Citation : 2022 Latest Caselaw 5652 Kant
Judgement Date : 29 March, 2022
1
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 29TH DAY OF MARCH, 2022
BEFORE
THE HON'BLE MS.JUSTICE J.M.KHAZI
M.F.A.NO.5092/2017 (MV)
BETWEEN:
1. SRI MANJUNATHA,
S/O CHANNIGIRIAYPPA,
AGED ABOUT 30 YEARS,
R/AT SAMUDRAKONDA,
NITTUR HOBLI,
GUBBI TALUK,
TUMKUR DISTRICT - 572 101
2. SRI. KALLESH,
S/O LATE NAGAPPA,
AGED ABOUT 49 YEARS,
R/O K.B.ROAD,
WARD NO.7,
TARIKERE TOWN,
CHIKKAMAGALORE DISTRICT - 577 228
... APPELLANTS
(BY SRI SUNIL K.N., ADVOCATE FOR
SRI K.R.RAMESH, ADVOCATE)
AND:
1. THE PRINCIPAL,
CHANNABASAWESHWARA
INSTITUTE OF TECHNOLONY.
N.H.206 ROAD,
GUBBI, TUMKUR DISTRICT - 572 102
2. THE UNITED INDIA INSURANCE
COMPANY LTD.,
JAYADEVA COMPLEX, B.H.ROAD,
2
TUMKUR - 572 101,
R/BY ITS BRANCH MANAGER.
...RESPONDENTS
(SRI. M.ARUN PONAPPA, ADVOCATE FOR R2;
R1 IS SERVED & UNREPRESENTED)
THIS MFA IS FILED UNDER SECTION 173(1) OF MV ACT
PRAYING TO MODIFY THE JUDGMENT AND AWARD DATED
9/12/2016 PASSED BY THE I ADDITIONAL DISTRICT JUDGE &
MACT AT TUMKUR IN MVC NO.307/2016, BY ENHANCING THE
COMPENSATION AWARDED BY THE COURT BELOW.
THIS MFA HAVING BEEN HEARD AND RESERVED ON
03.03.2022, COMING ON FOR PRONOUNCEMENT OF JUDGMENT
THIS DAY, THE COURT DELIVERED THE FOLLOWING:
JUDGMENT
Not being satisfied with the compensation granted by
the Tribunal, petitioners who are the husband and father of
deceased have come up with this appeal seeking
enhancement of compensation.
2. For the sake of convenience, the parties are
referred to by their rank before the Tribunal.
3. It is the case of the petitioners that on
07.11.2015 at 8.30 a.m on NH-206, in front of RTO Office,
Tumakuru city, deceased Kavya was crossing the road. At
that point of time, college bus bearing registration No.KA
06/D 0450 (hereinafter referred to as offending vehicle)
belonging to respondent No.1, being driven by its driver in
a rash or negligent manner came from SS Circle, Tumakuru
and proceeding towards Batawadi, dashed against Kavya.
As a result of the accident, Kavya sustained fatal injuries.
Immediately she was shifted to Vinayaka hospital,
Tumakuru and after first aid she was taken to General
hospital, Tumakuru. While undergoing treatment, she died
on 09.12.2015 at 10.05 p.m.
4. Being the husband and father of the deceased,
petitioners are entitled for compensation in a sum of
Rs.18,00,000/-.
5. Respondent No.1 appeared and filed written
statement stating that originally deceased hails from
Arasikere taluk. She was given in marriage to one person of
Samudrakote Village, Gubbi Taluk. However, due to
domestic violence, she left the company of her husband and
also filed cases against him and his family members and the
said cases are pending adjudication. She was living
separately in a hostel at Tumakuru. During her
hospitalisation neither the petitioners nor anyone took care
of her. Petitioners denied her any care and she died in the
hospital. Consequently, petitioners are not entitled for any
compensation. They have filed this petition to make
wrongful gain.
6. The vehicle in question was insured with
respondent No.2. At the time of alleged accident, the driver
of the vehicle was holding a valid and effective driving
license. In the event of granting any compensation,
respondent No.2 is liable to pay the same.
7. Respondent No.2 admit that the vehicle was
covered by policy issued by it. However, it has denied that
the accident was due to the rash or negligent driving by the
driver of the offending vehicle. It has also disputed the age,
occupation, income of the deceased and also that
petitioners were dependent on her. Being the husband and
father of the deceased and able bodied persons, petitioners
were never dependent on the deceased and as such they
are not entitled for compensation for loss of dependency.
8. Based on these pleadings, the Tribunal has
framed the issues.
9. During the enquiry, petitioners got themselves
examined as PW.1 and 2 and relied upon Ex.P1 to P8.
10. On behalf of respondents no oral and
documentary evidence is placed on record.
11. Vide the impugned judgment and award, the
Tribunal has partly allowed the petition and granted
compensation in a sum of Rs.9,04,000/- and ordered that
petitioner No.1 is entitled for 60% and petitioner No.2 is
entitled for 40% of the compensation as detailed below;
Heads Amount
In Rs.
