Citation : 2016 Latest Caselaw 1856 Bom
Judgement Date : 26 April, 2016
1 fa 1143.2006.odt
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
BENCH AT AURANGABAD
FIRST APPEAL NO. 1143 OF 2006
...
1. Smt. Madhubala Nitin Munot,
age 35 years, Occ. Household,
2. Kum. Nupura Nitin Munot,
age 11 years, Occ. Education.
3. Kum. Nikita Nitin Munot,
age 8 years, Occ. Education.
Nos. 2 and 3 are minors, through
Natural Guardian appellant no.1.
4. Kachardas Birdichand Munot,
age 61 years, Occ. Nil.
5. Mrs. Pushpabai Kachardas Munot,
age 56 years, Occ. Household,
All R/o Mayur Apartment, near
Zopadi Canteen, Ahmednagar. ..Appellants..
(orig claimants)
VERSUS
1. Mr. Praveen K. Shevale,
age near about 40 years,
Occ. Business, R/o Dwarka
Apartment, 161/62, Mukundnagar,
Pune - 400 037.
and/or
at present Shevale Automobiles,
Chavan Nagar, Near an Arch (near
Kamani), Beside Shankar Mahepatra
Math, Pune Satar Road,
Pune.
::: Uploaded on - 29/04/2016 ::: Downloaded on - 29/07/2016 23:55:35 :::
2 fa 1143.2006.odt
2. The United India Insurance Co. Ltd.,
having its Divisional Office, at
Kisan Kranti Building,
Market Yard, Ahmednagar. ..Respondents..
...
Advocate for Appellants : Mr N C Garud
Respondent No.1 served - absent.
Advocate for Respondent 2 : Mr S V Kulkarni
...
CORAM : V.K. JADHAV, J.
Dated: April 26, 2016 ...
ORAL JUDGMENT :-
1. Being aggrieved by the Judgment and Award
passed by the Member, Motor Accident Claims Tribunal,
Ahmednagar, dated 23.6.2006 in MACP No. 800/2000,
the original claimants have preferred this appeal to the
extent of quantum.
2. Brief facts, giving rise to the present appeal, are as
follows :-
a] On 1.3.2000 deceased Nitin was proceeding on
motor cycle bearing registration No.MH-16-G-2979 from
MIDC to Ahmednagar. One Ramchandra Bhagwan
Jogdand was the pillion rider. On way, in front of one
Hotel, a Milk Tanker bearing registration No.MH-12-
7838 came from his back side in excessive speed, driven
3 fa 1143.2006.odt
in rash and negligent manner and gave dash to the
motor cycle. In consequent of which, both of them fell
down on road. Deceased Nitin sustained serious
injuries and died on the spot. The accident had taken
place on account of the sole negligence of the driver of
the Tanker. The L.Rs. Of deceased Nitin had preferred
claim petition before the Tribunal, Ahmednagar for grant
of compensation under the various heads. Deceased
Nitin was running business of medical shop as he was
qualified pharmacist. Besides, medical shop he was
also personally cultivating his agricultural land.
Furthermore, the deceased had invested money in
Temparate Finance Company, Ahmednagar. He was
getting remuneration of Rs.30,000/- p.a. from the said
company towards the services rendered by him.
Deceased Nitin was the only earning member from his
family and all the claimants were depending upon his
income.
b] Respondent No.1-owner, though, duly served,
failed to appear and therefore, claim petition ordered to
proceed ex-parte against him.
4 fa 1143.2006.odt
3. Respondent no.2-Insurer has strongly resisted the
claim petition by filing written statement. Respondent-
Insurer has denied that the driver of the tanker was at
fault. Respondent-insurer also denied the income of
deceased Nitin. It is also contended that, the driver of
the tanker was not holding valid and effective driving
licence and, hence, the insurance company is thus not
liable to pay the compensation. The learned Member of
the Motor Accident Claims Tribunal, Ahmednagar, by its
impugned Judgment and Award dated 23.6.2006 partly
allowed the claim petition and thereby directed the
respondents no.1 and 2 jointly and severally do pay to
the applicants compensation of Rs.10,10,000/-
(inclusive of the amount if any paid under no fault
liability) with proportionate costs and interest on the
unpaid amount at the rate of 9% p.a. from the date of
filing of the application till realization of the amount.
The appellants-original claimants preferred this appeal
to the extent of quantum.
4. Learned counsel appearing for the appellants
submits that, the Tribunal has not considered the
5 fa 1143.2006.odt
income of deceased Nitin from agricultural source.
