Citation : 2025 Latest Caselaw 686 Raj
Judgement Date : 9 May, 2025
[2025:RJ-JD:24242]
HIGH COURT OF JUDICATURE FOR RAJASTHAN AT
JODHPUR
S.B. Civil Misc. Appeal No. 915/2004
1. Smt. Nanidevi wife of Shri Asharam Gameti
2. Sh. Khuma father of Ramji Gameti
3. Smt. Amaribai wife of Khumaji Gameti
4. Sh. Bhagwanlal father of Asharam Gameti, aged about 12
years.
5. Ms. Pappu Kumari daughter of Asharam Gameti, aged about
10 years.
6. Ms. Dipi Kumari daugher of Asharam Gameti, aged about 8
years.
7. Ms. Mohani Kumar daughter of Asharam Gameti, aged about 6
years.
8. Ms. Rajkumari daughter of Asharam Gameti, aged about 4
years.
9. Ms. Kanku Kumari daughter of Asharam Gameti, aged about 2
years.
(all the minors through natural guardian of Claimant No.1- Smt.
Nainidevi) and all are resident of Village Bandiya, Tehsil
Ralmagara, District Rajsamand.
----Claimants
Versus
1. Sh. Rajulal father of Shankar Lal Purohit, resident of
Chikalvas, Tehsil Nathdwara, District Rajsamand.
2. Sh. Sanker father of Pratapji Purohit Brahmin resident of
Chikalvas, Tehsil Nathdwara, District Rajsamand.
3. The United India Insurance Company Ltd., Udaipur.
----Respondent
For Appellant(s) : Mr. Rishabh Shrimali, Advocate
For Respondent(s) : Mr. Vishal Raj mehta, Advocate
Mr. Nikhil Ajmera, Advocate and
Mr. Lokendra Singh Chundawat,
Advocate for
Mr. Sandeep Saruparia, Advocate
HON'BLE MR. JUSTICE SANDEEP SHAH
Order
Reserved on: 09/05/2025 Pronounced on: 22/05/2025
[2025:RJ-JD:24242] (2 of 8) [CMA-915/2004]
1. The present Civil Miscellaneous Appeal has been filed by the
claimants, praying for enhancement of the amount as awarded in
their favour by the learned Motor Accident Claim Tribunal,
Rajsamand, in MAC case No.49/2003 (Smt. Nani Devi & Ors. v.
Rajulal & Ors.), whereby, by way of judgment and award dated
15.01.2004, an amount of Rs.2,70,000/- along with interest @9%
per annum (from the date of filing of the application
i.e., 24.01.2003) was awarded in favour of the claimants.
2. The brief facts of the case, as stated in the claim petition,
are that the deceased, Asharam, was riding a scooter at
approximately 5:30 PM on 30.12.2002, traveling from Pakhand to
Salore. At the same time, bus no. RJ-26-P-0178, coming from the
opposite direction, was driven rashly and negligently by its driver,
resulting in a collision with Asharam, which led to his death.
Shankar Lal, who was riding as a pillion, also sustained various
injuries. Separate claim applications were filed by the legal
representatives of Asharam and by Shankar Lal. However, both
applications were decided together by way of common judgment
and award dated 15.01.2004.
3. The learned Tribunal, while deciding issues no. 3 and 5,
determined the quantum of compensation and all other issues
concerning the negligence of the driver and the insurance status
of the vehicle were decided in favour of the claimant. While
deciding the issue nos.3 & 5 the learned Tribunal treated the
income of deceased- Asharam as Rs.1800/- and deducted 1/3 rd as
his personal expenses from the above mentioned income while
determining the quantum of compensation. The age of the
deceased was treated as 35 years and the factor of 17 was applied
[2025:RJ-JD:24242] (3 of 8) [CMA-915/2004]
by the learned Tribunal. As far as funeral expenses is concerned
Rs.4000/- were awarded and for loss of consortium Rs.20,000/-
were awarded. Thus the total of Rs.2,70,000/- was awarded to the
appellants.
