Citation : 2023 Latest Caselaw 7199 Guj
Judgement Date : 3 October, 2023
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C/FA/3941/2022 JUDGMENT DATED: 03/10/2023
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IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
R/FIRST APPEAL NO. 3941 of 2022
FOR APPROVAL AND SIGNATURE:
HONOURABLE MS. JUSTICE GITA GOPI
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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 ?
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JAGRUTIBEN SUNILKUMAR VYAS
Versus
RADUBHAI JESINGBHAI DAMOR
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Appearance:
MR BOMI H SETHNA(5864) for the Appellant(s) No. 1,2
MR CHINTAN N DESAI(9940) for the Appellant(s) No. 1,2
MANDEEP SINGH SALUJA(8791) for the Defendant(s) No. 3
RULE SERVED for the Defendant(s) No. 1,2
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CORAM:HONOURABLE MS. JUSTICE GITA GOPI
Date : 03/10/2023
ORAL JUDGMENT
1. The challenge is given to the judgment
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and award dated 29.07.2021 in MACP No.35 of 2018
passed by Motor Accident Claims Tribunal (Aux.),
Surat at Bardoli by the claimants, who are mother
and sister of the deceased. The grounds raised
inter alia states that the income has not been
assessed as per the evidence on record and
consortium loss has not been granted.
2. The facts of the case as was urged by
the claimants before the Tribunal was that on
24.05.2018, deceased was returning back home from
Mandvi on his Motorcycle No.GJ-19-AN-5851 driving
carefully on the left side of the road, while he
was passing through Kodod-Mandvi Road, Taluka-
Bardoli, Dist.-Surat, Truck No.GJ-06-TT-6342 came
in wrong side with full speed, rashly,
negligently, endangering the human life and
without following traffic rules, dashed the
motorcycle of deceased; as a result of which,
deceased sustained serious injury and died and
therefore, offence was registered against
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opponent no.1.
3. Advocates Mr. Bomi H.Sethna with Mr.
Chintan N.Desai, learned advocate for the
appellants stated that the deceased was aged
about 25 years and was B.E. Computer Engineer
serving as a Counselor in Financial Literacy
Centre at Surat District Cooperative Bank, and
was earning Rs.18,000/- per month, and in support
of the earnings the claimants had examined
Assistant Manager of Surat District Cooperative
Bank, who had produced appointment order dated
14.03.2017, where his initial engagement was for
one year on contract basis and on completion his
work was further extended.
3.1 Advocate Mr. Sethna submitted that over
and above the monthly salary, the deceased was
receiving Rs.2,000/- per month as per overhead
expenditure towards mobile/conveyance etc. and
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for field visit TA/DA were to be paid as per the
rules of the Bank, and to support the income, his
statement of the Bank Account was produced at
Exh.26, which shows his monthly income as well as
the amount of TA/DA, which was transferred on
02.06.2018 in his Bank Account for the month of
March-17 to May-18.
3.2 Mr. Sethna submitted that the evidence
of the Assistant Manager at Exh.45 of Shri
Sikeshkumar Chhaganbhai Chaudhari was noted by
the Tribunal, where he had stated that the
monthly income of the deceased was Rs.15,000/-,
and had also produced on record copy of Exh.25
and 46. The appointment letter shows that
initially he was given the honorary amount of
Rs.13,000/- per month, Rs.2,000/- towards mobile/
conveyance expenditure, and the appointment
letter itself clarifies that TA/DA will be paid
as per rules of the Bank; thus, Mr. Sethna
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submits that the fact gets corroborated by the
Bank Account to consider his monthly income as of
Rs.18,000/-.
4. Countering the arguments, Advocate
Mr.Mandeep Singh Saluja submitted that the
Tribunal has very aptly observed about Exh.25
regarding the honorarium of the deceased fixed at
Rs.13,000/- and Rs.2000/- was paid for
mobile/conveyance etc., and, thus taking into
consideration his work as a Counselor in
Financial Literacy Centre, Rs.15,000/- assessed
is in accordance to the evidence on record, and,
thus submitted that any prayer of further TA/DA
would be not consistent with the evidence
produced by the Assistant Manager of the Surat
District Cooperative Bank.
5. The initial appointment letter of
engagement as Counselor at Financial Literacy
Centre at Surat District Cooperative Bank, shows
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his honorarium would be Rs.13,000/- per month and
Rs.2000/- per month was to be paid for
mobile/conveyance etc., thus, in total, he was to
receive Rs.15,000/-. The appointment letter
itself suggests that for the for the field visit,
the TA/DA would be paid as per the rules of the
Bank. The working schedule as per the appointment
letter is five hours on all working days in a
week and in the remaining period, the deceased
was to go for field visit; his work itself as a
counselor would require field visit, and
specifically, engagement letter provides for
TA/DA to be paid as per the rules of the Bank.
5.1 Exh.24 is the degree certificate of the
deceased of Bachelor of Technology (Computer
Engineering). Exh.26 is the statement of Bank
Account, which shows of consistent deposit of
Rs.15,000/- in his bank account. Further, for a
period between March, 2017 to May, 2018, total
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amount of Rs.27,987/- is paid as transfer of
TA/DA. The average monthly TA/DA would come to
Rs.1865.80 (rounded off Rs.1900/-). As per the
appointment letter he would be paid TA/DA as per
Bank Rules, and the work of the deceased itself
would make him entitle for TA/DA for the field
visit, thus, it would be necessary to consider
that amount to be included in his monthly income,
hence, this Court considers it fit to assess
Rs.16,900/- as monthly income.