Learned counsel submits that, the Tribunal has also not
considered addition of income by considering the future
prospectus of deceased Nitin. Learned counsel submits
that even the Tribunal has not considered the income of
deceased Nitin from the Finance Company. Learned
counsel submits that, the Tribunal has not awarded the
compensation under the non-pecuniary heads and only
awarded the lump sum compensation of Rs.38,000/- for
the non-pecuniary loss without specifying the heads.
Learned counsel submits that, in view of the decision
rendered by the Apex Court in case of Rajesh Vs. Rajbir
Singh reported in (2013) 9 SCC 54, the claimants are
entitled for 50% of addition in income by considering
the future prospects.
5. Learned counsel for the respondent-insurer
submits that, the Tribunal has considered the income of
deceased Nitin from his medical shop business as per
the documents produced on record. Learned counsel
submits that, the future prospectus can only be
considered when there is strong and positive evidence
6 fa 1143.2006.odt
on record to show that there were definite prospectus of
income. Learned counsel submits that in case of
National Insurance Company Vs. Pushpa reported in
(2015) 9 Supreme Court Cases 166 in Paragraph No.5,
and in case of Shashikala and others Vs.
Gangalakshmamma and another reported in 2015
ACJ page 1239 the Apex Court held it appropriate to
refer the matter to a larger Bench as regards the issue of
manner of addition of income for future prospects. In
case of Shashikala (supra), the request was made for
constitution of a suitable larger Bench to decide the
issue as to addition of income towards future prospect,
in case of self employed or person of fixed wages, to be
added to the compensation towards dependency.
Learned counsel submits that, the Tribunal has
awarded just and reasonable compensation by
considering income. Learned counsel submits that, the
Tribunal has also awarded just and reasonable
compensation under the non pecuniary heads. Learned
counsel further submits that, even after death of person
who was cultivating the land, corpus of the agricultural
7 fa 1143.2006.odt
land remain as it is and, in that event, there cannot be
total loss in the agricultural income.
6. Undisputedly, the accident occurred due to rash
and negligent driving of the driver of the tanker alone
and the said tanker is owned by respondent no.1 and
insured with respondent no.2. Respondent No.2-
Insurer has failed to prove that the driver of the tanker
was not holding valid and effective driving licence at the
time of accident and, respondent no.1 owner has
thereby committed breach of conditions of the policy.
Respondent-insurer has not preferred any appeal
against said finding recorded by the Tribunal nor
preferred any cross objection so far as that finding is
concerned.
7. Deceased Nitin was running a business of Medical
Shop and the claimant no.1 has deposed accordingly
and produced on record various documents in support
of her evidence before the Tribunal. Claimants have
produced on record the certificate issued by the
Commissioner Food and Drugs, Maharashtra State
8 fa 1143.2006.odt
dated 4.2.2006 and said certificate discloses that licence
has been issued for running 'Darshana Medical and
General Stores' by deceased Nitin came to be cancelled
as proprietor of this shop was expired. Admittedly,
there is no other member in the family who is qualified
Pharmacist for running a medical shop. The claimants
have produced before the Tribunal three years income
tax returns and those are marked at Exh.37 to 45
respectively. The learned Member of the Tribunal, after
considering the entire evidence in this regard has rightly
considered the yearly income of deceased Nitin by way of
medical business to the tune of Rs.71,000/- p.a.
8. So far as yearly income from the agricultural land
is concerned, learned counsel for respondent-insurer
has rightly pointed out that, corpus of the agricultural
land would remain as it is. In that way, there cannot be
any total loss from the agricultural income as such.
The claimant no.1 has also admitted in her cross
examination that, deceased Nitin was not doing any
agricultural operation, but, he was only supervising the
same. Furthermore, the Tribunal has also observed
9 fa 1143.2006.odt
that there is no evidence to show that prior to death of
deceased Nitin partition was effected between him and
his brothers in respect of agricultural land.
9. Deceased Nitin owned and possessed agricultural
land to the extent of 4 acres and 7/12 extracts to that
effect are produced on record marked as Exh.29 to 32
respectively. The learned Member of the Tribunal on the
basis of evidence adduced before it has observed that,
agricultural land business is continued as before and so
the case of the claimants cannot be accepted that
because of demise of Nitin, family is required to stop the
agricultural business and consequently, there is total
loss of income. However, the loss in the agricultural
income on account of the personal supervision is quite
apparent and the claimants are certainly entitled for the
compensation to that extent. In a given facts and
circumstances of the case, same is appropriate to be
considered as Rs.2,000/- p.m. corresponds to
Rs.24,000/- per year.
10. Deceased Nitin was rendering services to one
10 fa 1143.2006.odt
Temperate Finance Private Limited Company and he was
one of the Director of the company. He was getting
salary of Rs.2,500/- p.m. corresponds to Rs.(2,500 x 12)
Rs.30,000/- per year. Certificate has been issued by the
Managing Director to that effect and the same is marked
as Exh.36. It appears that, the Tribunal has not
considered the same. The claimants are entitled for the
loss of income on account of the untimely accidental
death of deceased Nitin.
