C.A.@SLP(C) 16739-16741 of 2012 1
NON-REPORTABLE
IN THE SUPREME COURT OF INDIA
CIVIL APPELLATE JURISDICTION
CIVIL APPEAL NOS.662-664 OF 2014
(ARISING OUT OF SLP(C) NO(s). 16739-16741 OF 2012)
SYED SADIQ ETC. …APPELLANTS
Vs.
DIVISIONAL MANAGER, UNITED INDIA INS. CO. … RESPONDENT
J U D G M E N T
V. Gopala Gowda, J.
Leave granted.
2. This appeal is filed by the appellants
questioning the correctness of the common judgment
JUDGMENT
and final order dated 31.10.2011 passed by the High
Court of Karnataka at Bangalore in M.F.A. No. 1131
of 2011 [MV], C/W M.F.A. Nos. 1132 and 1133 of 2011
[MV], urging various facts and legal contentions in
justification of their claim.
3. Necessary relevant facts are stated hereunder
to appreciate the case of the appellants and also
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C.A.@SLP(C) 16739-16741 of 2012 2
to find out whether the appellants are entitled for
the relief as prayed in these appeals.
claimants in the appeals herein were proceeding on
the left side of the road by pushing the motorcycle
bearing Registration no. KA-16-2404 since it was
punctured. When the appellants/ claimants came near
the Coper Petrol Bunk, opposite to Jai Hind Hotel,
a tractor bearing no KA-16/T-8219-8220 came from
the opposite direction on its right side in rash
and negligent manner and dashed into the motor
cycle and the appellants/claimants. This resulted
in all the appellants/claimants sustaining grievous
JUDGMENT
injuries.
4. They filed MV Case Nos. 149, 147 and 148 of
2010 respectively before the Motor Accident Claim
Tribunal, Chitradurga (for short ‘the Tribunal’).
The Tribunal awarded different awards in the three
different appeals which had been heard together by
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C.A.@SLP(C) 16739-16741 of 2012 3
the High Court of Karnataka. Since the injuries
suffered by the three appellants are different, we
appellants in the road accident are concerned,
there is no dispute that the accident occurred
on 14.02.2008 due to the rash and negligent driving
of the tractor-trailer bearing registration
No. KA-16/T-8219-8220 by its driver. The appeals
therefore, are confined to determining whether the
quantum of compensation which was enhanced by the
High Court from that of the Tribunal is just and
proper or whether it requires further enhancement
JUDGMENT
in the interest of justice. We take up the appeals
one at a time.
Civil Appeal @ MFA 1131/2011 (MVC No. 149/ 2010)
5. It is evident from the material and legal
evidence produced on record that the appellant/
claimant in this appeal had sustained injuries to
lower end of right femur and his right leg was
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C.A.@SLP(C) 16739-16741 of 2012 4
amputated. Further, he had sustained injury over
his left upper arm. The injuries sustained by him
7&8, disability certificate Ex. P-12, X-ray films
Ex.P-218 and was further supported by oral evidence
of the appellant/claimant and the doctor examined
as PW-1 and PW-4 respectively. PW-4 Dr. Rajesh had
stated in his evidence that the appellant/claimant
had suffered disability of 24% to upper limb and
85% to lower limb. The Tribunal, however, had
considered the disability of the appellant/claimant
caused to whole body at 30%. The High Court
JUDGMENT
however, taking into consideration the amputation
of the right leg of the appellant/claimant,
determined the disability at 65% without assigning
any proper reason for coming to this conclusion.
Therefore, we intend to assign our reasons to hold
that the High Court has erred in concluding the
disability at 65%.
