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Mukundbhai Parshottambhai Chauhan vs Mangilal Vanzara
2024 Latest Caselaw 8438 Guj

Citation : 2024 Latest Caselaw 8438 Guj
Judgement Date : 4 September, 2024

Gujarat High Court

Mukundbhai Parshottambhai Chauhan vs Mangilal Vanzara on 4 September, 2024

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                             C/FA/3005/2024                                     JUDGMENT DATED: 04/09/2024

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                                     IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

                                                    R/FIRST APPEAL NO. 3005 of 2024
                                                                 With
                                                    R/FIRST APPEAL NO. 3006 of 2024
                                                                 With
                                                    R/FIRST APPEAL NO. 3007 of 2024

                       FOR APPROVAL AND SIGNATURE:


                       HONOURABLE MR. JUSTICE SANDEEP N. BHATT

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

                       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 ?

                       ==========================================================
                                     MUKUNDBHAI PARSHOTTAMBHAI CHAUHAN & ORS.
                                                      Versus
                                             MANGILAL VANZARA & ANR.
                       ==========================================================
                       Appearance:
                       NISHIT A BHALODI(9597) for the Appellant(s) No. 1,2,3,4
                       MR RATHIN P RAVAL(5013) for the Defendant(s) No. 2
                       ==========================================================

                           CORAM:HONOURABLE MR. JUSTICE SANDEEP N. BHATT

                                                            Date : 04/09/2024

                                                      COMMON ORAL JUDGMENT

1. These First Appeals, under Section 173 of the

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Motor Vehicles Act, 1988, are preferred by the appellant/s -

original claimant/s, being aggrieved and dissatisfied with the

impugned judgments and awards 11.08.2023 passed by the

Motor Accident Claims Tribunal (Main), Mahisagar at

Lunawada in Motor Accident Claim Petitions No.3, 4 and 2

of 2020, by which the Tribunal has awarded compensation of

Rs.3,45,000/- with 8% per annum interest to the claimant/s,

in all the claim petitions, holding Opponents No.1 and 2 i.e.

driver-cum-owner and insurance company of the Eon Car

bearing registration No.GJ-35-B-5381 liable, jointly and

severally.

2. Brief facts of the case are as under:

2.1 That on 28.11.2019, the deceased persons were

travelling in Eon Car bearing registration No.GJ-35-B-5381

and were going for Darshan of Aapeshwar Temple. Opponent

No.1 - driver-cum-owner was driving the said car in rash

and negligent manner and with excessive speed. When they

reached the outskirts of village Karanpur, opponent No.1 lost

control over the steering due to excessive speed and the car

had left the road and dashed with the culvert and fallen into

a ditch. As a result, all the deceased persons sustained

serious injuries. Ultimately, they succumbed to the injuries.

Therefore, the legal heirs of the deceased persons have filed

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claim petition seeking compensation with cost and interest for

unnatural and untimely death against the present

respondents before the Tribunal.

2.2 Notices were served to the opponents. Opponents

No.1 - driver-cum-owner has chosen not to appear and

contest the claim petition before the Tribunal. Opponent No.2

- Insurance Company has appeared and has filed its written

statement / objections, by disputing all the averments made

by the claimant in the claim petition in their written

statements.

2.3 The Tribunal has framed the issues. The oral as

well as documentary evidence were led by the rival parties

before the Tribunal. After considering the documentary as

well as oral evidence and submissions made at the bar, the

Tribunal has partly allowed the claim petition by awarding

compensation as noted above.

2.4 Being aggrieved and dissatisfied with the impugned

judgment and award passed by the Tribunal, the present

appeal is preferred by the claimant/s for enhancement.

2.5 Since the accident in question, parties and

submission as well as documentary evidence are common in

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all the three appeals, with consent of the learned advocates,

all the appeals are heard and decided together today.

3. Learned advocate Mr.Bhalodi for the appellant/s -

claimant/s has submitted that the Tribunal has committed an

error in not properly calculating the amount of compensation.

He has submitted that amount of award is on lower side as

the Tribunal has not properly considered the various aspects;

like prospective income of the deceased, negligence, liability

and family circumstances, etc. He has submitted that the

deceased persons were aged about only 16, 14 and 15, years

respectively, at the time of accident. He has relied upon the

decision of the Hon'ble Apex Court in the case of Kishan

Gopal versus Lala and others reported in 2013 ACJ 2594

(SC) as well as in the case of Meena Devi versus Nanu

Chand Mato and others reported in 2022 ACJ 2478 (SC). He

has submitted that as per the said decisions, the claimants

would be entitled to get compensation of Rs.5 lakhs in all.

