Citation : 2024 Latest Caselaw 7536 Raj
Judgement Date : 2 September, 2024
[2024:RJ-JD:36253]
HIGH COURT OF JUDICATURE FOR RAJASTHAN
AT JODHPUR
S.B. Civil Misc. Appeal No. 2503/2017
IFFCO TOKIO General Insurance Co. Ltd., Regd. Office IFFCO
Sadan C1 Distt. Centre, Saket, New Delhi- 110017.
----Appellant
Versus
1. Smt. Shanti Devi W/o Late Nain Singh,
2. Jeewan Singh S/o Late Nain Singh,
3. Hukam Singh S/o Late Nain Singh,
4. Ganga Singh S/o Late Nain Singh,
5. Jasoda D/o Late Nain Singh,
6. Kaushlaya D/o Late Nain Singh,
7. Shiv Singh S/o Late Nain Singh,
All residents of 328, Anand Nagar, Sardar Samand Road,
Pali, Teshil Pali, District Pali Raj. Respondent Nos. 6 and 7
through natural Guardian mother Smt. Shanti Devi.
8. Nainu Kathat S/o Subhan, R/o Chittad Vadiya Salpada,
Tehsil Raipur, Police Station Sandhara, District Pali Raj.
9. Faij Mohd. S/o Madari Khan, R/o Village Khanpura, Police
Station, Ramganj, District Ajmer Raj..
----Respondents
Connected With
S.B. Civil Misc. Appeal No. 1275/2017
1. Smt. Shanti Devi W/o Late Shri Nain Singh, aged about
54 years,
2. Jeevan Singh S/o Late Shri Nain Singh, aged about 32
years,
3. Hukam Singh S/o Late Shri Nain Singh, aged about 30
years,
4. Ganga Singh S/o Late Shri Nain Singh, aged about 29
years,
5. Jasoda D/o Late Shri Nain Singh, aged about 26 years,
6. Kaushalya D/o Late Shri Nain Singh, aged about 24 years,
7. Shiv Singh S/o Late Shri Nain Singh, aged about 21
years, Appellant No. 6 To 7Are Minor Through Their
Natural Guardian Mother Smt. Shanti Devi.
(Downloaded on 03/09/2024 at 08:55:56 PM)
[2024:RJ-JD:36253] (2 of 8) [CMA-2503/2017]
All residents of 328, Anand Nagar, Sardar Samand Road,
Pali, Tehsil and District Pali.
----Appellants
Versus
1. Nainu Kathat S/o Subhan, Resident of Chitad Wadia,
Salpada, Tehsil Raipur, P.S. Sendra, District Pali. ...driver
2. Faiz Mohd. S/o Madari Khan, Resident of Village
Khanpura, P.s. Ramganj, District Ajmer. ...owner
3. IFFCO TOKIO General Insurance Co. Ltd., Regd. Office
Iffco Sadan, C-1, District Centre, Saket, New
Delhi. ...Insurance Co.
----Respondents
For Appellant(s) : Mr. Ayush Goyal on behalf of
Mr. Vinay Kothari, Insurance Co./non-
claimant No.3.
For Respondent(s) : Mr. Shanker Singh Rajpurohit, for
respondents/claimants
HON'BLE DR. JUSTICE NUPUR BHATI
Judgment 02/09/2024
1. The appellant/non-claimant No.3 and claimants, both have
filed by the instant appeals under Section 173 of the M.V. Act,
1988, challenging the validity of the judgment and award dated
02.02.2017 passed by learned Judge, Motor Accident Claims
Tribunal, Pali ('Tribunal') in MAC Case No.198/2015, whereby the
learned Tribunal has awarded compensation in favour of claimants
to tune of Rs.28,24,712/- along with interest @ 9% p.a. from the
date of filing the claim petition on account of death of Sh. Nain
Singh.
