Citation : 2025 Latest Caselaw 5646 P&H
Judgement Date : 28 November, 2025
265
IN THE HIGH COURT OF PUNJAB AND HARYANA AT
CHANDIGARH
FAO-1584-2023 (O&M)
Date of Decision: 28.11.2025
PARVEEN KUMAR AND ANR. .... Appellants
VERSUS
MOHAMMAD ANIS AND ORS .... Respondents
CORAM : HON'BLE MRS. JUSTICE ALKA SARIN
Present : Mr. Amit Kumar, Advocate for
Mr. Anshumaan Dalal, Advocate
for the appellants.
Mr. Ashwani Talwar, Senior Advocate with
Mr. Deepak Goyat, Advocate
for respondent No.3.
ALKA SARIN, J. (ORAL)
1. The present appeal has been preferred by the claimant-appellants
aggrieved by the quantum of compensation awarded by the Motor Accident
Claims Tribunal, Rohtak (hereinafter referred to as the 'Tribunal') vide award
dated 02.01.2023.
2. Since the factum of the accident is not in dispute, the facts, as
recorded in the impugned award passed by the Tribunal, are not being
adverted to herein for the sake of brevity.
3. The Tribunal in the present case had awarded the following
compensation :
FAO-1584-2023 (O&M) -2-
Sr. No. Heads Compensation Awarded
1. Monthly income ₹8,000
2. Deduction 1/3rd [₹8,000 -₹2,665] = ₹5,335
3. Annual income [₹5,335 x 12] = ₹64,020
(rounded off to ₹64,000)
4. Multiplier of 16 [₹64,000 x 16] = ₹10,24,000
5. Funeral expenses ₹15,000
6. Loss of estate ₹15,000
7. Loss of consortium ₹40,000
Total Compensation ₹10,94,000
Interest @ 6.00% per annum
4. Learned counsel for the claimant-appellants would contend that
the income of the deceased has wrongly been assessed as ₹8,000 per month
by the Tribunal which ought to have been assessed as per the minimum wages
applicable to a skilled worker i.e. ₹11,235 per month keeping in view the fact
that the deceased was running a stitching and training center under the name
of 'Sudesh Silai Centre'. It is further contended that even otherwise in the
absence of any evidence if the deceased is treated as a homemaker the income
would have to be assessed as that of a skilled worker. Reliance is placed upon
the judgment of the Hon'ble Supreme Court in Kirti & Anr. vs. Oriental
Insurance Company Ltd. [2021 (1) RCR (Civil) 478]. Learned counsel
would further contend that the multiplier of '16' has wrongly been applied by
the Tribunal, whereas it ought to have been '17' keeping in view the age of
the deceased being 30 years at the time of the accident. It is further the
contention of the learned counsel that no addition has been made towards
future prospects which ought to have been 40%. Learned counsel would still
further contend that though the claimant-appellants do not challenge the
FAO-1584-2023 (O&M) -3-
deduction as made by the Tribunal, however, the amounts awarded under the
head 'loss of consortium' and under the conventional heads i.e. loss of estate
and funeral expenses are on the lower side. In support of his contentions the
learned counsel for the claimant-appellants has relied upon the judgments of
the Hon'ble Supreme Court in the cases of Sarla Verma & Ors. vs. Delhi
Transport Corporation & Anr. [(2009) 6 SCC 121], National Insurance
Company Ltd. vs. Pranay Sethi & Ors. [(2017) 16 SCC 680], Magma
General Insurance Company Limited vs. Nanu Ram alias Chuhru Ram
& Ors. [(2018) 18 SCC 130] and N. Jayasree & Ors. vs. Cholamandalam
M.S General Insurance Company Ltd. [2021(4) RCR (Civil) 642].
5. Per contra, the learned senior counsel appearing on behalf of
respondent No.3-Insurance Company has vehemently argued that sufficient
amount has already been awarded as compensation in the present case and
that there is no scope of any enhancement.
6. Heard.
7. In the present case the Tribunal has assessed the income of the
deceased as ₹8,000 per month. Though there is no evidence qua the income
being earned by way of stitching, however, even if the deceased was to be
considered as a homemaker, the income would have to be assessed as that of
a skilled worker. The Hon'ble Supreme Court in the case of Kirti (supra),
while emphasizing upon the contribution made by a homemaker and the
services rendered by a woman in a household, observed that there can be no
exact calculation or formula that can ascertain the actual value provided by a
homemaker gratuitously. In order to streamline the calculation of notional
FAO-1584-2023 (O&M) -4-
income for homemakers and the grant of future prospects with respect to them
for the purposes of assessing the compensation, the following principles were
laid by the Hon'ble Supreme Court:
"42. Therefore, on the basis of the above, certain general
observations can be made regarding the issue of
calculation of notional income for homemakers and the
grant of future prospects with respect to them, for the
purposes of grant of compensation which can be
summarized as follows:
a. Grant of compensation, on a pecuniary basis,
with respect to a homemaker, is a settled
proposition of law.
b. Taking into account the gendered nature of
housework, with an overwhelming percentage of
women being engaged in the same as compared to
men, the fixing of notional income of a homemaker
attains special significance. It becomes a
recognition of the work, labour and sacrifices of
homemakers and a reflection of changing attitudes.
