Citation : 2026 Latest Caselaw 2536 Kant
Judgement Date : 23 March, 2026
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M.F.A. No.1065/2020
HC-KAR
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 23RD DAY OF MARCH, 2026
BEFORE
THE HON'BLE MR. JUSTICE VIJAYKUMAR A. PATIL
MISCELLANEOUS FIRST APPEAL NO.1065/2020 (MV-D)
BETWEEN:
1. SMT. MANJULA M.H.
W/O LATE G. SHANKAR
AGED ABOUT 33 YEARS.
2. MASTER. YOGITH .S
Digitally signed by AGED ABOUT 3 YEARS
ARSHIFA BAHAR
KHANAM S/O LATE G. SHANKAR.
Location: HIGH
COURT OF 3. SRI. GALAPPA
KARNATAKA S/O LATE G. SHANKAR
AGED ABOUT 55 YEARS.
4. SMT. MAHALAKSHMAMMA
W/O GALAPPA
AGED ABOUT 51 YEARS.
ALL ARE R/AT NO.33
KENGERI HOBLI, VINAYAKANAGAR
SOUTH RAMOHALLI
BENGALURU 560060.
APPELLANT NO.2 IS MINOR HENCE
REP. BY HIS NATURAL GUARDIAN
MOTHER SMT.MANJULA M.H.
...APPELLANTS
(BY SRI. ANANDA K.S. ADV.,)
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M.F.A. No.1065/2020
HC-KAR
AND:
1. THE MANAGER
UNITED INDIA INSURANCE CO. LTD.,
5TH AND 6TH FLOOR
KRUSHI BHAVAN BUILDING
HUDSON CIRCLE
BENGALURU 560001.
2. SMT. MANJULA .S
W/O SIDDEGOWDA
R/AT NELAMANGALA MAIN ROAD
VARTHUR, TAVAREKERE
BENGALURU 562130.
3. MR. MAHADEVA
NO.106, 1ST MAIN, 1ST CROSS
CHALUVAPPA GARDEN
BHUVANESHWARINAGAR
K.P. AGRAHARA, BENGALURU 23.
...RESPONDENTS
(BY SRI. A. RAVISHANKAR, ADV., FOR R1
V/O/DTD:12.07.2024, NOTICE TO R2 & R3 ARE D/W)
THIS MFA IS FILED U/S.173(1) OF MV ACT, AGAINST THE
JUDGMENT AND AWARD DT.04.10.2019 PASSED IN MVC
NO.3372/2018 ON THE FILE OF THE XI ADDITIONAL SMALL
CAUSES JUDGE AND XXXIV ACMM, COURT OF SMALL CAUSES,
MEMBER, MACT-12, BENGALURU, (SCCH-12), PARTLY
ALLOWING THE CLAIM PETITION FOR COMPENSATION AND
SEEKING ENHANCEMENT OF COMPENSATION.
THIS APPEAL, COMING ON FOR FINAL HEARING, THIS
DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER:
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M.F.A. No.1065/2020
HC-KAR
CORAM: HON'BLE MR. JUSTICE VIJAYKUMAR A. PATIL
ORAL JUDGMENT
This appeal is filed by the claimants seeking
enhancement of compensation being aggrieved by the
judgment and award dated 04.10.2019 passed in MVC
No.3372/2018 on the file of the IX Additional Small Causes
Judge & XXXIV ACMM, Court of Small Causes, and
Member, MACT-12, Bengaluru, (for short, 'Tribunal').
2. Sri.Ananda K.S., learned counsel for the
appellants-claimants submits that the Tribunal has
committed grave error in ignoring Exs.P16 to P18, the
income tax returns and the contract certificate, and
assessed the income of the deceased G.Shankar at
Rs.15,000/- per month by guess work. It is further
submitted that the claimants have produced the income
tax returns from the year 2012 till 2018 and as per the
income tax returns, the income of the deceased is required
to be assessed appropriately by adding 40% towards the
loss of future prospects. It is also submitted that the
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Tribunal has erred in deducting 1/3rd towards the personal
and living expenses of the deceased as the claimants are 4
in numbers, appropriate deduction would be 1/4th. Hence,
he seeks to allow the appeal.
3. Per contra, Sri.A.Ravishankar, learned counsel
for the respondent-Insurance Company supports the
impugned judgment and award of the Tribunal and
submits that the perusal of the income tax returns does
not indicate the other expenses and after deducting the
income tax, the income is required to be assessed. It is
submitted that the claimant No.3 i.e., the father of the
deceased who was aged about 55 years and was an
earning member, hence he cannot be termed as a
dependent. Thus, the Tribunal has rightly assessed the
dependency by deducting 1/3rd towards the personal and
living expenses of the deceased. Hence, he seeks to
dismiss the appeal.
