Partly allowed

The Managing Director v. Smt. Kamalabai

Karnataka HC12 Mar 2024MFA/2694/2023

Case brief

AI extract

What is this about?

Two appeals were filed against a Motor Accident Claims Tribunal award. The High Court calculated that the unmarried deceased warranted a 50% deduction for personal expenses, overriding the Tribunal's 33.3% deduction, resulting in a modified total compensation of Rs. 21,91,600 less deposit, finally awarded at Rs. 18,91,600 with interest.

What did the court decide?

Total compensation fixed at Rs. 21,91,600; net award after deposit Rs. 18,91,600 with 6% interest; modified apportionment between mother and son; deposit in Fixed Deposit.

The Managing Director Vs Smt. Kamalabai — Motor Accident Claims | Karnataka HC (2024)

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- 1 - NC: 2024:KHC:10137 MFA No. 2694 of 2023 C/W MFA No. 6804 of 2023

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IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 12^TH DAY OF MARCH, 2024

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BEFORE

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THE HON'BLE MR JUSTICE PRADEEP SINGH YERUR

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MISCELLANEOUS FIRST APPEAL NO. 2694 OF 2023 (MV-D)

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C/W

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MISCELLANEOUS FIRST APPEAL NO. 6804 OF 2023 (MV-D) IN MFA.NO.2694/2023:

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BETWEEN:

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THE MANAGING DIRECTOR, K.S.R.T.C SHANTHINAGARA, BENGALURU. (KSRTC BUS NO KA-27-F-752) THE VEHICLE BELONGS TO NWKRTC, HUBLI. HENCE NOW THROUGH CHIEF LAW OFICER N.W.K.R.T.C. HUBLI.

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…APPELLANT (BY SRI. NAGARAJA K., ADVOCATE)

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AND:

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Digitally signed by GAYATHRI P G Location: High Court of Karnataka

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SMT. KAMALABAI W/O LATE. RAJA NAIK, AGED ABOUT 55 YEARS, R/O MANANGI, THANDA VILLAGE, KASABA HOBLI, SIRA TALUK, TUMKUR DISTRICT, KARNATAKA STATE, PIN NO 572 137.

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JETENDRA NAIK

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S/O LATE RAJA NAIK, AGED ABOUT 38 YEARS,

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NC: 2024:KHC:10137 MFA No. 2694 of 2023 C/W MFA No. 6804 of 2023

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R/O MANANGI, THANDA VILLAGE, KASABA HOBLI, SIRA TALUK, TUMKUR DISTRICT, KARNATAKA STATE, PIN NO - 572 137.

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…RESPONDENTS

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(BY SRI. SATHISHA T., ADVOCATE FOR R1 AND R2;)

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THIS MFA IS FILED IS U/S 173(1) OF MV ACT AGAINST THE JUDGMENT AND AWARD DATED 15.10.2022 PASSED IN MVC NO.615/2021 ON THE FILE OF THE SENIOR CIVIL JUDGE AND AMACT, SIRA, AWARDING COMPENSATION OF RS.25,35,936/- WITH INTEREST AT 6 PERCENT P.A. FROM THE DATE OF PETITION TILL THE DATE OF DEPOSIT.

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IN MFA.NO.6804/2023:

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BETWEEN:

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SMT. KAMALABAI, W/O LATE RAJANAIK, AGED ABOUT 55 YEARS, R/AT MANAGI THANDA VILLAGE, KASABA HOBLI, SIRAA TALUK, TUMAKURU DISTRICT KARNATAKA STATE.

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JETENDRA NAIK, S/O LATE RAJANAIK, AGED ABOUT 38 YEARS, R/AT MANAGI THANDA VILLAGE, KASABA HOBLI, SIRAA TALUK, TUMAKURU DISTRICT, KARNATAKA STATE …APPELLANTS

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(BY SRI. SATHISHA T., ADVOCATE)

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3 - NC: 2024:KHC:10137 MFA No. 2694 of 2023 C/W MFA No. 6804 of 2023

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AND:

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THE MANAGING DIRECTOR K.S.R.T.C, SHANTI NAGAR, BENGALURU-560 027.

