Chhattisgarh High CourtTransport, Maritime, and Aviation LawCivil Procedure and Evidence

Deceased’s income must reflect notified minimum wages when calculating motor accident compensation.

JYOTI RAJWADEv.UMASHANKAR SONWANI

Deceased’s income must reflect notified minimum wages when calculating motor accident compensation.. JYOTI RAJWADE vs UMASHANKAR SONWANI. Chhattisgarh High Court. LawLens
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In brief

The question

1. Whether the 291-day delay in filing the appeal should be condoned

The court held

The Court condoned the delay and partly allowed the appeal.

It also directed

It enhanced the compensation from ₹14,40,680 to ₹19,31,912, with the additional ₹4,91,232 carrying interest at 6% per annum from the date the claim application was filed until realization.

The remaining terms of the Tribunal’s award were left intact.

01Facts

The appellants—Hom Kumar’s widow and two minor daughters—appealed under Section 173 of the Motor Vehicles Act, 1988, seeking enhancement of compensation awarded for his death in a road accident on 9 December 2021.

¶ 1–8

The Claims Tribunal had assessed his monthly income at ₹6,700 and awarded ₹14,40,680.

¶ 1–8

The appellants contended that his income should have been assessed at ₹9,280 per month under the Chhattisgarh minimum-wage notification.

¶ 1–8

The High Court first condoned the 291-day delay in filing the appeal, then admitted and finally heard it with the parties’ consent.

¶ 1–8

The insurer opposed enhancement.

¶ 9–10

02Issues

i.1. Whether the 291-day delay in filing the appeal should be condoned

¶ 1–4

ii.2. Whether the Tribunal’s assessment of the deceased’s monthly income at ₹6,700 should be revised to ₹9,280 under the applicable Chhattisgarh minimum-wage notification

¶ 9, 12

iii.3. Whether the Tribunal’s application of future prospects, personal-expense deduction, multiplier, and conventional heads required further alteration

¶ 13–14

03Law Applied

Section 173 of the Motor Vehicles Act, 1988 provides for an appeal against a motor-accident compensation award.

In calculating compensation for death, the Court relied on National Insurance Co. Ltd. v. Pranay Sethi, which sets out principles for future prospects and conventional heads; Sarla Verma v. Delhi Transport Corporation, which guides the deduction for personal expenses and selection of multiplier; and Magma General Insurance Co. Ltd. v. Nanu Ram, concerning compensation under conventional heads.

¶ 14

The Court also applied the Chhattisgarh minimum-wage notification issued by the Office of the Labour Commissioner to assess the deceased’s monthly income.

¶ 12

Provisions in the judgment · 1 · Linked ones open on LawLens

Motor Vehicles Act, 1988 Section 173

04Reasoning

The Court found that the Tribunal had understated the deceased’s income: under the applicable minimum-wage notification, it should have been ₹9,280 per month, rather than ₹6,700.

¶ 12

It left undisturbed the Tribunal’s findings that the deceased was 27 years old, that 40% should be added for future prospects, that one-third should be deducted for personal expenses, that a multiplier of 17 applied, and that ₹1,65,000 was appropriate under conventional heads.

¶ 13

Applying those figures, the Court calculated total compensation of ₹19,31,912, an increase of ₹4,91,232 over the Tribunal’s award.

¶ 14–15

05Holding

The Court condoned the delay and partly allowed the appeal.

¶ 3–4, 15–16

It enhanced the compensation from ₹14,40,680 to ₹19,31,912, with the additional ₹4,91,232 carrying interest at 6% per annum from the date the claim application was filed until realization.

¶ 15–16

The remaining terms of the Tribunal’s award were left intact.

¶ 15–16
Chhattisgarh High Court

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JYOTI RAJWADEvsUMASHANKAR SONWANI

Chhattisgarh High Court · October 15, 2026

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