5.2 At the time of death, the deceased was
25 years old, hence, prospective rise in income
has been considered as 40% prospective rise in
income has to be considered as per National
Insurance Company Ltd. v. Pranay Sethi and Ors.,
AIR 2017 SC 5157.
6. Advocate Mr. Sethna has referred to the
judgment of Magma General Insurance Company Ltd.
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Vs. Nanu Ram Alias Chuhru Ram & Ors., reported in
(2018) SCC 130 [2018 ACJ 2782] to plead that
though the present applicant would be considered
as unmarried bachelor, but in Magma's (supra)
case, the applicants were father and sister, and
1/3rd deduction was considered for personal
expenditure considering the members of the
family, who were dependents on the income of the
deceased.
6.1 Here, in this case, Mr. Sethna submitted
that the father had died in the year 2009 and the
claimants were widow mother and unmarried
daughter, who were totally dependents on the
income of the deceased, and, thus, made a prayer
that applying the same ratio, 1/3rd is required
to be deducted as personal expense, and, further
stated that consortium loss is required to be
granted to both the applicants as widow mother
and dependent sister.
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7. Countering the arguments, Mr.Mandeep
Singh Saluja submitted that the departure from
the judgment of Sarla Verma and Others vs. Delhi
Transport Corporation and Another, reported in
AIR 2009 SC 3104, should be made in exceptional
case, where nothing has come on record that the
claimants were not earning, and the sister was
totally dependent on the deceased, thus, stated
that ½ of the income is required to be deducted
as personal expense.
8. The arguments raised by both the sides
have been considered. In the case of Magma
General Insurance Company Ltd. (supra), the
claimants before the Apex Court were father and
sister and on consideration to the issue with
respect to the deduction from the income of the
deceased, where it was contended by the Insurance
Company that the deduction ought not to have been
1/3rd since the deceased was a bachelor. Having
regard to the judgment of Sarla Verma (supra) to
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appreciate that when the family of the deceased
is large and dependent on the income of the
deceased, as in a case where he has a widow
mother and younger non-earning sister, his
personal and living expenses may be restricted to
1/3rd, as contribution to the family would be
taken as 2/3rd.
8.1 In co-relation to the facts as were
before the Apex Court in Magma General Insurance
Company Ltd. (supra), 1/3rd was considered as
rightly deducted by the High Court towards
personal expenses of the deceased, observing that
the deceased was living in a village, where he
was residing with aged father, who was 65 years
old, and unmarried sister.
8.2 Here, in the present case, the mother is
aged about 55 years at the time of claim petition
and sister was 21 years old, who was studying.
Both are dependents on the deceased, hence, 1/3rd
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amount would be deducted as personal expenses
considering the dependency of the claimants on
the income of the deceased.
9. Thus, the yearly Future loss would come
as under:
Actual Income 16,900/-
Prospective 23,660/- [16,900 + 6,760 (40% Income rise)] 1/3rd 23,660 / 3 = 7,886/- Deduction
Annual Income 1,89,288 [23,660 - 7,886 = 15,774 x 12]
10. Considering the annual dependency,
applying the multiplier of 18; the dependency
loss would come to Rs.34,07,184/- (1,89,288 x
18).
10.1 In accordance to the judgment of
National Insurance Company Ltd. v. Pranay Sethi
and Ors. (supra), the amount under the head of
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funeral expenses and loss to estate would be
15,000/- under each head. The dependents are
widow mother and unmarried sister, thus, as per
Magma General Insurance Company Ltd. (supra), the
consortium amount for each of them would be
Rs.40,000/-; hence, under the head of loss of
consortium, the amount would be Rs.80,000/-
(40,000 x 2).
11. In view of the above, compensation under
different heads would be:
Heads Amount Future loss of income Rs. 34,07,184/- Loss of Estate Rs. 15,000/- Funeral Expenses Rs. 15,000/- Loss of Consortium Rs. 80,000/- Total Rs. 35,17,184/-
12. The Tribunal has granted compensation of
Rs.22,98,000/-. The enhanced amount of
Rs.12,19,184/- [35,17,184 - 22,98,000] be
deposited within eight weeks from the date of
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receipt of writ of this order at the rate of
7.5%.
12.1 After depositing of the amount, the
Tribunal concerned is directed to disburse 60%
thereof in favour of both the claimants, by
Account Payee cheque, after due verification; the
remaining 40% shall be invested in Fixed Deposit
with any nationalized Bank in the name of the
original claimant/s for a period of two years.
The Bank concerned shall not allow any loan or
advance or create encumbrance upon such Fixed
Deposit without prior permission of the Tribunal.
Thereafter, the same be disbursed to both the
claimants with accrued interest thereon without
any reference to this Court.
13. In the result, the appeal is partly
allowed. The impugned judgment and award dated
29.07.2021 in MACP No.35 of 2018 passed by Motor
Accident Claims Tribunal (Aux.), Surat at
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Bardoli, stands modified to the aforesaid extent.
No order as to costs. Record & Proceedings, if
any, be sent back to the concerned tribunal.
(GITA GOPI,J) Pankaj
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