2. Briefly stated, the facts of the case are that claimants filed a
claim petition under Section 140/166 of the M.V. Act, 1988 before
the learned Tribunal claiming compensation on account of
[2024:RJ-JD:36253] (3 of 8) [CMA-2503/2017]
untimely death of their breadwinner late Sh. Nain Singh. In the
claim petition it was stated by the claimants that on 08.07.2015,
Nain Singh (deceased) was going on his motorcycle bearing
registration number RJ-22-SN-4932 from Bewar to Pali. When the
deceased reached near Jadan Bus Stand, then a Truck Trailer
bearing registration number RJ-01-GA-2440, which was being
plied by its driver, applied break of its vehicle and without using
indicator turned his vehicle, as a result of which, the deceased
who was plying his motorcycle, collided in the truck. On account of
injuries sustained by him, Sh. Nain Singh died on the spot. An FIR
of the incident was lodged at Police Station Shivpura, District Pali
as FIR No.88/2015. Charge Sheet (Ex.1) was filed against Nainu
Kathat, driver/non-claimant No.1 of the offending vehicle in the
competent court. In the claim petition, it was alleged that the
deceased was 52 years of age at the time of accident and he was
doing the works of RCC and by doing the aforesaid work, he was
earning Rs.17,000/- per month. The claimants thus by filing the
claim petition claimed compensation of Rs.91,63,000/- under
various heads.
3. The non-claimants were summoned. After service of the
summons, nobody appeared on behalf of non-claimants No.1 and
2, therefore, exparte proceedings were ordered against them on
27.04.2016. On behalf of non-claimant No.3 i.e. insurance
company, reply to claim petition was filed while denying the
averments therein for want of knowledge. It was stated in the
reply that the deceased was plying the motorcycle without
wearing helmet and he was not having valid and effective licence
and the accident occurred due to his own negligence. It was
[2024:RJ-JD:36253] (4 of 8) [CMA-2503/2017]
further stated by the non-claimant No.3 that driver of the
offending Truck Trailer was also not having valid and effective
licence and thus on account of violation of conditions of the policy,
the liability of paying compensation could not have been fastened
upon the insurance company. It was further stated that the
claimants have claimed excess amount of compensation and
prayed for dismissal of the claim petition.
4. As per the pleadings of the parties, the learned Tribunal
framed four issues, including relief. In support of their claim, the
claimants examined two witnesses, viz. AW.1 Shanti Devi and
AW.2 Firoz. In documentary evidence, the claimants exhibited 25
documents. On behalf of non-claimants, no evidence was led.
5. The learned Tribunal, after hearing the arguments of the
parties and perusing the material placed before, it vide judgment
and award dated 02.02.2017 proceeded to partly allowed claim
petition and awarded compensation of Rs.28,24,712/- along with
interest @ 9% per annum from 15.10.2015, the date of filing of
claim petition while holding all the non-claimants jointly and
severally liable to pay the aforesaid compensation.
6. The claimants by way of filing the misc. appeal have prayed
for enhancement of the compensation and the non-claimant No.3/
insurance company has challenged the judgment and award.
7. Learned counsel appearing for the appellant insurance
company submits that the learned Tribunal has erred in deducting
1/5th of the income of the deceased towards his own expenses. He
submits that looking to number of dependents i.e. rightful
claimants who were four in number, the deduction ought to have
been 1/4th made, inasmuch as three sons of the deceased were
[2024:RJ-JD:36253] (5 of 8) [CMA-2503/2017]
major. Learned counsel for the appellant further submits that the
learned Tribunal has also erred in awarding 15% future prospects,
which deserves to be 10% looking to the age of the deceased and
the nature of job, inasmuch as the deceased was self-employed.
Learned counsel for the appellant/non-claimant No.3 further
submits that the learned Tribunal has also erred in awarding
consortium/loss of care and guidance for each claimants at
Rs.1,00,000/-, which in view of Guidelines laid down by the
Rajasthan State Legal Services Authority and in view of judgment
passed by Hon'ble Court in the case of National Insurance Co.
Ltd v. Pranay Sethi : 2017 (16) SCC 680 deserves to be
reduced and modified. Learned counsel for the appellant/non-
claimant No.3 further submits that the compensation awarded
under the heads of loss of estate and funeral expenses are also on
higher side and the same also deserve to be reduced.
8. On the other hand, learned counsel appearing for claimants
opposes the submissions made by counsel for the insurance
company and submits that the compensation awarded by the
learned Tribunal is not adequate and the same deserves to be
enhanced. Learned counsel for the appellant submits that the
monthly income of the deceased was Rs.17,000/- per month,
however, the learned Tribunal has assessed the yearly income of
the deceased at Rs.1,97,600/- and the future prospects awarded
@ 15% is on lower side and the same deserves to be 50%.