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C.A.@SLP(C) 16739-16741 of 2012 5
6. This Court in the case of Mohan Soni v. Ram
1
Avtar Tomar & Ors. , has elaborately discussed upon
| e factors which determine the loss of income o<br>e claimant more objectively. The relevan<br>ragraph reads as under:<br>“11. In a more recent decision in Raj Kumar<br>v. Ajay Kumar and another, (2011) 1 SCC 343,<br>this Court considered in great detail the<br>correlation between the physical disability<br>suffered in an accident and the loss of<br>earning capacity resulting from it. In<br>paragraphs 10, 11 and 13 of the judgment in<br>Raj Kumar, this Court made the following<br>observations: | | | |
|---|
| | | |
| 10. Where the claimant suffers a<br>permanent disability as a result of<br>injuries, the assessment of<br>compensation under the head of loss<br>of futurJe UeaDrniGngMs EwouNldT depend upon<br>the effect and impact of such<br>permanent disability on his earning<br>capacity. The Tribunal should not<br>mechanically apply the percentage of<br>permanent disability as the<br>percentage of economic loss or loss<br>of earning capacity. In most of the<br>cases, the percentage of economic<br>loss, that is, the percentage of loss<br>of earning capacity, arising from a<br>permanent disability will be<br>different from the percentage of | | |
1
(2012) 2 SCC 267
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C.A.@SLP(C) 16739-16741 of 2012 6
| permanent disability. Some Tribunals<br>wrongly assume that in all cases, a<br>particular extent (percentage) of<br>permanent disability would result in<br>a corresponding loss of earning<br>capacity, and consequently, if the<br>evidence produced show 45% as the<br>permanent disability, will hold that<br>there is 45% loss of future earning<br>capacity. In most of the cases,<br>equating the extent (percentage) of<br>loss of earning capacity to the<br>extent (percentage) of<br>permanent disability will result in<br>award of either too low or too high a<br>compensation. | |
|---|
| 11. What requires to be assessed by<br>the Tribunal is the effect of the<br>permanent disability on the earning<br>capacity of the injured; and after<br>assessing the loss of earning<br>capacity in terms of a percentage of<br>the income, it has to be quantified<br>in terms of money, to arrive at the<br>future loss of earnings (by applying<br>the staJndaUrdD mGulMtipEliNer T method used<br>to determine loss of dependency). We<br>may however note that in some cases,<br>on appreciation of evidence and<br>assessment, the Tribunal may find<br>that the percentage of loss of<br>earning capacity as a result of the<br>permanent disability is approximately<br>the same as the percentage of<br>permanent disability in which case,<br>of course, the Tribunal will adopt<br>the said percentage for determination<br>of compensation. (See for example,<br>the decisions of this Court in Arvind | |
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C.A.@SLP(C) 16739-16741 of 2012 7
| Kumar Mishra v. New India Assurance<br>Company Ltd. (2010) 10 SCC 254 and<br>Yadava Kumar v. National Insurance<br>Company Ltd. (2010) 10 SCC 341). | |
|---|
| | |
| 13. Ascertainment of the effect of<br>the permanent disability on the<br>actual earning capacity involves<br>three steps. The Tribunal has to<br>first ascertain what activities the<br>claimant could carry on in spite of<br>the permanent disability and what he<br>could not do as a result of the<br>permanent disability (this is also<br>relevant for awarding compensation<br>under the head of loss of amenities<br>of life). The second step is to<br>ascertain his avocation, profession<br>and nature of work before the<br>accident, as also his age. The third<br>step is to find out whether (i) the<br>claimant is totally disabled from<br>earning any kind of livelihood, or<br>(ii) whether in spite of the<br>permanent disability, the claimant<br>could stJilUl DeffGecMtiEvelNy Tcarry on the<br>activities and functions, which he<br>was earlier carrying on, or (iii)<br>whether he was prevented or<br>restricted from discharging his<br>previous activities and functions,<br>but could carry on some other or<br>lesser scale of activities and<br>functions so that he continues to<br>earn or can continue to earn his<br>livelihood.” | |
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C.A.@SLP(C) 16739-16741 of 2012 8
7. Further, the appellant claims that he was
working as a vegetable vendor. It is true that a
However, the occupation of vegetable vending is not
confined to selling vegetables from a particular
location. It rather involves procuring vegetables
from the whole-sale market or the farmers and then
selling it off in the retail market. This often
involves selling vegetables in the cart which
requires 100% mobility. But even by conservative
approach, if we presume that the vegetable vending
by the appellant/claimant involved selling
JUDGMENT
vegetables from one place, the claimant would
require assistance with his mobility in bringing
vegetables to the market place which otherwise
would be extremely difficult for him with an
amputated leg. We are required to be sensitive
while dealing with manual labour cases where loss
of limb is often equivalent to loss of livelihood.