Towards loss of dependency 8,64,000
Towards funeral expenses and 20,000
conveyance
Towards loss of love and 20,000
affection
TOTAL 9,04,000
12. Being aggrieved by the impugned judgment and
award, petitioners have filed this appeal contending that the
Tribunal has erred in taking the notional income of the
deceased as Rs.6,000/- instead of Rs.8,000/- and loss of
future prospects is not granted.
13. On the other hand the learned counsel
representing the respondent No.2 argued that since the
petitioners have not proved that the deceased was
employed and earning, they are not entitled for any
compensation under the head loss of future prospects.
Interest granted at the rate of 8% is on the higher side and
it has to be restricted to 6%.
14. Heard the arguments and perused the records.
15. Respondent No.2 has taken up the specific
contention that being the husband and father of the
deceased, petitioners were never dependent on her and as
such they are not entitled for compensation under the head
loss of dependency. As evident from the claim petition,
petitioner No.1 is aged 30 years whereas petitioner No.2 is
aged 49 years. Admittedly, petitioners are able bodied
persons. They have not pleaded that they are not earning
and they were entirely dependant on the income of the
deceased. Moreover, they have failed to prove that
deceased was employed and was getting any income and
they were dependent on her.
16. It is relevant to note that in the written
statement, respondent No.1 has specifically contended that
deceased was not at all living with petitioners and she was
staying in Tumakuru in a hostel; she had filed matrimonial
cases against respondent No.1; and in fact they have not at
all taken care of her while she was undergoing treatment
due to the accidental injuries. To show that deceased was
living with them, petitioners have not produced any
documents, including medical bills to show that when
deceased was undergoing treatment due to the accidental
injuries, they took care of her. This fact also supports that
contention of respondents that petitioners were not
dependent on the deceased.
17. According to the petitioners, deceased was
employed in a garment factory and earning Rs.12,000/-
p.m. As rightly observed by the Tribunal, they have not
produced any document to evidence the said fact. If at all
she was working in a garment factory, they could have
produced some documents such as employment order,
employment card, salary slip, etc. In the absence of the
same, the Tribunal has taken her income on notional basis.
When the petitioners have failed to prove that the deceased
was employed and was earning and consequently, they
have also failed to prove that they were dependent on her.
As noted earlier, they have also failed to plead and prove
that for whatever reason, they are not at all earning and
were totally dependent on the deceased.
18. When once, it is held that the petitioners are not
dependant on the deceased, the next question would be
whether they are entitled for any compensation under the
head loss of dependency. If not, whether the petitioners are
entitled for any compensation under any other head would
be the question that would fall for consideration of this
Court.
19. Similar question arose before the Division Bench
of this Court in ILR 2004 KAR 32681. In that case
petitioner was husband and he sought for compensation on
account of death of his wife aged 37 years, a highly
A.Manavalagan Vs. A. Krishnamurthy and Others
qualified person working as Senior Lecturer in Zoology at
Chikkanna Government Arts College, Tirupuru. The
petitioner was also working as Assistant Manager in a Milk
Dairy. The Tribunal held that petitioner and his wife were
financially independent of each other and therefore
petitioner is not entitled for compensation on the basis of
loss of dependency. However, the Tribunal proceeded to
grant compensation on the premise that on account of
death of his wife, the petitioner has suffered loss of estate
which he would have enjoyed, but for the untimely death of
his wife.
20. Upholding the order of the Tribunal that the
petitioner is entitled for compensation under the head loss
of estate, the Division Bench of this Court observed that
"law contemplates two categories of damages on the death
of a person - the first is the pecuniary loss sustained by the
dependent members of his family - the second is the loss
caused to the estate of the deceased. In the first category,
the action is brought by the legal representatives, as
trustees for the dependents beneficially entitled. In the
second category the action is brought by the legal
representatives on behalf of the estate of the deceased and
the compensation when recovered, forms part of the assets
of the estate. In case of compensation granted under the
head loss of dependency, the Tribunal may also specify how
it should be distributed. However, where the compensation
is granted for loss of estate no such adjustments or
alteration of shares is permissible and the entire amount
has to be awarded to the benefit of the estate. In case of
compensation granted on account of loss of dependency, a
conventional amount is awarded towards loss of expectation
of life under the head loss to estate. However, where the
compensation awarded is under the second category i.e,
loss to estate i.e. on account of loss of savings by the
untimely death, a conventional sum for loss of expectation
of life is to be added".
21. At paragraph No.16 of the above referred
judgment the Division Bench observed that "when the
petitioner is not dependent on the deceased, obviously, the
question of awarding any amount under the head loss of
dependency would not arise, as there was no financial
dependency. In such a case, the main head of
compensation will be loss to estate under Section 2 of Fatal
Accidents Act, 1855. The claim petition becomes one on
behalf of the estate of the deceased and the compensation
received becomes part of the assets of the estate.
Consequently, what is to be awarded under the head loss of
dependency under Section 1-A of Fatal Accidents Act, 1855,
would be nil as there is no real pecuniary loss to the
members of the family".