4. The learned counsel for the appellant submitted that both
the claim petition and the statement of AW-1, Nani Bai (wife of the
appellant), clearly indicated that the deceased's monthly income
was ₹5,000. However, without any substantiated basis and despite
the absence of cross-examination, the learned Tribunal assessed
the income at ₹1,800. Regarding the income, the statements
provided by AW-1, Nani Bai, are very unambiguous. Therefore,
the learned Tribunal erred in assessing the deceased's income at
₹1,800 when calculating the quantum of compensation.
Furthermore, it has been asserted that the amount awarded for
loss of consortium is inadequate and does not align with the
judgment of the Hon'ble Supreme Court in National Insurance Co.
Ltd. v. Pranay Sethi & Ors. (2017) 16 SCC 680. The same is the
position for the amounts awarded for loss of estate and funeral
expenses. Additionally, it has been asserted that the deduction for
personal expenses was incorrectly calculated as one-third,
whereas it should have been one-fifth, given that the number of
dependents exceeded six. In determining the deduction, the
learned Tribunal did not consider the authoritative pronouncement
of the Hon'ble Supreme Court in Sarla Verma & Ors. v. Delhi
Transport Corporation & Anr. (2009) 6 SCC 121.
5. On the other hand, the counsel for the respondent--
Insurance Company--has supported the award, stating that the
learned Tribunal rightly assessed the deceased's income at ₹1,800
[2025:RJ-JD:24242] (4 of 8) [CMA-915/2004]
per month. This assessment was based on the testimony of the
appellant's wife, Smt. Nani Bai, who was uncertain about her
husband's current earnings and mentioned that approximately 15
years ago, he earned ₹5,000 per month. This indicates that the
income figure was speculative and lacked substantiation. However,
the respondent's counsel did not dispute the deduction factor
applied, which aligns with the guidelines established in the Sarla
Verma case. Additionally, the counsel was not in a position to
dispute the amounts which were to be awarded under the heads
of funeral expenses, loss of estate, and loss of consortium, as per
the judgment in Pranay Sethi, referred to supra.
6. The counsel for the other respondents i.e. the driver and the
owner have supported the stand taken by the counsel for the
respondent- Insurance Company.
7. Heard the counsel for both the sides and having perused the
record, it is evident that the appellant's wife, Smt. Nani Bai (AW-
1), consistently stated that her husband's monthly income was
₹5,000. This assertion was also reflected in their claim petition. In
contrast, the respondent--Insurance Company did not cross-
examine the witness regarding the deceased's income. Instead,
during cross-examination, they inquired about the income the
deceased earned 15 years prior to the incident. Further, AW-2
Shankar had also specified that he used to earn Rs.4000/- and
the deceased Asharam used to earn Rs.5000/- per month. It has
further been stated that he used to work along with Asharam
under Lalu Ram, Contractor. It is clear that as far as the income
part is concerned the averment made by the claimant remains
uncontroverted. The learned Tribunal without any basis has come
[2025:RJ-JD:24242] (5 of 8) [CMA-915/2004]
to the conclusion that if the deceased was earning Rs.5000/-
fifteen years ago, there was no reason to believe he was still
earning the same amount at the time of his death.
8. The above mentioned aspect might be a consideration for
awarding compensation while treating the income to be enhanced
after 15 years of initial income but by no chance the income can
be treated to less than the income which was shown to have been
earned 15 years back. Thus there was no justification for the
learned Tribunal to have treated the income of the deceased as
Rs.1800/- per month. Thus the finding on issue no.3 to the extent
of the monthly income ascertained as Rs.1800/- deserves to be
quashed and rather the income to be treated for calculation of the
compensation should have been treated as Rs.5000/- per month.
9. The learned Tribunal also did not considered the aspect of
future prospects and also has wrongly deducted one-third amount
for personal expenses from the monthly income. Taking guidance
from the judgments passed by the Hon'ble Apex Court from
"Sarla Verma & Ors. v. Delhi Transport Corporation & Anr.",
as referred to (supra). It has been specified 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 standardised deductions. Having 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.