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C.A.@SLP(C) 16739-16741 of 2012 9
Yet, considering that the appellant/claimant is
still capable to fend for his livelihood once he is
8. The appellant/claimant in his appeal further
claimed that he had been earning
10,000/- p.m. by
doing vegetable vending work. The High Court
however, considered the loss of income at
3500/-
p.m. considering that the claimant did not produce
any document to establish his loss of income. It is
difficult for us to convince ourselves as to how a
labour involved in an unorganized sector doing his
own business is expected to produce documents to
JUDGMENT
prove his monthly income. In this regard, this
Court, in the case of Ramchandrappa v. Manager,
2
Royal Sundaram Alliance Company Limited , has held
as under:
| “ | 13. In the instant case, it is not in |
|---|
| dispute that the Appellant was aged | |
| about 35 years and was working as a | |
2
(2011) 13 SCC 236
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C.A.@SLP(C) 16739-16741 of 2012 10
| Coolie and was earning | | | 4500/- per month | | | | | |
|---|
| at the time of accident. This claim is | | | | | | | | |
| reduced by the Tribunal to a sum of | | | | | | | | |
| | | | | | | | | |
| | | | | | | | | |
| 3000/- only on the assumption that wages | | | | | | | | |
| of the labourer during the relevant | | | | | | | | |
| period viz. in the year 2004, was | | | | | | 100/- | | |
| | | | | | | | | |
| | | | | | | | | |
| per day. This assumption in our view has | | | | | | | | |
| no basis. Before the Tribunal, though | | | | | | | | |
| Insurance Company was served, it did not | | | | | | | | |
| choose to appear before the Court nor | | | | | | | | |
| did it repudiated the claim of the | | | | | | | | |
| claimant. Therefore, there was no reason | | | | | | | | |
| for the Tribunal to have reduced the | | | | | | | | |
| claim of the claimant and determined the | | | | | | | | |
| monthly earning a sum of 3000/- p.m.<br>Secondly, the Appellant was working as a | | | | | | | | |
| Coolie and theref<br>him to produce an | ore, we cannot expect<br>y documentary evidence | | | | | | | |
| to substantiate | his claim. In the | | | | | | | |
| absence of any ot | her evidence contrary | | | | | | | |
| to the claim made | by the claimant, in | | | | | | | |
| our view, in the | facts of the present | | | | | | | |
| case, the Tribunal should have accepted | | | | | | | | |
| the claim of the claimant. | | | | | | | | |
| | | | | | | | | |
| 14. We hasten to add that in all cases | | | | | | | | |
| JUDGMENT<br>and in all circumstances, the Tribunal | | | | | | | | |
| need not accept the claim of the | | | | | | | | |
| claimant in the absence of supporting | | | | | | | | |
| material. It depends on the facts of | | | | | | | | |
| each case. In a given case, if the claim | | | | | | | | |
| made is so exorbitant or if the claim | | | | | | | | |
| made is contrary to ground realities, | | | | | | | | |
| the Tribunal may not accept the claim | | | | | | | | |
| and may proceed to determine the | | | | | | | | |
| possible income by resorting to some | | | | | | | | |
| guess work, which may include the ground | | | | | | | | |
| realities prevailing at the relevant | | | | | | | | |
| point of time. In the present case, | | | | | | | | |
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C.A.@SLP(C) 16739-16741 of 2012 11
| Appellant was working as a Coolie and in<br>and around the date of the accident, the<br>wage of the labourer was between 100/-<br>to 150/- per day or 4500/- per month.<br>In our view, the claim was honest and<br>bonafide and, therefore, there was no<br>reason for the Tribunal to have reduced<br>the monthly earning of the Appellant<br>from 4500/- to 3000/- per month. We,<br>therefore, accept his statement that his<br>monthly earning was 4500/-.”<br>There is no reason, in the instant case fo<br>ibunal and the High Court to ask for eviden<br>nthly income of the appellant/claimant. O<br>her hand, going by the present state of ec<br>d the rising prices in agricultural product | Appellant was working as a Coolie and in | | | | | | | | | |
|---|
| and around the date of the accident, the | | | | | | | | | |
| wage of the labourer was between | | | | | | | | | 100/- |
| | | | | | | | | | |
| | | | | | | | | | |
| to | | 150/- per day | | | or | 4500/- per month. | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| In our view, the claim was honest and | | | | | | | | | |
| bonafide and, therefo | | | | | | re, there was no | | | |
| reason for the Tribunal to have reduced | | | | | | | | | |
| the monthly earning of the Appellant | | | | | | | | | |
| from | | | | 4500/- to 3 | 000/- per month. We, | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| therefore, accept his statement that his | | | | | | | | | |
| monthly earning wa | | | | | | | | | |
reasonably capable of earning
6,500/- per month.
