Gujarat High Court
Lalitaben Mangalsinh Rathwa vs Khumansingh Lakhabhai Bariya on 8 September, 2025
NEUTRAL CITATION
C/FA/380/2023 JUDGMENT DATED: 08/09/2025
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IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
R/FIRST APPEAL NO. 380 of 2023
FOR APPROVAL AND SIGNATURE:
HONOURABLE MS. JUSTICE NISHA M. THAKORE
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Approved for Reporting Yes No
No
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LALITABEN MANGALSINH RATHWA
Versus
KHUMANSINGH LAKHABHAI BARIYA & ORS.
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Appearance:
MR. MOHSIN KHAN FOR MR. SABIR B SAIYYAD(6322) for the Appellant(s)
No. 1
MASUMI V NANAVATY(9321) for the Defendant(s) No. 3
MR VIBHUTI NANAVATI(513) for the Defendant(s) No. 3
RULE UNSERVED for the Defendant(s) No. 1,2
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CORAM:HONOURABLE MS. JUSTICE NISHA M. THAKORE
Date : 08/09/2025
ORAL JUDGMENT
1. Heard learned advocate Mr. Mohsin Khan, who has appeared
through virtual mode for and on behalf Mr. Sabir B. Saiyyad, learned
advocate on record for the appellant-original claimant, and learned
advocate Ms. Masumi V. Nanavaty, who has entered her appearance
on behalf of respondent no.3-Insurance Company.
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C/FA/380/2023 JUDGMENT DATED: 08/09/2025
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2. The present appeal is filed under Section 173 of the Motor
Vehicles Act, 1988, at the instance of the original claimant, being
aggrieved and dissatisfied with the judgment and award dated
15.06.2021 passed by the Motor Accident Claims Tribunal (Auxi)
& 8th Additional District Judge, Limkheda, District-Dahod in M.A.C.P.
No.948 of 2017.
2.1 By the said impugned judgment and award, the Tribunal has
partly allowed the claim petition preferred by the present appellant-
original claimant under Section 166 of the Motor Vehicles Act, 1988,
holding the appellant-original claimant entitled to recover an amount
of Rs.80,000/- as compensation from the original opponents-
respondents herein, who are held jointly and severally liable to pay the
compensation with proportionate costs and interest at the rate of 8%
per annum from the date of filing of the claim petition, till its actual
realization.
3. Considering the grounds raised in the appeal, the Co-ordinate
Bench, vide order dated 08.02.2023, noticing the limited issue of
amount of compensation being determined on lower side, despite
settled principles of law, as laid down by the Hon'ble Supreme Court in
the case of Mallikarjun Vs. Divisional Manager, The National
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C/FA/380/2023 JUDGMENT DATED: 08/09/2025
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Insurance Company Ltd. & Anr., reported in 2014 (14) SCC, 396, has
admitted the appeal.
4. Learned advocates appearing for the respective parties have
urged this Court to take up the matter for final hearing, in absence of
respondent nos.1 and 2. The board endorsement shows that the
aforesaid respondents are not served, as they are not found at the
given address. Noticing the limited issue involved, the matter was
heard peremptorily.
5. Learned advocate appearing for the appellant- original claimant
has placed reliance upon the decision of the Hon'ble Supreme Court in
the case of Mallikarjun (supra), and has submitted that the Tribunal
miserably erred in determining the amount of compensation confining
it to Rs.80,000/- as against the claim of Rs.3 Lakhs. Learned advocate
has further submitted that the Tribunal ought to have appreciated the
nature of injury and the disability sustained, as is evident from the
medical case papers produced on record at Exh.30. Looking to the
disability to the extent of 20% of body as a whole, in light of the
settled legal principles, the Tribunal ought to have considered
awarding lump sum amount of compensation of Rs.3 Lakhs towards
pain, shock and suffering as well as mental and physical shock,
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C/FA/380/2023 JUDGMENT DATED: 08/09/2025
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hardship, inconvenience, and the loss of amenities of life on account
of permanent disability sustained.
5.1 Learned advocate appearing for the appellant has not disputed
the amount of compensation being awarded by the Tribunal under the
heads of medical expenses, pain, shock and suffering and attendance,
special diet and transportation charges are concerned. He has,
therefore, urged this Court to enhance the amount of compensation
to the tune of Rs.3,35,000/-, which may be awarded with interest at
the rate of 8% per annum from the date of filing of the claim petition,
till its actual realization.
6. Per contra, learned advocate Ms. Masumi Nanavaty appearing
for the respondent no.3-Insurance Company has vehemently objected
to the aforesaid submissions. Learned advocate, at the outset, has
invited my attention to the final award drawn by the Tribunal, and has
submitted that the Tribunal committed grave error in awarding 8%
compound interest on the amount of compensation of Rs.80,000/-, as
determined. The reliance was placed on the provisions of Section 171
of the Act, 1988, to contend that that at the most, the Tribunal could
have considered awarding simple interest on the aforesaid amount of
compensation. As regards the submission made by learned advocate
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for the appellant on the amount of compensation prayed for towards
the pain, shock and suffering, mental and physical hardship, and loss
of amenities on account of permanent disability is concerned, learned
advocate has urged this Court to confine it to total amount of
compensation by awarding lump sum compensation of Rs.3 Lakhs. She
has, therefore, urged this Court to pass appropriate orders, in this
regard.
