Facts
Ammasi, aged about 66, died in a road accident while travelling as a passenger in a Transport Corporation bus on 12 August 2016.
Source reference: pp. 2–4, paras. 2.1–2.3, 3–4His wife and four children sought compensation in M.C.O.P. No.130 of 2016.
Source reference: pp. 2–4, paras. 2.1–2.3, 3–4The Tribunal attributed negligence to the bus driver and awarded ₹7,90,000, calculating loss of income on a monthly income of ₹15,000, deducting one-fifth for personal expenses, and applying a multiplier of five.
Source reference: pp. 2–4, paras. 2.1–2.3, 3–4The Transport Corporation appealed, accepting the negligence finding but challenging the income assessment and deduction.
Source reference: pp. 2–4, paras. 2.1–2.3, 3–4Issues
Whether the Tribunal’s assessment of the deceased’s monthly income at ₹15,000 was sustainable on the evidence.
Source reference: p. 5, paras. 7–8.1Whether a one-fifth deduction for the deceased’s personal and living expenses was appropriate, given that the adult children were not shown to be dependants.
Source reference: pp. 5–6, paras. 7, 8.2–8.4Whether the compensation should be modified to include filial consortium for the deceased’s children and loss of estate.
Source reference: pp. 6–7, paras. 8.5–8.6Law Applied
The appeal was brought under Section 173 of the Motor Vehicles Act, 1988.
Source reference: p. 1, para. 1Applying Sarla Verma v. Delhi Transport Corporation, the Court stated that major children who are married, living separately and independently earning are not ordinarily dependants unless evidence establishes financial dependency; where they are not dependants, a one-third deduction is appropriate on the facts of this case.
Source reference: pp. 5–6, paras. 8.2–8.4The Court also treated consortium, filial consortium, funeral expenses and loss of estate as heads of compensation in reassessing the award.
Source reference: pp. 6–7, paras. 8.5–8.6Reasoning
The Court found no documentary evidence that the deceased earned more than ₹15,000 per month and considered that figure excessive in light of his age and the absence of proof of income; it therefore reduced the monthly income to ₹12,000.
Source reference: p. 5, para. 8.1The wife was the only claimant shown to be financially dependent, while the adult children were separate earning members.
Source reference: pp. 5–7, paras. 8.2–8.6Applying Sarla Verma, the Court deducted one-third, leaving a monthly contribution of ₹8,000; applying the multiplier of five, it assessed loss of income at ₹4,80,000.
Source reference: pp. 5–7, paras. 8.2–8.6It additionally awarded ₹40,000 to the wife for consortium, ₹40,000 each to the four children for filial consortium, and ₹10,000 for loss of estate.
Source reference: pp. 6–7, para. 8.6With funeral expenses of ₹20,000, the revised total was ₹7,10,000.
Source reference: pp. 6–7, para. 8.6Holding
The appeal was partly allowed.
The award was modified from ₹7,90,000 to ₹7,10,000, with interest at 7.5% per annum from the date of the claim petition.
Source reference: p. 8, paras. 9.1–9.4The Corporation was directed to deposit the modified amount with accrued interest within six weeks, if not already deposited.
Source reference: p. 8, paras. 9.1–9.4On deposit, the first claimant may withdraw ₹3,90,000 and each of claimants 2 to 5 may withdraw ₹80,000, together with proportionate interest; any excess already deposited may be withdrawn by the Corporation.
Source reference: p. 8, paras. 9.1–9.4There was no order as to costs.
Source reference: p. 8, paras. 9.1–9.4Acts & Sections Cited
1 provisions across 1 statute referred to in this judgment. Each provision opens on LawLens.
Motor Vehicles Act, 19881
Original Court PDF
MANAGING MANAGER,vsBACKIYAMMAL
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