Karnataka High Court

The Legal Manager vs Laxman And Ors on 26 November, 2025

Author: H.T.Narendra Prasad

Bench: H.T.Narendra Prasad

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                                                        MFA No. 204307 of 2023
                                               C/W MFA.CROB No. 200039 of 2024

                       HC-KAR




                                   IN THE HIGH COURT OF KARNATAK

                                          KALABURAGI BENCH

                             DATED THIS THE 26TH DAY OF NOVEMBER, 2025

                                               PRESENT

                            THE HON'BLE MR. JUSTICE H.T.NARENDRA PRASAD
                                                   AND
                            THE HON'BLE MR. JUSTICE TYAGARAJA N. INAVALLY

                            MISCL. FIRST APPEAL NO. 204307 OF 2023 (MV-D)
                                                 C/W
                                  MFA CROSS OBJ NO. 200039 OF 2024

                       IN M.F.A.NO.204307/2023

                       BETWEEN:

                       THE LEGAL MANAGER,
                       THE CHOLAMANDALAM MS
                       GENERAL INSURANCE CO. LTD.,
                       1ST FLOOR, KALBURGI SQUARE,
                       DESAI CROSS, DESHPANDE NAGAR,
                       HUBBALLI,
Digitally signed by
BASALINGAPPA           THROUGH ITS MANAGER, KALABURAGI.
SHIVARAJ
DHUTTARGAON                                                        ...APPELLANT
Location: HIGH COURT
OF KARNATAKA

                       (BY SRI MANJUNATH MALLAYYA SHETTY, ADVOCATE)

                       AND:

                       1.    LAXMAN
                             S/O BHIMARAYA,
                             AGE ABOUT 46 YEARS,
                             OCC: COOLIE,

                       2.    LALITA W/O LAXMAN,
                             AGE ABOUT 41 YEARS,
                             OCC: HOUSEHOLD,
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                                 MFA No. 204307 of 2023
                        C/W MFA.CROB No. 200039 of 2024

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3.   BHAGIRATHI
     D/O LAXMAN,
     AGE ABOUT 16 YEARS,
     OCC: STUDENT,

4.   GANESH
     S/O LAXMAN,
     AGE ABOUT 13 YEARS,
     OCC: STUDENT,

     RESPONDENT NOS.3 AND 4 MINORS
     U/G RESPONDENT NO.2,

     ALL ARE R/O: HALACHERI VILLAGE,
     TALUKA CHINCHOLI,
     DISTRICT KALABURAGI - 585 307.

5.   MAHENDRA GOUD K.
     S/O RAM GOUD, AGE: MAJOR,
     OCC: OWNER OF VEHICLE,
     R/O: H.NO.3-28, POTHIREDDYPALLI,
     CHOWRASTA, SANGAREDDY, SO,
     MEDAK - 502 295.
                                         ...RESPONDENTS

(BY SRI SANJEEV KUMAR C. PATIL, ADV., FOR R1 & R2;
R3 & R4 MINORS U/G OF R2; NOTICE TO R5 DISPENSED WITH)

      THIS MFA IS FILED UNDER SECTION 173(1) OF THE
MOTOR VEHICLES ACT, PRAYING TO ALLOW THE APPEAL AND
CONSEQUENTLY TO MODIFIED THE JUDGMENT AND AWARD
DATED 17.03.2023 PASSED BY THE COURT OF THE SENIOR
CIVIL JUDGE AND MACT AT CHINCHOLI IN MVC NO.920/2021
AND CONSEQUENTLY REDUCE THE COMPENSATION AWARDED
BY THE TRIBUNAL IN THE INTEREST OF JUSTICE AND EQUITY.
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                                 MFA No. 204307 of 2023
                        C/W MFA.CROB No. 200039 of 2024

HC-KAR




MFA CROSS OBJ. NO.200039 OF 2024


BETWEEN:

1.   LAXMAN S/O BHIMARAYA,
     AGE ABOUT 48 YEARS,
     OCC: COOLIE,
2.   LALITA W/O LAXMAN,
     AGED ABOUT 43 YEARS,

3.   BHAGIRATHI D/O LAXMAN,
     AGED ABOUT 18 YEARS,

4.   GANESH S/O LAXMAN,
     AGED ABOUT 15 YEARS,
     OCC: STUDENT,

     THE CROSS OBJECTOR NO.4 IS MINOR,
     REPRESENTED BY MOTHER CROSS OB. NO.2,
     ALL ARE R/O: HALACHERI VILLAGE,
     TALUKA CHINCHOLI,
     DISTRICT KALABURAGI.

