that
there is every possibility of getting Rs.9,000/- per month for a
graduate of B-pharmacy.
f. Regarding the award in respect of the future prospectus is
concerned, the tribunal did not award any amount towards
the future prospectus. In National Insurance Company Ltd.
vs Pranay Sethi4 the Apex Court, at paragraph 61, held that,
(iii) When determining the income, an addition of 50% of the actual salary to the income of the deceased towards prospects, where the deceased had a permanent job and was below the age of 40, should be made. The addition should be 30% if the age of the deceased is between 40 to 50 years. If the deceased was between 50 to 60 years, the addition should be 15%. Actual salary should be read as basic salary less tax.
(iv) If the deceased was self-employed or on a fixed salary, an additional 40% of the established income should be the warrant where the deceased was below the age of 40 years. An addition of 25% where the deceased was between the age of 40 to 50 years and 10% where the deceased was between the age of 50 to 60 years should be regarded as the necessary computation method. The established income means the income minus the tax component.
(2017) ACJ 2700
MACMA_776_2015 & MACMA_1138_2015
g. Here, in this case, the deceased was 32 years old. This Court,
relying on Ex.A.6-B.Pharmacy certificate of the deceased and
Ex.A.7-Diploma in Pharmacy certificate of the deceased,
considered that the deceased was a graduate in B-pharmacy
and also considered self-employed, and as such, this Court
views that an addition of 40% of the established income
should be the warrant towards future prospectus. The
monthly income, including a future prospectus, arrives at
Rs.12,600/- (9,000+ 3,600).
h. The tribunal deducted 1/3rd of the earnings of the deceased
towards the personal and living expenses of the deceased and
erred in applying the multiplier '17' following the second
schedule of the M.V. Act. The same is questioned by the
claimants by contending that the dependants are 7 in
number, and the tribunal is required to be deducted 1/7th of
the income towards the personal and living expenses of the
deceased. I have gone through the claim petition, wherein it
is mentioned that the first claimant is the wife, claimants 2 to
4 are the children aged 10 years, 8 years and 5 years old
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respectively, claimant 5 is the mother and claimants 6 and 7
are the sister and brother of the deceased.
i. In Sarala Verma v. Delhi Transport Corporation 5 the Apex
Court has provided the standard deduction of one-third
(1/3rd) where the number of dependent family members is 2 to
3 and one-fourth (1/4th) where the number of dependant
family members is 4 to 6. In the facts of the case, this Court
views that the tribunal is erred in deducting the personal and
living expenses. Claimants 6 and 7 are majors and they are
not dependent on the earnings of the deceased. And hence,
the deceased's contribution of earnings to the family comes to
Rs.9,450/- (Rs.12,600 (minus) 1/4th of the personal and living
expenses Rs.3,150/-) and applying the multiplier '16' for the
persons aged 31 to 35 years, which is provided by the Apex
Court in Sarala Verma's case and thereby computed the loss
of dependency at Rs.18,14,400/-.
j. Coming to the consideration of funeral expenses, loss of
estate and loss of consortium, in Pranay Sethi's case referred
to supra, the Apex Court held, in paragraph 61, that:
2009 ACJ 1908
MACMA_776_2015 & MACMA_1138_2015
"(viii) Reasonable figures under conventional heads, namely, loss of estate, loss of consortium and funeral expenses, should be Rs.15,000/-, Rs.40,000/- and Rs.15,000/- respectively. The aforesaid amounts should be enhanced at 10% every three years."
k. In Magma General Ins. Co. Ltd., v. Nanu Ram, at paragraph
8, the Apex Court held that:
"(8.6)...the Motor Vehicles Act is beneficial and welfare legislation. The Court is duty-bound and entitled to award 'just compensation, irrespective of whether any plea on that behalf was raised by the claimant.
....
(8.7) A Constitution Bench of this Court in Pranay Sethi, 2017 ACJ 2700 (S.C.), dealt with the various heads under which compensation is to be awarded in a death case. One of these heads is the loss of consortium.
