Karnataka High Court
Smt R Ambika vs The Icici Lombard General Insurance Co. ... on 6 December, 2023
Author: H.T. Narendra Prasad
Bench: H.T. Narendra Prasad
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MFA No. 2621 of 2023
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 6TH DAY OF DECEMBER, 2023
BEFORE
THE HON'BLE MR JUSTICE H.T. NARENDRA PRASAD
MISCELLANEOUS FIRST APPEAL NO. 2621 OF 2023 (MV)
BETWEEN:
1. SMT R AMBIKA
W/O RAJU S @ RAJAPPA
AGED ABOUT 41 YEARS
2. KUM. R. AISHWARIYA
D/O RAJU S @ RAJAPPA
AGED ABOUT 22 YEARS
3. KUM. R ANANYA
D/O RAJU S @ RAJAPPA
AGED ABOUT 17 YEARS
4. KUM. R SINCHANA
D/O RAJU S @ RAJAPPA
AGED ABOUT 13 YEARS
Digitally signed
by 5. KUM R TANUSHREE
DHANALAKSHMI
MURTHY D/O RAJU S @ RAJAPPA
Location: High AGED ABOUT 09 YEARS
Court of
Karnataka
6. KUM ANVITHA R
D/O RAJU S @ RAJAPPA
AGED ABOUT 06 YEARS
APPELLANT Nos. 3 TO 6 ARE MINORS
REP BY NATURAL GUARDIAN
MOTHER SMT R. AMBIKA
7. SMT RATHNAMMA
W/O LATE SHIVAPPA
AGED ABOUT 63 YEARS
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MFA No. 2621 of 2023
ALL ARE R/A NEAR STADIUM
AMBEDKAR BEEDI
CHITRADURGA DISTRICT - 577501
NOW R/O 4TH CROSS
PRASHANTH NAGARA
JOGIMATTI ROAD
CHITRADURGA - 577501.
...APPELLANTS
(BY SRI. V B SIDDARAMAIAH.,ADVOCATE)
AND:
1. THE ICICI LOMBARD GENERAL
INSURANCE CO. LTD.,
REGIONAL OFFICE
THE ESTATE, 9TH FLOOR
DICKENSON ROAD
M.G.ROAD, BANGALORE-560042.
2. SRI NGARAJU S
S/O SHEKARAPPA
AGED ABOUT 43 YEARS
R/O T NULENUR VILLAGE
THODARANAL, HOLALKERE TALUK
CHITRADURGA DISTRICT - 577557
...RESPONDENTS
(BY SRI. B C SHIVANNE GOWDA.,ADVOCATE FOR R1:
NOTICE TO R2 IS DIPSENSED WITH
V/O DATED: 20.04.2023)
THIS MFA IS FILED UNDER SECTION 173(1) OF MV ACT
AGAINST THE JUDGMENT AND AWARD DATED: 30.07.2022
PASSED IN MVC NO. 631/2020 ON THE FILE OF THE PRL.
SENIOR CIVIL JUDGE AND ADDITIONAL MACT-III,
CHITRADURGA, PARTLY ALLOWING THE CLAIM PETITION FOR
COMPENSATION.
THIS APPEAL, COMING ON FOR ORDERS, THIS DAY, THE
COURT DELIVERED THE FOLLOWING:
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MFA No. 2621 of 2023
JUDGMENT
1. This appeal under Section 173(1) of the Motor
Vehicles Act, 1988 (hereinafter referred to as 'the Act', for
short) has been filed by the claimants being aggrieved by
the judgment and award dated 30.7.2022 passed by the
MACT, Chitradurga in MVC 631/2020.
2. Facts giving rise to the filing of the appeal briefly
stated are that on 8.1.2020 when the deceased Raju.S
was proceeding on Chitradurga in car bearing registration
No.KA-04-MG-4135 near T Nulenuru Gate on NH-13, at
that time, a Bolero Vehicle bearing registration No.KA-16-
N-6255 which was being driven in a rash and negligent
manner, dashed against the vehicle in which deceased the
deceased was travelling. As a result of the aforesaid
accident, the deceased sustained grievous injuries and
succumbed to the injuries.
3. The claimants filed a petition under Section 166 of
the Act seeking compensation for the death of the
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deceased along with interest. On service of summons, the
respondents appeared through counsel and filed written
statements in which the averments made in the petition
were denied.
4. On the basis of the pleadings of the parties, the
Claims Tribunal framed the issues and thereafter recorded
the evidence. The claimants, in order to prove their case,
examined claimant No.1 as PW-1 and got exhibited
documents namely Ex.P1 to Ex.P16. On behalf of
respondents, neither any witness was examined nor any
document was produced. The Claims Tribunal, by the
impugned judgment, inter alia, held that the accident took
place on account of rash and negligent driving of the
offending vehicle by its driver, as a result of which, the
deceased sustained injuries and succumbed to the injuries.
The Tribunal further held that the claimants are entitled to
a compensation of Rs.24,70,000/- along with interest at
the rate of 6% p.a. and directed the Insurance Company
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to deposit the compensation amount along with interest.
