IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 26TH DAY OF NOVEMBER, 2019 BEFORE THE HON’BLE MR. JUSTICE S.R.KRISHNA KUMAR M.F.A.NO.2678 OF 2017(MV) Between 1. Radha K S W/o Late Ramesha Aged about 32 years 2. S L Shilpashree D/o Late Ramesha Aged 17 years 3. M R Sindhushree D/o late Ramesha Aged about 15 years Appellant No.2 and 3 are minors R/p by their natural guardian and mother Radha K S 4. Chikkathayamma W/o late Sannegowda Aged about 66 years All are residing at Mahadevapura Village Srirangapatna Tq., Mysore Dist-571 438. …Appellants (By Sri. Sreenivasan.M.Y., Advocate ) And 1. A Aboo S/o Mammu K P Major, r/at Engilagere Village And Post, Virajapete, Kodagu Madikere District-571 201.
2. The Manager (Legal Claims) Universal Sampoo Gen Ins Co Ltd. KVD Tower, No.7/3, 2nd Floor Opposite to 100 feet Road Old Madras Road, Indira Nagara Bengaluru-560 038. …Respondents (By Sri. B.C. Shivannegowda, Advocate for R2; R1- notice d/w) This appeal is filed under section 173(1) of MV Act, against the judgment and award dated 20.02.2016 passed in MVC No.46/2015 on the file of the Additional Senior Civil Judge, MACT, Srirangapatna, partly allowing the claim petition for compensation and seeking enhancement of compensation.
This appeal coming on for Admission, this day the Court delivered the following:
JUDGMENT This appeal has been filed by the appellants- claimants challenging the impugned judgment and award dated 20.02.2016 passed by the Additional Senior Civil Judge, MACT, Srirangapatna (for short ‘the Tribunal’), in M.V.C.No.46/2015 whereby the Tribunal has awarded a total sum of Rs.12,50,805/- together with interest at 9% p.a. from the date of claim petition till realization in favour of the appellants-claimants who are the wife, minor children and mother of the deceased Ramesh who expired in the fatal road accident that occurred on 27.11.2013.
2. Though the matter is listed for admission, with the consent of learned counsel for the parties, the matter is taken up for final disposal.
3. Both the counsels submit that the occurrence of accident as well as the coverage of the policy of the offending vehicle by the Insurance Company is not in dispute and this appeal is restricted to quantum of compensation awarded by the Tribunal.
4. A perusal of the impugned judgment and award would go to show that the Tribunal has awarded a total compensation of Rs.13,89,784/- under the various heads:
5. However, the Tribunal has come to the conclusion that out of the said amount, 10% has to be deducted towards contributory negligence on the part of the deceased and secondly, the appellants-claimants would be entitled to total compensation of Rs.12,50,805/- together with interest @ 9% p.a. from the date of filing till the date of realization.
6. Aggrieved by the quantum of compensation awarded by the Tribunal, the appellants-claimants are before this Court in the present appeal. The learned counsel appearing on behalf of the appellants-claimants that the Tribunal has committed an error in taking the notional income of the deceased as Rs.6,500/-p.m. instead of Rs.8,000/- p.m. as per the Lok Adalat guidelines which stipulated that in respect of the accident occurred in the year 2013. Notional income to be taken as Rs.8,000/- p.m. It is also contented that the Tribunal has committed an error in not adding 25% towards ‘future prospects and the same comes to Rs.2,000/- p.m. In view of the fact that the deceased was aged about 42 years on the date of the accident and in the light of the law laid down by Apex Court in National Insurance Company Limited V. Pranay Sethi and Ors reported in (2017) 16 SCC 680, it is contended that the appellants-claimants would be entitled to enhanced compensation under the head ‘loss of dependency’.
7. Per contra, learned counsel for the respondent-Insurance Company would support the impugned judgment and award passed by the Tribunal.
8. It is also contended by the learned counsel appearing for respondent No.2- Insurance Company, the Tribunal has committed grave and serious error in law by awarding excessive compensation under conventional heads viz., loss of consortium, loss of estate, loss of love and affection and funeral expenses.
9. It is contended by the learned counsel for respondent No.2 that the compensation awarded by the Tribunal under these conventional heads deserves to be reduced by this Court in the present appeal.
10. Before considering the claim of the appellants-claimants for enhancement of compensation, having regard to the material on record, the finding of the Tribunal that 10% has to be deducted towards contributory negligence on the part of the deceased is just and proper and in accordance with law and the same does not requires interference by this Court.
11. I have given my anxious consideration to the rival submissions and perused the material on record.
12. As rightly pointed out by the learned counsel for the appellants-claimants that the Tribunal has committed an error in taking the notional income of the deceased as Rs.6,500/- p.m. without appreciating that as per Lok Adalat guidelines and the law laid down by the Apex Court in Pranay Sethi’s case stated supra, the notional income of the deceased ought to have been taken as Rs.8,000/- p.m. and 25% to be added to the same towards ‘future prospects’. Accordingly, the income of the deceased for the purpose of assessing disability comes to Rs.10,000/- p.m. As held by the Sarla Verma and others Vs. Delhi Transport Corporation Limited and another reported in (2009) 6 SCC 121, one-fourth of the said income has to be deducted since the deceased has left behind four dependants who are the appellants-claimants in the present appeal. Accordingly, the appellants-claimants are entitled to a total compensation of Rs.12,60,000/- under the head ‘loss of dependency’ as here under:
10,000x1/4x12x14= Rs.12,60,000/-
13. As rightly contended by the learned counsel for respondent No.2-Insurance Company, the Tribunal has committed an error of law in awarding excessive compensation under conventional/traditional heads and the same requires to be reduced by this Court by reworking out the compensation.
14. In view of the aforesaid facts and circumstances, the total compensation payable to the appellants-claimants has to be reworked as hereunder:
1 Loss of dependency Rs. 12,60,000.00 2 Loss of consortium Rs. 1,60,000.00 3 Loss of estate Rs. 15,000.00 4 Funeral and other incidental charges Rs. 15,000.00 Total Rs. 14,50,000.00 17. Thus, the appellants-claimants are entitled to a compensation amount of Rs.14,50,000/- by deducting 10% of the said amount towards contributory negligence on the part of the deceased, the appellants- claimants would be entitled to a total compensation of Rs.13,05,000/- towards their claim together with interest at 9% p.a. from the date of claim petition till realization. The Tribunal has already awarded Rs.12,50,805/- to the claimants. Thus, the appellants- claimants would be entitled to an additional enhanced amount of Rs.54,195/- together with interest @ 6% p.a. from the date of claim petition till realization.
18. In view of the aforesaid discussion, I pass the following:
ORDER (i) The appeal is partly allowed.
(ii) The impugned judgment and award dated 20.02.2016 passed by the Additional Senior Civil Judge, MACT, Srirangapatna in M.V.C.No.46/2015 is hereby set aside.
(iii) The appellants-claimants is entitled to additional enhanced compensation of Rs.54,195/- which shall carry interest at 6% p.a. from the date of petition till realization.
(iv) The enhanced compensation amount together with interest to be released in favour of the appellant No.1.
Sd/- JUDGE SSD