11. So far as addition of income by way of future
prospects is concerned, in the case of New India
Assurance Co. Ltd. Vs. Smt Alpa Rajesh Shah and ors
reported in 2014 (4)ALL MR 172 (supra), this Court has
taken a view that only when there is strong and positive
evidence on record to show that there were definite
prospects of increase in the income of deceased in
future, such a case can be treated as an exceptional
case in which future prospects of increase in the
earning can be considered. It is true that, issue as to
addition towards future prospects in case of self
employment or person with fixed wages has been
11 fa 1143.2006.odt
referred to the larger Bench. Pendency of such reference
does not prevent courts from adopting such course as is
held in the case of Manager National Insurance Co.
Ltd., Vs. Sanju P. Paul and another reported in 2013
AIR SCW 609. However, in absence of any positive
evidence about the future prospects, only on the basis
of young age of deceased Nitin, addition in the income
for future prospects can be considered in the facts and
circumstances of the present case.
12. It also appears from the impugned Judgment and
award that the Tribunal has awarded lumpsum
compensation of Rs.38,000/- under the non pecuniary
loss without specifying heads. Learned counsel
appearing for the appellants/original claimants by
relying on a case of Sanobanu Nazirbhai Mirza and
Ors. Vs. Ahmedabad Municipal Transport Service,
reported in 2013 (6) ALL MR 981 (S.C.), submits that,
the Tribunal has awarded a very meagre compensation
under the non-pecuniary heads. In a case relied upon
by the learned counsel for the appellants-original
claimants is concerned, no proposition of law is laid
12 fa 1143.2006.odt
down as such and the same can be considered in light
of the facts and circumstances of each case. In the
present case, however, the Tribunal has awarded very
meagre amount of compensation under the non-
pecuniary heads. In the present case, considering the
age of the appellant/claimant no.1, loss of consortium of
Rs.15,000/- would be appropriate, Rs.10,000/- for loss
of estate, Rs.10,000/- each for minor claimants no.2 and
3 for loss of love and affection and Rs.20,000/- towards
funeral expenses would be just and proper.
13. In the case in hand, the learned Member of the
Tribunal has erroneously applied the multiplier '18'
instead of '17'. In view of the above discussion and also
by applying correct multiplier, re-calculation of the
compensation is required to be done. Thus, income of
deceased Nitin is considered as Rs.71,000/- p.a. from
the medical shop business, Rs.24,000/- p.a. from the
agricultural source and Rs.30,000/- from Finance
Company. Thus, total loss of income per annum comes
to Rs.1,25,000/-. After deducting 1/3 rd amount from
his income as personal expenses an amount of
13 fa 1143.2006.odt
Rs.83,334/- comes to loss of income/dependency and
by applying multiplier '17' total compensation comes to
Rs.14,16,678/-
14. Furthermore, the claimants are also entitled for
the compensation under the non pecuniary heads as
worked out herein before. Thus, break up of the
compensation under various heads which can be
broadly categorized, as under :-
1. Loss of future income/
dependency Rs.14,16,678/-
2. Loss of Consortium Rs.00,15,000/-
3. Loss of Estate Rs.00,10,000/-
4. Loss of Love and affection Rs.00,20,000/-
(minor claimants 2,3
Rs.10,000 each)
5. Funeral charges Rs.00,20,000/-
=============
Rs.14,81,678/-
Thus, the claimants are entitled for the total
amount of Rs.14,81,678/- alongwith interest as awarded
by the Tribunal. Hence, the following order.
O R D E R
I. First Appeal is hereby partly allowed with proportionate Costs.
14 fa 1143.2006.odt
II. The Judgment and Award dated 23.6.2006 passed by the Member, Motor Accident
Claims Tribunal, Ahmednagar in MACP
No.800/2000 is hereby modified as under :-
"The opponents No.1 and 2 shall jointly
and severally do pay to the claimants compensation of Rs.14,81,678/- (Rs. Fourteen lacs eighty one thousand six
hundred and seventy eight only) ig ( inclusive of the amount if any paid under No Fault Liability) with
proportionate costs and interest on the unpaid amount @ 9% p.a. from the date of filing of the application till realization
of the entire amount.
III. Rest of the Judgment and Award passed by the learned Member of the Motor Accident
Claims Tribunal, Ahmednagar in MACP No.800/2000 stands confirmed.
IV. Award be drawn up in tune with the above modifications.
V. First Appeal is disposed of.
( V.K. JADHAV, J. )
aaa/- .....
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!