01Facts
On July 23, 2013, a fatal road accident occurred near the MCD toll tax, Gazipur, involving a UP Roadways bus (UP-84T-2042) and a scooter
pp. 1-2The deceased, a 22-year-old graduate of the School of Planning and Architecture (SPA), Delhi, was found 100 metres behind the bus, while her scooter was stuck under the front axle of the bus
p. 3The Motor Accidents Claims Tribunal (MACT) awarded Rs. 49,95,000 with 9% interest to the respondent/claimant
p. 1The Appellant (Corporation) challenged the award, arguing that the scooter rider was negligent and contesting the quantum of compensation regarding notional income and future prospects
p. 2, 402Issues
i.1. Whether the accident occurred due to the rash and negligent driving of the bus driver or the contributory negligence of the scooter rider
pp. 2-3ii.2. Whether the MACT was justified in assessing the notional income of a deceased graduate student at Rs. 30,000 per month
pp. 4-5iii.3. Whether 50% future prospects could be awarded to a non-permanently employed deceased individual
p. 903Law Applied
The court applied Section 168 of the Motor Vehicles Act, 1988, emphasizing the principle of "just compensation" based on fairness and reasonableness
p. 10It relied on National Insurance Co. Ltd. v. Pranay Sethi regarding the standardization of future prospects and conventional heads
pp. 9-10It followed Sarla Verma v. DTC for the application of the multiplier method and objective assessment
pp. 10-11Regarding student income, it applied principles from Navjot Singh v. Harpreet Singh and S. Mohammed Hakkim v. National Insurance Co. Ltd., which establish that the notional income of professional degree students should reflect their potential market value rather than minimum wages
pp. 5-6Provisions in the judgment · 1 · Linked ones open on LawLens
Motor Vehicles Act, 1988 Section 168
04Reasoning
The Court rejected the Appellant’s plea of contributory negligence, noting that the site plan (Mark A, B, and C) belied the driver’s testimony; the fact that the scooter was dragged for 100 metres through a toll tax indicated the bus hit the scooter from the front/side, not vice versa
pp. 3-4On quantum, the Court upheld the notional income of Rs. 30,000, noting that batchmates from SPA were earning an average of Rs. 35,000
p. 4Although Pranay Sethi typically limits future prospects to 40% for non-permanently employed individuals under 40, the Court treated this as a "special case" due to the deceased’s elite educational background and long career trajectory, maintaining the 50% increase to ensure "just compensation"
pp. 9-10The Court adjusted conventional heads (Consortium, Estate, and Funeral Expenses) to align with current Supreme Court mandates
pp. 12-1305Holding
The Court upheld the finding of negligence against the Appellant but modified the compensation amount. The total compensation was reduced from Rs. 49,95,000 to Rs. 49,30,000
p. 13The Court awarded Rs. 48,60,000 for loss of dependency, Rs. 40,00,000 for loss of consortium, Rs. 15,000 for loss of estate, and Rs. 15,000 for funeral expenses, while deleting the separate head for "love and affection". The Registrar General was directed to release the balance amount to the respondent and refund any excess deposit to the Appellant
pp. 13-14Original Court PDF
Uttar Pradesh State Road Transport CorporationvsSeema Rustagi
Click to open original judgment
Original judgment, available to read, download and summarize on LawLens.in
