[Cites 7, Cited by 0]

Punjab-Haryana High Court

Tarifa And Others vs Ganga Prasad And Others on 10 December, 2025

Author: Sudeepti Sharma

Bench: Sudeepti Sharma

FAO-3992-2025                              -1-


              IN THE HIGH COURT OF PUNJAB & HARYANA
                           AT CHANDIGARH


                                                   FAO-3992-2025
                                                   Reserved on: 03.12.2025
                                                   Date of decision: 10.12.2025
                                                   Uploaded on: 10.12.2025

TARIFA AND OTHERS

                                                                     ......Appellants

                                   Vs.

GANGA PRASAD AND ORS.
                                                                   ......Respondents


CORAM: HON'BLE MRS. JUSTICE SUDEEPTI SHARMA

Present:      Mr. Digvijay, Advocate
              for Mr. Ashish Gupta, Advocate
              for the appellants.

              Mr. Lalit Garg, Advocate
              for respondent No.3-Insurance Company.

              ****

SUDEEPTI SHARMA J.

1. The present appeal has been preferred against the award dated

05.04.2024 passed in the claim petition filed under Section 166 of the Motor

Vehicles Act, 1988 (in short '1988 Act'), by the learned Motor Accident

Claims Tribunal, Nuh (in short 'the Tribunal') for enhancement of

compensation, granted to the appellants/claimants to the tune of

Rs.18,16,048/- along with interest @ 7% per annum on account of death of

deceased Sakir @ Mohd. Sakir in a Motor Vehicular Accident, occurred on

29.12.2018.

1 of 12

2. As sole issue for determination in the present appeal is confined

to quantum of compensation awarded by the learned Tribunal, a detailed

narration of the facts of the case is not required to be reproduced and is

skipped herein for the sake of brevity.

SUBMISSIONS OF LEARNED COUNSEL FOR THE PARTIES

3. The learned counsel for the appellants/claimants contends that

the compensation awarded by the learned Tribunal is on the lower side and

deserves to be enhanced.

4. Therefore, he prays that the present appeal be allowed and the

compensation awarded to the appellants/claimants be enhanced, as per latest

law.

5. Per contra, learned counsel for the respondent No.3-Insurance

Company, however, vehemently argues on the lines of the award and

contends that the amount of compensation as assessed by Ld. Tribunal, has

rightly been granted to the appellants/claimants. Therefore, he prays for

dismissal of the present appeal.

6. I have heard learned counsel for the parties and perused the

whole record of this case.

SETTLED LAW ON COMPENSATION

7. Hon'ble Supreme Court in the case of Sarla Verma Vs. Delhi

Transport Corporation and Another [(2009) 6 Supreme Court Cases 121],

laid down the law on assessment of compensation and the relevant paras of

the same are as under:-

"30. Though in some cases the deduction to be made towards

personal and living expenses is calculated on the basis of units

indicated in Trilok Chandra, the general practice is to apply

2 of 12

standardised deductions. Having a considered several

subsequent decisions of this Court, we are of the view that

where the deceased was married, the deduction towards

personal and living expenses of the deceased, should be one-

third (1/3rd) where the number of dependent family members is

2 to 3, one-fourth (1/4th) where the number of dependent family

members is 4 to 6, and one-fifth (1/5th) where the number of

dependent family members exceeds six.

31. Where the deceased was a bachelor and the claimants are

the parents, the deduction follows a different principle. In

regard to bachelors, normally, 50% is deducted as personal and

living expenses, because it is assumed that a bachelor would

tend to spend more on himself. Even otherwise, there is also the

possibility of his getting married in a short time, in which event

the contribution to the parent(s) and siblings is likely to be cut

drastically. Further, subject to evidence to the contrary, the

father is likely to have his own income and will not be

considered as a dependant and the mother alone will be

considered as a dependant. In the absence of evidence to the

contrary, brothers and sisters will not be considered as

dependants, because they will either be independent and

earning, or married, or be dependent on the father.

32. Thus even if the deceased is survived by parents and

siblings, only d the mother would be considered to be a

dependant, and 50% would be treated as the personal and

living expenses of the bachelor and 50% as the contribution to

3 of 12

the family. However, where the family of the bachelor is large

and dependent on the income of the deceased, as in a case

where he has a widowed mother and large number of younger

non-earning sisters or brothers, his personal and living

expenses may be restricted to one-third and contribution to the

family will be taken as two-third.

* * * * * *

42. We therefore hold that the multiplier to be used should be as

mentioned in Column (4) of the table above (prepared by

applying Susamma Thomas³, Trilok Chandra and Charlie),

which starts with an operative multiplier of 18 (for the age

groups of 15 to 20 and 21 to 25 years), reduced by one unit for

every five years, that is M-17 for 26 to 30 years, M-16 for 31 to

35 years, M-15 for 36 to 40 years, M-14 for 41 to 45 years, and

M-13 for 46 to 50 years, then reduced by two units for every

five years, that is, M-11 for 51 to 55 years, M-9 for 56 to 60

years, M-7 for 61 to 65 years and M-5 for 66 to 70 years.

