Friday, 08, May, 2026
 
 
 
Expand O P Jindal Global University
 
  
  
 
 
 

The Divisional Manager vs A.Lakshmi
2025 Latest Caselaw 92 Mad

Citation : 2025 Latest Caselaw 92 Mad
Judgement Date : 1 April, 2025

Madras High Court

The Divisional Manager vs A.Lakshmi on 1 April, 2025

                                                                                         CMA.No.976 of 2025


                                  IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                                      Dated :01.04.2025

                                                           CORAM:

                                  THE HONOURABLE MR.JUSTICE S.SOUNTHAR


                                            CMA No.976 of 2025 and
                                              C.M.P.No.7767 of 2025
                       The Divisional Manager
                       The United India Insurance company Limited,
                       No.13-A SBI Complex,
                       Nethaji Road, Manjakuppam, Cuddalore 607 001                            ... Appellant

                                                                Vs.
                       1. A.Lakshmi
                       2.A.Ananth
                       3.A.Asha
                       4.Minor A.Arthi
                       5.Minor A.Anushiya
                        (Minors 4 and 5 are represented by
                         1st petitioner)
                        K.Dhandapani(Died)
                       6. K.Babu                                                         ... Respondents
                       Prayer: Civil Miscellaneous Appeal filed under Section 173 of Motor
                       Vehicle Act, to set aside the award passed in MCOP No. 1020 of 2020
                       dated 10.01.2024 on the file of the Learned Motor Accidents Claims
                       Tribunal (Special District Court) Cuddalore.
                                      For Appellant         : Mr.J.Chandran
                                      For respondents       : M/s.Ramya V.Rao for R1 to R5
                                                             R6-Notice dispensed with


                       Page 1 of 11




https://www.mhc.tn.gov.in/judis                ( Uploaded on: 17/04/2025 12:31:56 pm )
                                                                                            CMA.No.976 of 2025



                                                    JUDGMENT

The Civil Miscellaneous Appeal is filed challenging the award

passed by the Motor Accident Claims Tribunal, Special District Court,

Cuddalore by the insurance company.

2. It was the case of the respondents 1 to 5/claimants 1 to 6 that

the husband of the first claimant, father of the claimants 2 to 5 and son

of the deceased 6th claimant namely Azhagesan died in a road accident

that had taken place on 10.07.2020. According to the claimants, the

deceased was driving his two-wheeler in Cuddalore to Vridhachalam

main road. When he came near V.Sathamangalam new bus stand, an

Ashok Leyland goods carrier belonged to the 6th respondent, insured

with the appellant came in a rash and negligent manner and dashed

against the two-wheeler. As a result of the accident, the deceased

sustained grievous injuries and died. Therefore, the claim petition was

filed seeking compensation of Rs.50,00,000/-

https://www.mhc.tn.gov.in/judis ( Uploaded on: 17/04/2025 12:31:56 pm )

3. The 6th respondent remained exparte before the Tribunal and

the claim petition was contested only by the appellant/ insurance

company, on the ground that the accident had occurred only due to the

rash and negligent driving of the deceased.

4. The Tribunal, based on the evidence of P.W.2 and the contents

of Ex.P1, FIR and Ex.P5, final report, came to the conclusion that the

accident had occurred due to the negligence on the part of the driver of

the vehicle insured with the appellant/ insurance company. The

compensation payable to the claimants was quantified at Rs.

29,88,000/-.Aggrieved by the same, the insurance company has come

before this court by way of this appeal.

5. The learned counsel for the appellant/Insurance Company

submitted that the deceased did not possess a valid driving license at

the time of accident. Therefore, the tribunal should have fixed

contributory negligence on his part. He further submitted that the

https://www.mhc.tn.gov.in/judis ( Uploaded on: 17/04/2025 12:31:56 pm )

notional income of Rs.18,000/- fixed by the tribunal is on higher side. It

is also stated by him that the amount awarded by the tribunal under

conventional damages is also on higher side.

6. The learned counsel for the respondents 1 to 5/ claimants

submitted that mere failure to produce the valid driving license is not a

ground to fix contributory negligence. The learned counsel also

submitted that the deceased had six dependents at the time of accident

including one son and three unmarried daughters. Therefore, the

tribunal was justified in fixing Rs.18,000/- per month as notional

income.

7. The Hon'ble Apex Court in the case of Sudhir Kumar Rana

Vs Surinder Singh and Others reported in (2008) 12 SCC 436

categorically held that mere failure to produce a valid driving license is

not a ground to fix contributory negligence on the part of the deceased

unless there is a positive evidence to show that he also contributed to

the accident. In the case on hand, there is no positive evidence to

https://www.mhc.tn.gov.in/judis ( Uploaded on: 17/04/2025 12:31:56 pm )

suggest that the deceased by his rash and negligence contributed to the

accident. Therefore, following the law laid down in Sudhir Kumar

Rana case cited supra, this Court holds that contributory negligence

cannot be fixed on the part of the deceased.

8. As far as the quantum of compensation is concerned, the

claimants in their petition had stated that the deceased was a contract

labourer employed in NLC India Limited and was earning a sum of Rs.

25,000/- per month. However, to prove the said plea, they have not

produced any documentary evidence. In these circumstances, the

tribunal fixed Rs.18,000/- as notional income for the deceased. Even if

there is no evidence to prove the avocation and income, this Court, by

taking into consideration the facts and circumstances of the case, can

fix a notional income.