He has submitted that the compensation is

required to be enhanced by modifying the awards impugned

accordingly and these appeals may be allowed.

4. Per contra, Mr. Rathin Raval, learned advocate for respondent - Insurance Company has submitted that the

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impugned judgments and awards passed by the Tribunal are

just and proper. The Tribunal has rightly considered the

income of the deceased persons, the age of the deceased

persons, the dependency and future aspect of income. He has

submitted that under the head of loss of estate and funeral

expenses, the Tribunal has rightly awarded compensation. He

has submitted that the amount under the head of loss of

consortium is just and proper. He has submitted that these

appeals may be dismissed and no interference be made by

this Court.

5. It is noteworthy to mention that the provisions of

the Motor Vehicles Act, 1988 which gives paramount

importance to the concept of 'just and fair' compensation. It

is a beneficial legislation which has been framed with the

object of providing relief to the victims or their families.

Section 168 of the Motor Vehicles Act deals with the concept

of 'just compensation' which ought to be determined on the

foundation of fairness, reasonableness and equitability.

Although such determination can never be arithmetically

exact or perfect, an endeavor should be made by the Court

to award just and fair compensation irrespective of the

amount claimed by the claimants.

6.1 I have considered the submissions made by the

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rival parties. I have perused the record and proceedings of

the Tribunal. I have gone through the impugned judgments

and awards passed by the Tribunal. From the record, it

transpires that the deceased persons were aged about 16, 14

and 15 years, respectively. The Tribunal has considered the

annual income of the deceased persons Rs.25,000/- in all the

claim petitions and awarded total compensation of

Rs.3,45,000/- to the claimant/s in all the claim petitions.

6.2 At this stage, it would be fruitful to refer to the

decision of the Hon'ble Apex Court in the case of Kishan

Gopal (supra), more particularly Para : 18 thereof, which

reads as under :

" 18. Point Nos.2 and 3 are answered together in favour of the appellants for the following reasons:-

The Tribunal having answered the contentious issue No.1, against the appellants in its judgment the same is concurred with by the High Court by assigning erroneous reasons and it has affirmed dismissal of the claim petition of the appellants holding that the accident did not take place on account of the rash and negligent driving of the offending vehicle by the first respondent and

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are answered in the negative against the appellants and it has not awarded compensation in favour of the appellants.

Since we have set aside the findings and reasons recorded by both the Tribunal and the High Court on the contentious issue Nos.1 and 2 by recording our reasons in the preceding paragraphs of this judgment and we have answered the point in favour of the appellants and also examined the claim of the appellants to award just and reasonable compensation in favour of the appellants as they have lost their affectionate 10 years old son. For this purpose, it would be necessary for us to refer to Second Schedule under Section 163-A of the M.V. Act, at clause No.6 which refers to notional income for compensation to those persons who had no income prior to accident. The relevant portion of clause No.6 states as under:

"6. Notional income for compensation to those who had no income prior to accident:...........

                                                        a)     Non-earning       persons        -   Rs.






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                             C/FA/3005/2024                                                 JUDGMENT DATED: 04/09/2024

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                                                        15,000/- p.a".


The aforesaid clause of the Second Schedule to Section 163-A of the M.V. Act, is considered by this Court in the case of Lata Wadhwa and Ors. v. State of Bihar and Ors., while examining the tortuous liability of the tort-feasor has examined the criteria for awarding compensation for death of children in accident between age group of 10 to 15 years and held in the above case that the compensation shall be awarded taking the contribution of the children to the family at Rs.12,000/- p.a. and multiplier 11 has been applied taking the age of the father and then under the conventional heads the compensation of Rs.25,000/- was awarded. Thus, a total sum of Rs.1,57,000/- was awarded in that case. After noting the submission made on behalf of TISCO in the said case that the compensation determined for the children of all age groups could be double as in its view the determination made was grossly inadequate and the observation was further made that loss of children is irrecoupable and no amount of money could compensate the parents. Having

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regard to the environment from which the children referred to in that case were brought up, their parents being reasonably well-placed officials of TISCO, it was directed that the compensation amount for the children between the age group of 5 to 10 years should be three times. In other words, it should be Rs.1.5 lakhs to which under the conventional heads a sum of Rs. 50,000/- should be added and thus total amount in each case would be Rs. 2 lakhs. Further, in the case referred to supra it has observed that in so far as the children of age group between 10 to 15 years are concerned, they are all students of Class VI to Class X and are children of employees of TISCO and one of the children was employed in the Company in the said case having regard to the fact the contribution of the deceased child was taken Rs.12,000/- p.a. appears to be on the lower side and held that the contribution of such children should be Rs. 24,000/- p.a. In our considered view, the aforesaid legal principle laid down in Lata Wadhwa's case with all fours is applicable to the facts and circumstances of the case in hand having regard to the fact that the

