Chhattisgarh High Court
Transport, Maritime, and Aviation LawCivil Law

Motor accident compensation must reflect notified minimum wages when assessing the deceased’s income.

SMT. LAXMI PATEL vs SHAMIN KHAN

Chhattisgarh High CourtJUDGMENT: October 01, 20262 MIN READSOURCE JUDGMENT
Motor accident compensation must reflect notified minimum wages when assessing the deceased’s income.. SMT. LAXMI PATEL vs SHAMIN KHAN. Chhattisgarh High Court. LawLens
THE ORIGINAL LAWLENS SUMMARY
01

Facts

Krishna Patel, aged about 44, died in a road accident on 29 January 2024.

Source reference: paras. 1–2

His wife, two minor children and mother sought compensation.

Source reference: paras. 1–2

The Motor Accident Claims Tribunal, Bemetara, awarded ₹16,23,584.

Source reference: paras. 1–2

The claimants appealed under Section 173 of the Motor Vehicles Act, 1988, seeking enhancement, contending that the Tribunal had assessed the deceased’s income too low and awarded insufficient amounts under conventional heads.

Source reference: paras. 1–2
02

Issues

1. Whether the Tribunal erred in assessing the deceased’s monthly income at ₹9,000 rather than the applicable minimum-wage rate of ₹10,100.

Source reference: paras. 2, 6

2. Whether the compensation awarded under conventional heads required enhancement and, if so, what additional compensation was payable.

Source reference: paras. 2, 6–8
03

Law Applied

Section 173 of the Motor Vehicles Act, 1988 provides for an appeal against an award of a Claims Tribunal.

Source reference: para. 1

In assessing compensation, the Court applied National Insurance Co. Ltd. v. Pranay Sethi, (2017) 16 SCC 680, on future prospects and conventional heads; Sarla Verma v. Delhi Transport Corporation, (2009) 6 SCC 121, on the method of calculating dependency compensation, including deductions and multiplier; and Magma General Insurance Co. Ltd. v. Nanu Ram, (2018) 18 SCC 130, on compensation under conventional heads.

Source reference: para. 7
04

Reasoning

The Court found that the applicable Chhattisgarh minimum-wage notification supported a monthly income of ₹10,100, rather than the Tribunal’s assessment of ₹9,000.

Source reference: para. 6

Applying 25% future prospects, a one-fourth deduction for personal expenses and a multiplier of 14, the Court calculated dependency compensation at ₹15,90,750.

Source reference: para. 7

It also increased the amount under conventional heads from ₹2,06,000 to ₹2,28,000, resulting in total compensation of ₹18,18,750.

Source reference: para. 7
05

Holding

The Court partly allowed the appeal and enhanced the total compensation from ₹16,23,584 to ₹18,18,750.

The appellants were awarded an additional ₹1,95,166, with interest at 6% per annum from the date of filing the claim application until realization.

Source reference: paras. 8–9

The remaining terms of the Tribunal’s award were left undisturbed.

Source reference: paras. 8–9

The Registry was directed to communicate the enhanced amount to the claimants in Hindi, with paralegal assistance if required.

Source reference: para. 10
06

Acts & Sections Cited

1 provisions across 1 statute referred to in this judgment. Each provision opens on LawLens.

Motor Vehicles Act, 19881

Chhattisgarh High Court

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SMT. LAXMI PATELvsSHAMIN KHAN

Chhattisgarh High Court · October 01, 2026

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