Partly allowed

Sri Narayana v. Gonda v Sri Prasad Ballal

Karnataka HC21 Jun 2021MFA/2420/2017

Case brief

AI extract

What is this about?

The High Court allowed the appeal partly, enhancing compensation from Rs.5,47,000 to Rs.14,04,400. The Court re-assessed the deceased's monthly income to Rs.9,800 using Apex Court principles and modified the award, directing the insurer to deposit the amount within 90 days.

What did the court decide?

Total compensation enhanced to Rs.14,04,400 with interest; insurer to deposit amount within 90 days; 50% portion for claimants kept as fixed deposit.

Sri Narayana v Gonda Vs Sri Prasad Ballal — Contract and Commercial Disputes | Karnataka HC (2021)

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IN THE HIGH COURT OF KARNATAKA AT BENGALURU

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DATED THIS THE 21^ST DAY OF JUNE, 2021

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PRESENT

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THE HON’BLE MRS.JUSTICE S.SUJATHA

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AND

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THE HON’BLE MR. JUSTICE E.S.INDIRESH

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M.F.A.No.2420/2017 (MV)

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BETWEEN :

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1 . SRI NARAYANA V. GONDA S/O LATE VENKATAIAH GONDA AGED ABOUT 45 YEARS

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2 . MASTER BHASKAR GONDA S/O NARAYANA V. GONDA AGED ABOUT 19 YEARS

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3 . KUMARI JAYASHREE D/O NARAYANA V. GONDA AGED ABOUT 17 YEARS, MINOR, REP BY HER FATHER AS NATURAL GUARDIAN 1^ST APPELLANT SRI NARAYANA V. GONDA.

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ALL ARE R/AT VARAMBALLI VILLAGE, BRAHMAVARA, UDUPI TALUK & DISTRICT-576 213 ...APPELLANTS

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(BY SRI NAGARAJA HEGDE, ADV.)

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AND :

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1 . SRI PRASAD BALLAL, S/O SUBHODH BALLAL, MAJOR, R/AT A.P.M. MOTORS,

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MAIN ROAD, HEBRI, KARKALA TALUK-576 112

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2 . THE RELIANCE GENERAL INSURANCE CO. LTD., REGISTERED OFFICE, RELIANCE CENTRE 19, WALCHAND HIRACHAND MARG, BALLARD ESTATE, MUMBAI-400 001 REP. BY ITS AUTHORISED OFFICER. …RESPONDENTS

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(BY SRI B.PRADEEP, ADV. FOR R-2; NOTICE TO R-1 DISPENSED WITH.)

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THIS M.F.A. IS FILED UNDER SECTION 173(1) OF M.V.ACT AGAINST THE JUDGMENT AND AWARD DATED 17.01.2017 PASSED IN MVC No.1073/2012 ON THE FILE OF THE ADDITIONAL DISTRICT AND SESSIONS JUDGE AND MACT, UDUPI (SITTING AT KUNDAPURA), KUNDAPURA, PARTLY ALLOWING THE CLAIM PETITION FOR COMPENSATION AND SEEKING ENHANCEMENT OF COMPENSATION.

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THIS APPEAL COMING ON FOR ADMISSION, THIS DAY, S. SUJATHA, J ., DELIVERED THE FOLLOWING:

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J U D G M E N T

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This appeal is directed against the judgment and

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award dated 17.01.2017 passed in MVC No.1073/2012 on the file of the Addl. District & Sessions Judge and MACT, Udupi (Sitting at Kundapura), Kundapura (‘Tribunal’ for short).

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The claimants instituted the petition under Section 166 of the Motor Vehicles Act, 1988 claiming

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compensation for the death of Smt.Nagamma Narayana Gonda in the road traffic accident.

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It was averred in the claim petition that on 26.09.2012 at about 16.00 hours while the deceased

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was travelling in the bus bearing Regn.No.KA-20-B5842 from Kundapur to Sarpanakatte as a passenger, met with the road traffic accident while alighting from the bus owing to actionable negligence of the driver of the said bus. As a result, she sustained grievous injuries. Immediately she was shifted to the Government hospital, Bhatkala, where the doctor declared her as brought dead.

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It was averred that the deceased was aged about 31 years and working as a coolie thereby earning Rs.12,000/- per month. The claimants being the husband and the children of the deceased were depending on the deceased for their livelihood. Due to the untimely death of the deceased, they are suffering

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from great hardship besides loss of love and affection, dependency etc.,

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On service of summons issued, the

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respondents appeared through their respective counsel and respondent No.2-insurer contested the claim by filing written statement denying the petition averments.

