Citation : 2025 Latest Caselaw 3846 Tel
Judgement Date : 12 June, 2025
THE HON'BLE SRI JUSTICE NARSING RAO NANDIKONDA
M.A.C.M.A.No.647 of 2020
JUDGMENT:
The appellants/claimants/petitioners filed the present appeal
under Section 173 of M.V.Act against the Award and decree passed by
the II Additional Chief Judge-Cum-Motor Accidents Claims Tribunal,
City Civil Court, Hyderabad (hereinafter referred to as 'the Tribunal') in
M.V.O.P.No.229 of 2014, dated 21.01.2020, seeking compensation of
Rs. 24,00,000/- on account of the death of A.Jyothi (mother of
petitioners), (hereinafter referred to as "the deceased") in an accident
that occurred on 26.05.2012.
2. For convenience, the parties will be hereinafter referred to as they
are arrayed before the Tribunal.
3. The brief facts of the case are that appellants/claimants earlier
filed M.V.O.P.No.229 of 2014 under Section 166 of the M.V.Act, 1988
seeking compensation for the death of the deceased, who died in the
accident alleged to have caused due to rash and negligent manner of the
driver of the car. It is contended that on 26.05.2012, at about 11:00 PM
the deceased was going slowly on her husband's motor cycle bearing
No.AP-28-R-2831 from Dammaiguda to Champapet along with her
children (petitioners) as pillion rider and when they reached ear ECIL
Ground, suddenly a Car bearing No.AP-29-BD-909 came in high speed
in rash and negligent manner from opposite direction and dashed the
deceased motor cycle. As a result, the deceased, her husband and
petitioners fell down and sustained grievous injuries. Immediately, the
deceased and others were shifted to Tulasi Hospital for treatment. While
undergoing treatment, the deceased died on 29.05.2012. The Police
registered a case in Crime No.360 of 2012 under Section 304-A of IPC
against the driver of offending vehicle. The appellants/claimants
claimed an amount of Rs.24,00,000/- as compensation for the death of
the deceased under various heads.
4. The contention of the petitioners before the Tribunal, was that
petitioners lost their parent due to the accident and their future has
become dark, and the petitioners has to depend on others for their day
to day basic needs and prayed the Tribunal to award just compensation.
5. Before the learned Tribunal, respondent Nos.1 and 2 remained ex-
parte. Respondent No.3 - Royal Sundaram Alliance Insurance Company
Limited, filed counter-affidavit, denying all the averments made in the
claim petition, including the manner in which the accident took place,
age, avocation and income of the deceased and submitted that driver of
the offending car did not have valid and subsisting driving licence to
drive the offending vehicle and the said offending vehicle was not road
worthy to ply and further contended that the compensation claimed is
exorbitant and prayed to dismiss the claim petition.
6. Basing on the pleadings and averments made by both the
counsels, the learned Tribunal framed the following issues which reads
as under:
i) Whether A.Jyothi died in the accident took place due to the rash ad negligent driving of the driver of the car bearing No.AP-29-BD-909.?
ii) Whether the petitioners are entitled for compensation and if so, from whom and what quantum of amount?
iii) To what relief?
7. To prove the petitioners' case, PWs.1 to 4 were examined and
marked Exs.A1 to A7. RW1 was examined on behalf of the respondents,
and Ex.B1-copy of the insurance policy was marked.
8. After considering the material on record and the evidence placed
by both the parties, the learned Tribunal allowed the claim petition in
part and granted compensation of Rs.12,50,200/- along with interest @
7.5% per annum.
9. Being unsatisfied and aggrieved by the compensation amount
awarded by the learned Tribunal, the present appeal is filed on the
ground that the deceased was aged about 33 years at the date of
accident and was working as Beautician and earning Rs.10,000/- per
month and was contributing the same to the welfare of the family, but
the learned Tribunal did not consider the above averments and fixed the
income of the deceased at Rs.6,000/- per month and the learned
Tribunal has not awarded just and fair compensation amount under
other heads.
