Karnataka High Court
Sharada vs Reliance General Insurance Co Ltd on 20 September, 2023
Bench: H T Prasad
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NC: 2023:KHC:33912
MFA No. 4639 of 2018
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 20TH DAY OF SEPTEMBER, 2023
BEFORE
THE HON'BLE MR JUSTICE H.T. NARENDRA PRASAD
MISCELLANEOUS FIRST APPEAL NO. 4639 OF 2018 (MV)
BETWEEN:
1. SHARADA
W/O LATE NAGARAJ K J
AGED ABOUT 41 YEARS.
2. BHARATH K N
S/O LATE NAGARAJ K J
AGED ABOUT 12 YEARS.
3. SAGAR K N
S/O LATE NAGARAJ K J
AGED ABOUT 9 YEARS
4. SUMANTHA K N
S/O LATE NAGARAJ K J
Digitally signed AGED ABOUT 06 YEARS
by APPELLANT Nos. 2 TO 4 ARE MINORS
DHANALAKSHMI
MURTHY REPRESENTED BY THEIR
Location: High MOTHER SHARADA
Court of
Karnataka THE NATURAL GUARDIAN
5. JATYAPPA KASEN
S/O LATE CHANNAVEERAPPA
AGED ABOUT 70 YEARS
6. HOLEBASAMMA
W/O JATYAPPA KASEN
AGED ABOUT 68 YEARS
ALL ARE RESIDING AT SHIGGA
SORABA TALUKM
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MFA No. 4639 of 2018
SHIMOGGA DISTRICT - 577434.
...APPELLANTS
(BY SRI. SHRIPAD V SHASTRI .,ADVOCATE)
AND:
1. RELIANCE GENERAL INSURANCE CO LTD
SRI BALAJI ENCLAVE
NO 782, 16TH MAIN
BTM LAYOUT, 2ND STAGE
BENGALURU - 76.
2. MR PANDURANGA P BHASME,
S/O PRALHAD
R/AT HIREKOPPA K S
RAMDURGA BELAGAVI DISTRICT
KARNATAKA - 591123.
...RESPONDENTS
(BY SRI.RAVI S SAMPRATHI., ADVOCATE FOR R1:
NOTICE TO R2 IS DISPENSED WITH
V/O DATED: 20.09.2023)
THIS MFA IS FILED UNDER SECTION 173(1) OF MV ACT
AGAINST THE JUDGMENT AND AWARD DATED:08.03.2018
PASSED IN MVC NO.2273/2017 ON THE FILE OF THE 3RD
ADDITIONAL JUDGE & MEMBER, MACT, COURT OF SMALL
CAUSES, BENGLAURU (SCCH-18), ALLOWING THE CLAIM
PETITION FOR COMPENSATION AND SEEKING ENHANCEMENT
OF COMPENSATION.
THIS APPEAL, COMING ON FOR ORDERS, THIS DAY, THE
COURT DELIVERED THE FOLLOWING:
JUDGMENT
1. This appeal under Section 173(1) of the Motor
Vehicles Act, 1988 (hereinafter referred to as 'the Act', for
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MFA No. 4639 of 2018
short) has been filed by the claimants being aggrieved by
the judgment and award dated 08.03.2018 passed by the
MACT, Bengaluru in MVC No.2273/2017.
2. Facts giving rise to the filing of the appeal briefly
stated are that on 15.04.2017 at about 03.20 p.m., the
deceased Nagaraj K. J. was riding the TVS XL-100 in a
slow and cautious manner and when he reached near
Janakappa land on Sigga to Indavalli road, Soraba(T),
Shimoga (D), at that time, the driver of the lorry bearing
Registration No.KA-22-C-3684 came in a rash and
negligent manner and dashed against the said TVS XL-100
from opposite direction. 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
deceased along with interest.
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MFA No. 4639 of 2018
4. On service of summons, the respondents appeared
through counsel and filed written statement in which the
averments made in the petition were denied. The age,
occupation and income of the deceased are denied. It was
further pleaded that the quantum of compensation claimed
by the claimants is exorbitant. Hence, they sought for
dismissal of the petition.