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The primary defence taken was that the accident occurred due to the sole negligence of the deceased. While the deceased was making an attempt to alight from the moving bus, she fell down from the bus and sustained severe injuries. It was further contended that the driver of the bus had no valid and effective Driving Licence. The insurer admitted the coverage of insurance policy of the vehicle, however contended, liability, if any, is subject to the terms and conditions of the policy.

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7. On the basis of the pleadings, issues were

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framed and answered by the Tribunal awarding total compensation of Rs.5,47,000/- with interest @ 6% p.a. from the date of petition till its realization.

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compensation as inadequate, this appeal is preferred by the claimants.

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Learned counsel for the appellants

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submitted that the Tribunal grossly erred in not appreciating the material evidence on record while awarding compensation under the different heads. The monthly income of the deceased taken at Rs.4,000/- is abysmally low and the same requires to be enhanced. Learned counsel further argued that deduction of 1/3^rd of income towards personal and living expenses of the deceased is not in conformity with the settled principles of law. Further, the compensation awarded under the

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conventional heads being meager, sought for

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enhancement of the same.

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Learned counsel for the insurer justifying the impugned judgment and award submitted that the Tribunal on analysis of the material evidence has awarded just compensation and the same requires to be confirmed by this court dismissing the appeal.

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We have carefully considered the rival submissions of the learned counsel appearing for the parties and perused the original records.

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The quantum of compensation awarded by the Tribunal is challenged mainly on the ground that the monthly income of the deceased assessed by the Tribunal at Rs.4,000/- is on the lower side. In the absence of material evidence to substantiate the factum of income, we deem it appropriate to refer to the chart prepared by the Karnataka State Legal Services

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Authority. Having regard to the date of the accident and the age of the deceased, we can safely re-assess the monthly income of the deceased at Rs.7,000/-. Adding 40% towards future prospects, 40% is added towards future prospects, the monthly income would be Rs.9,800/-. Applying the multiplier of 16, deducting 1/3^rd of the income towards personal and living expenses of the deceased as the claimants are three in number, the total loss of dependency would be Rs.12,54,400/- (Rs.9800 x 12 x 16 x 2/3).

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Applying the principles of law enunciated by the Hon’ble Apex Court in National Insurance Company Limited V/s. Pranay Sethi and Others reported in ( 2017) 16 SCC 680 and New India Assurance Company Limited V/s. Somwati and Others reported in (2020)9 SCC 644, the claimants are entitled to compensation of Rs.1,50,000/- under the

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conventional heads. Thus, the total compensation

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awarded by the Tribunal is re-assessed as under:

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Sl.No.	Particulars	Amount [in Rs.]
1.	Loss ofdependency	12,54,400
2.	Loss of spousal consortium	40,000
3.	Loss of parental consortium (Rs.40,000/- to each minorchild)	80,000
4.	Loss of Estate	15,000
5.	Funeralexpenses	15,000
	Total	14,04,400

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Thus in all, the claimants are entitled to total compensation of Rs.14,04,400/- with interest @ 6% p.a. from the date of the claim petition till its realization.

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Hence, the following:

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ORDER

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i) Appeal is allowed in part.

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ii) The total compensation awarded by the Tribunal is modified and enhanced to Rs.14,04,400/(Rupees Fourteen lakhs four thousand four hundred

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only) as against Rs.5,47,000/- with interest at the rate of 6% per annum from the date of the claim petition till its realization.

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iii) The portion of the order of the Tribunal inasmuch as liability remains intact.

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iv) The insurance company shall deposit the amount determined as aforesaid before the Tribunal within 90 days from the date of receipt of the certified copy of the judgment and order.

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v) Out of the enhanced compensation amount, apportionment shall be made in the ratio of 30:35:35 to claimant Nos.1 to 3 respectively. In their respective shares, 50% of the amount shall be kept in the fixed deposit in any nationalized bank in their individual names for a period of 5

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years and they are entitled to withdraw the interest accrued periodically on the said fixed deposits. The balance 50% shall be released in their favour subject to due identification in accordance with law.

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vi) Draw modified award accordingly. vii) The Registry shall send the original records to the jurisdictional Tribunal forthwith.

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Sd/JUDGE

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Sd/JUDGE

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Dvr:

Sri Narayana v. Gonda v Sri Prasad Ballal

Case brief

What is this about?

What did the court decide?

Sri Narayana v. Gonda v Sri Prasad Ballal

Case brief

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