                                        ...CROSS OBJECTORS

(BY SRI SANJEEV KUMAR C.PATIL, ADVOCATE)

AND:

1.   MAHENDRA GOUD K. S/O RAM GOUD,
     AGE: MAJOR, OCC: OWNER OF
     M/C. NO.TS-15, ER-5945,
     R/O: H.NO.3-28, POTHIREDDYPALLI,
     (P.R. PALLY) CHOWRASTA,
     SANGAREDDY, SO,
     MEDAK - 502 295.

2.   CHOLAMANDALAM MS
     GENERAL INSURANCE CO. LTD.,
     THROUGH ITS MANAGER,
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                                  MFA No. 204307 of 2023
                         C/W MFA.CROB No. 200039 of 2024

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    1ST FLOOR, KALBURGI SQUARE,
    DESAI CROSS, DESHPANDE NAGAR,
    HUBBALLI - 580 029.
                                            ...RESPONDENTS

(BY SRI MANJUNATH MALLAYYA SHETTY, ADV., FOR R2;
NOTICE TO R1 DISPENSED WITH)

     THIS MFA CROSS OBJECTION IS FILED UNDER SECTION
41 RULE 22 OF CPC, PRAYING TO MODIFY THE JUDGMENT AND
AWARD 17.03.2023 PASSED BY THE COURT OF THE SENIOR
CIVIL JUDGE AND MACT AT CHINCHOLI IN MVC NO.920/2021,
BY ENHANCING THE COMPENSATION, IN THE INTEREST OF
JUSTICE AND EQUITY.


     THIS MFA AND MFA CROSS OBJECTION COMING ON FOR
ORDERS, THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS
UNDER:

CORAM:   HON'BLE MR. JUSTICE H.T.NARENDRA PRASAD
         AND
         HON'BLE MR. JUSTICE TYAGARAJA N. INAVALLY


                      ORAL JUDGMENT

(PER: HON'BLE MR. JUSTICE H.T.NARENDRA PRASAD)

MFA No.204307/2023 is filed by the Insurance

Company whereas MFA Cross Objection No.200039/2024

is filed by the claimants under Section 173(1) of the Motor

Vehicles Act, 1988 (for short, 'the Act') being aggrieved by

the judgment and award dated 17.03.2023 passed by the

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Senior Civil Judge and MACT, Chincholi (for short, 'the

Tribunal') in MVC No.920/2021. Since the challenge is to

the same judgment, both the appeals are heard together

and common judgment is passed.

2. Facts giving rise to the filing of the appeals

briefly stated are that on 02.05.2021 at about 7:00 PM,

when the deceased Veeresh was proceeding towards

Govindapura on his motorcycle bearing Reg.No.AP-10/AR-

4707, when he reached Hothi-B village near Bharath Gas

Godown, one Glamour Motorcycle bearing Reg.No.TS-

15/ER-5945 came from opposite side in rash and negligent

manner with high speed and hit to the motorcycle of the

deceased. Due to the accident, he sustained grievous

injuries and immediately, he was shifted to the

Government General Hospital, Zaheerabad for first aid and

thereafter, he was shifted to Hyderabad Hospital but he

died on the way to the hospital at about 11:00 PM on the

same day.

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3. The claimants filed a claim petition under

Section 166 of the Act seeking compensation for the death

of the deceased along with interest.

4. Upon service of notice, the respondent No.2

appeared through counsel and filed written statement

denying the averments made in the claim petition. The

respondent No.1, despite service of notice, did not appear

before the Tribunal and was placed ex-parte.

5. On the basis of pleadings of the parties, the

Claims Tribunal framed the issues and thereafter, recorded

the evidence. The claimants, in order to prove the case,

examined claimant No.1 as PW-1 and got exhibited

documents namely Ex.P1 to Ex.P13. On behalf of

respondents no oral or documentary evidence is 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

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succumbed to the injuries. The Tribunal further held that

the petitioner No.2 is entitled to a compensation of

Rs.22,24,600/- along with interest at the rate of 6% p.a.

and directed the respondent-Insurance Company to

deposit the compensation amount along with interest.