JUDGMENT
10. Further, it is evident from the material
evidence on record that the appellant/claimant was
24 years old at the time of occurrence of the
accident. It is also established on record that he
was earning his livelihood by vending vegetables.
The issue regarding calculation of prospective
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C.A.@SLP(C) 16739-16741 of 2012 12
increment of income in the future of self employed
people, came up in Santosh Devi v. National
| ld as under:<br>“14. We find it extremely difficult to<br>fathom any rationale for the observation<br>made in paragraph 24 of the judgment in<br>Sarla Verma's case that where the<br>deceased was self-employed or was on a<br>fixed salary without provision for annual<br>increment, etc., the Courts will usually<br>take only the actual income at the time<br>of death and a departure from this rule<br>should be made only in rare and<br>exceptional cases involving special<br>circumstances. In our view, it will be<br>nave to say that the wages or total<br>emoluments/income of a person who is<br>self-employed or who is employed on a<br>fixed salary without provision for annual<br>increment, etc., would remain the same<br>throughouJt UhisD lGifeM. ENT<br>15. The rise in the cost of living<br>affects everyone across the board. It<br>does not make any distinction between<br>rich and poor. As a matter of fact, the<br>effect of rise in prices which directly<br>impacts the cost of living is minimal on<br>the rich and maximum on those who are<br>self-employed or who get fixed<br>income/emoluments. They are the worst<br>affected people. Therefore, they put<br>extra efforts to generate additional | | | |
|---|
| | 14. We find it extremely difficult to | |
| fathom any rationale for the observation | | |
| made in paragraph 24 of the judgment in | | |
| Sarla Verma's case that where the | | |
| deceased was self-employed or was on a | | |
| fixed salary without provision for annual | | |
| increment, etc., the Courts will usually<br>take only the actual income at the time | | |
| of death and a de<br>should be made | | parture from this rule<br>only in rare and |
| exceptional case | | s involving special |
| circumstances. In | | our view, it will be |
| nave to say tha | | t the wages or total |
| emoluments/income | | of a person who is |
| self-employed or who is employed on a | | |
| fixed salary without provision for annual | | |
| increment, etc., would remain the same | | |
| throughout his lif | | |
| | | |
| 15. The rise in the cost of living | | |
| affects everyone across the board. It | | |
| does not make any distinction between | | |
| rich and poor. As a matter of fact, the | | |
| effect of rise in prices which directly | | |
| impacts the cost of living is minimal on | | |
| the rich and maximum on those who are | | |
| self-employed or who get fixed | | |
| income/emoluments. They are the worst | | |
| affected people. Therefore, they put | | |
| extra efforts to generate additional | | |
3
(2012) 6 SCC 421
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C.A.@SLP(C) 16739-16741 of 2012 13
| income necessary for sustaining their | |
|---|
| families. | |
| 16. The salaries of those employed under<br>the Central and State Governments and<br>their agencies/instrumentalities have<br>been revised from time to time to provide<br>a cushion against the rising prices and<br>provisions have been made for providing<br>security to the families of the deceased<br>employees. The salaries of those employed<br>in private sectors have also increased<br>manifold. Till about two decades ago,<br>nobody could have imagined that salary of<br>Class IV employee of the Government would<br>be in five figures and total emoluments<br>of those in higher echelons of service<br>will cross the figure of rupees one lac.<br>17. Although, the wages/income of those<br>employed in unorganized sectors has not<br>registered a corresponding increase and<br>has not kept pace with the increase in<br>the salaries of the Government employees<br>and those employed in private sectors but<br>it cannotJ bUe DdeGnieMd EthNatT there has been<br>incremental enhancement in the income of<br>those who are self-employed and even<br>those engaged on daily basis, monthly<br>basis or even seasonal basis. We can take<br>judicial notice of the fact that with a<br>view to meet the challenges posed by high<br>cost of living, the persons falling in<br>the latter category periodically increase<br>the cost of their labour. In this<br>context, it may be useful to give an<br>example of a tailor who earns his<br>livelihood by stitching cloths. If the<br>cost of living increases and the prices | 16. The salaries of those employed under | |