9. It is submitted by the learned counsel for the claimants that the

deceased had a large family including three unmarried daughters and

one son. Therefore, according to him, the tribunal was justified in

fixing Rs.18,000/- as notional income.

https://www.mhc.tn.gov.in/judis ( Uploaded on: 17/04/2025 12:31:56 pm )

10. Having a large family or more dependents is not a factor

while fixing the notional income. In the absence of any evidence to

show the avocation and income, taking into consideration the date of

accident and the prevailing cost of living, the Court can fix a reasonable

amount as notional income. Therefore, taking into consideration the

facts and circumstances of the case, this Court is inclined to fix

Rs.16,500/- as notional income for the deceased. The tribunal fixed the

age of the deceased as 49 years based on Exhibit P2, Post Mortem

Report. Therefore, the claimants are entitled to 25% enhancement

towards future prospects. The applicable multiplier is 13. Since there

are six dependents, one-fourth of the amount has to be deducted

towards the personal expenses of the deceased. In that case, the loss of

dependency would be Rs.24,13,125/- which is calculated as follows:-

16,500 x 1.25 x 12 x 13 x 3/4 = Rs.24,13,125/-

11. The accident had occurred within three years from the date of

https://www.mhc.tn.gov.in/judis ( Uploaded on: 17/04/2025 12:31:56 pm )

pronouncement of judgment in Pranay Sethi case (31.10.2017).

Therefore, the first claimant is entitled to Rs.40,000/- towards loss of

consortium. The claimants 2 to 5, children of the deceased and the 6th

claimant/ father of the deceased are entitled to Rs.40,000/- each under

the heads loss of love and affection and loss of parental consortium.

Though the 6th claimant died pending original petition, the benefit of

his estate will go to his legal representatives namely the children of the

pre-deceased son/claimants 2 to 5. The benefit of the non-pecuniary

damage to the deceased 6th claimant will also go to the claimants 2 to

5. Therefore, the compensation under the head loss of love and

affection and loss of parental consortium is fixed as Rs.2,00,000/-

instead of Rs. 2,50,000/-The amount awarded by the tribunal under the

head funeral expenses is confirmed and the amount awarded under the

head transportation charges is set aside. The amount of Rs.25,000/-

awarded by the tribunal under the head loss of estate is reduced to

Rs.15,000/-. Accordingly, the total compensation payable to the

claimants is reduced to Rs.26,83,125/-.

12. In view of the discussions made earlier, the award passed by

https://www.mhc.tn.gov.in/judis ( Uploaded on: 17/04/2025 12:31:56 pm )

the Tribunal is modified as follows:-

                              Sl Description                   Amount              Amount     Award
                              .                                awarded             awarded confirmed or
                              N                                   by                by this enhanced or
                              o                                Tribunal             Court     granted
                                                                 (Rs)                (Rs)
                              1. Loss of dependency           26,32,500/- 24,13,125/              Reduced
                                                                              -
                              2. Loss of Estate                 25,000/-            15,000/-      Reduced
                              3. Funeral Expenses               15,000/-            15,000/-     Confirmed
                              4. Loss of                        50,000/-            40,000/-      Reduced
                                 Consortium(1st
                                 claimant)
                              5 Loss of love and               2,50,000/-          2,00,000       Reduced
                                affection (claimants
                                2 to 5) and loss of
                                parental consortium
                              6    Transportation               15,000/-               Nil        Set aside
                                  expenses
                                         Total                34,12,452/- 26,83,125/- Reduced by
                                                                                               Rs.3,04,875/-
                                  Less:20%contributory
                                  negligence









https://www.mhc.tn.gov.in/judis                   ( Uploaded on: 17/04/2025 12:31:56 pm )





13. With the above modifications, the Civil Miscellaneous

Appeal is partly allowed and the compensation awarded by the Tribunal

at Rs.29,88,000/- is hereby reduced to Rs.26,83,125/-. The respondents

1 to 5/claimants are entitled to interest at the rate of 7.5% per annum

from the date of filing of the claim petition till the date of realization.

The appellant /Insurance company is directed to deposit the award

amount before the Tribunal along with interest and costs, less the

amount already deposited, if any, within a period of six weeks from the

date of receipt of copy of this Judgment.

14. As far as apportionment is concerned, the claimants 2 to

5/children of the deceased are entitled to Rs.3,00,000/- each and the 1st

claimant/wife of the deceased is entitled to Rs.14,83,125/-

15. The respondents 1 to 5/claimants are permitted to withdraw

https://www.mhc.tn.gov.in/judis ( Uploaded on: 17/04/2025 12:31:56 pm )

their share of compensation amount, along with interest and costs, less

the amount if any, already withdrawn, by making proper application

before the Tribunal subject to satisfying the Tribunal about attainment

of majority by minor claimants 4 and 5. Consequently, the connected

miscellaneous petition is closed. No costs.

01.04.2025

Index:Yes/No Internet:Yes/No nr

To

1. Motor Accidents Claims Tribunal Special District Court, Cuddalore.

2. The Section Officer, VR Section, High Court, Madras.

https://www.mhc.tn.gov.in/judis ( Uploaded on: 17/04/2025 12:31:56 pm )

S.SOUNTHAR, J.

nr

CMA No.976 of 2025 and

01.04.2025

https://www.mhc.tn.gov.in/judis ( Uploaded on: 17/04/2025 12:31:56 pm )

 
Download the LatestLaws.com Mobile App
 
 
Latestlaws Newsletter
 

Publish Your Article

 

Campus Ambassador

 

Media Partner

 

Campus Buzz

 

LatestLaws Guest Court Correspondent

LatestLaws Guest Court Correspondent Apply Now!
 

LatestLaws.com presents: Lexidem Offline Internship Program, 2026

 

LatestLaws.com presents 'Lexidem Online Internship, 2026', Apply Now!

 
 

LatestLaws Partner Event : IJJ

 

LatestLaws Partner Event : Smt. Nirmala Devi Bam Memorial International Moot Court Competition

 
 
Latestlaws Newsletter