Madras High Court

S. Sangeetha vs S. Dinesh on 5 September, 2024

Author: R.Hemalatha

Bench: R. Hemalatha

                                                                              CMA.No.1702 of 2023


                                  IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                                     DATED: 05.09.2024

                                                         CORAM:

                                  THE HONOURABLE MRS.JUSTICE R. HEMALATHA

                                                 C.M.A.No.1702 of 2023

                     1. S. Sangeetha
                     2. S. Hemanth Kumar (minor)
                     3. S. Maha (Minor)
                     4. V. Logambal                                            .... Appellants



                                                            vs.
                     1. S. Dinesh

                     2. Cholamandalam MS General Insurance Company Limited,
                        Shawallace Building 2nd Floor,
                        Old No.319, New No.157, Thambu Chetty Street,
                        Chennai 600 001                                ... Respondents

                     PRAYER: Civil Miscellaneous Appeal filed under Section 173 of the
                     Motor Vehicles Act, 1988 against the Award dated 20.04.2023 in
                     M.C.O.P.1461/2020 on the file of the Chief Judge, Court of Small Causes,
                     Motor Accidents Claims Tribunal, Chennai.

                                    For Appellants     : Mrs. Ramya V Rao
                                    R1                 : Unclaimed
                                    For R2             : Mr. E. Rajadurai
                                                         for Ms.C. Harini



                     1/10
https://www.mhc.tn.gov.in/judis
                                                                                     CMA.No.1702 of 2023


                                                    JUDGMENT

The appellants are the claimants in M.C.O.P.1461/2020 on the

file of the Chief Judge, Court of Small Causes, Motor Accidents Claims

Tribunal, Chennai. They filed the claim petition under Section 166 of the

Motor Vehicles Act, 1988 and Rule 3 of MACT Rules seeking

compensation of Rs.60,00,000/- for the death of one Stephen (husband of

the first claimant, father for the claimants 2 and 3 and son of the claimant

4) in a road accident that occured on 01.02.2020.

2. The brief case of the appellants / claimants is as follows :

2.1. On 01.02.2020 Stephen (since deceased) was riding his

motorcycle bearing Registration Number TN-09-BU-2260 on

Arumbakkam 100 feet Road. When he was nearing Vinayagapuram Main

Road Signal, a lorry bearing Registration Number TN-48-AV-3228,

belonging to the first respondent, which was driven in a rash and

negligent manner by its driver suddenly took a 'U' turn, as a result of

which, the body of the lorry rammed the motorcycle, causing the

https://www.mhc.tn.gov.in/judis

instantaneous death of Stephen.

3. According to the claimants, the rash and negligent driving of

the driver of the lorry bearing Registration Number TN-48-AV-3228,

was the cause of the accident and that since the said vehicle was insured

with the second respondent, the Cholamandalam MS General Insurance

Company Limited, the owner and the insurer are jointly and severally

liable to pay compensation to them.

4. In the Tribunal the owner of the motorcycle remained absent

and was set ex parte. The second respondent insurance company

resisted the claim petition on all the grounds available to the insurer under

Section 170 of the Motor Vehicles Act.

5. The Tribunal after analysing the evidence on record fastened

negligence on the part of the driver of the lorry bearing Registration

Number TN-48-AV-3228, and directed the second respondent, insurer of

the said lorry, to pay compensation of Rs.36,34,714/- to the claimants

together with interest at the rate of 7.5% per annum from the date of

https://www.mhc.tn.gov.in/judis

petition till the date of realisation, vide its orders dated 20.04.2023. The

Tribunal also held that the liability of the Insurance Company and the

owner of the lorry are joint and several.

6. Aggrieved over the quantum of compensation awarded by the

Tribunal, the claimants have filed the present appeal under Section 173 of

the Motor Vehicles Act, 1988.

7. Heard Mrs. Ramya V Rao, learned counsel appearing for the

appellants and Mr.E. Rajadurai, learned counsel appearing for the second

respondent Insurance Company.

8. Mrs. Ramya V Rao, learned counsel appearing for the

appellants contended that though the deceased was working as an

operator for Bhadra International India Private Limited earning a sum of

Rs.30,000/- per month, the Tribunal had taken only the net salary of

Rs.21,871/- while fixing the loss of income. She therefore prayed for

enhancement of compensation.

https://www.mhc.tn.gov.in/judis

9. Per contra, Mr. E. Rajadurai, learned counsel appearing

respondent/Insurance Company contended that the Award passed by the

Tribunal is based on the well laid down principles of law which were in

vogue at the time of passing of the order and therefore, the same need not

be disturbed.

