For four dependants, deduct one-fourth for personal expenses and add 40% future prospects for a deceased aged 30.

The claimants—deceased Krishnamurthy’s wife, minor daughter and parents—sought compensation for his death in a road accident on 21 February 2021.

The Motor Accident Claims Tribunal awarded a total of ₹22,70,000, including ₹20,40,000 for loss of dependency, and directed the insurer of the lorry to pay the award with 6% annual interest.

The claimants appealed under Section 173(1) of the Motor Vehicles Act, seeking enhancement.

1. Whether the Tribunal correctly assessed loss of dependency, including the deceased’s income, personal-expense deduction and future prospects.

2. Whether the compensation under consortium, loss of estate and funeral expenses required revision.

The appeal was brought under Section 173(1) of the Motor Vehicles Act.

In assessing compensation, the Court applied the multiplier method, added 40% to the deceased’s income for future prospects, and deducted one-fourth for personal expenses in view of four dependants.

It also applied a 10% increase to the conventional sums for loss of estate and funeral expenses and assessed consortium at ₹44,000 for each claimant.

The judgment does not cite specific precedents for these principles.

The Court retained the Tribunal’s assessment of monthly income at ₹15,000 and multiplier of 17, but found that the Tribunal had omitted future prospects and deducted one-third despite there being four dependants.

Applying a 40% addition and one-fourth deduction, it calculated loss of dependency at ₹32,13,000.

It recalculated consortium at ₹1,76,000 for the four claimants and increased loss of estate and funeral expenses to ₹16,500 each.

The resulting total compensation was ₹34,22,000.

The Court enhanced the compensation by ₹11,52,000, with interest at 6% per annum from the date of the petition until realization, and directed the insurer to deposit the enhanced amount with interest within six weeks.

The claimants’ shares were fixed in the ratio of 60:20:10:10; the minor daughter’s share in the enhanced compensation was to remain in a fixed deposit until she attained majority, while the other claimants’ shares were to be released.