Facts
The Appellant Insurance Company challenged the award dated March 30, 2026, passed by the MACT, Dwarka Courts, which granted compensation of ₹26,76,000/- with 7.5% interest for the death of a 13-year-old child
Source reference: p.1The Appellant contested the use of minimum wages for a "skilled worker" and the application of a multiplier of 18 instead of 15 for a minor
Source reference: p.1-2During the proceedings, the Respondents (claimants) pointed out that the Tribunal had used an outdated minimum wage figure for Delhi (₹16,792/-) instead of the applicable rate for October 2022 (₹20,357/-)
Source reference: p.8Issues
1. Whether the notional income of a deceased minor below 15 years should be based on the minimum wages of a skilled worker and whether a multiplier of 18 is applicable.
Source reference: p.2 / para. 32. Whether the Court can enhance compensation in favor of the claimants in the absence of a cross-appeal or cross-objection.
Source reference: p.8 / para. 7Law Applied
The Court applied the principles established in Rubi Devi v. New India Assurance Co. Ltd. (2026:DHC:3674), which mandates using the minimum wages of a skilled worker and a multiplier of 18 for minors below 15 years
Source reference: p.2, para. 3It relied on Kajal v. Jagdish Chand and Hitesh Nagjibhai Patel v. Bababhai Nagjibhai Rabari to affirm that minors cannot be treated as non-earning individuals
Source reference: p.3-4Regarding procedural limits, the Court applied Section 168 of the Motor Vehicles Act and the Supreme Court’s ruling in Nagappa v. Gurudayal Singh (2003) 2 SCC 274, which held that Tribunals must award "just compensation" regardless of the amount claimed or the absence of cross-objections
Source reference: p.9, para. 7It also invoked Order XLI Rule 33 of the CPC to justify enhancing relief in the absence of a cross-appeal
Source reference: p.9, para. 8Reasoning
The Court rejected the Insurance Company's challenge, noting that settled law now dictates that for deceased minors, the income must be pegged to skilled minimum wages and a multiplier of 18
Source reference: p.6, para. 13; p.8, para. 19The Court observed that while the Tribunal correctly chose the "skilled worker" category, it erred in the factual application of the wage rate, using ₹16,792/- instead of the statutory ₹20,357/- applicable at the time of the accident
Source reference: p.8, para. 5Despite the claimants not filing a cross-appeal, the Court held it had a statutory duty to ensure "just compensation"
Source reference: p.9, para. 7-8Consequently, it applied the corrected wage rate (₹20,357/-), added 40% for future prospects, and deducted 1/2 for personal expenses to recalculate the loss of dependency
Source reference: p.10, para. 10Holding
The Court dismissed the Appellant's grounds of challenge and enhanced the total compensation from ₹26,75,600/- to ₹32,14,628/-
It held that the multiplier of 18 and skilled worker wages are mandatory for minors
Source reference: p.8, para. 19The Insurance Company was directed to deposit the enhanced amount of ₹5,39,028/- along with 7.5% interest per annum from the date of the petition within six weeks
Source reference: p.11, para. 11-12Original Court PDF
Liberty General Insurance Co LtdvsBasanti Devi & Ors.
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