10. Learned counsel for the appellants/claimants submits that there
is no dispute with regard to accident, death of the deceased and the
injuries sustained by the deceased. In cross examination, PW1 to PW3
were examined. Exhibits A.1 to A.7 were marked on behalf of petitioner.
Learned counsel further contended that PW2 who is an eye witness to
the accident narrated the said accident. The learned Tribunal having
accepted the fact that deceased died due to rash and negligent driving of
Car, but without considering the evidence in proper manner with regard
to income of the deceased, the learned Tribunal has fixed the deceased's
income at Rs.6,000/- per month and also not awarded just
compensation under the various head as per as per the judgment of
Hon'ble Apex Court in National Insurance Company Limited Vs.
Pranay Sethi and others 1.
11. Learned counsel for the petitioners further contended that the
accident was occurred on 26.05.2012 and the deceased was admitted in
the hospital for three days from 26.05.2012 till her death i.e.,
29.05.2012 and the petitioners had incurred medical bills of
Rs.1,45,000/-, which proved by Ex.A7.
12. Learned counsel for the respondent No.3 submits that after
considering the entire evidence available on record, the learned Tribunal
has awarded just compensation, which needs no interference.
13. None appear for respondent No.1 & 2.
14. Heard Sri K.Hari Mohan Reddy, learned counsel for the
appellants/petitioners and Sri Rama Krishna Reddy, learned counsel for
1 2017 ACJ 2700
the respondent No.3 - Insurance Company. Perused the material on
record.
15. Admittedly, the respondents have not filed cross-appeal against
the Award passed by the learned Tribunal. As such, there is no dispute
regarding liability of the respondents, age of the deceased and accident.
The only point arose before this Court in this appeal is that:
i) Whether the petitioner is entitled for the enhanced compensation, if so, to what extent?
Point No.1:
16. Admittedly, the deceased died due to accident occurred on
26.05.2012 alleged to have caused due to rash and negligent manner of
the car driver and the petitioners lost their beloved mother (deceased) in
an unfortunate accident. The petitioner claim that the deceased was
beautician and was getting salary Rs.10,000/- per month, however there
is no other documentary prove the same, such as relevant account
books or bank entries to show that the deceased was earning
Rs.10,000/- per month as claimed by the petitioners/claimants. But
looking at the records available, the averments and submissions made
by both the learned counsels before this Court, it is evident that was
aged about 33 years who was hale and healthy and would earn more
than the monthly income which the learned Tribunal has granted. In
Latha Wadhwa vs. State of Bihar 2, the Hon'ble Apex Court held that
even when there is no proof of income and earnings, the income can be
reasonably estimated and assessed by the Courts considering the
ground realities, hence the compensation granted by the learned
Tribunal in so far as assessing the notional income of the deceased @
Rs.6,000/- per month looked to be meager.
17. Hence considering the ground realities and deceased was aged
about 33 years who was hale and health at the time of accident, hence
following the law laid down judgment passed in Latha Wadhwa's case
(cited supra), this Court is of the opinion that the deceased would
obviously earn Rs.250/- per day by doing beautician work or any odd
job accordingly, the deceased income can be notionally taken as
Rs.7,500/- per month. Apart from that, as per the decision of Hon'ble
Supreme Court in National Insurance Company Limited Vs. Pranay
Sethi and others 3 and considering the age of the deceased as 33 years,
2 2001(8) SCC 197 3 2017 ACJ 2700
additional 40% of the income has to be added towards future prospects
to the monthly income of the deceased. Therefore, the monthly income of
the deceased would come to Rs.10,500/- (Rs.7,500/- + Rs.3,000/-). The
annual income of the deceased would come to Rs.1,26,000/-
(Rs.10,500/- X 12) and, out of which, 1/3 has to be deducted towards
the personal expenses of the deceased as the dependants are two in
number. Then the actual annual income would come to Rs.84,000/-
(Rs.1,26,000/- (-) Rs.42,000/-).
