Chhattisgarh High Court

Enhanced motor accident compensation determined by revising monthly income to Rs. 12,000 for deceased in milk-selling business.

SMT. CHITREKHA BHASKAR vs RAJENDRA PRASAD YADAV

Chhattisgarh High CourtJUDGMENT: May 05, 20262 MIN READSOURCE JUDGMENT
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The Appellants (claimants), being the legal representatives of the deceased Uttra Bhaskar, filed an appeal seeking enhancement of the compensation awarded by the First Additional Motor Accident Claims Tribunal, Mungeli

Source reference: p. 1-2

On September 15, 2019, the deceased died due to injuries sustained in an accident caused by the rash and negligent driving of a Bus (Registration No. UP-62-BT-9988) driven by Respondent No. 1 and insured by Respondent No. 3

Source reference: p. 2, para 2

The Tribunal awarded Rs. 13,35,000/- based on certain income assessments

Source reference: p. 2, para 2

The Appellants contended the amount was on the lower side given the deceased's occupation in the milk-selling business

Source reference: p. 2, para 3, 6
02

Issues

1. Whether the compensation awarded by the learned Tribunal was just and reasonable or required enhancement based on the evidence of the deceased's income and applicable legal precedents.

Source reference: p. 2-3, para 6-9
03

Law Applied

The Court applied Section 173 of the Motor Vehicles Act, 1988 regarding appeals against awards

Source reference: p. 2, para 1

National Insurance Company Ltd. v. Pranay Sethi and others (2017) regarding future prospects and conventional heads

Source reference: p. 3, para 10

Sarla Verma & Ors. v. Delhi Transport Corporation & Ors (2009) regarding the multiplier method and deductions for personal expenses

Source reference: p. 3, para 10

Magma General Insurance Co. Ltd. v. Nanu Ram @ Chuhru Ram & Ors (2018) regarding the grant of filial, spousal, and parental consortium

Source reference: p. 3, para 10
04

Reasoning

The Court re-evaluated the evidence and determined that the monthly income of the deceased should be safely fixed at Rs. 12,000/- (though the calculation table reflects a base of Rs. 10,000/- for the final computation)

Source reference: p. 3, para 9-10

Applying the Sarla Verma and Pranay Sethi guidelines, the Court added 25% for future prospects (as the deceased was 45 years old) and deducted 1/4th of the income for personal expenses given the four dependents

Source reference: p. 3, para 10

A multiplier of 14 was applied based on the age of the deceased

Source reference: p. 3, para 10

The Court further corrected the conventional heads by awarding Rs. 1,60,000/- for consortium (Rs. 40,000/- each to the four appellants), Rs. 15,000/- for funeral expenses, and Rs. 15,000/- for loss of estate, bringing the total recomputed compensation to Rs. 17,65,000/-

Source reference: p. 3, para 10-11
05

Holding

The High Court partly allowed the appeal, enhancement the compensation from Rs. 13,35,000/- to Rs. 17,65,000/-, resulting in an additional amount of Rs. 4,30,000/-

The Court ordered that the additional amount carry interest at 6% per annum from August 5, 2024

Source reference: p. 4, para 11

Respondent No. 3 (Insurance Company) was directed to deposit the enhanced amount within 60 days, with specific directions for fixed deposits and disbursements to the claimants to protect the interests of the widow and dependents

Source reference: p. 4, para 12
Chhattisgarh High Court

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SMT. CHITREKHA BHASKARvsRAJENDRA PRASAD YADAV

Chhattisgarh High Court · May 05, 2026

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