Citation : 2021 Latest Caselaw 4555 Tel
Judgement Date : 23 December, 2021
HON'BLE SRI JUSTICE P.NAVEEN RAO
AND
HON'BLE SMT. JUSTICE P.SREE SUDHA
MACMA No.1157 of 2014
JUDGMENT
(per Justice P.Sree Sudha)
1. This appeal is filed by the Andhra Pradesh State Road
Transport Corporation aggrieved by the Award dated 30.08.2013
passed in O.P.No.281 of 2012 on the file of the learned Motor
Vehicle Accidents Claims Tribunal-cum-I Additional District Judge,
Nalgonda (for short, the Tribunal).
2. Perusal of the Award shows that Mr.Chandrashekara
Sharma (deceased) met with an accident on 13.01.2013 at about
8.30 PM due to the rash and negligent driving of the driver of the
RTC Bus bearing No.AP 10Z 6745, as a result of which, he died
instantaneously. Therefore, the respondents herein filed the
aforesaid OP seeking compensation of Rs.35,00,000/-.
3. The Tribunal after appreciation of entire evidence on record
granted compensation of Rs.20,60,800/-. At the time of accident,
the deceased was working as Junior Assistant in Commercial Tax
Department, Suryapet. Basing on the evidence of P.W.1 and also
the salary certificate, which is marked as Ex.A.8, the age of the
deceased was taken as 42 years. P.W.1 stated that her husband
was having further period of 16 years of service and he may likely
to retire as Deputy Commercial Tax Officer. His gross salary was
Rs.15,771/- and net salary was Rs.15,192/-. P.W.3 is the
Commercial Tax Officer, Suryapet, and Ex.A.8 was marked
through him. He further deposed that the deceased was working in
their office for the past 15 years and still he is having 14 years of
service and still there is a chance of getting three pay revisions by
which his salary would be enhanced and that there is much
chance for promotion and he may retire as Assistant Commercial
Tax Officer with the salary of Rs.65,000/- along with pension
benefits if he could not met with an accident. Considering the
above aspects, the Tribunal has taken the income of the deceased
as Rs.15,844/- per month and rounded it to Rs.16,000/-.
4. Learned counsel for the appellant would argue that there is
no proof of income and age of the deceased and as such taking the
age of the deceased as 42 years and assessing his monthly income
at Rs.20,800/- is without basis. He would further argue that the
actual net salary of the deceased per month was Rs.15,192/-, but
the Tribunal erred in rounding of the same and that though the
deceased was a Government employee, his Service Register was not
called for to ensure his date of birth.
5. The proper method of computation is the multiplier method.
Basically, three aspects need to be established by the claimants for
assessing the compensation in case of death are (1) Age of the
deceased, (2) Income of deceased and (3) number of dependents.
The issues that have to be determined by the Tribunal to arrive at
the loss of dependency are i) Additions/Deductions to be made for
arriving at income, ii) The deductions to be made towards personal
living expenses of the deceased, iii) The multiplier to be applied
with reference to the age of the deceased.
6. Considering the evidence of P.Ws.1 to 3, the Tribunal has
taken the age of the deceased as 42 years and the multiplier was
taken as 14. Regarding income of the deceased, it was brought in
evidence that he was getting a salary of Rs.15,192/- and there is
no evidence regarding his future promotions. Though the deceased
was having 14 years of service, this Court finds it reasonable to
take his income as Rs.15,192/- per month, which comes to
Rs.1,82,304/- per annum (Rs.15,192/- x 12 = Rs.1,82,304/-), and
if 30% is added towards future prospects, as the deceased was a
permanent employee, the annual income comes to Rs.2,36,995.20
ps. (Rs.1,82,304/- + 30% on Rs.1,82,304/-). The claimants are
wife, children and parents of the deceased. As they are five in
number, 1/4th was to be deducted towards his personal expenses
and it comes to Rs.1,77,746.40 ps. (Rs.2,36,995.20 ps -
Rs.59,248.80 Ps.). If the same is multiplied with the appropriate
multiplier i.e. 14, the loss of dependency would come to
Rs.1,77,746.40 Ps. x 14 = Rs.24,88,449.60 Ps.
7. Further, the Tribunal granted an amount of Rs.10,000/-
towards loss of consortium, Rs.20,000/- towards loss of estate love
and affection and Rs.10,000/- towards funeral expenses.