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…RESPONDENT

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(BY SRI. K. NAGARAJA., ADVOCATE)

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THIS MFA IS FILED U/S 173(1) OF MV ACT AGAINST THE JUDGMENT AND AWARD DATED 15.10.2022 PASSED IN MVC NO.615/2021 ON THE FILE OF THE SENIOR CIVIL JUDGE AND AMACT, SIRA, PARTLY ALLOWING THE CLAIM PETITION FOR COMPENSATION SEEKING ENHANCEMENT OF COMPENSATION. THESE APPEALS, ARE COMING ON FOR ORDERS, THIS DAY, THE COURT DELIVERED THE FOLLOWING:

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JUDGMENT

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This appeal is preferred by the Corporation and claimants challenging the judgment and award dated 15.10.2022 passed by Senior Civil Judge and AMACT at Sira (for short, ‘the Tribunal’) in MVC No.615/2021. The appeal preferred by the Corporation on the ground of exorbitant compensation awarded by the tribunal and the appeal is preferred by the claimants founded on the premise of inadequate and meager compensation awarded by the tribunal.

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Parties to the appeals shall be referred to as per their status before the Tribunal.

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Brief facts of the case are as under:

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4 - NC: 2024:KHC:10137 MFA No. 2694 of 2023 C/W MFA No. 6804 of 2023

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That on 04.12.2020 at 6.30 p.m, one Sumitra was travelling in a K.S.R.T.C Bus bearing registration No.KA-27-F752, getting back to her home at Managi Thanda, near Kasaba Hobli, Sira when she getting down from the bus, the driver of the K.S.R.T.C bus, suddenly in a rash and negligent manner without any indication moved the bus. Due to which deceased Sumitra fell down and sustained grievous injuries all over her body and ultimately succumbed to the injuries. Due to the unfortunate and sudden death of deceased Sumitra, the claimants who are none other than the mother and brother of deceased Sumitra filed claim petition seeking compensation against the Corporation.

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3.1. On service of notice, respondent filed statement of objection, denied the claim of the claimant including age, avocation, and income.

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3.2. On the basis of pleadings, the tribunal framed relevant issues for consideration.

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3.3. In order to substantiate the issue and to establish the case, the claimants got examined as PW.1 and got marked

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5 - NC: 2024:KHC:10137 MFA No. 2694 of 2023 C/W MFA No. 6804 of 2023

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documents as Exs.P1 to P8. On the other hand, Corporation got examined as RW.1.

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3.4. On the basis of material evidence placed on record, both oral and documentary and on hearing the submissions of learned counsel for both parties, the tribunal awarded compensation of Rs.25,35,936/- along with interest @ 6% p.a to be paid by the Corporation within one month from the date of the order.

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3.5. Being aggrieved by the exorbitant compensation awarded by the tribunal, the Corporation has filed an appeal, whereas the claimants are before this Court seeking enhancement.

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The main contention of the learned counsel for claimants is that, the tribunal has committed an error in awarding meagre compensation, which calls for interference at the hands of this Court. Accordingly, he seeks enhancement of compensation.

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Per contra , learned counsel for Corporation submits that the tribunal has committed an error in calculating loss of

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6 - NC: 2024:KHC:10137 MFA No. 2694 of 2023 C/W MFA No. 6804 of 2023

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dependency. Therefore, on these grounds, he seeks to reduce the compensation amount.