It is also in furtherance of our nation's international
law obligations and our constitutional vision of
social equality and ensuring dignity to all.
c. Various methods can be employed by the
Court to fix the notional income of a homemaker,
FAO-1584-2023 (O&M) -5-
depending on the facts and circumstances of the
case.
d. The Court should ensure while choosing the
method, and fixing the notional income, that the
same is just in the facts and circumstances of the
particular case, neither assessing the compensation
too conservatively, nor too liberally.
e. The granting of future prospects, on the
notional income calculated in such cases, is a
component of just compensation."
In the present case, considering the extensive contribution of the
deceased in the household and in the absence of any evidence regarding her
exact income, this Court deems it appropriate to assess the income of the
deceased as per the minimum wages applicable to a skilled worker at the
relevant point of time, which were ₹11,235 per month. Accordingly, the
income of the deceased is assessed as ₹11,235 per month.
8. The Tribunal has though rightly made a deduction to the extent
of 1/3rd, however, a multiplier of '16' has wrongly been applied. As per the
law laid down by the Hon'ble Supreme Court in the case of Sarla Verma
(supra), multiplier of '17' would be applicable keeping in view the age of the
deceased being 30 years at the time of the accident. Further, no amount has
been awarded towards future prospects. As per the law laid down by the
Hon'ble Supreme Court in the case of Pranay Sethi (supra), 40% addition is
made towards future prospects.
FAO-1584-2023 (O&M) -6-
9. The amount awarded under the conventional heads i.e. loss of
estate and funeral expenses and under the head 'loss of consortium' are on the
lower side. As per the law laid down by the Hon'ble Supreme Court in the
cases of Pranay Sethi (supra), Magma General Insurance Company
Limited (supra) and N. Jayasree (supra), the claimant-appellants would be
entitled to ₹18,000 (₹15,000 + 20% increase) towards loss of estate and
₹18,000 (₹15,000 + 20% increase) towards funeral expenses. The claimant-
appellants, being the husband and the son of the deceased, would also be
entitled to ₹48,000 each (₹40,000 + 20% increase) towards loss of consortium.
10. Accordingly, the reworked compensation to which the claimant-
appellants are entitled to is as under :
Sr. No. Heads Compensation Awarded
1. Monthly income ₹11,235
2. Annual income [₹11,235 x 12] = ₹1,34,820
3. Deduction 1/3rd [₹1,34,820 - ₹44,940] = ₹89,880
4. Future prospects @ 40% [₹89,880 + ₹35,952] = ₹1,25,832
5. Multiplier '17' [₹1,25,832 x 17] = ₹21,39,144
6. Loss of estate ₹18,000
7. Funeral expenses ₹18,000
8. Loss of Consortium :
(i) Parental ₹48,000
(ii) Spousal ₹48,000
[Total ₹96,000]
Total Compensation ₹22,71,144
11. The amount in excess of and over and above the amount awarded
by the Tribunal shall also attract interest @7.5% per annum from the date of
filing of the claim petition till the realization of the entire amount. The amount
shall be apportioned between the claimant-appellants as directed by the
FAO-1584-2023 (O&M) -7-
Tribunal.
12. In view of the decision by the Hon'ble Supreme Court in
Parminder Singh vs. Honey Goyal & Ors. [AIR 2025 (SC) 1713], after
calculation of the enhanced amount, the same be transferred by respondent
No.3-Insurance Company in the bank account(s) of the claimant-appellants
within a period of six weeks from today. The share of the minor claimant-
appellant No.2 shall be kept in an FDR with a nationalized bank fetching
maximum rate of interest. The particulars of the bank account(s) along with
the requisite documents in support thereof shall be furnished by the claimant-
appellants to respondent No.3-Insurance company within a period of two
weeks from today and needful shall be done by respondent No.3-Insurance
Company after verification thereof within a period of four weeks thereafter
along with up-to-date interest. The compliance shall be reported by the Bank
to the Tribunal concerned.
13. In view of the above discussion, the present appeal is allowed
and the award passed by the Tribunal is modified accordingly. Pending
applications, if any, also stand disposed off.
28.11.2025 (ALKA SARIN) Aman Jain JUDGE
NOTE: Whether speaking/non-speaking: Speaking Whether reportable: Yes/No
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