|---|
| the Central and State Governments and | |
| their agencies/instrumentalities have | |
| been revised from time to time to provide | |
| a cushion against the rising prices and | |
| provisions have been made for providing | |
| security to the families of the deceased | |
| employees. The salaries of those employed | |
| in private sectors have also increased | |
| manifold. Till about two decades ago, | |
| nobody could have imagined that salary of | |
| Class IV employee of the Government would<br>be in five figures and total emoluments | |
| of those in high<br>will cross the fig | er echelons of service<br>ure of rupees one lac. |
| 17. Although, the | wages/income of those |
| employed in unorg | anized sectors has not |
| registered a corr | esponding increase and |
| has not kept pace with the increase in | |
| the salaries of the Government employees | |
| and those employed in private sectors but | |
| it cannot be denied that there has been | |
| JUDGMENT<br>incremental enhancement in the income of | |
| those who are self-employed and even | |
| those engaged on daily basis, monthly | |
| basis or even seasonal basis. We can take | |
| judicial notice of the fact that with a | |
| view to meet the challenges posed by high | |
| cost of living, the persons falling in | |
| the latter category periodically increase | |
| the cost of their labour. In this | |
| context, it may be useful to give an | |
| example of a tailor who earns his | |
| livelihood by stitching cloths. If the | |
| cost of living increases and the prices | |
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C.A.@SLP(C) 16739-16741 of 2012 14
of essentials go up, it is but natural
for him to increase the cost of his
labour. So will be the cases of ordinary
skilled and unskilled labour, like,
barber, blacksmith, cobbler, mason etc.
| 18. Therefore, we do not think that while | |
|---|
| making the observations in the last three | |
| lines of paragraph 24 of Sarla Verma's | |
| judgment, the Court had intended to lay | |
| down an absolute rule that there will be | |
| no addition in the income of a person who | |
| is self-employed or who is paid fixed | |
| wages. Rather, it would be reasonable to | |
| say that a person who is self-employed or<br>is engaged on fixed wages will also get | |
| 30 per cent increa<br>over a period of | se in his total income<br>time and if he / she |
| becomes victim of | accident then the same |
| formula deserves | |
| calculating the am | ount of compensation.” |
Therefore, considering that the appellant/ claimant
was self employed and was 24 years of age, we hold
JUDGMENT
that he is entitled to 50% increment in the future
prospect of income based upon the principle laid
| down in the | Santosh Devi | case (supra). |
|---|
| |
|---|
| 11. Further, regarding the use of multiplier, it | |
| was held in the | Sarla Verma v. DTC |
|---|
| upheld in | Santosh Devi c | ase (supra), as under: |
|---|
4
(2009) 6 SCC 121
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C.A.@SLP(C) 16739-16741 of 2012 15
| “42. We therefore hold that the<br>multiplier to be used should be as<br>mentioned in Column (4) of the table<br>above (prepared by applying Susamma<br>Thomas, Trilok Chandra and Charlie),<br>which starts with an operative multiplier<br>of 18 (for the age groups of 15 to 20 and<br>21 to 25 years), reduced by one unit for<br>every five years, that is M-17 for 26 to<br>30 years, M-16 for 31 to 35 years, M-15<br>for 36 to 40 years, M-14 for 41 to 45<br>years, and M-13 for 46 to 50 years, then<br>reduced by two units for every five<br>years, that is, M-11 for 51 to 55 years,<br>M-9 for 56 to 60 years, M-7 for 61 to 65<br>years and M-5 for 66 to 70 years.” | | | |
|---|
| Therefore, applying the | principle of | Sarla Verma | in |
| | | |
| the present case, we ho | ld that the High Court was | | |
| | | |
| correct in applying the multiplier of 18 and we | | | |
| “ | 42. We therefore hold that the |
|---|
| multiplier to be used should be as | |
| mentioned in Column (4) of the table | |
| above (prepared by applying Susamma | |
| Thomas, Trilok Chandra and Charlie), | |
| which starts with an operative multiplier | |
| of 18 (for the age groups of 15 to 20 and | |
| 21 to 25 years), reduced by one unit for | |
| every five years, that is M-17 for 26 to | |
| 30 years, M-16 for 31 to 35 years, M-15 | |
| for 36 to 40 years, M-14 for 41 to 45 | |
| years, and M-13 for 46 to 50 years, then | |
| reduced by two units for every five | |
| years, that is, M-11 for 51 to 55 years, | |
uphold the same for the purpose for calculating the
JUDGMENT
amount of compensation to which the appellant/
claimant is entitled to.
