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United India Insurance Co. Ltd vs Chimanbhai Shamalbhai Patel
2022 Latest Caselaw 939 Guj

Citation : 2022 Latest Caselaw 939 Guj
Judgement Date : 31 January, 2022

Gujarat High Court
United India Insurance Co. Ltd vs Chimanbhai Shamalbhai Patel on 31 January, 2022
Bench: Hemant M. Prachchhak
     C/FA/2427/2007                               JUDGMENT DATED: 31/01/2022




             IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

                      R/FIRST APPEAL NO. 2427 of 2007

FOR APPROVAL AND SIGNATURE:

HONOURABLE MR. JUSTICE HEMANT M. PRACHCHHAK

==========================================================

1    Whether Reporters of Local Papers may be allowed
     to see the judgment ?

2    To be referred to the Reporter or not ?

3    Whether their Lordships wish to see the fair copy
     of the judgment ?

4    Whether this case involves a substantial question
     of law as to the interpretation of the Constitution
     of India or any order made thereunder ?

==========================================================
                     UNITED INDIA INSURANCE CO. LTD.
                                   Versus
                 CHIMANBHAI SHAMALBHAI PATEL & 3 other(s)
==========================================================
Appearance:
MR GC MAZMUDAR(1193) for the Appellant(s) No. 1
MR HG MAZMUDAR(1194) for the Appellant(s) No. 1
MR.HIREN M MODI(3732) for the Defendant(s) No. 1,2
RULE NOT RECD BACK for the Defendant(s) No. 3,4
==========================================================

    CORAM:HONOURABLE MR. JUSTICE HEMANT M.
          PRACHCHHAK

                              Date : 31/01/2022

                             ORAL JUDGMENT

1. Present appeal is preferred by the appellant United India Insurance Company Ltd. challenging the judgment and award passed by the Motor Accident Claims Tribunal (Auxiliary), Vadodara in Motor Accident Claims Petition No.1966 of 2001 dated 20/09/2006 whereby the learned Tribunal has partly

C/FA/2427/2007 JUDGMENT DATED: 31/01/2022

allowed the claim petition and awarded Rs.7,71,000/- towards the compensation to original claimants with the interest at the rate of 7.5% till realization.

2. Original case in brief is narrated as under:

2.2. The claim petition arose out of accident occurred on 18/11/2001. When deceased Chandrakant Chimanlal Patel was driving his scooter from Dabhoi to Vadodara along with a pillion rider, Kanubhai Maganbhai Patel and when they reached near the site of the accident, one tempo bearing registration no.GJ-6T-6449 collided with their scooter, as a result of which, Chandrakant Chimnlal Patel received fatal injuries. Heirs and legal representatives of Chandrakant Chimanlal Patel filed Motor Accident Claim Petition No.1966 of 2011. Considering the evidence produced on record, the learned Tribunal has partly allowed Motor Accident Claim Petition No.1966 of 2011 and awarded compensation of Rs.7,71,000/- to the claimants as referred above.

3. Mr. H. G. Mazmudar, learned advocate for the appellant raised objection/contention mainly on the issue of negligence and submitted that the aspect of negligence was not properly considered by the learned Tribunal while determining the amount of compensation. It is also contended by the learned advocate for the appellant that the learned Tribunal has committed error while calculating the amount of compensation considering the income of the deceased at the time of the accident. It is submitted by learned advocate for the appellant that the amount determined by the learned Tribunal is on higher side and therefore, present appeal is

C/FA/2427/2007 JUDGMENT DATED: 31/01/2022

required to be considered.

4. Mr. H. G. Mazmudar, learned advocate has contended that the learned Tribunal has erred in adopting prospective income of the deceased at Rs.6,300/- per month and dependency loss at Rs.4,200/- deducting 1/3rd for personal expenses considering the income of the deceased at Rs.4,200/- per month. It is also contended that 15 multiplier is also on higher side and therefore, the same is required to be modified considering 28 years age of the deceased at the time of the accident as well as considering the age of the parents of the deceased who were 50 years and 52 years at the time of the accident.

5. Mr. Mazmudar, learned counsel for the appellant has referred to and relied upon the decision of the Hon'ble Supreme Court in the case of National Insurance Company Ltd. vs. Pranay Sethi reported in 2017 (16) SCC 680 and submitted that the learned Tribunal has awarded the excess amount and therefore, the present appeal is required to be allowed and amount of compensation is required to be reduced.

6. Per contra, learned advocate Mr. Hiren Modi objected the present appeal and submitted that the leaned Tribunal has rightly considered the issue of income and quantum and therefore, no interference is required to be called for in the present appeal.

7. Heard learned advocates appearing for the respective parties at length and perused the material placed on record.

C/FA/2427/2007 JUDGMENT DATED: 31/01/2022

8. The sole issue involved in the present appeal is to the effect that whether the learned Tribunal has rightly determined the amount of compensation or not.

9. Considering the said issue raised in the matter and after hearing the learned counsel appearing for the respective parties, this Court is of the opinion that the present appeal is required to be entertained.

10. Considering the submissions made by learned advocate for the appellant and the decision relied upon in case of Pranay Shetty (supra), instead of 1/3rd for personal expenses, 1/2 for personal expenses would be appropriate. Considering the same, the amount comes to Rs.3,150/- i.e. ½ of Rs.6,300/- and Rs.37,800/- per annum. Multiplier of 15 is also required to be modified to multiplier of 17 considering the fact that the deceased was 28 years old and unmarried. Hence, applying multiplier of 17, the amount of loss of dependency would come to Rs.6,42,000/- considering the age of the deceased at the time of the accident. For loss of life, amount of Rs.80,000/- and for other expenses, amount of Rs.15,000/- would become justified. Therefore, total compensation would come to Rs.7,37,600/-. The Tribunal has already awarded compensation of Rs.7,71,000/-. Hence, the compensation awarded by the learned Tribunal is required to be modified to the aforesaid extent that the amount awarded by the learned Tribunal is to be reduced to the extent of Rs.33,400/- which would served the interest of justice.

11. Therefore, I pass the following order:

C/FA/2427/2007 JUDGMENT DATED: 31/01/2022

11.1. The judgment and award passed by the learned Tribunal is hereby substituted and modified to the extent that the amount awarded by the learned Tribunal which is Rs.7,71,000/- is to be decreased to the extent that the said amount is as per the above cited judgment of the Hon'ble Apex Court comes to Rs.7,37,600/-. So, in light of the same, present appellant Insurance Company is entitled to get refund of Rs.33,400/- along with the proportionate cost and interest.

11.2. The learned Tribunal is hereby directed to refund the said amount of Rs.33,400/- along with the proportionate cost and interest at the rate of 7.5% from the date of receipt of this order to the present appellant Insurance Company by way of issuing account payee cheque. The remaining amount of award i.e. Rs.7,37,600/- is to be disbursed in favour of the claimants by way of issuing account payee cheque.

12. Present appeal succeeds to the aforesaid extent and the impugned judgment and award is to be modified substituting the amount of award in favour of the claimants to the extent of Rs.7,37,600/- towards the compensation and the additional amount of Rs.33,400/- is to be refunded to the present appellant company forthwith.

13. Record and proceedings be transmitted to the concerned Tribunal forthwith. No order as to costs.

(HEMANT M. PRACHCHHAK,J) ILA

 
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