In legal parlance, 'consortium' is a compendious term which encompasses 'spousal consortium', parental consortium', and filial consortium. The right to consortium would include the company, care, help, comfort, guidance, solace and affection of the deceased, which is a loss to his family. Concerning a spouse, it would include sexual relations with the deceased spouse (Rajesh v. Rajbir Singh 2013 ACJ 1403 (S.C.). The parental consortium is granted to the child upon the premature death of a parent, for loss of 'parental aid, protection, affection, society, discipline, guidance and training. The filial consortium is the right of parents to compensate in the case of the accidental death of a child. An accident leading to the end of a child causes great shock and agony to the parents and family of the deceased. The most incredible
MACMA_776_2015 & MACMA_1138_2015
suffering for a parent is to lose their child during their lifetime. Children are valued for their love, affection, companionship and role in the family unit."
l. By following the principles laid down by the Apex Court in
Pranay Sethi's case and Magma General Insurance Co. Ltd's
cases referred to supra, this Court inclined to award the
compensation as detailed hereunder:-
Towards loss of dependency Rs.18,14,400/- Towards funeral expenses Rs. 16,500/-
Towards Loss of Estate Rs. 16,500/-
Spousal consortium Rs. 44,000/-
Parental consortium Rs. 1,32,000/-
Filial consortium Rs. 20,000/-
-------------------------
Total: Rs. 20,43,400/-
m. In Laxman @ Laxman Mourya v. Divisional Manager,
Oriental Insurance Company Limited and another 6 the Apex
Court while referring to Nagappa v. Gurudayal Singh (2003
A.C.J. 12 (SC) 274) held as under:
"It is true that in the petition filed by him under Section 166 of the Act, the appellant had claimed compensation of Rs.5,00,000/- only, but as held in Nagappa v. Gurudayal Singh (2003) 2 SCC 274, in the absence of any bar in the Act, the Tribunal and for that any competent Court is entitled to award higher compensation to the victim of an accident."
(2011) 10 SCC 756
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n. In Ramla vs National Insurance Co. Ltd.7, the Apex Court held
no restriction to award compensation exceeding the amount
claimed. As such, given the principle laid down by the Apex
Court, the claimants are entitled to an amount of
Rs.20,67,400/- exceeding the claimed amount. However, the
claimants shall pay the requisite court fee over and above the
compensation awarded.
o. Following the principles laid down by the Apex Court in a catena
of judgments, this Court can safely be concluded that the
claimants are entitled to get more than what has been claimed.
Further, the Motor Vehicles Act is a beneficial piece of legislation
where the interest of the claimants is a paramount
consideration. The courts should always endeavour to extend
the benefit to the claimants to a just and reasonable extent.
Accordingly, point No.II is answered.
13. In view of the aforesaid discussion, the appeal preferred by the
respondents in M.A.C.M.No.776 of 2015 is dismissed, whereas
M.A.C.M.A. No.1138 of 2015, is allowed, by enhancing the
CIVIL APPEAL No.11495 OF 2018
MACMA_776_2015 & MACMA_1138_2015
compensation from Rs.18,50,000/- to an amount of
Rs.20,43,400/- (Rupees twenty lakhs, forty-three thousand
and four hundred only) with interest at 9% per annum as
awarded by the Tribunal. The wife of the deceased, Claimant
No.1, is entitled to enhanced compensation with accrued
interest on it. The claimants shall pay the requisite court fee on
the enhanced compensation amount. The respondents are
directed to deposit balance compensation amount, if any, after
excluding the amount deposited, within two months of receipt
of a copy of this order. The claimants are permitted to
withdraw their respective shares of compensation as per the
terms of the Tribunal's order by filing an appropriate
application before the Tribunal. There shall be no order as to
costs in both appeals.
14. Miscellaneous petitions, if any, pending in these appeals shall
stand closed.
___________________________ T.MALLIKARJUNA RAO, J Dt.14.02.2023 BV
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