| |
|---|
| 12. With respect to the medical expenses incurred | |
by the appellant/claimant, he has produced medical
bills and incidental charges bills marked as
Exs. P-25 to P-201 and prescriptions at Exs. P-202
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C.A.@SLP(C) 16739-16741 of 2012 16
to P-217 on the basis of which the Tribunal awarded
| a compensation of 6 | 0,000/- under the head. |
|---|
| However, considering that the appellant might have | | |
|---|
| | |
| to change his artificial leg from time to time, we | | |
| shall allot an amount of 1,00,000/- under the head | | |
| of medical cost and incidental expenses to include | | |
| future medical costs.<br>Thus, the total amount which is awarded under | | |
| the head of ‘loss of f | | uture income’ including the |
| | |
| 50% increment in the | | future, works out to be |
| | |
| 65,00/ | - x 85/100 + 50/100 x 85/100 |
6,500/-) x 12 x 18].
JUDGMENT
13. Further, along with compensation under
conventional heads, the appellant/claimant is also
entitled to the cost of litigation as per the legal
principle laid down by this Court in the case of
5
Balram Prasad v. Kunal Saha . Therefore, under this
head, we find it just and proper to allow
25,000/-
5
Civil Appeal no. 2867 of 2012.
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C.A.@SLP(C) 16739-16741 of 2012 17
14. Hence, the appellant/claimant is entitled to
| the compensation under the following heads: | | | | | | | | | |
|---|
| | Towards cost | | | | | of 50,000/- | | |
| | artificial leg | | | | | | | |
| | Towards pain a | | | | | nd 75,000/- | | |
| | suffering | | | | | | | |
| | Towards loss of marria | | | | | ge 50,000/- | | |
| | prospectus | | | | | | | |
| | Towards loss of ameniti | | | | | es | 75,000/- | |
| | Towards medical a | | | | | nd 1,00,000/- | | |
| | incidental cost | | | | | | | |
| | Towards cost<br>litigation | | | | | of 25,000/- | | |
| 15. Also, by relying upon the principle laid do<br>by this Court in the case of Municipal Corporati<br>of Delhi v. Association of Victims of Upha | | | | | | | | | |
6
Tragedy , we find it just and proper to allow
JUDGMENT
interest at the rate of 9% per annum.
16. Hence, the total amount of claim the
appellant/claimant becomes entitled to is
21,65,100/- with interest @ 9% per annum from the
date of application till the date of payment.
6
AIR 2012 SC 100
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C.A.@SLP(C) 16739-16741 of 2012 18
Civil Appeal @ MFA 1132/2011 (MVC No. 147/2010)
17. The appellant/claimant in this appeal has
and fibula. The injuries sustained and the
treatment taken by the appellant/claimant are
evident from discharge card Ex. P-225, photographs
marked as Ex. P-227 to P-234, disability
certificate marked as Ex. P-236, X-ray films Ex. P-
574 supported by the oral evidence of the claimant
and the doctor examined as PW-3 and PW-4
respectively. PW-4 Dr. Rajesh had stated in his
evidence that the appellant/ claimant has suffered
JUDGMENT
from permanent disability of 69% to lower limb. The
High Court has taken his functional disability at
25%. However, while determining the disability of
the claimants in motor accidents cases, this Court
might be sensitive about the functional disability
involved and the nature of the occupation,
particularly, if the occupation involves manual
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C.A.@SLP(C) 16739-16741 of 2012 19
labour. Therefore, we hold that the High Court
erred in determining the functional disability of
appeal is also a vegetable vendor like the
appellant/claimant in Civil Appeal @ MFA 1131/2011,
we take his monthly income at
6,500/- on average
and for the reasons recorded in that appeal, we
determine the functional disability of the
appellant/claimant in the present appeal at 35%.
