New India Assurance Co Ltd v. Manmaya & Ors

Delhi High Court · 14 Mar 2014 · 2014:DHC:1416
Suresh Kait
MAC.APP. 714/2011
2014:DHC:1416
motor_vehicles_accident_compensation appeal_allowed Significant

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The Delhi High Court allowed the insurer's appeal, reducing the compensation awarded under Section 166 to the statutory limits under Section 163-A of the Motor Vehicles Act, 1988.

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MAC.APP. 714/2011
HIGH COURT OF DELHI
JUDGMENT
delivered on: 14th March, 2014
MAC.APP. 714/2011
NEW INDIA ASSURANCE CO LTD. ..... Appellant Represented by: Ms. Neerja Sachdeva, Adv.
versus
MANMAYA & ORS ..... Respondents Represented by: Mr. S.N. Parashar, Adv.
CORAM:
HON'BLE MR. JUSTICE SURESH KAIT SURESH KAIT, J. (Oral)

1. The present appeal has been preferred against the impugned award dated 07.05.2011 whereby in the Claim Petition filed under Section 163-A of Motor Vehicles Act, 1988, Ld. Tribunal has awarded compensation as under: “1. Loss of dependency: Rs. 4,62,000/-

2. Loss of Love and Affection: Rs.50,000/-

3. Loss of Consortium: Rs.10,000/-

4. Loss of Estate: Rs.10,000/-

5. Towards funeral expenses: Rs.10,000/- Total: Rs.5,42,000/-” Interest @ 7.5% per annum in the compensation amount was also awarded from the date of filing of the claim petition till realization of the award amount. 2014:DHC:1416 MAC.APP. 714/2011

2. Ld. Counsel appearing on behalf of the appellant submits that claimant had filed a Claim Petition under Section 163-A of Motor Vehicles Act, however, Ld. Tribunal has awarded compensation under Section 166 of the Act, which is contrary to the settled position of law.

3. Ld. Counsel appearing on behalf of the respondents / claimants does not dispute the arguments advanced by the counsel for the appellant.

4. Keeping in view the statement of the ld. Counsel for the respondents / claimants, the compensation comes as under:

1. Loss of dependency: Rs.3,54,648/-

2. Loss of Estate: Rs. 2,500/-

3. Loss of consortium: Rs. 5,000/-

4. Last rite expenses: Rs. 2,000/- TOTAL: Rs.3,64,148/-

5. Accordingly, the compensation is assessed as Rs.3,64,148/-.

6. Thus, an amount of Rs.1,77,852/- is reduced (Rs.5,42,000 - 3,64,148).

7. The statutory amount along with excess amount with proportionate interest be released in favour of the appellant and balance compensation amount, if any, be released in favour of the respondents / claimants in terms of award dated 07.05.2011 on taking steps by them.

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8. In view of above, appeal is allowed.

SURESH KAIT, J MARCH 14, 2014 Jg/RS