7. Having heard the learned advocates appearing for the
respective parties and considering their submissions in light of the
findings and reasons assigned by the Tribunal, in light of judgment of
the Hon'ble Supreme Court in the case of Mallikarjun (supra), the
Tribunal committed grave error in confining the amount of
compensation under the head of future loss of income is concerned to
the tune of Rs.45,000/- only. Admittedly, in absence of any challenge
being made to the issue of negligency and the liability as determined
by the Tribunal, at the instance of the present respondents, the
foundational facts have remained uncontroverted. It is evident from
the record, more particularly, the disability certificate produced on
record, the original claimant has sustained disability of 20% of body as
a whole.
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8. At this stage, it would be appropriate to reproduce the relevant
observations of the Hon'ble Supreme Court in the case of Mallikarjun
(supra), which read as under:
"12. Though it is difficult to have an accurate assessment
of the compensation in the case of children suffering
disability on account of a motor vehicle accident, having
regard to the relevant factors, precedents and the
approach of various High Courts, we are of the view that
the appropriate compensation on all other heads in
addition to the actual expenditure for treatment,
attendant, etc., should be, if the disability is above 10%
and upto 30% to the whole body, Rs.3 lakhs; upto 60%,
Rs.4 lakhs; upto 90%, Rs.5 lakhs and above 90%, it should
be Rs.6 lakhs. For permanent disability upto 10%, it
should be Re.1 lakh, unless there are exceptional
circumstances to take different yardstick. In the instant
case, the disability is to the tune of 18%. Appellant had a
longer period of hospitalization for about two months
causing also inconvenience and loss of earning to the
parents."
13. The appellant, hence, would be entitled to get the
compensation as follows :-
HEAD COMPENSATION
AMOUNT
Pain and suffering already undergone Rs. 3,00,000/-
and to be suffered in future, mental and
physical shock, hardship, inconvenience,
and discomforts, etc., and loss of
amenities in life on account of
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permanent disability.
Discomfort, inconvenience and loss of Rs. 25,000/
earnings to the parents during the
period of hospitalization.
Medical and incidental expenses during Rs. 25,000/-
the period of hospitalization for 58
days.
Future medical expenses for correction Rs. 25,000/-
of the mal union of fracture and
incidental expenses for such treatment.
TOTAL:- Rs. 3,75,000/-
9. Thus, in light of the aforesaid principles and the undisputed
facts as evident on record, the Tribunal ought to have considered
lump sum amount of compensation to the tune of Rs.3 Lakhs towards
the heads of pain, shock and suffering, mental and physical shock,
hardship, inconvenience, and discomforts, etc., and loss of amenities in
life on account of permanent disability to the tune of Rs. 3 Lakhs.
10. As rightly pointed out by the learned advocate for the appellant,
the Tribunal having appreciated the evidence brought on record, has
awarded the amount of compensation separately under the heads of
medical expenses; pain, shock and suffering; attendance and special
diet and transportation charges. In absence of any substantial appeal
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C/FA/380/2023 JUDGMENT DATED: 08/09/2025
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being filed at the instance of the respondent-Insurance Company, this
Court is not inclined to interfere with the aforesaid amount being
awarded individually under the different heads.
11. For the foregoing reasons, the present appeal is allowed. The
appellant-original claimant is held entitled to total amount of
compensation to the tune of Rs.3,35,000/- with proportionate costs
and interest at the rate of 8% per annum from the date of filing of the
claim petition till its actual realization. The total amount of
compensation is, therefore, reconsidered and revised as under:
Under the Head of Compensation of Rs.
Future loss of Income 3,00,000/-
Medical Expenses 10,000/-
Pain, Shock and Suffering 15,000/-
Attendance, Special, Diet and 10,000/-
Transportation Charges
Grand Total 3,35,000/-
Interest @8%
12. As regards the submissions made by learned advocate for the
respondent-Insurance Company to clarify with regard to the interest
being awarded as compound interest on the total amount of
compensation is concerned, noticing the provisions of Section 171 of
the Act, 1988, and in absence of any objection being raised by learned
advocate for the appellant, from the findings and reasons assigned by
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C/FA/380/2023 JUDGMENT DATED: 08/09/2025
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the Tribunal on the issue of liability, in absence of any separate
reasons assigned to held entitled compound interest instead of simple
interest, it can be inferred that the Tribunal intended to award 8%
simple interest on the aforesaid amount of compensation. Thus, it is
clarified that the original claimant shall be entitled to simple interest
at the rate of 8% from the date of filing of the claim petition till its
actual realization on the aforesaid enhanced amount of compensation.
13. With these observations, the present First Appeal is hereby
allowed to the aforesaid extent. The impugned judgment and award
dated 15.06.2021 passed by the Motor Accident Claims Tribunal (Auxi)
& 8th Additional District Judge, Limkheda, District- Dahod in M.A.C.P.
No.948 of 2017, is hereby modified. The appellant-original claimant is
held entitled to total amount of compensation to the tune of Rs.
3,35,000/- with simple interest at the rate of 8% per annum from the
date of filing of the claim petition till its actual realization.
14. The respondents are jointly and severally held liable to pay the
aforesaid amount of compensation with proportionate costs and
interest within a period of six weeks from the date of receipt of the
copy of this order. On deposit of the aforesaid enhanced amount by
the respondents, the Tribunal is directed to release and disburse the
aforesaid amount in favour of the original claimant, subject to due
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verification, strictly in accordance with the guidelines issued by the
Hon'ble Supreme Court in this regard. While making the payment,
learned Tribunal shall deduct the Court Fees, if not paid, in accordance
with prevailing Rules. Let the aforesaid exercise be undertaken by the
Tribunal within a period of two weeks from the date of deposit of the
award amount.
15. With these observations, present First Appeal stands disposed
of in aforesaid terms.
16. Record and proceedings received , if any, be sent back to the
concerned court forthwith.
(NISHA M. THAKORE,J)
SUYASH SRIVASTAVA/SFS/08/09