Considering his age, and based on the legal
principle laid down by this Court in the cases
mentioned supra, we hold his increment on future
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income at 50% and the multiplier at 18. Therefore,
he is entitled to
7,37,100/- [(
6,500 x 35/100 +
50/100 x 35/100 x
6,500) x 12 x18] under the head
of ‘loss of future income’.
18. The amount awarded by the Tribunal and the High
Court under other conventional heads have not been
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C.A.@SLP(C) 16739-16741 of 2012 20
disputed by the appellant/claimant by producing
contrary evidence. Therefore, the amount awarded
the appellant/claimant is also entitled to the cost
| of litigation at 25,000/-.<br>19. Hence, the appellant/claimant is entitled to<br>compensation under the following heads: | |
| Towards pain and<br>suffering | 60,000/- |
| Towards medical and<br>incidental charges | 1,00,000/- |
| Towards loss of<br>amenities | 40,000/- |
| Towards future medical<br>expenses JUDG | 15,000/-<br>MENT |
| Towards cost of<br>litigation | 25,000/- |
20. Therefore, the appellant/ claimant is entitled
to a total sum of
9,77,100/- with interest @ 9%
per annum based on the principle laid down by this
Court mentioned supra.
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C.A.@SLP(C) 16739-16741 of 2012 21
Civil Appeal @ MFA 1133/2011 (MVC No. 148/2010)
21. The appellant/claimant in this appeal has
it has been established that the appellant/
rd
claimant has sustained fracture on middle 1/3 of
right humerus and comminuted fracture at the
rd rd
junction of upper 1/3 and middle 1/3 of right
tibia. The injuries sustained by him and the
treatment taken by him is evident from the
disability certificate marked as Ex. P-221, X-ray
film marked as Ex. P-222 which is supported by oral
evidence of the claimant and doctor examined as PW-
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2 and PW-4 respectively. PW-4 Dr. Rajesh has stated
in his evidence that the claimant has suffered 22%
permanent disability to upper limb and 29% to lower
limb. The High Court has calculated the functional
disability to 13%. We are inclined to hold that the
High Court has erred in ascertaining the functional
disability to such a low percentage considering
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C.A.@SLP(C) 16739-16741 of 2012 22
that the appellant/claimant earns his livelihood
through manual labour. It is evident from the
material evidence produced on record that the
appellant/claimant has suffered from comminuted
fracture in the accident as a result of which he
will not be able to bend, stretch or rotate his
right hand. He will also not be able to lift heavy
material which is so essential to carry on with his
business to earn his livelihood. Therefore, we are
inclined to observe that the appellant/claimant
suffers from a functional disability to the extent
of 85%.
22. Further, the appellant/claimant has claimed
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that he has been earning
5,000/- p.m. by working
as a cleaner of the lorry. The Tribunal assessed
his monthly income at
3000/-. The High Court,
considering his age and his profession as a
cleaner, assessed his income at
3500/-. However,
based on the Karnataka State Minimum Wages Rule
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C.A.@SLP(C) 16739-16741 of 2012 23
2012-2013, the appellant/claimant is entitled to
4246/- per month. Since, no written record of his
4246/- rounding it off as
4300/- per month.
Further, an amount of
700/- can be added as daily
barter charges. Therefore, his monthly income
amounts to
5000/-.
23. Further, considering that the appellant/
claimant was 22 years of age, the multiplier
applicable to his age group is 18 and also based on
the legal principle laid down by this Court in
various cases, we hold that he is entitled to 50%
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increment in future loss of income. Therefore, he
is entitled to an amount at
13,77,000/- [(
5000 x
85/100 + 50/100 x 85/100 x Rs.5,000) x 12 x 18].
24. It is pertinent to note that the appellant/
claimant in this appeal has produced medical bills
for
8000/-. He was treated as an inpatient for 15
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C.A.@SLP(C) 16739-16741 of 2012 24
days in a private hospital. Therefore, considering
the same, the High Court has awarded a sum of
appellant/claimant was also required to have
conveyance, nourishment and attendant charges for
proper recovery of health, we increase the
compensation under this head to
50,000/-. Further,
considering the fracture sustained by the
appellant/claimant and the evidence produced by the
doctor, another
5000/- awarded by the High Court
towards future expenses is upheld by us.
