Gujarat HC Raises Tractor Driver’s Family’s Compensation To Rs 11.75 Lakh, Recalculating 2013 Wages And Consortium For Six Family Members

On 28 January 2013, Babubhai alias Balubhai Chandubhai Vasava was fatally struck by a tanker while crossing a road.

His widow and children claimed that he was 42 years old, worked as a tractor driver and mechanic, and earned Rs.10,000 per month.

The Motor Accident Claims Tribunal assessed his monthly income at Rs.4,500 and awarded Rs.7,78,792 with interest at 8% per annum.

The claimants appealed, seeking enhancement, principally on income and consortium.

The Court applied the minimum wage prevailing at the time of the accident, determining that Rs.5,180 per month was appropriate for 2013.

It added 25% for future prospects, having regard to the deceased’s age of 42, and applied a one-fourth deduction for personal expenses and a multiplier of 14.

Relying on United India Insurance Co. v. Satinder Kaur, (2021) 11 SCC 780, the Court held that each dependent family member was entitled to loss-of-consortium compensation.

The Court also reassessed funeral expenses and loss of estate.

The Court found the Tribunal’s monthly income assessment of Rs.4,500 too low because the accident occurred in 2013 and the applicable minimum wage was Rs.5,180.

Applying 25% future prospects, a one-fourth deduction, and multiplier 14, it calculated loss of dependency at Rs.8,15,808.

It increased funeral expenses and loss of estate to Rs.19,965 each and, applying Satinder Kaur, awarded Rs.53,240 for each of the six family members considered by the Court, totalling Rs.3,19,440 for consortium.

Total compensation was reassessed at Rs.11,75,178, an enhancement of Rs.3,96,386 over the Tribunal’s award, with interest at 8% per annum.

The respondents were directed to deposit the enhanced amount before the Tribunal within four weeks; the Tribunal was directed to recover or deduct any deficit court fees and disburse the amount in accordance with the judgment.