22. At paragraph No.19 while summarizing the
principles enunciated, at (iv) the Division Bench held that
"procedure for determination of loss to estate is broadly the
same as the procedure for determination of loss of
dependency. Both involve ascertaining the multiplicand and
capitalizing by multiplying it by an appropriate multiplier.
But the significant difference is in the figure arrived at as
multiplicand in cases where petitioners who are dependents
claim loss of dependency and in cases where petitioners
who are not dependents claim loss to estate. The annual
contribution to the family constitutes the multiplicand in
case of loss of dependency, where as the annual savings of
the deceased becomes the multiplicand in case of loss to
estate. The method of selection of multiplier is however the
same in both cases".
23. At paragraph No.20 the Division Bench observed
and held that "though the quantum of savings will vary
from person to person, there is a need to standardize the
quantum of savings for determining the loss to estate
(where the petitioners are not dependents) in the absence
of specific evidence to the contrary. The quantum of
savings can be taken as 1/3rd of income of the deceased
where the spouses are having a common establishment and
1/4th where the spouses are having independent
establishment. The above will apply where the family
consists of non-dependent spouse/children/parents. Where
the petitioners are non-dependent brothers/sisters claiming
on behalf of the estate, the savings can be taken as 15% of
the income. The above percentages is of course subject to
any specific evidence to the contrary lead by the
petitioners".
24. Keeping in mind, the above principles the just
compensation which the petitioners are entitled is to be
determined. As discussed earlier, since the petitioners are
the husband and father of the deceased and able bodied
persons, they cannot be treated as dependents on the
deceased and therefore, as held by the Hon'ble Division
Bench of this Court Manavalagan's case, referred to
supra, 15% of the earnings of deceased is considered as
basis for calculating the loss of estate.
25. Loss of estate: Petitioners claim that the
deceased was aged 21 years. Before the Tribunal, the
petitioners have not produced any document to prove the
age of the deceased. Therefore, based on the PM Report,
the Tribunal has held the age of the deceased as 21 years.
Therefore, the 18 multiplier taken by the Tribunal is correct.
In the absence of document to prove her income, the
Tribunal has taken the notional income of deceased as
Rs.6,000/-. Since, the accident is of the year 2016, as per
the Lok Adalath chart which is based on minimum wages,
the notional income is required to be taken at Rs.8,000/-
p.m.
25.1 In the light of the decision of the Hon'ble
Supreme Court in Pranay Sethi's case which is reiterate in
Magma General Insurance case, in order to calculate loss
of dependency/loss to estate as the case may be, future
prospects are to be added. Since the income of the
deceased is taken on notional basis and as she was aged 21
years i.e., less than 40 years, 40% of the notional income is
to be added to the monthly income to arrive at the basis for
calculating the compensation. 40% of Rs.8,000/- comes to
Rs.3,200/-. Therefore, the notional income of deceased is
to be calculated as Rs.11,200/- per month. As per
Manavalagan's decision referred to supra 15% of the
income of the deceased is to be taken as basis for
calculating loss to the estate. Taking the income as
Rs.11,200/- and 18 as the multiplier, the loss of estate at
15% of her income would be 11,200 x 12 x 18 x 15% =
Rs.3,62,800/-.
26. Loss of consortium: The Tribunal has granted
compensation in a sum of Rs.20,000/- under the head loss
of love and affection. However, as per Pranay Sethi's
case, in case of parents, spouse and children, compensation
is required to be granted at the rate of Rs.40,000/- each
under the head loss of consortium. Since, petitioners are
husband and father, they are entitled for compensation at
the rate Rs.40,000/- each under this head.
27. Funeral expenses: Under this head, the Tribunal
has granted compensation in a sum of Rs.20,000/-.
However, as per the decision of Pranay Seti's case, when
major compensation is granted under the head loss of
dependency/loss to estate, under the conventional head a
sum of Rs.15,000/- is to be granted towards funeral
expenses, which also includes transportation charges and
therefore, compensation under this head is restricted to
Rs.15,000/-.
28. Loss of expectation of life: As held in the
Manavalagan's case referred to supra, since the major
compensation is granted under the head loss to estate,
under the conventional head petitioners are entitled for
compensation in a sum of Rs.15,000/- under the head loss
of expectation of life.
29. Thus, as per the above calculations, the
petitioners are entitled for compensation in a sum of
Rs.4,72,800/- only. However, the compensation granted by
the Tribunal in a sum Rs.9,04,000/- is higher than what is
determined by this Court. As the respondent No.2
Insurance company has not challenged the impugned
judgment and award, the compensation granted by the
Tribunal cannot be reduced and therefore the same is
maintained. However, petitioners are not entitled for any
enhancement.
30. The Tribunal has granted interest at 8% p.a.
without any basis. Therefore, the same is restricted to 6%.
In the result, I proceed to pass the following:
ORDER
(a) The impugned judgment and award granting
compensation in a sum of Rs.9,04,000/- is
maintained. However, the interest is reduced 6%
p.a.
(b) Accordingly, appeal by petitioners for
enhancement is dismissed.
Sd/-
JUDGE
RR
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