Madras High Court
The Reliance General Insurance ... vs Banupriya on 15 December, 2021
C.M.A.Nos.1407 of 2020 & 796 of 2021
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 15.12.2021
CORAM:
THE HONOURABLE MR.JUSTICE K.KALYANASUNDARAM
and
THE HONOURABLE MR.JUSTICE V.SIVAGNANAM
C.M.A.Nos.1407of 2020 and 796 of 2021
and
C.M.P.No.10308 of 2020
C.M.A.No.1407 of 2020
The Reliance General Insurance Company Limited,
4th Floor, No.6, Haddows Road,
Chennai – 600 006. ... Appellant
Vs.
1.Banupriya
2.Minor Haripriya
3.Minor Kishore Kumar
4.Jothi
(Minors 2 & 3 are represented by
mother and NF, 1st respondent)
5.Ganesan
6.S.Bhaskar
... Respondents
https://www.mhc.tn.gov.in/judis
C.M.A.Nos.1407 of 2020 & 796 of 2021
PRAYER: Civil Miscellaneous Appeal is filed under Section 173 of Motor
Vehicles Act 1988 against the Judgment and Decree made in MCOP No.2410 of
2017 dated 26.11.2019, on the file of the Motor Accident Claims Tribunal, III
Court of Small Causes, Chennai.
For Appellant : Mr.M.B.Raghavan for
M/s M.B.Gopalan Associates
For Respondents : Mr.K.Varadhakamaraj
(for R1 to R5)
C.M.A.No.796 of 2021
1.Banupriya
2.Minor Haripriya
3.Minor Kishore Kumar
4.Jothi
5.Ganesan
(Minors 2 & 3 are rep. by next friend
and natural guardian, their mother) ... Appellants
Vs.
1.S.Bhaskar
2.The Reliance General Insurance Co. Ltd.,
No.6, 4th Floor, Haddows Road,
Chennai – 600 006.
... Respondents
https://www.mhc.tn.gov.in/judis
C.M.A.Nos.1407 of 2020 & 796 of 2021
PRAYER: Civil Miscellaneous Appeal is filed under Section 173 of Motor
Vehicles Act 1988 against the decree and judgment dated 26.11.2019 made in
MCOP No.2410 of 2017 on the file of the Motor Accident Claims Tribunal, III
Court of Small Causes, Chennai.
For Appellants : Mr.K.Varadha Kamaraj
For Respondents : Mr.M.B.Raghavan
M/s M.B.Gopalan Associates
COMMON JUDGMENT
[Judgment of the Court was delivered by K.KALYANASUNDARAM, J.]
CMA No.796 of 2021 is filed by the claimants being dissatisfied with the
award of the Tribunal passed in MCOP No.2410 of 2017 dated 26.11.2019. CMA
No.1407 of 2020 has been preferred by the Insurance Company assailing the
award passed in the same MCOP.
https://www.mhc.tn.gov.in/judis
C.M.A.Nos.1407 of 2020 & 796 of 2021
2.The facts of the case in nutshell:-
On 05.02.2017 at 20.00 hours, when the deceased Naresh @ Naresan was
crossing the road from east to west at Kannagi Nagar – 200 feet road Junction,
Kolathur, Chennai, a For Registration Bajaj Pulzar Ebony Black colour
motorcycle bearing Engine No.DKZCGG58273, Chasis
No.MD2A13EZ8GCG41543 came in a high speed and hit against the deceased.
In the impact, the deceased sustained fatal injuries and died in the hospital on
06.02.2017. The wife, children and the parents of the deceased filed the claim
petition before the Tribunal. Though they claimed Rs.30,00,000/- as
compensation, the Tribunal has awarded Rs.23,52,000/- together with interest at
7.5% per annum, under the following heads:-
Heads Rs.
Loss of dependency 10000+4000=14000- 21,42,000/-
1/4(3500)=10500x12x17
Loss of Consortium 40,000/-
Towards Loss of Love and Affection 1,30,000/-
Transport Expenditure 10,000/-
Loss of Estate and Funeral 30,000/-
Total 23,52,000/-
https://www.mhc.tn.gov.in/judis
C.M.A.Nos.1407 of 2020 & 796 of 2021
Further, the Tribunal observed that the Insurance Company has to pay
compensation to the claimants and thereafter, recover the same from the owner of
the vehicle. Challenging the said award, the Insurance Company has filed an
appeal on the ground that the award is on the higher side and the claimants
preferred an appeal to enhance the compensation as stated supra.
