The High Court enhanced the compensation awarded in a motor accident death claim. The Court revised the notional monthly income and applied standard calculations for future prospects, consortium, and expenses.
Compensation enhanced to Rs.25,29,200 with interest; insurance company ordered to deposit the enhanced amount.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
C.M.A.No.1072 of 2024
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 21.08.2024
CORAM
THE HON'BLE MRS. JUSTICE R. HEMALATHA
C.M.A.No.1072 of 2024
Kanniammal (Died) 1.Kuppusamy 2.Dhanalakshmi ... Appellants Vs.
1.E.Karthik
2.The New India Assurance Company Limited, Motor Third Party Claims, No.232, Bombay Mutual Building, 6th Floor, N.S.C.Bose Road, Chennai - 600 001.
... Respondents
PRAYER: Civil Miscellaneous Appeals filed under Section 173 of the Motor Vehicles Act, 1988 challenging the Judgment and Decree dated 10.08.2023 made in M.C.O.P. No.549 of 2019 on the file of the Motor Accidents Claims Tribunal, III Court of Small Causes, Chennai.
For Appellants : Ms.A.Subadra For Respondents : Mr.R.Neethiperumal for R2
R1 - Dispensed with
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JUDGMENT
The appellants are the claimants in M.C.O.P. 549 of 2019 on the file
of the Motor Accidents Claims Tribunal, III Court of Small Causes, Chennai. They filed the claim petition under Section 166 of the Motor Vehicles Act, 1988 seeking compensation of Rs.65,00,000/- for the death of one Sathish Kumar (son of appellant 1; brother of appellant 2) in a road accident that took place on 19.11.2018.
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driver of the two-wheeler bearing registration No.TN 11 F 0857 was the cause of the accident and since the owner of the two-wheeler has insured the vehicle with the second respondent, the New India Assurance Company Limited, both the owner and the Insurance Company are jointly and severally liable to pay compensation to them.
ex-parte . The second respondent resisted the claim petition on all the grounds available to the insurer under Section 170 of the Motor Vehicles Act.
of Rs.23,78,000/- towards compensation to the claimants together with interest at the rate of 7.5% per annum from the date of petition till the date of realisation, vide its order dated 10.08.2023. The Tribunal also held that the liability of the owner and the Insurance Company is joint and several.
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8 . Ms.A.Subadra, learned counsel appearing for the appellants / claimants contended that though the deceased had completed B.Sc (Visual Communication) and was working as a Designer in Nittany Company, Kottivakkam, the Tribunal has fixed only a sum of Rs.15,000/- as notional monthly income of the deceased. She, therefore, prayed for enhancement of compensation.
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same by adducing acceptable oral or documentary evidence. In the circumstances, the Tribunal fixed the notional monthly income of the deceased as Rs.15,000/-. Since the deceased had completed B.Sc (Visual Communication), fixing his notional monthly income at Rs.16,000/- would meet the ends of justice in the absence of reliable proof. As per the decision of the Supreme Court of India in National Insurance Co. vs Pranay sethi and others reported in 2017 (2) TNMAC 601 , 40% is added towards future prospects of the deceased. The deceased died as a bachelor and hence, 50% is deducted towards his personal expenses. The deceased was aged about 23 years on the date of the accident and the proper multiplier to he adopted in the instant case is 18 as per the decision rendered in Sarla Verma and Others Vs. Delhi Transport Corporation and Another reported in 2009 (6) SCC 121.
Calculation:
Notional Income = Rs.16,000/-
Adding 40% Future Prospects = Rs.22,400/-
After 1/2 deduction = Rs.11,200/-
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Loss of dependency:
= Rs.11,200/- x 12 x 18
In addition to that the claimants are entitled for Rs.80,000/- (Rs.40,000/- x 2), Rs.15,000/- and Rs.15,000/- for loss of consortium, loss of estate and
funeral expenses respectively as per the decision in National Insurance Co.
vs Pranay sethi and others (cited supra). Thus, the claimants are entitled to a total compensation of Rs.25,29,200/- (24,19,200 + 80,000 + 15,000 +
15,000) as shown in the following tabular column.
| S.No. | Heads | Amount granted by this Court in Rs. |
|---|---|---|
| 1. | Loss of dependency | 24,19,200 |
| 2. | Loss of Consortium(Rs.40,000/- x 2) | 80,000 |
| 3. | Loss of Estate | 15,000 |
| 3. | Funeral Expenses | 15,000 |
| Total | 25,29,200 |
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iii.
iii. The appellants / claimants are directed to pay court fee for the enhanced compensation amount, if any, within a period of four weeks from the date of this order and the Registry is directed to draft the decree only after receipt of the Court fee.
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awarded by this Court (i.e., Rs.15,29,200/-) together with interest and Costs for the total award amount enhanced by this Court.
21.08.2024
Index : Yes/No Speaking Order : Yes / No Neutral Citation Case: Yes / No ab
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R. HEMALATHA. J.,
ab
To
1. The Motor Accidents Claims Tribunal, III Court of Small Causes, Chennai.
2. The Section officer, Record Section, High Court of Madras.
C.M.A.No.1072 of 2024
21.08.2024
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2 issues framed by the court
Whether the notional monthly income of the deceased should be revised given lack of proof of higher income.
Whether the quantum of compensation awarded by the Tribunal is appropriate considering future prospects and deduction for dependency.
Colour shows how this judgement treated each authority
National Insurance Co. vs Pranay sethi and othersExplained¶40
National Insurance Co. vs Pranay sethi and others 2017 (2) TNMAC 601
Sarla Verma and Others Vs. Delhi Transport Corporation and AnotherApplied¶40
Sarla Verma and Others Vs. Delhi Transport Corporation and Another 2009 (6) SCC 121 · Who else cites this
3 provisions across 1 enactments
Kanniammal (Died)/1.Kuppusamy/2.Dhanalakshmi
E.Karthik
The New India Assurance Company Limited
R. HEMALATHA
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