25. Further, towards loss of amenities, the
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Tribunal has awarded
10,000/-. However,
considering the disability stated by the doctor and
the amount of discomfort and unhappiness he has to
undergo in the future life, the High Court has
awarded
20,000/- under this head. We intend to
observe that the amount awarded by the High Court
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C.A.@SLP(C) 16739-16741 of 2012 25
under this head is very meager and inadequate
considering the age and the amount of disability.
| 0,000/-.<br>. Apart from t | | | |
|---|
| ready provided above for the two o<br>pellants/claimants, the appellant/claimant<br>is appeal, is also entitled to compensation u<br>e following heads:<br>Towards pain and 60,000/-<br>suffering<br>Towards medical and 50,000/-<br>incidental expenses<br>Towards loss of 50,000/-<br>amenities<br>Towards J UDGfutMurEe NT5,000/-<br>expenses<br>Towards cost of 25,000/-<br>litigation | | | |
| Towards pain<br>suffering | and | 60,000/- |
| Towards medical and<br>incidental expenses | | 50,000/- |
| Towards loss of<br>amenities | | 50,000/- |
| Towards J UDGfutMurEe<br>expenses | | NT5,000/- |
| Towards cost of<br>litigation | | 25,000/- |
27. Therefore, the appellant/ claimant in this
appeal is entitled to a total amount of
15,67,000/- with an interest of 9% per annum from
the date of application till the date of payment.
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C.A.@SLP(C) 16739-16741 of 2012 26
Contributory Negligence
accident, it is held by the Tribunal that the
appellants/claimants herein should have taken
utmost care while moving on the highway. Looking at
the spot of the accident, the Tribunal concluded
that the appellants/claimants were moving on the
middle of the road which led to the accident.
Therefore, the Tribunal concluded that though the
tractor has been charge sheeted under sections 279
and 338 of IPC, but given the facts and
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circumstances of the case, the appellants/claimants
also contributed to the accident to the extent of
25%. The High Court without assigning any reason
concurred with the findings of the Tribunal with
respect to contributory negligence. We find it
pertinent to observe that both the Tribunal and the
High Court erred in holding the appellants/
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C.A.@SLP(C) 16739-16741 of 2012 27
claimants in these appeals liable for contributory
negligence. The Tribunal arrived at the above
the absence of any evidence to prove the same.
Therefore, we are inclined to hold that the
contribution of the appellants/claimants in the
accident is not proved by the respondents by
producing evidence and therefore, the finding of
the Tribunal regarding contributory negligence,
which has been upheld by the High Court, is set
aside.
29. The appeals are allowed accordingly. The
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appellant/claimant in Civil Appeal @ MFA 1131/2011
(MVC No. 149/ 2010) is awarded a compensation of
amount at
21,65,100/-. The appellant/claimant in
Civil Appeal @ MFA 1132/2011 (MVC No. 147/2010) is
awarded a compensation of amount at
9,77,100/-.
The appellant/claimant in Civil Appeal @ MFA
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C.A.@SLP(C) 16739-16741 of 2012 28
1133/2011 (MVC No. 148/2010) is awarded a
compensation of amount at
15,67,000/-. All the
date of payment.
30. The name of the erstwhile first respondent has
been deleted from the array of parties by Order of
this Court dated 1.7.2013. The Insurance Company
remains the sole respondent in this case.
Therefore, we direct the Insurance Company to
deposit 50% of the awarded amount with
proportionate interest within four weeks from the
date of receipt of a copy of this order, after
JUDGMENT
deducting the amount if already paid, in any of the
Nationalized Bank of the choice of the appellants
for a period of 3 years. During the said period, if
they want to withdraw a portion or entire deposited
amount for their personal or any other expenses,
including development of their asset, then they are
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C.A.@SLP(C) 16739-16741 of 2012 29
at liberty to file application before the Tribunal
for release of the deposited amount, which may be
regard.
The rest of 50% amount awarded with
proportionate interest shall be paid to the
appellants/claimants by way of a demand draft
within four weeks. The Insurance Company is further
directed to submit compliance report before this
court within five weeks.
………………………………………………………………………J.
[SUDHANSU JYOTI MUKHOPADHAYA]
JUDGMENT
………………………………………………………………………J.
[V. GOPALA GOWDA]
New Delhi,
January 16, 2014
Page 29