Learned counsel for the claimants further submits that the learned
Tribunal has applied the multiplier of 11, which is also on lower
side and the same deserves to be 18. Learned counsel for the
claimants further submits that the compensation awarded under
[2024:RJ-JD:36253] (6 of 8) [CMA-2503/2017]
other heads also deserves to be enhanced suitably along with
interest @ 12% p.a. Learned counsel for the claimants thus
prayed for enhancement of the compensation.
9. I have considered the submissions made by counsel for the
parties at length and have perused the material available on
record.
10. This Court finds considerable force in the submissions made
by counsel for the appellant/insurance company that the learned
Tribunal has erred in deducting 1/5 th of the income of the
deceased towards own expenses, inasmuch as three sons of the
deceased were major and, therefore, the deduction ought to have
been 1/4th made from the income of the deceased. This Court also
finds that the learned Tribunal has also erred in awarding 15%
future prospects, which deserves to be 10% looking to the age of
the deceased and the nature of job. The learned Tribunal has also
erred in awarding consortium/loss of care and guidance for each
claimants at Rs.1,00,000/-. The learned Tribunal has also awarded
excess compensation towards loss of estate and funeral expenses,
which also deserves to be reduced.
11. This Court also considered the submissions made by counsel
for the claimants with regard to awarding 50% future prospects. It
is seen that the learned Tribunal assessed the yearly income of the
deceased at Rs.1,97,600/- while relying upon Ex.25 [Income Tax
Return] and looking to the age of the deceased (52 years 8
months and 27 days) 50% future prospects could not have been
awarded, rather the same deserves to be reduced to 10%. This
Court also finds that the compensation awarded under other heads
viz. consortium/loss of care and guidance for each claimants at
[2024:RJ-JD:36253] (7 of 8) [CMA-2503/2017]
Rs.1,00,000/-, loss of estate and funeral expenses are also on
higher side and the same also deserves to be suitably reduced.
The claimants are thus held entitled to get compensation under
the head of consortium/loss of care and guidance @ Rs.48,000/-
for each claimant and the claim awarded by the learned Tribunal
under the heads of loss of estate and funeral expenses is also
reduced to Rs.18,000/- each. This Court finds no force in the misc.
appeal filed by the claimants seeking enhancement of the
compensation.
12. Accordingly, the compensation awarded by the learned
Tribunal towards the loss of income is required to be re-quantified
in view of law laid down by Hon'ble Apex Court in the case of
Sarla Verma v. Delhi Transport Corporation : AIR 2009 SC
3104, which is as under: -
Yearly income of the deceased : Rs.1,97,600/- as per Ex.25.
Calculation: Rs.1,97,600/- x 11 = 21,73,600/-
Add: Future Prospects (10%) = 2,17,360/-
23,90,960/-
Less: ¼ deduction 5,97,740/-
Loss of Income 17,93,220/-
13. Accordingly, the compensation is accordingly re-quantified as
under: -
S. No. Particulars Amount
1. Compensation towards loss of income while adding Rs.17,93,220/-
10% towards future prospects along with multiplier of 11.
2. Consortium [48,000 x 7 = 3,36,000/-] Rs. 3,36,000/-
3. Loss of Estate Rs.18,000/-
4. Funeral Expenses Rs.18,000/-
Gross Total Rs.21,65,220/-
14. Accordingly and in view of above discussion, the misc. appeal
filed by the appellant insurance company is partly allowed and
[2024:RJ-JD:36253] (8 of 8) [CMA-2503/2017]
appeal filed by the claimants seeking enhancement of the
compensation is dismissed, as no case for enhancement of
compensation is made out. The claimants are thus held entitle to
get compensation of Rs.21,65,220/- instead of Rs.28,21,712/-
as awarded by the learned Tribunal. The amount of compensation
is thus reduced by Rs.6,56,492/-. The judgment and award
dated 02.02.2017 passed by the learned MACT, Pali in MAC Case
No.198/2015 is modified. The compensation re-determined by this
judgment, shall carry interest as awarded by the learned Tribunal
from the date of filing of claim petition. It is, however, made clear
that no interest shall be payable on the amount awarded under
the heads of consortium, funeral and loss of estate, inasmuch as
the amount awarded carries an increase of 10% every three year,
in view of judgment passed by a Coordinate Bench of this Court in
the case of Rasal Kanwar v. Harish Chand : S.B. Civil Misc. Appeal
No.1099/2019 decided on 20.03.2024.
(DR. NUPUR BHATI),J 2 & 3-DJ/-
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