5. 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.5 as PW-1 and and got exhibited
documents namely Ex.P1 to Ex.P13. On behalf of
respondents, one witness was examined as RW-1 and got
exhibited a document namely Ex.R1. 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
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MFA No. 4639 of 2018
are entitled to a compensation of Rs.11,67,000/- along
with interest at the rate of 9% p.a. and directed the
Insurance Company to deposit the compensation amount
along with interest. Being aggrieved, this appeal has been
filed.
6. The learned counsel for the claimants has raised the
following contentions:
a) Firstly, the claimants claim that the deceased was
aged about 42 years at the time of the accident and he
was earning Rs.15,000/- per month by doing business
cum agriculture. But the Tribunal is not justified in taking
the monthly income of the deceased as merely as
Rs.7,500/-.
b) Secondly, 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'.
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MFA No. 4639 of 2018
c) Thirdly, 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.
7. 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.15,000/- per month, the same is
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.
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MFA No. 4639 of 2018
d) Lastly, in view of the Division Bench decision of this
Court in the case of MS.JOYEETA BOSE AND OTHERS -V-
VENKATESHAN.V AND OTHERS (MFA 5896/2018 AND CONNECTED
MATTERS DISPOSED OF ON 24.8.2020), the rate of interest
granted by the Tribunal at 9% p.a. on the compensation
amount is on the higher side. Hence, he prays for
dismissal of the appeal.
8. Heard the learned counsel for the parties and
perused the judgment and award of the Tribunal.
9. It is not in dispute that Nagaraj K. J. died in the road
traffic accident occurred on 15.04.2017 due to rash and
negligent driving of the offending vehicle by its driver.
10. The claimants claim that deceased was earning
Rs.15,000/- 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
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MFA No. 4639 of 2018
State Legal Services Authority, for the accident taken
place in the year 2017, the notional income of the
deceased has to be taken at Rs.11,000/- 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 NATIONAL
INSURANCE CO. LTD. -v- PRANAY SETHI AND OTHERS [AIR 2017 SC
5157]. Thus, the monthly income comes to Rs.13,750/-.
The Tribunal has rightly deducted 1/4th of income of the
deceased towards personal expenses. Thus, the monthly
income comes to Rs.10,312/-. The deceased was aged
about 46 years at the time of the accident and multiplier
applicable to his age group is '13'. Thus, the claimants are
entitled to compensation of Rs.16,08,672/- (Rs.10,312
*12*13) on account of 'loss of dependency'.
11. 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
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MFA No. 4639 of 2018
for compensation of Rs.40,000/- under the head of 'loss of
spousal consortium'.
12. In view of the law laid down by the Supreme Court in
the case of 'MAGMA GENERAL INSURANCE' (supra), claimant
Nos.2 to 4, children of the deceased are entitled for
compensation of Rs.40,000/- each under the head of 'loss
of parental consortium' and claimant No.5, father of the
deceased is entitled for compensation of Rs.40,000/-
under the head of 'loss of filial consortium'.
13. Thus, the claimants are entitled to the following
compensation:
Compensation under Amount in
different Heads (Rs.)
Loss of dependency 16,08,672
Funeral expenses 15,000
Loss of estate 15,000
Loss of spousal 40,000
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MFA No. 4639 of 2018
consortium
Loss of Parental 1,20,000
consortium
Loss of Filial consortium 40,000
Total 18,38,672
14. In the result, I pass the following order:
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.18,38,672/- as against Rs.11,67,000/- awarded by
the Tribunal.
d) In view of judgment of the Division Bench of this
Court in the case of 'MS.JOYEETA BOSE' (supra), the
enhanced compensation shall carry interest at 6% per
annum.
e) The Insurance Company is directed to deposit the
compensation amount along with interest from the date of
filing of the claim petition till the date of realization, within
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MFA No. 4639 of 2018
a period of six weeks from the date of receipt of copy of
this judgment.
Sd/-
JUDGE
HA