10. A perusal of salary certificate (Ex.P7) shows that the gross

salary of the deceased was Rs.26,453/- and this salary certificate pertains

to the month of January 2020. The overtime allowance in the salary

certificate is mentioned as Rs.2,224/-. Since this pertains to a particular

month, this amount cannot be added to the gross salary. After deducting

this Overtime allowance of Rs.2,224/-, the gross salary of the deceased is

Rs.24,229/-. As per the decision of the Supreme Court of India in

National Insurance Co. vs Pranay sethi and others reported in 2017 (2)

TNMAC 601, 25% is added towards future prospects of the deceased.

Since the deceased had four dependents, 1/4 should be deducted towards

his personal expenses. The deceased was aged 44 years on the date of the

accident and the proper multiplier to be adopted in the instant case is 14

as per the decision rendered in Sarla Verma and others vs. Delhi

https://www.mhc.tn.gov.in/judis

Transport Corporation and another reported in (2009) 6 SCC 121.

Calculation

Notional Income = Rs.24,229/-

25% Future Prospects = Rs.30,286/-

After 1/4 deduction = Rs.22,714.50/-

Loss of dependency

= Rs.22,714.50/- x 12 x 14 = Rs.38,16,036/-

In addition to that the claimants are entitled to Rs.1,60,000/- (40,000 x 4),

Rs.15,000/- and Rs.15,000/- for Loss of Consortium, Loss of Estate and

Funeral Expenses respectively as per the decision in National Insurance

Co. vs Pranay sethi and others (cited supra).

10.1. The enhanced amount under the different heads are

detailed hereunder:

                                       S.No.               Head                Amount granted
                                                                              by this court (Rs.)
                                  1.           Loss of dependency                    38,16,036/-
                                  2.           Loss of consortium                     1,60,000/-
                                               (Rs.40,000/- x 4)
                                  3.           Funeral expenses                         15,000/-
                                  4.           Loss of Estate                           15,000/-



https://www.mhc.tn.gov.in/judis



                                     S.No.                  Head                 Amount granted
                                                                                by this court (Rs.)
                                               Total                                      40,06,036/-

This amount shall carry interest at the rate of 7.5% per annum from the

date of claim petition till the date of deposit.

11. In the result,

i. The Civil Miscellaneous Appeal is partly allowed. No costs.

ii. The compensation awarded by the Tribunal is enhanced from

Rs.36,34,714/- to Rs.40,06,036/-.

iii. The appellants / claimants are directed to pay court fee for the

enhanced compensation amount, if any, within a period of four

weeks from the date of this order and the Registry is directed to

draft the decree only after receipt of the Court fee.

iv. The second respondent, the Cholamandalam MS General Insurance

Company Limited, Chennai, is directed to deposit the enhanced

compensation amount of Rs.40,06,036/- (less the amount already

deposited) together with interest at the rate of 7.5% per annum

from the date of claim petition till the date of deposit, in the first

instance, to the credit of M.A.C.T.O.P. 1461/2020 on the file of the

https://www.mhc.tn.gov.in/judis

Chief Judge, Court of Small Causes, Motor Accidents Claims

Tribunal, Chennai, within a period of four weeks from the date of

receipt of a copy of this order.

v. The enhanced compensation amount of Rs.40,06,036/, is

apportioned to the claimants as below:

Sangeetha (first claimant) Rs.15,06,036/-

with costs and interest Minor. S.Hemanth Kumar Rs.10,00,000/-

                                      (second claimant)
                                      Minor     S.     Maha      (third          Rs.10,00,000/-
                                      claimant)
                                      V.     Logambal           (fourth            Rs.5,00,000/-
                                      claimant)

vi. On such deposit being made, the appellants 1 and 4 are at liberty to

withdraw their share as per the apportionment made by this Court,

with costs and interest, after filing a proper petition for withdrawal.

Since the appellants 2 and 3 are minors, their share, shall be

deposited in a fixed deposit in any one of the Nationalised banks

until they attain majority.