Karnataka High CourtTransport, Maritime, and Aviation LawCivil Law

Karnataka HC Raises 25-Year-Old Accident Victim’s Award To ₹5,33,800, Applying ₹18,000 Monthly Notional Income For 2025

MADHU R Mv.NAGARAJA M

Karnataka HC Raises 25-Year-Old Accident Victim’s Award To ₹5,33,800, Applying ₹18,000 Monthly Notional Income For 2025. MADHU R M vs NAGARAJA M. Karnataka High Court. LawLens
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In brief

The question

Whether the Tribunal’s assessment of the claimant’s monthly income should be increased when calculating loss of future earning capacity.

The court held

The appeal was allowed in part.

It also directed

The Court enhanced compensation by ₹39,600, from ₹4,94,200 to ₹5,33,800, with interest at 6% per annum from the date of the petition until realization.

The insurer was directed to deposit the enhanced amount with interest before the Tribunal within six weeks, and the claimant was entitled to release of the entire enhanced amount.

01Facts

The claimant sought compensation for injuries sustained in a road accident on 18 June 2025, allegedly caused by the rash and negligent driving of a car.

pp. 2–4 · ¶ 6

The MACT awarded ₹4,94,200, including compensation for 10% whole-body disability, and interest at 6% per annum.

pp. 2–4 · ¶ 6

The claimant appealed under Section 173(1) of the Motor Vehicles Act, 1988, seeking enhancement; he did not dispute the Tribunal’s assessment of disability.

pp. 2–4 · ¶ 6

02Issues

i.Whether the Tribunal’s assessment of the claimant’s monthly income should be increased when calculating loss of future earning capacity.

p. 4 · ¶ 7

ii.Whether the compensation awarded under loss of amenities and loss of income during the laid-up period required enhancement.

pp. 5–6 · ¶ 8

03Law Applied

The appeal was brought under Section 173(1) of the Motor Vehicles Act, 1988.

p. 2

In assessing compensation for disability-related loss of future income, the Court applied the notional monthly income of ₹18,000 for an accident in 2025, the multiplier of 18 for a claimant aged 25, and the accepted whole-body disability of 10%.

p. 4 · ¶ 7

Compensation for other heads was assessed with reference to the injuries sustained and the evidence, including medical bills.

p. 5 · ¶ 8

The judgment cites no statutory provision or precedent governing the specific calculation principles.

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

Motor Vehicles Act, 1988 Section 173

04Reasoning

The Court accepted the claimant’s age of 25 and the Tribunal’s undisputed 10% whole-body disability, but substituted the 2025 notional income of ₹18,000 per month for the Tribunal’s ₹17,000.

p. 4 · ¶ 7

Applying the multiplier of 18, it calculated future income loss at ₹3,88,800.

p. 4 · ¶ 7

It found the existing awards for pain and suffering, medical expenses and incidental charges appropriate, but increased loss of amenities from ₹10,000 to ₹20,000.

p. 5 · ¶ 8

As the claimant had sustained a fracture and required at least one month’s rest, it increased laid-up-period income from ₹10,000 to ₹18,000.

p. 5 · ¶ 8

These adjustments produced total compensation of ₹5,33,800.

pp. 5–6 · ¶ 9

05Holding

The appeal was allowed in part.

pp. 6–7 · ¶ 9–10

The Court enhanced compensation by ₹39,600, from ₹4,94,200 to ₹5,33,800, with interest at 6% per annum from the date of the petition until realization.

pp. 6–7 · ¶ 9–10

The insurer was directed to deposit the enhanced amount with interest before the Tribunal within six weeks, and the claimant was entitled to release of the entire enhanced amount.

pp. 6–7 · ¶ 9–10
Karnataka High Court

Original Court PDF

MADHU R MvsNAGARAJA M

Karnataka High Court · October 28, 2026

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