3.The learned counsel appearing for the Insurance Company has contended
that the Tribunal erred in holding that the appellant Insurance Company is liable
in a case where the motorcycle was allowed to be driven by a minor in brazen
violation of Motor Vehicles Act and the policy of insurance by the owner. The
Tribunal ought to have exonerated the Insurance Company and directed the owner
of the motorcycle alone to pay compensation. He would further contend that the
Tribunal has erred in fixing the income at Rs.10,000/- per month and adding
future prospects and fixing high amount of dependency without any reliable or
acceptable evidence.
https://www.mhc.tn.gov.in/judis
C.M.A.Nos.1407 of 2020 & 796 of 2021
4.The learned counsel appearing for the claimants would contend that since
the amount awarded by the Tribunal is meager in all the heads, the claimants are
entitled for higher compensation. He would further contend that the Tribunal
erred in fixing the income of the deceased as Rs.10,000/- per month as against the
claim of Rs.700/- per day. The Tribunal ought to have fixed income of the
deceased is Rs.700/- per day as per the oral evidence of P.W.1 and prevailing
economic condition on the date of accident. Hence, the claimants seek for
enhancement of compensation.
5.This Court carefully considered the rival submissions and perused the
materials available on record.
6.In the instant case, the claimants have proved that the deceased was
earning Rs.13,000/- per month, but the Tribunal, without considering the same,
has fixed notional monthly income of the deceased as Rs.10,000/-. Therefore,
this Court considering the age of the deceased, fixes the monthly income as
Rs.13,000/-. Further, the claimants are entitled to 40% future prospects and after
https://www.mhc.tn.gov.in/judis
C.M.A.Nos.1407 of 2020 & 796 of 2021
deducting 1/4th for personal expenses and by applying multiplier '17', this Court
awards Rs.27,84,600/- (13000+5,200=18200-4550(1/4)=13650x12x17) towards
loss of dependency. In addition, as per the decision of the Hon'ble Apex Court in
the case of Magma General Insurance Co. Ltd., vs. Nanu Ram and others
reported in 2018(1) TN MAC 452 (SC), the claimants are entitled to Rs.40,000/-
each towards consortium, which comes to Rs.2,00,000/-. Rs.15,000/- is awarded
for loss of estate. Rs.15,000/- is awarded for funeral expenses. Hence, the
compensation awarded by the Tribunal to the appellants is re-quantified as
follows:-
Heads Rs.
Loss of dependency 27,84,600/-
Loss of consortium 2,00,000/-
Funeral expenses 15,000/-
Loss of Estate 15,000/-
Total 30,14,600/-
Rounded Off 30,14,000/-
7.Though the learned counsel appearing for the Insurance Company has
contended that the Tribunal has erroneously ordered pay and recovery and it has
to be set aside, on perusal of the records, we find that the Tribunal, on proper
https://www.mhc.tn.gov.in/judis
C.M.A.Nos.1407 of 2020 & 796 of 2021
appreciation of evidence of R.W.1 and Ex.R.2-Insurance Policy, has ordered pay
and recovery and therefore, the same is confirmed. The rate of interest fixed by
the Tribunal as 7.5% per annum is also confirmed. In view of the modification of
the award amount, the amount of Rs.10,000/- awarded under the head of
Transport Expenditure is set aside.
8.In such view of the matter, CMA No.796 of 2021 is partly allowed and
CMA No.1407 of 2020 is dismissed. The Insurance Company is directed to
deposit the modified award amount with accrued interest and costs, less the
amount already deposited, if any, within a period of eight weeks from the date of
receipt of a copy of this order at the first instance and thereafter, recover the same
from the insured. On such deposit, the major claimants are permitted to withdraw
the award amount as apportioned by the Tribunal, less the amount already
withdrawn, if any, together with proportionate interest and costs. Further, the
Tribunal is directed to deposit the share of the minor claimants in any one of the
nationalised banks, as fixed deposit under the Cumulative Deposit Scheme, till
the minors attain the age of major and and the first claimant, who is the guardian
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C.M.A.Nos.1407 of 2020 & 796 of 2021
of the minor claimants, is permitted to withdraw interest once in six months
directly from the bank. No costs. Consequently, connected miscellaneous
petition is closed.
[M.K.K.S.,J.] [V.S.G.,J.]
15.12.2021
Intex : Yes/No
Internet : Yes/No
skn
To
1.The Motor Accident Claims Tribunal,
III Court of Small Causes, Chennai.
2.V.R.Section,
Madras High Court,
Chennai.
K.KALYANASUNDARAM, J.
and
https://www.mhc.tn.gov.in/judis
C.M.A.Nos.1407 of 2020 & 796 of 2021
V.SIVAGNANAM, J.
skn
C.M.A.Nos.1407of 2020 and 796 of 2021
and
C.M.P.No.10308 of 2020
15.12.2021
https://www.mhc.tn.gov.in/judis