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deceased was 10 years' old, who was assisting the appellants in their agricultural occupation which is an undisputed fact. We have also considered the fact that the rupee value has come down drastically from the year 1994, when the notional income of the non-earning member prior to the date of accident was fixed at Rs.15,000/-. Further, the deceased boy, had he been alive would have certainly contributed substantially to the family of the appellants by working hard. In view of the aforesaid reasons, it would be just and reasonable for us to take his notional income at Rs. 30,000/- and further taking the young age of the parents, namely the mother who was about 36 years old, at the time of accident, by applying the legal principles laid down in the case of Sarla Verma v. Delhi Transport Corporation, the multiplier of 15 can be applied to the multiplicand. Thus, 30,000 x 15 = 4,50,000 and 50,000/- under conventional heads towards loss of love and affection, funeral expenses, last rites as held in Kerala SRTC v. Susamma Thomas 4, which is referred to in Lata Wadhwa's case and the said amount under the conventional heads is awarded

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even in relation to the death of children between 10 to 15 years old. In this case also we award Rs.50,000/- under conventional heads. In our view, for the aforesaid reasons the said amount would be fair, just and reasonable compensation to be awarded in favour of the appellants. The said amount will carry interest at the rate of 9% p.a. by applying the law laid down in the case of Municipal Council of Delhi v. Association of Victims of Uphaar Tragedy 5, for the reason that the Insurance Company has been contesting the claim of the appellants from 1992-2013 without settling their legitimate claim for nearly about 21 years, if the Insurance Company had awarded and paid just and reasonable compensation to the appellants the same could have been either invested or kept in the fixed deposit, then the amount could have earned five times more than what is awarded today in this appeal. Therefore, awarding 9% interest on the compensation awarded in favour of the appellants is legally justified."

6.3 In view of the above ratio laid down by the

Hon'ble Apex Court, the income of the deceased persons

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would be considered as Rs.30,000/- per annum as notional

and adopting 15 multiplier, the total loss of dependency

would come to Rs.4,50,000/- (Rs.30,000/- income per annum x

15 multiplier). Further, under conventional heads towards loss

of estate, funeral expenses and loss of consortium, it should

be awarded Rs.50,000/- in all and therefore, total amount of

compensation would come to Rs.5 lakhs, which is required to

be awarded to the claimants as compensation.

6.4 In view of above, considering the facts and

circumstances as well as ratio laid down by the Hon'ble Apex

Court, the claimants of all the three appeals are entitled to

get more compensation as noted above. Hence, total

compensation would be as under, which the claimant/s is/are

entitled to get.

                                                    Particulars                           Amount (Rs.)

                            Loss of Dependency                                                    4,50,000/-

                            Loss of Estate, Funeral Expenses & Loss                                  50,000/-

                            of Consortium

                                                                               Total...             5,00,000/-

                            Less : Amount which is already awarded                                3,45,000/-

                                      Additional amount which is awarded                          1,55,000/-



7. Therefore, I hold that the claimants of all the

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three appeals are entitled to get the total amount of

compensation as mentioned hereinabove, which would meet

the ends of justice.

8. For the reasons recorded above, the following order

is passed.

8.1 These appeals are partly allowed.

8.2 The Insurance Company is directed to deposit the

entire awarded amount, if yet not deposited, including the

enhanced amount, as noted above, with interest and cost as

decided by the Tribunal, from the date of claim petition till

its realisation, qua all these three appeals, before the

concerned Tribunal, within a period of six weeks from the

date of receipt of this order. Rest of the direction(s) of the

Tribunal remain same.

8.3 The Tribunal shall disburse the entire awarded

amount lying in the FDR and/or with the Tribunal (including

enhanced amount), with accrued interest thereon, if any, to

the respective claimants of all the three First Appeals /

MACPs, by account payee cheque / NEFT / RTGS, after

proper verification and after following due procedure.

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8.4 While making the payment, the Tribunal shall

deduct the courts fees, if not paid, in accordance with

rules/law.

8.5 Record and proceedings be sent back to the

concerned Tribunal, forthwith.

(SANDEEP N. BHATT,J) M.H. DAVE

 
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