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Having heard learned counsel for the claimants and learned counsel for the Corporation perused the impugned judgment and award and the documents placed on record. The tribunal after consideration of the material has assessed the income of the deceased at Rs.14,500/- p.m and age of the deceased is 30 years, applied the multiplier at '17', which is correct and awarded 40% future prospects to the income which does not call for interference. What requires interference is the deduction towards personal and living expenses which is calculated by the tribunal at 1/3^rd , whereas admittedly the deceased was unmarried. Therefore, the deduction would have to be taken at 50% towards personal and living expenses rather than 1/3^rd adopted by the tribunal. Hence, deduction has taken at 50% as against 1/3^rd . In view of the above the dependency would be Rs.20,70,600/- (Rs.14,500/- + 40% = Rs.20,300/- x 50% = Rs.10,150/- x 12 x 17) as against Rs.27,60,936/-.

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7 - NC: 2024:KHC:10137 MFA No. 2694 of 2023 C/W MFA No. 6804 of 2023

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Towards love and affection tribunal has awarded

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Rs.50,000. It is seen that there are two claimants each would be entitled to Rs.40,000/- per head as per the judgment in the

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case of National Insurance Company Limited vs. Pranay Sethi and others reported in (2017) 16 Supreme Court Cases 680 followed by Magma General Insurance Co.Ltd. vs. Nanu Ram and others, reported in (2018) 18 SCC 130 , and United India Insurance Co. Ltd. v. Satinder Kaur Alias Satwinder Kaur reported in AIR 2020 SC 3076 . Therefore Rs.80,000/-(Rs.40,000/- x 2) with 10% escalation for one block period of three years as held in the case of PRANAY SETHI . Hence, Rs.88,000/- (Rs.80,000/- x 10%) is awarded under this head.

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Towards funeral expenses Rs.15,000/- and towards transportation of dead body another Rs.15,000/-, together Rs.30,000/- is awarded with an escalation of 10% would be added. Hence, Rs.33,000/- (Rs.30,000/- x 10%) is awarded under this head.

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8 - NC: 2024:KHC:10137 MFA No. 2694 of 2023 C/W MFA No. 6804 of 2023

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In view of the above, the claimants would be

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entitled to a total compensation of Rs.21,91,600/- as against Rs.28,35,926/- as mentioned in the table below:

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Heads	Amount in Rs.
Loss of dependency	Rs.20,70,600-00
Love and affection	Rs.88,000-00
(+ 10% escalation)
Funeral expenses and transportation of dead body.	Rs.33,000-00
(+ 10% escalation)
TOTAL	Rs.21,91,600-00
(Less) Amount deposited by the Corporation	Rs.3,00,000-00
TOTAL	Rs.18,91,600-00

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Out of the said amount a sum of Rs.3,00,000/-,

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which has already been paid by the Corporation shall be deducted, which would be Rs.18,91,600/- with interest at 6% per annum is awarded.

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Accordingly, I pass the following:

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ORDER

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i) Both the appeals are disposed-off ;

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9 - NC: 2024:KHC:10137 MFA No. 2694 of 2023 C/W MFA No. 6804 of 2023

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ii) The judgment and award dated 15.10.2022 passed in MVC.No.615/2021 by Senior Civil Judge and AMACT at Sira, is modified;

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iii) The claimants would be entitled to a reduced sum of Rs. 18,91,600/- with interest at 6% per annum as against Rs.25,35,936/-;

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iv) The apportionment of ratio of compensation shall be in the following manner:

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The entire loss of dependency shall be awarded in favour of the first claimant i.e., the mother and the conventional heads shall be awarded on release in favour of respondent No.2 - the brother including the interest (Rs.88,000/- + Rs.33,000/- =Rs.1,21,000/-with interest ) and the remaining amount of Rs.20,70,600/- in favour of the first claimant;

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v) Out of the amount ordered to be awarded in favour of the first claimant, 75% shall be released in favour of the first claimant. Remaining amount shall be kept in fixed deposit for a period of three years in a Nationalized Bank which shall fetch interest;

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vi) Amount in deposit shall be transmitted to the jurisdictional tribunal forthwith;

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Sd/JUDGE

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List No.: 1 Sl No.: 43

The Managing Director v. Smt. Kamalabai

Case brief

What is this about?

What did the court decide?

The Managing Director v. Smt. Kamalabai

Case brief

What is this about?

What did the court decide?

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