The High Court set aside the Motor Accidents Claim Tribunal award. Applying the Supreme Court formula from Kishan Gopal for notional income of a deceased child, the Court enhanced the compensation to Rs. 5,90,000.
Appendent compensation enhanced to Rs. 5,90,000; insurance company to deposit the enhancement plus 6% interest.
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.
HIGH COURT OF JUDICATURE FOR RAJASTHAN BENCH AT JAIPUR
S.B. Civil Miscellaneous Appeal No. 4365/2016
----Appellants
Versus
----Respondent
For Appellant(s) : Mr. Bhanu Prakash For Respondent(s) : Mr. Virendra Agarwal
HON'BLE MR. JUSTICE GOVERDHAN BARDHAR
JUDGMENT
13/01/2021
Having lost a child of about 7 years in a vehicular accident, the appellants-claimants had filed a claim petition before the Court of Motor Accidents Claim Tribunal, Jaipur Distt. Jaipur (for short the ‘Claims Tribunal’) vide award dated 2.5.2016, the Claims Tribunal had granted an award of Rs.2,00,000/- to the
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[CMA-4365/2016]
claimants appellants. However, the claimants appellants have filed the present appeal for enhancement of award amount.
Learned counsel for the claimants-appellants have
submitted that in the case of Kishan Gopal and Anr. vs. Lala and Ors. (2014) 1 SCC 244 , the Apex Court had also dealt with a case of death of a 10 years old child namely, Tikaram. The Apex Court was of the opinion that even in the case of death of a child, the learned Tribunal must take his notional income into account while assessing the loss of dependency of the parents. Moreover, instead of taking the notional income as Rs.15,000/-, the Apex Court had taken the notional income as Rs.30,000/- considering the fact that the value of Rupee has been declining over the years. Therefore, according to the leaned counsel, the Claims Tribunal was not justified in ignoring the notional income, and in giving a lump sum amount to the appellants.
On the other hand, leaned counsel for the Insurance Company has contended that the deceased was six years old girl studying in class first and the claimants are parents. The Claims Tribunal while deciding issue No.3 relating to quantum awarded compensation of Rs.2,50,000/- considering the law laid down by this Court in the case of Nana Devi (Smt.) and Ors. vs. Gurumel Singh and Ors., reported in 2012 1 MACT (Raj.) 286 .
Heard learned counsel for the parties.
Perused the impugned award and the material placed before the Court.
In the case of Kishan Gopal and Anr. (Supra), the Hon’ble Apex Court opined that in accordance with the Second Schedule attached to the Motor Vehicles Act, 1988, the notional
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income should be taken while awarding compensation taking the contribution of the children in the family and the Apex Court further opined that in case of a child the notional income should be taken as Rs.30,000/-. The said amount has to be multiplied with the multiplier depending on the age of the mother. Applying the said formula, the Hon’ble Supreme Court granted a compensation of Rs.4,50,000/-, and further granted a compensation of Rs.50,000/- under the conventional heads of loss of love and affection, funeral expenses and last rites.
In the present case, the appellant No.2, the mother was 24 years old when she lost her seven years old child died in an accident. In the case of death of a girl child, taking note of contribution of children in the family, compensation shall be awarded without discrimination and the notional income should be taken as Rs.30,000/-. In the light of the Apex Court decision of Kishan Gopal and Anr. ( supra) upholding the case of Smt. Sarla Verma and Ors. vs. Delhi Transport Corporation and Anr., 2009 6 SCC 121 , a multiplier of 18 is applicable to a person aged 24 years. Therefore, multiplying Rs.30,000/- with 18 one gets Rs.5,40,000/- Plus Rs.50,000/-, under the conventional heads i.e. Rs.5,90,000/-. Hence, the amount is enhanced to Rs.5,90,000-2,00,000/- = Rs.3,90,000/-.
The insurance company is directed to deposit the enhanced amount along with an interest of 6% per annum from the date of filing of this appeal.
The appeal is hereby partly allowed.
(GOVERDHAN BARDHAR),J
Sharma NK/23
2 issues framed by the court
Whether the Motor Accidents Claims Tribunal erred in ignoring the notional income of the deceased child in assessing compensation.
Whether the compensation award can be enhanced by applying the formula laid down by the Supreme Court in Kishan Gopal.
Colour shows how this judgement treated each authority
Kishan Gopal and Anr. vs. Lala and Ors.Applied¶24
(2014) 1 SCC 244 · Who else cites this
Nana Devi (Smt.) and Ors. vs. Gurumel Singh and Ors.Referred¶21
2012 1 MACT (Raj.) 286
Smt. Sarla Verma and Ors. vs. Delhi Transport Corporation and Anr.Applied¶28
2009 6 SCC 121 · Who else cites this
1 provisions across 1 enactments
Suresh Bairwa
Guddi Devi
Dharamveer Sharma
M/s PCL Limited
HCFCERGO General Insurance Company Ltd
Goverdhan Bardhar
As recorded by the court registry
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