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New India Assurance Co. Ltd vs Eswaran

Madras High Court|02 February, 2009

JUDGMENT / ORDER

New India Assurance Company has filed this appeal challenging the award dated 13.10.2008 passed in O.P.No.138 of 2007 on the file of the Motor Accidents Claims Tribunal (Subordinate Court), Bhavani.
2. It is a case of fatal accident. The accident in this case happened on 14.9.2006. On the Bhavani-Mettur road, one Jeevanandam, 7 years old student, was standing on the road, he was hit by the lorry insured with the appellant driven by its driver in a rash and negligent manner and in that accident, he died. The father aged 45 years and mother aged 40 years are the claimants. They claimed a sum of Rs.5,00,000/- as compensation.
3. In support of the claim, the father was examined as P.W.1. Documents Exs. A1 to A7 were marked. No oral or documentary evidence was let in on behalf of the appellant/ third respondent before the Tribunal.
4. The finding of negligence on the part of the driver of the lorry, who is responsible for the accident and the death and the liability fixed on the appellant to compensate the claimants is not disputed by the counsel for the appellant and such finding is confirmed.
5. The only contention raised by the learned counsel for the appellant is on the quantum of compensation. The Tribunal in this case, fixed the notional income at Rs.15,000/- and by adopting 15 multiplier, determined the compensation on the death of 7 years old child at Rs.2,25,000/-. In addition, the Tribunal granted compensation on conventional heads. In all, the Tribunal granted the following amount as compensation with interest at the rate of 6% p.a. Sl.No.
Head Amount granted by the Tribunal 1 Loss of pecuniary benefits Rs.2,25,000/-
Loss of love and affection (Rs.25,000/- x 2) Rs. 50,000/-
7. This court is not inclined to interfere with the quantum of compensation for the following reasons:-
(i) The accident in this case happened in the year 2006.
(ii) The parents have lost their eldest son, who was hale and healthy and studying in the second standard.
(iii) In view of the Apex court judgment in Manju Devi and another  Vs. - Musafir Paswan and another reported in 2005 ACJ 99 + 2005 (1) TAC 609 (SC), the sum of Rs.2,25,000/- as compensation for the death of the 13 year son, a student is justified. Further, in the Apex court's decision, the accident happened in the year 1998. In this case, the accident happened on 14.9.2006. The deceased son is a 7 year old student, studying in second standard.
(iv) The parents losing their child at a tender age is a permanent scar in their life and the grief will linger till their life time. Thus, in a claim for compensation in the case of death, the claimants are granted compensation under conventional heads, like loss of love and affection, funeral expenses and miscellaneous expenses. The entitlement of the claimants/ parents for compensation on conventional heads cannot be disputed.
(v) The claimants in this case are father and mother claiming compensation on the death of their son. Having brought up their child and given him good education in a school, they will expect him to do well in life and their expectation of the bright prospects of their son has been shattered due to his untimely death and hence, they have to be compensated for loss of love and affection consequent to the death of their child. This will be in addition to compensation on other heads.
(vi) The amount granted towards conventional heads are justified.
(vii) Hence, on the whole, the total compensation in a sum of Rs.2,82,000/- is justified. Further, in this case, the interest granted is also only 6% whereas, the prevailing rate of interest is 9% to 10%. Therefore, the appellant has not made out a case for reduction of quantum of compensation.
8. Finding no merits, the civil miscellaneous appeal is dismissed at the admission stage. Consequently, M.P.No. 1 of 2009 is also dismissed.
9. Learned counsel for the appellant seeks for eight weeks' time to deposit the balance award amount and the same is allowed. On such deposit, the claimants are permitted to withdraw the amount as apportioned by the Tribunal.
ra To The Motor Accidents Claims Tribunal, (Subordinate Court), Bhavani
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Title

New India Assurance Co. Ltd vs Eswaran

Court

Madras High Court

JudgmentDate
02 February, 2009