A claimant’s acceptance of negotiated compensation warrants a further lump-sum enhancement of the motor accident award.

The claimant appealed under Section 173(1) of the Motor Vehicles Act, 1988, against the Tribunal’s award of ₹50,000 with interest at 7% per annum from the date of the claim application.

The insurer had already satisfied that award, but the claimant sought enhancement of the compensation.

At the hearing, the Court proposed a further consolidated sum of ₹35,000; the claimant accepted the proposal, and the insurer left the matter to the Court’s discretion.

1. Whether the claimant was entitled to an enhancement of compensation beyond the amount already awarded by the Tribunal.

2. Whether a further consolidated sum of ₹35,000 was appropriate in the circumstances.

Section 173(1) of the Motor Vehicles Act, 1988, provides for an appeal against an award of a Motor Accident Claims Tribunal.

The Court also referred to Order XLI, Rule 14(4) of the Code of Civil Procedure to dispense with notice to respondent No. 1, who had been set ex parte before the Tribunal.

In considering the proposed settlement, the Court relied on *Taslim Parvin & Another v. (Smt.) Usha Devi & Another*, 2018(2) TAC 22 (SC), without further elaborating the precedent’s governing principle.

The Court considered the claimant’s challenge to the quantum and the parties’ positions on its proposed settlement.

The claimant expressly accepted the proposal, while the insurer did not dispute it and left the decision to the Court.

Having regard to those circumstances and the cited Supreme Court decision, the Court concluded that justice would be served by increasing the compensation by a consolidated ₹35,000.

Any amount deposited is to be disbursed to the claimant in terms of the award.