Being aggrieved, the Insurance Company has filed the

appeal seeking reduction in compensation and claimants

have filed the cross objection appeal seeking enhancement

of compensation.

6. Learned counsel for the Insurance Company has

raised the following contentions:

a) Firstly, at the time of accident, the deceased

was aged about 19 years and he was a student. He was

not an earning member of the family. The Tribunal

considering the notional income of the deceased at

Rs.14,250/- has assessed the loss of dependency, the

same is on the higher side.

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b) Secondly, since the claimants have failed to

establish the income of the deceased, the Tribunal has

erred in granting future prospects.

c) Lastly, he contended that considering the age of

the deceased, the overall compensation awarded by the

Tribunal is on the higher side and required to be reduced.

Hence, he sought for allowing the appeal filed by the

Insurance Company and dismissal of the cross objection

filed by the claimants.

7. Learned counsel for the claimants has raised

the following contentions:

a) Firstly, at the time of the accident, the

deceased was aged about 19 years and he was a student

and was doing coolie work and earning Rs.15,000/- per

month. The Tribunal considering the evidence of the

parties, has rightly assessed the monthly income of the

deceased at Rs.14,250/-. He relied on the judgment of the

Hon'ble Supreme Court in the case of Hitesh Nagjibhai

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Patel vs.Bababhai Nagjibhai Rabari and Another in

Civil Appeal No.10278/2025 disposed of on 08.08.2025.

b) Secondly, in view of the judgment of the

Hon'ble Supreme Court in the case of Magma General

Insurance Co. Ltd. -V- Nanu Ram And Others [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'.

c) 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 cross objection filed by the claimants.

8. Heard the learned counsel for the parties and

perused the judgment and award of the Tribunal.

9. It is not in dispute that deceased Veeresh died

in the road traffic accident occurred on 02.05.2021 due to

rash and negligent driving of the driver of the offending

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motorcycle bearing Reg.No.TS-15/ER-5945. At the time of

the accident, the deceased was aged about 19 years.

10. The Hon'ble Apex Court in the case of Hitesh

Nagjibhai Patel (supra) held that a minor child who

suffers death or permanent disability in a motor vehicle

accident, cannot be placed in the same category as a non-

earning individual for the purposes of assessing the

amount of compensation because the child was not

engaged in gainful employment at the time of the

accident. In such cases, the minimum wages payable to

a skilled workman as notified for the relevant period in the

respective states where the cause of action arises is to be

adopted. PW.1 in his evidence has categorically stated

that deceased was earning Rs.15,000/- per month by

doing coolie work. Considering the evidence of PW.1, the

age of the deceased, and his avocation, the Tribunal has

rightly assessed the notional income at Rs.14,250/- per

month and has correctly added 40% towards future

prospects. Likewise, it has rightly deducted 50% of the

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income of the deceased towards personal expenses.

Therefore, the compensation awarded by the Tribunal on

account of 'loss of dependency' at Rs.21,54,600/- is just

and reasonable.

11. The compensation awarded by the Tribunal on

account of 'loss of estate' and on account of 'funeral

expenses' is just and reasonable.

12. In view of the law laid down by the Supreme

Court in the case of 'Magma General Insurance Co.Ltd.,'

(supra), claimant Nos.1 and 2 parents of the deceased are

entitled to Rs.40,000/- each under the head of 'loss of filial

consortium'.

13. Thus, the claimants are entitled to the following

compensation:

             Compensation              Amount in
             under different             (Rs.)
                 Heads

           Loss of dependency             21,54,600

           Funeral expenses                 15,000
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           Loss of estate                           15,000

           Loss of Filial                           80,000
           consortium

                            Total             22,64,600

14. In the result, the following order is passed:

ORDER

a) The appeal filed by the Insurance Company in MFA No.204307/2023 is dismissed.

b) The appeal filed by the claimants in MFA Crob No.200039/2024 is allowed in part.

c) The judgment of the Claims Tribunal is modified.

d) The claimants are entitled to a total compensation of Rs.22,64,600/- as against Rs.22,24,600/- awarded by the Tribunal.

e) The Insurance Company is directed to deposit the compensation amount along with interest at 6%p.a. from the date of filing of the claim petition till the date of realization, within a period of six weeks