8. Hon'ble Supreme Court in the case of National Insurance

Company Ltd. Vs. Pranay Sethi & Ors. [(2017) 16 SCC 680] has clarified

the law under Sections 166, 163-A and 168 of the Motor Vehicles Act, 1988,

on the following aspects:-

(A) Deduction of personal and living expenses to determine

multiplicand;

(B) Selection of multiplier depending on age of deceased;

(C) Age of deceased on basis for applying multiplier;

4 of 12

(D) Reasonable figures on conventional heads, namely, loss

of estate, loss of consortium and funeral expenses, with

escalation;

(E) Future prospects for all categories of persons and for

different ages: with permanent job; self-employed or fixed

salary.

The relevant portion of the judgment is reproduced as under:-

"52. As far as the conventional heads are concerned,

we find it difficult to agree with the view expressed in

Rajesh². It has granted Rs.25,000 towards funeral

expenses, Rs 1,00,000 towards loss of consortium and Rs

1,00,000 towards loss of care and guidance for minor

children. The head relating to loss of care and minor

children does not exist. Though Rajesh refers to Santosh

Devi, it does not seem to follow the same. The

conventional and traditional heads, needless to say,

cannot be determined on percentage basis because that

would not be an acceptable criterion. Unlike

determination of income, the said heads have to be

quantified. Any quantification must have a reasonable

foundation. There can be no dispute over the fact that

price index, fall in bank interest, escalation of rates in

many a field have to be noticed. The court cannot remain

oblivious to the same. There has been a thumb rule in this

aspect. Otherwise, there will be extreme difficulty in

determination of the same and unless the thumb rule is

5 of 12

applied, there will be immense variation lacking any kind

of consistency as a consequence of which, the orders

passed by the tribunals and courts are likely to be

unguided. Therefore, we think it seemly to fix reasonable

sums. It seems to us that reasonable figures on

conventional heads, namely, loss of estate, loss of

consortium and funeral expenses should be Rs.15,000,

Rs.40,000 and Rs.15,000 respectively. The principle of

revisiting the said heads is an acceptable principle. But

the revisit should not be fact-centric or quantum-centric.

We think that it would be condign that the amount that we

have quantified should be enhanced on percentage basis

in every three years and the enhancement should be at

the rate of 10% in a span of three years. We are disposed

to hold so because that will bring in consistency in

respect of those heads.

* * * * *

59.3. While determining the income, an addition of 50%

of actual salary to the income of the deceased towards

future prospects, where the deceased had a permanent

job and was below the age of 40 years, should be made.

The addition should be 30%, if the age of the deceased

was between 40 to 50 years. In case the deceased was

between the age of 50 to 60 years, the addition should be

15%. Actual salary should be read as actual salary less

tax.

6 of 12

59.4. In case the deceased was self-employed (or) on a

fixed salary, an addition of 40% of the established

income should be the warrant where the deceased was

below the age of 40 years. An addition of 25% where the

deceased was between the age of 40 to 50 years and 10%

where the deceased was between the age of 50 to 60

years should be regarded as the necessary method of

computation. The established income means the income

minus the tax component.

59.5. For determination of the multiplicand, the

deduction for personal and living expenses, the tribunals

and the courts shall be guided by paras 30 to 32 of Sarla

Verma⁴ which we have reproduced hereinbefore.

59.6. The selection of multiplier shall be as indicated in

the Table in Sarla Verma¹ read with para 42 of that

judgment.

59.7. The age of the deceased should be the basis for

applying the multiplier.

59.8. Reasonable figures on conventional heads, namely,

loss of estate, loss of consortium and funeral expenses

should be Rs 15,000, Rs 40,000 and Rs 15,000

respectively. The aforesaid amounts should be enhanced

at the rate of 10% in every three years."

9. Hon'ble Supreme Court in the case of Magma General

Insurance Company Limited Vs. Nanu Ram alias Chuhru Ram &

Others [2018(18) SCC 130] after considering Sarla Verma (supra) and

7 of 12

Pranay Sethi (Supra) has settled the law regarding consortium. Relevant

paras of the same are reproduced as under:-

"21. A Constitution Bench of this Court in Pranay Sethi²

dealt with the various heads under which compensation

is to be awarded in a death case. One of these heads is

loss of consortium. In legal parlance, "consortium" is a

compendious term which encompasses "spousal

consortium", "parental consortium", and "filial

consortium". The right to consortium would include the

company, care, help, comfort, guidance, solace and

affection of the deceased, which is a loss to his family.

With respect to a spouse, it would include sexual

relations with the deceased spouse.

21.1. Spousal consortium is generally defined as rights

pertaining to the relationship of a husband-wife which

allows compensation to the surviving spouse for loss of

"company, society, cooperation, affection, and aid of the

other in every conjugal relation".

21.2. Parental consortium is granted to the child upon

the premature death of a parent, for loss of "parental aid,

protection, affection, society, discipline, guidance and

training".

