Tribunal must enhance compensation where its assessment fails to award just and fair damages.

The claimants sought enhancement of compensation awarded for the death of Suresh Chhakilal Gupta, who was fatally injured when a truck struck his bicycle on 7 February 2008.

The Motor Accident Claims Tribunal awarded Rs. 6,00,800 with interest at 9% per annum from the date of the claim petition.

The claimants appealed, contending that the Tribunal had inadequately assessed compensation, including future loss of income and non-pecuniary losses; the insurer opposed enhancement.

Whether the Tribunal’s assessment of compensation was inadequate and required enhancement to provide just compensation.

If so, what additional compensation and interest should be awarded to the claimants.

The Court treated the Motor Vehicles Act, 1988 as beneficial legislation and applied the principle that compensation must be just, fair, reasonable, and equitable.

It stated that the assessment should be liberal rather than niggardly, based on a holistic and pragmatic view of the losses sustained, and that the Tribunal must endeavour to award just compensation.

On reviewing the Tribunal’s award and the record, the Court found that the Tribunal had erred in assessing compensation and that enhancement was warranted.

It calculated total compensation at Rs. 7,69,900, comprising Rs. 5,40,000 for future loss of income, Rs. 1,93,000 for loss of love, affection and consortium, Rs. 18,150 for funeral expenses, and Rs. 18,150 as a conventional amount.

After deducting the Rs. 6,00,800 already awarded, the Court fixed the additional compensation at Rs. 1,69,100.

The insurer was directed to deposit the additional Rs. 1,69,100 with interest at 9% per annum from the date of the claim petition until realization, within eight weeks of receiving the order.

The Tribunal was directed to disburse the amounts held by it to the claimants after verification and compliance with procedure; the remaining directions of the Tribunal’s award were left unchanged.