Delhi High Court
Shanti Devi vs Sh.Ashok Kumar & Ors. on 13 April, 2009
Author: Kailash Gambhir
IN THE HIGH COURT OF DELHI AT NEW DELHI
FAO No. 320/1999
Judgment reserved on 07.01.2008
Judgment delivered on: 13.4.2009
Smt. Shanti Devi ..... Appellant.
Through: Mr O.P. Mannie, Adv.
versus
Sh. Ashok Kumar & Ors. ..... Respondents
Nemo
CORAM:
HON'BLE MR. JUSTICE KAILASH GAMBHIR,
1. Whether the Reporters of local papers may
be allowed to see the judgment? No
2. To be referred to Reporter or not? No
3. Whether the judgment should be reported No
in the Digest?
KAILASH GAMBHIR, J:
1. The present appeal arises out of the award dated 20 th
February 1998 of the Motor Accident Claims Tribunal whereby the
Tribunal awarded a sum of Rs. 50,000 /- along with interest @
12% per annum to the claimants.
FAO No. 320/1999 Page 1 of 8
2. The brief conspectus of the facts is as follows:
On the fateful day of 9th July 1988, the deceased Master Gaurav
Talwar, aged about 6 years was going on a scooter with his
Father Sh. Subhash Chander Talwar and mother Smt. Shanti Devi.
They were going from Azad Market to their residence at Malviya
Nagar. At about 2 P.M. at Tughlak Road, a Haryana Roadways bus
bearing registration No. HYU 6687 came in a fast speed from the
front, in order to overtake rashly; the bus came on the wrong side
of the road and rammed the passengers riding the scooter. Sh.
Talwar, his wife and his son sustained fatal injuries and they died
on the same day in the Hospital where they were taken from the
accident site.
A claim petition was filed on 22nd October 1988 and
an award was made on 20th February 1988. Aggrieved with the
said award enhancement is claimed by way of the present
appeal.
3. Sh. O.P. Mannie counsel for the appellants has
assailed the said award on quantum of damages. Counsel for the
appellants contended that the tribunal has erred in by awarding a
lump sum amount of Rs. 50,000. It was also alleged by the
counsel that the tribunal did not consider the fact that the
FAO No. 320/1999 Page 2 of 8
deceased was a smart and a brilliant boy and had a brilliant
academic career; he had scored above 90% marks in his 1st class
result. The counsel also urged that the deceased would have
progressed in his life and there was a reasonable expectation of
the deceased becoming a successful electronic engineer and
earning a minimum sum of Rs. 3,000/- pm, had he not died his
untimely death. It was further argued that the deceased would
have been a support to his sister and helping hand to his brother
and source of inspiration and love and affection for his
grandmother. Due to high rates of inflation the deceased would
have earned much more in near future and the tribunal also
failed in appreciating the fact that even the minimum wages are
revised twice in an year and hence, the deceased would have
earned much more in his life span. The counsel also raised the
contention that the loss of dependency shall be calculated as per
the multiplier method and the income of the child shall be
assessed at Rs. 15,000/- P.A. and a multiplier of 15 shall be
applicable to the same. The counsel contended that the tribunal
has erred in not awarding compensation towards loss of love &
affection, funeral expenses, loss of estate, loss of consortium,
mental pain and sufferings and the loss of services, which were
FAO No. 320/1999 Page 3 of 8
being rendered by the deceased to the appellants. The counsel
also raised the contention that the rate of interest allowed by the
tribunal is on the lower side and the tribunal should have allowed
simple interest @ 24% per annum in place of only 12% per
annum considering that the value of Rupee is dwindling due to
high rate of inflation.
4. Nobody has been appearing for the respondents.
5. I have heard the learned counsel for the appellants
and perused the record.
6. There are some aspects of human life, which are
capable of monetary measurement, but the totality of human life
is like the beauty of sunrise or the splendor of the stars, beyond
the reach of monetary tape measure. The determination of
damages for loss of human life is an extremely difficult task and
it becomes all the more baffling when the deceased is a child
and/or a non-earning person. The future of a child is uncertain.