21.3. Filial consortium is the right of the parents to

compensation in the case of an accidental death of a

child. An accident leading to the death of a child causes

great shock and agony to the parents and family of the

8 of 12

deceased. The greatest agony for a parent is to lose their

child during their lifetime. Children are valued for their

love, affection, companionship and their role in the

family unit.

22. Consortium is a special prism reflecting changing

norms about the status and worth of actual relationships.

Modern jurisdictions world-over have recognised that the

value of a child's consortium far exceeds the economic

value of the compensation awarded in the case of the

death of a child. Most jurisdictions therefore permit

parents to be awarded compensation under loss of

consortium on the death of a child. The amount awarded

to the parents is a compensation for loss of the love,

affection, care and companionship of the deceased child.

23. The Motor Vehicles Act is a beneficial legislation

aimed at providing relief to the victims or their families,

in cases of genuine claims. In case where a parent has

lost their minor child, or unmarried son or daughter, the

parents are entitled to be awarded loss of consortium

under the head of filial consortium. Parental consortium

is awarded to children who lose their parents in motor

vehicle accidents under the Act. A few High Courts have

awarded compensation on this count. However, there was

no clarity with respect to the principles on which

compensation could be awarded on loss of filial

consortium.

9 of 12

24. The amount of compensation to be awarded as consortium will be governed by the principles of awarding compensation under "loss of consortium" as laid down in Pranay Sethi². In the present case, we deem it appropriate to award the father and the sister of the deceased, an amount of Rs 40,000 each for loss of filial consortium.

10. A perusal of the impugned award shows that the age of the

deceased was 32 years at the time of accident. The factum of age is not

disputed by either of the party before this Court. Consequently, the age of

the deceased is taken as 32 years.

11. Upon further examination of the impugned award, it is evident

that it was the case of the claimants that the deceased was employed as a

driver with M/s Aggarwal Packers and Movers, Gurugram. Moreover, no

documentary evidence establishing such employment or proving that the

deceased was gainfully employed as a driver was adduced before the learned

Tribunal. Consequently, the learned Tribunal has erroneously taken the

notional income of the deceased as that of an unskilled worker. However, the

learned Tribunal has completely overlooked the driving licence of the

deceased, which was duly exhibited and placed on record by the

appellants/claimants. In the absence of any proof of actual income or regular

employment as a driver, the notional income of the deceased is required to

be assessed on the basis of the occupation for which he was admittedly

possessed qualification and licence, i.e., that of a skilled worker/driver.

Accordingly, having regard to the minimum wages notified by the

Government of Haryana for skilled workers as prevailing on the date of the

accident, the monthly notional income of the deceased is taken as

10 of 12

₹9,887.99/-, which, for the sake of convenience and as commonly rounded

off in judicial proceedings, is treated as ₹10,000/- per month .

12. Further, the amount awarded under the heads of loss of estate,

funeral expenses and loss of consortium is on the lower side and deserves to

be enhanced. Therefore, the award requires indulgence of this Court.

CONCLUSION

13. In view of the law laid down by the Hon'ble Supreme Court in

the above referred to judgments, the present appeal is allowed. The award

dated 05.04.2024 passed by the learned Motor Accident Claims Tribunal,

Nuh is modified accordingly. The appellants-claimants are entitled to the

enhanced amount of compensation from the respondents, as per the

calculations made here-under:-

 Sr. No.                    Heads                             Compensation Awarded
      1    Monthly Income                             Rs.10,000/-
      2    Future prospects @ 40%                     Rs.4,000/- (10,000 X 40%)
      3    Deduction     towards        personal Rs.3,500/- (14000 X 1/4)


      4.   Total Income                               Rs.10,500/- (14000-3500)



      6    Annual Dependency                          Rs.20,16,000/- (10500 X 12 X 16)
      7    Loss of Estate                             Rs.18,150/-
      8    Funeral Expenses                           Rs.18,150/-
      9    Loss of Consortium                         Rs.2,42,000/-

           Spousal : Rs. 48,000/-x 1
           Parental : Rs.48,000/- x 2
           Fillian : Rs.48,000/- x 2
      10   Total Compensation                         Rs.22,94,300/-
      11   Deduction
           Amount Awarded by the Tribunal             Rs.18,16,048 /-
      12   Enhanced amount                            Rs.4,78,252/- (2294300-18,16,048)




                                           11 of 12

14. So far as the interest part is concerned, as held by Hon'ble

Supreme Court in Dara Singh @ Dhara Banjara Vs. Shyam Singh Varma

2019 ACJ 3176 and R.Valli and Others VS. Tamil Nandu State Transport

Corporation (2022) 5 Supreme Court Cases 107, the amount so

calculated shall carry an interest @ 9% per annum from the date of filing of

the claim petition, till the date of realization.

15. The respondent No.3-Insurance Company is directed to deposit

the enhanced amount along with interest at the rate of 9% (excluding the

period of delay of 345 days in filing the appeal) with the Tribunal within a

period of two months from the date of receipt of copy of this judgment. The

Tribunal is directed to disburse the same to the appellants-claimants in their

bank accounts. The appellants-claimants are directed to furnish their bank