18. As per the column No.4 of schedule fixed in the judgment of the
Apex Court in Sarla Verma v. Delhi Transport Corporation 4, and
considering the age of the deceased as 33 years, the appropriate
multiplier applicable for the deceased's age is '16'. Thus, the total loss
of dependency would come to Rs.13,44,000/- (84,000/- x 16).
19. The appellants/claimants are further entitled to Rs.18,150/-
(Rs.15,000/- + 10% + 10%) towards loss of estate and Rs.18,150/-
(Rs.15,000/- + 10% + 10%) towards funeral expenses, as per Pranay
Sethi's Judgment (cited supra).
2009 ACJ 1298 (SC)
20. Appellant No.1 and 2 are children of the deceased, the appellant
No.1 & 2 are entitled for compensation to a sum of Rs.96,800/-
(Rs.48,400/- x2) under the head of 'loss of parental consortium', as per
Magma General Insurance Company Limited Vs.Nanu Ram alis
Chuhru Ram 5.
21. The petitioners incurred medical bills of Rs.1,45,000/-, which was
marked as Ex.A7, which was not disputed, hence the said amount is
also awarded to the petitioners.
22. In Sarla Verma's case (cited above), the Hon'ble Apex Court,
while elaborating the concept of 'just compensation' observed as under:
"Post compensation is adequate compensation which is fair and equitable on the facts and circumstances of the case, to make good the loss suffered as a result of the wrong, as far as money can do so, by applying, the well settled principles relating to award of compensation. It is not intended to be a bonanza, largesse or source of profit."
23. On overall re-appreciation of the pleadings, material on record and
the law laid down by the Hon'ble Supreme Court in the aforesaid cited
decisions. I am of the opinion that the claimants are entitled to
enhancement of compensation as modified and recalculated as above
and given in the table for easy reference
2018 (18) SCC 130
24. Considering the above assessment made by this Court, appellants
would be entitled to as follows:
i) Annual Income (of the deceased)
Rs.7,500/- X 12 = Rs.90,000/-
ii) Total Annual Income = Annual Income + Future
Prospects (Annual Income X 40%) =
Rs.90,000/- + Rs.36,000/- = Rs.1,26,000/-
iii) Annual Dependency = Total Annual Income - 1/3 deduction towards personal expenses of the deceased = Rs.1,26,000/- (-) Rs.42,000/- = Rs.84,000/-
iv) Total Dependency = Annual Dependency x Applied Multiplier = Rs.84,000/- x 16 = Rs.13,44,000/-
v) Claimants' entitlement towards conventional heads = Loss of Estate + Funeral Expenses + loss of Parental Consortium = Rs.18,150/- + Rs.18,150/- + Rs.96,800 = Rs.1,33,100/-
vi) Medical Bills Rs.1,45,000/-
Total Rs.16,22,100/-
25. Thus, the appellants/claimants are entitled to the enhanced
compensation of Rs.16,22,100/- as against the awarded amount of
Rs.12,50,200/- by the learned Tribunal.
26. Considering the circumstances of the case, the learned Tribunal
has rightly awarded the rate of interest at 7.5 % per annum and the
same needs no interference by this Court. Hence, this Court is of the
opinion that the petitioners/claimants are entitled to interest @ 7.5 %
on the enhanced amount.
27. Hence, the claimants are entitled for an enhanced compensation
of Rs.16,22,100/- Accordingly, the M.A.C.M.A is allowed in part,
enhancing the compensation from Rs. 12,50,200/- to
Rs. Rs.16,22,100/- with interest at the rate @ 7.5 % p.a. on the
enhanced amount from the date of petition till the date of realization.
The respondents are directed to deposit the said amount together with
costs and interest after giving due credit to the amount already
deposited, if any, within a period of two months from the receipt of a
copy of this judgment. The compensation amount shall be apportioned
among the appellants/claimants in the same manner and ratio as
ordered by the learned Tribunal. There shall be no order as to costs.
28. Miscellaneous petitions, if any are pending, shall stand closed.
_________________________________ NARSING RAO NANDIKONDA, J 12.06.2025 SHA
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