Where the deceased was a child, he was earning nothing but had
a prospect to earn. The question of assessment of compensation,
therefore, becomes more difficult. The figure of compensation in
such cases involves a good deal of guesswork.
FAO No. 320/1999 Page 4 of 8
7. In cases of young children of tender age, in view of
uncertainties abound, neither their income at the time of death
nor the prospects of the future increase in their income nor
chances of advancement of their career are capable of proper
determination on estimated basis. The reason is that at such an
early age, the uncertainties in regard to their academic pursuits,
achievements in career and thereafter advancement in life are so
many that nothing can be assumed with reasonable certainty.
Therefore, neither the income of the deceased child is capable of
assessment on estimated basis nor the financial loss suffered by
the parents and siblings is capable of mathematical computation.
8. This case pertains to the year 1988 and at that time II
Schedule to the Motor Vehicles Act was not brought on the
statute books. The said schedule came on the statute book in the
year 1994 and prior to 1994 the law of the land was as laid down
by the Hon'ble Apex Court in Lata Wadhwa and Ors. v. State
of Bihar and Ors. - (2001) 8 SCC 197.
9. In Lata Wadhwa's case (supra) while computing
compensation, the Apex Court made distinction between
deceased children falling within the age group of 5 to 10 years
FAO No. 320/1999 Page 5 of 8
and age group of 10 to 15 years. In the said case, the Apex Court
had awarded Rs. 1,50,000/- as pecuniary damages and Rs.
50,000/- towards non-pecuniary damages to the claimants of the
deceased children falling within the age group of 5 to 10 years
and in case of the children falling within the age group of 10 to 15
years, the Court decided that the multiplier method should be
applied and the contribution of the children to the family was
taken to be at Rs. 24,000/-pa and then a multiplier of 15 was
applied and over and above that the conventional compensation
of Rs.50,000/- had been added to it, making the total
compensation as Rs. 4,10,000/-.
10 . As regards the future prospects nothing can be
assumed with reasonable certainty as regards a child. Therefore,
the tribunal committed no error in not granting future prospects
in the facts and circumstances of the case.
11 . In the instant case, the appellants claimants had
brought on record the mark sheet of class 1 st, according to which,
the deceased child was a bright student. In case of a child below
10 years there are abound uncertainties and therefore, following
the path of Lata Wadhwa's case (supra), I feel that the
FAO No. 320/1999 Page 6 of 8
compensation towards pecuniary and non-pecuniary damages
should be awarded at Rs. 2 lacs.
12 . As regards the issue of interest that the rate of
interest of 12% p.a. awarded by the tribunal is on the lower side
and the same should be enhanced to 24% p.a., I feel that the rate
of interest awarded by the tribunal is not/just and fair and
requires no/ interference. No rate of interest is fixed under
Section 171 of the Motor Vehicles Act, 1988. The Interest is
compensation for forbearance or detention of money and that
interest is awarded to a party only for being kept out of the
money, which ought to have been paid to him. Time and again
the Hon'ble Supreme Court has held that the rate of interest to
be awarded should be just and fair depending upon the facts and
circumstances of the case and taking in to consideration relevant
factors including inflation, policy being adopted by Reserve Bank
of India from time to time and other economic factors. In the
facts and circumstances of the case, I do not find any infirmity in
the award regarding award of interest @ 12% pa by the tribunal
and the same is not interfered with.
FAO No. 320/1999 Page 7 of 8
13 . In view of the above discussion, the total
compensation is enhanced to Rs. 2,00,000/- from Rs. 50,000/-
with interest @ 7.5% per annum from the date of filing of the
claim petition with realisation and the same should be paid to the
appellants in equal proportion by the respondent insurance
company.
14 . With the above direction, the present appeal is
disposed of.
13.4.2009 KAILASH GAMBHIR,J.