8. Learned counsel for the respondents/claimants relied upon
a recent decision of the Supreme Court reported in N.JAYASREE
V/s. CHOLAMANDALAM MS GENERAL INSURANCE COMPANY
LTD.1 in which an amount of Rs.16,500/- towards loss of estate,
Rs.16,500/- towards funeral expenses and Rs.44,000/- towards
consortium were granted. As per the said judgment, the first
respondent is entitled for Rs.44,000/- towards spousal
consortium, the second and third respondents are entitled for
parental consortium at the rate of Rs.44,000/- each (total
Rs.88,000/-) and the fourth and fifth respondents are entitled for
2021 (4) RCR (Civil) 642
filial consortium at the rate of Rs.44,000/- each (total Rs.88,000/).
Thus, the respondents/claimants are entitled for total
compensation of Rs.27,42,449.60 ps (Rs.2,20,000/- + Rs.16,500/-
+ Rs.16,500/- + Rs.24,88,449.60).
9. Learned counsel for the appellant objected the above said
claim on the ground that the respondents have not preferred any
appeal for enhancement of the claim against the Award of the
Tribunal and thus they are not entitled for enhancement of the
said amount in the appeal preferred by them.
10. Per contra, learned counsel for the claimants relied on the
decision of the Hon'ble Apex Court in JITENDRA
KHIMSWHANKAR TRIVEDI V/s. KASAM DAUD KUMBHAR2 to
contend that even when claimants have not preferred appeal it is
permissible for the appellate Court to enhance the compensation.
11. Admittedly, the Motor Vehicles Act, 1988 is a beneficial
legislation and thus the provisions shall be interpreted in favour of
the claimants. While considering the claim petition by the Tribunal
or in appeal, the Tribunal or the appellate Court can assess the
entitlement of claimants for appropriate compensation as per laid
down norms and settled principles for determination of
compensation. The Tribunal or the appellate Court has to see what
is the just compensation payable to a family who have lost a
person in a motor accident. In arriving at just compensation it is
competent to appellate Court to enhance the compensation
awarded by the Tribunal in the appeal filed by the opposite party
and eve when the claimant has not preferred the appeal. In
(2015) 4 SCC 237
JITENDRA KHIMSWHANKAR TRIVEDI's case (supra) the Hon'ble
Supreme Court held that in a motor vehicle accident the claimants
are entitled for enhancement of compensation even in the absence
of appeal.
12. The Tribunal disposed of this O.P. in the year 2013 and the
appellant herein preferred appeal in the year 2014, but during the
pendency of the proceedings in the appeal, the Apex Court laid
down several principles in respect of future prospects, consortium
and it was also held specifically in NATIONAL INSURANCE CO.
LTD., V/s. PRANAY SETHI3 that the amounts mentioned in the
heads - loss of estate, funeral expenses and consortium shall be
enhanced by 10% for every three years. As this appeal came up for
hearing in the year 2021, the respondents-claimants herein are
entitled for the amount of Rs.2,53,000/- under the above
conventional heads. Hence, the total compensation amount comes
to Rs.27,41,449.60 Ps. The respondents-claimants are also entitled
for interest @ 7.5% per annum from the date of Award till its
realisation. Therefore, the respondents/claimants are entitled to
the compensation in detail shown in the tabular format.
1) Loss of dependency Rs.24,88,449.60
2) Spousal Consortium - Rs.44,000/-
Parental Consortium - Rs.88,000/-
Filial Consortium - Rs.88,000/- Rs.2,20,000.00
3) Loss of Estate Rs.16,500.00
4) Funeral Expenses Rs.16,500.00
Total compensation Rs.27,41,449.60
2017 (16) SCC 680
13. As regards the apportionment, this Court confirms the view
taken by the Tribunal. However, the parents of the deceased are
entitled for permission to withdraw their share of Rs.2,00,000/-
each. The appellant is directed to deposit the compensation
amount within one month from the date of receipt of copy of this
judgment, and on such deposit, the respondents-claimants are
permitted to withdraw the amounts as directed by the Tribunal.
14. Accordingly, this appeal is allowed enhancing the
compensation of Rs.26,60,800/- awarded by the Tribunal to
Rs.27,41,449.60 Ps. With regard to the interest and
apportionment, the Award of the Tribunal shall be intact. It is
informed that the fourth claimant died and hence the fifth
claimant is entitled for his share of compensation. There shall be
no order as to costs.
15. Miscellaneous Petitions, if any, pending in this appeal shall
stand closed in the light of this final order.
___________________ P.NAVEEN RAO,J
___________________ P.SREE SUDHA, J 23rd DECEMBER, 2021
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