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4. I have heard the arguments of the learned
counsel appearing on both the sides and meticulously
perused the material available on record.
5. The appellants as well as the respondent are
not in dispute that in a road accident that occurred on
01.06.2018 one G.Shankar sustained grievous injuries and
later died. The deceased was aged about 32 years at the
time of the accident and in order to prove the claim, the
claimants examined PW1 and got marked Exs.P1 to P18.
The respondent did not adduce any evidence. The Tribunal
assessed the income of the deceased notionally at
Rs.15,000/- per month and awarded total compensation of
Rs.27,98,000/- with interest at the rate of 6% per annum
by deducting 1/3rd towards the personal and living
expenses of the deceased.
6. It is to be noticed that the claimants have
produced the income tax returns from the year 2012 to
2018 and the documents to substantiate that the deceased
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was a Class-III contractor, used to take up different civil
works. The perusal of the income tax returns as per
Ex.P18, syndicate bank account statement as per Ex.P17,
notarized copy of contractor pass book as per Ex.P16, I
am of the considered view that the Tribunal erred in
assessing the income of the deceased at Rs.15,000/- per
month.
7. The perusal of the income tax returns for the
years 2015-16, 2016-17, 2017-18, the average of three
years income would be Rs.2,65,130/- and the said income
is required to be assessed as yearly income of the
deceased and 40% of the said income is required to be
added towards the loss of future prospects of the
deceased.
8. It is to be noticed that the Tribunal erred in
excluding the claimant No.3 - father of the deceased as a
dependent without any evidence before it. The father of
the deceased was aged about 55 years at the time of
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accident and death of G.Shankar. However, there is no
evidence before the Tribunal to come to the conclusion
that the claimant No.3 was an earning member and
residing separately and not dependent on the deceased. In
the absence of any such evidence, in my considered view
deduction would be 1/4th towards the personal and living
expenses of the deceased and not 1/3rd. Hence, the
compensation under the head of loss of dependency would
be is re-assessed as under:
Rs.2,65,130 + 40% x 16 x 3/4 = Rs.44,54,184/-.
9. The claimants being the wife, son and parents
of the deceased G.Shankar are entitled to the
compensation under the head of loss of consortium at
Rs.44,000/- each including 10% escalation. The
appellants-claimants would be entitled to a sum of
Rs.16,500/- under the head of 'loss of estate' and
Rs.16,500/- under the head of 'funeral expenses &
transportation of dead body' including 10% escalation.
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Thus, in all, the appellants-claimants shall be entitled to
modified compensation under the following heads:
HEADS AMOUNT
(in Rs.)
Loss of estate 16,500
Funeral expenses and transportation of dead 16,500
body
Loss of consortium (Rs.44,000 x 4) 1,76,000
Loss of dependency 44,54,184
Total 46,63,184
Thus, the claimants shall be entitled to a total
compensation of Rs.46,63,184/- as against
Rs.27,98,000/- awarded by the Tribunal.
10. In the result, this Court proceeds to pass the
following:
ORDER
a) Appeal is allowed in part.
b) The impugned judgment and award of the Tribunal is modified to an extent that the claimants would be entitled to total compensation of Rs.46,63,184/- as against Rs.27,98,000/- awarded by the Tribunal.
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c) The compensation amount shall carry interest at the rate of 6% per annum from the date of petition till the date of payment.
d) The Insurance Company shall deposit the enhanced compensation amount with accrued interest before the Tribunal within a period of six weeks from the date of receipt of certified copy of this judgment.
e) Out of the total compensation amount, the appellant No.1 being the wife of the deceased is entitled to 40% and appellant No.2 being the minor son is entitled to 30% and appellant Nos.3 and 4 being the parents are entitled to 15% each.
f) Out of their shares, 50% of the award amount of appellant Nos.1, 3 and 4 shall be kept in fixed deposit in any Nationalized Bank/Scheduled Bank for a period of three (03) years. Insofar as appellant No.2, who is a minor, is concerned, the entire award amount of his share shall be kept in fixed deposit in any Nationalized Bank/Scheduled Bank till he attain the age of majority. The appellants
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are at liberty to withdraw the periodical interest.
g) Registry shall transmit the records to the concerned Tribunal forthwith.
h) Draw modified award accordingly.
Sd/-
(VIJAYKUMAR A. PATIL) JUDGE
BSR List No.: 2 Sl No.: 4
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