Being aggrieved, this appeal has been filed.
5. The learned counsel for the claimants has raised the
following contentions:
a) Firstly, the claimants claim that the deceased was
aged about 40 years at the time of the accident and he
was earning Rs.50,000/- per month by working as building
contractor. But the Tribunal is not justified in taking the
monthly income of the deceased as merely as
Rs.12,000/-.
b) Secondly, as per the law laid down by the Hon'ble
Supreme Court in the case of NATIONAL INSURANCE
CO. LTD. -v- PRANAY SETHI AND OTHERS [AIR 2017
SC 5157], in case the deceased was self-employed or on
a fixed salary, an addition of 25% of the established
income towards 'future prospects' should be the warrant
where the deceased was between the age group of 40-50
years. The same has been rightly considered by the
Tribunal.
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c) Thirdly, as per the law laid down by the Hon'ble
Supreme Court in the case of PRANAY SETHI (supra),
the claimants are entitled for Rs.15,000/- towards 'loss of
estate' and Rs.15,000/- towards 'funeral expenses'.
d) Fourthly, as per the judgment of the Hon'ble
Supreme Court in the case of MAGMA GENERAL
INSURANCE CO. LTD. -V- NANU RAM [2018 ACJ
2782], each of the claimants are entitled for
compensation of Rs.40,000/- under the head of 'loss of
love and affection and consortium'.
e) Lastly, considering the age and avocation of the
deceased, the overall compensation awarded by the
Tribunal is on the lower side. Hence, he prays for allowing
the appeal.
6. On the other hand, the learned counsel for the
Insurance Company has raised the following counter-
contentions:
a) Firstly, even though the claimants claim that the
deceased was earning Rs.50,000/- per month, the same is
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not established by the claimants by producing documents.
Therefore, the Tribunal has rightly assessed the income of
the deceased notionally.
b) Secondly, since the claimants have not established
the income of the deceased, they are not entitled for
compensation towards 'future prospects'.
c) Thirdly, on appreciation of oral and documentary
evidence and considering the age and avocation of the
deceased, the overall compensation awarded by the
Tribunal is just and reasonable. Hence, he prays for
dismissal of the appeal.
7. Heard the learned counsel for the parties and
perused the judgment and award of the Tribunal.
8. It is not in dispute that Raju.S.@ Rajappa died in the
road traffic accident occurred on 8.1.2020 due to rash and
negligent driving of the offending vehicle by its driver.
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9. The claimants claim that deceased was earning
Rs.50,000/- per month. But they have not produced any
documents to prove the income of the deceased. In the
absence of proof of income, the notional income has to be
assessed. As per the guidelines issued by the Karnataka
State Legal Services Authority, for the accident taken
place in the year 2020, the notional income of the
deceased has to be taken at Rs.14,500/- p.m. To the
aforesaid income, 25% has to be added on account of
future prospects in view of the law laid down by the
Constitution Bench of the Supreme Court in 'PRANAY
SETHI' (supra). Thus, the monthly income comes to
Rs.18,125/-. Since there are 7 dependents, it is
appropriate to deduct 1/5th of the income of the deceased
towards personal expenses and remaining amount has to
be taken as his contribution to the family. The deceased
was aged about 40 years at the time of the accident and
multiplier applicable to his age group is '15'. Thus, the
claimants are entitled to compensation of Rs.26,10,000/-
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(Rs.18,125*12*15*4/5) on account of 'loss of
dependency'.
10. In addition, the claimants are entitled to
compensation of Rs.15,000/- on account of 'loss of estate'
and compensation of Rs.15,000/- on account of 'funeral
expenses'. Claimant No.1, wife of the deceased is entitled
for compensation of Rs.40,000/- under the head of 'loss of
spousal consortium'.
11. In view of the law laid down by the Supreme Court in
the case of 'MAGMA GENERAL INSURANCE' (supra),
claimant Nos.2 to 6, children of the deceased are entitled
for compensation of Rs.40,000/- each under the head of
'loss of parental consortium' and claimant No.7, mother of
the deceased is entitled for compensation of Rs.40,000/-
under the head of 'loss of filial consortium'.
12. Thus, the claimants are entitled to the following
compensation:
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Compensation under Amount in
different Heads (Rs.)
Loss of dependency 26,10,000
Funeral expenses 15,000
Loss of estate 15,000
Loss of spousal 40,000
consortium
Loss of Parental 2,00,000
consortium
Loss of Filial consortium 40,000
Total 29,20,000
13. In the result, the following order is passed:
ORDER
a) The appeal is allowed in part.
b) The judgment of the Claims Tribunal is modified.
c) The claimants are entitled to a total compensation of
Rs.29,20,000/- as against Rs.24,70,000/- awarded by
the Tribunal.
d) The ICICI Lombard General Insurance Company
Limited is directed to deposit the compensation amount
along with interest at 6% p.a. from the date of filing of the
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claim petition till the date of realization, within a period of
six weeks from the date of receipt of copy of this
judgment.
e) The apportionment, deposit and release of amount
shall be made in terms of the award of the Tribunal.
Sd/-
JUDGE
DM