[2025:RJ-JD:24242] (6 of 8) [CMA-915/2004]
10. In the present case, admittedly the number of dependent
family members of the deceased were more than six (7 in total).
Thus, the deduction should have been 1/5th as per the judgment of
the Hon'ble Apex Court. However, the learned Tribunal has
deducted 1/3rd and thus the award to that extent needs to be
modified. Thus, the total sum to be calculated would be as
such:-
Income per month:5000-1/5th (1,000)= 4000
Compensation =5,000 X 12 X 17= 8,16,000 was to be
awarded.
11. As far as, the future prospects are concerned, the Hon'ble
Apex Court in the judgment of "National Insurance Co. Ltd. v.
Pranay Sethi & Ors. (2017) 16 SCC 680" referred to (supra)
as specified under para 59.4 held as under:
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.
12. In the present case, since the deceased was not a salaried
employee but was self-employed and was 35 years of age at the
time of accident, therefore, 40% future prospects were required to
be added which has not been considered by the learned Tribunal.
The sum would be as under:-
8,16,000 X 40%= 3,26,400
[2025:RJ-JD:24242] (7 of 8) [CMA-915/2004]
13. Learned counsel for the petitioner has also prayed for
compensation under the head of loss of consortium, loss of estate
and funeral expenses. Under the abovementioned head,
Rs.20,000/- has been granted as a combined consortium for all
the dependents and Rs. 4,000/- has been awarded as funeral
expenses by the learned Tribunal. After elaborate consideration to
the various factors under which compensation is to be granted and
the reasonable figures on conventional heads, the Hon'ble Apex
Court in the case of "National Insurance Co. Ltd. v. Pranay
Sethi & Ors. (2017) 16 SCC 680" in para 59.8 has held as
under:-
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.
14. The judgment in above mentioned case was pronounced in
the year 2017 and as far as conventional head is concerned, there
is a specific direction that the amount as mentioned in the
judgment (i.e. Rs.15,000 for loss of estate, Rs.40,000/- as loss of
consortium and Rs.15,000/- for funeral expenses) is required to
be enhanced @10% in every 3 years. Thus, the figures above
mentioned are required to be enhanced in every 3 years. While
taking guidance from the same, the loss of estate to be awarded
to the claimant would come to Rs.18,000/-, funeral expenses
would again work out to Rs.18,000/- and as far as loss of
consortium is concerned, the same would come out to be
Rs.48,000/- per claimant. Thus, in total, the amount under the
[2025:RJ-JD:24242] (8 of 8) [CMA-915/2004]
head of loss of consortium should be 48,000 X 9 = 4,32,000.
This, of course, would be subject to adjusting the amount of
Rs.20,000/- as far as loss of consortium and Rs.4,000/- under the
head of funeral expenses as granted by the learned Tribunal.
15. Thus, the award in question is modified accordingly and the
total sum for which the claimant is entitled is worked out as
under:-
Calculation of Award under MACT Compensation 4000 X 12 X 17= 8,16,000 Future Prospects (40%) 40% of 8,16,000= 3,26,400 Loss of consortium 48,000 x 9 (9 claimants)= 4,32,000 Loss of estate 18,000 Funeral expenses 18,000 Amount already awarded -2,70,000 (including loss of consortium and funeral expenses) Enhanced Award 13,40,400
16. It is thus held that the appellants are entitled for enhanced
compensation to the tune of Rs.13,40,400/- over and above, what
has been awarded by the learned Tribunal by way of award
impugned. It is further directed that the appellants shall be
entitled to interest @ 6% per annum from the date of filing of the
claim petition (i.e., 24.01.2003) upon the enhanced amount till
the date of its realization. The award impugned is thus modified
accordingly, while enhancing the amount of compensation. The
appeal is thus disposed of in terms of the enhancement as
specified above.
17. Record of the trial court be sent back forthwith.
(SANDEEP SHAH),J 38-mohit/-
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