BAJAJ ALLIANZ GENERAL INSURANCE CO. LTD v. VINOD KUMAR AGGARWAL & ORS

Delhi High Court · 24 Feb 2014 · 2014:DHC:1029
SURESH KAIT
MAC. Appeal No. 796/2011
2014:DHC:1029
civil appeal_allowed Significant

AI Summary

The Delhi High Court reduced the compensation awarded in a motor accident claim by excluding rental income, added 15% future prospects for a 51-year-old injured, and held the insurer entitled to recovery rights against ex-parte respondents.

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MAC. Appeal No. 796/2011 HIGH COURT OF DELHI
JUDGMENT
delivered on: 24th February, 2014
MAC.APP. 796/2011
BAJAJ ALLIANZ GENERAL INSURANCE CO. LTD. ..... Appellant
Represented by: Mr. Rajat Brar, Adv.
Versus
VINOD KUMAR AGGARWAL & ORS ..... Respondents Represented by: Mr. Nitinjya Chaudhary, Adv. for
R1.
CORAM:
HON'BLE MR. JUSTICE SURESH KAIT SURESH KAIT, J. (Oral)

1. The present appeal is directed against the impugned award dated 31.05.2011, whereby ld. Tribunal has awarded compensation for a sum of Rs.30,80,047/- with interest @ 7.5% per annum from the date of filing of the petition till realization of the amount.

2. Ld. Counsel appearing on behalf of the appellant submits that Ld. Tribunal has erred in considering the actual income of the injured as Rs.1,80,911/-, whereas in the said income, rental income of Rs.67,200/- and Rs.5,711/-as income from other sources was also included. However, the Ld. Tribunal has not deducted the same while granting the compensation. 2014:DHC:1029

3. Ld. Counsel appearing on behalf of the respondent no. 1 / injured does not dispute to the arguments advanced by the counsel of the appellant and submits that Ld. Tribunal ought to have deducted the rental income and income from other sources from his income while assessing the compensation.

4. In view of above, the actual income of the injured comes to Rs.1,08,000/-.

5. Ld. Counsel for the appellant further submits that the appellant issued notice under Order XII Rule 8 CPC to respondent nos. 2 & 3 to produce the driving licence of the offending vehicle, however, there was no response from their side. Accordingly, they were proceeded ex-parte before the Ld. Tribunal. Moreover, the police had filed a challan for the offences under Section 3/181 of the Motor Vehicles Act, 1948.

6. Ld. Counsel further submits that despite the above facts, the ld. Tribunal had erred in not granting any recovery right against respondent nos. 2 & 3.

7. On perusal of the record and impugned award, it is established that respondent nos. 2 & 3 neither filed their written statement nor produced the driving licence and were proceeded ex-parte before the Ld. Tribunal. The appellant has proved that notice under Order XII Rule 8 CPC was issued to respondent nos. 2 & 3 and the same is Ex.R3W1/3 and the postal receipt of the same is Ex.R3W1/4. Even in the appeal, respondent nos. 2 & 3 have been served by way of publication.

8. In view of above, the appellant is entitled for the recovery right against respondent no. 2 & 3 jointly and severally.

9. On the other hand, Ld. Counsel appearing on behalf of the respondent no. 1 / injured submits that though he has not filed a cross-appeal, however, this Court has jurisdiction to see whether the just and fair compensation has been awarded in this case. He submitted that the injured was 51 years of age at the time of accident and received 100% disability and the same has been considered by the Ld. Tribunal as functional disability. Despite that, Ld. Tribunal has failed to add future prospects in the actual income of the injured.

10. To strengthen his arguments, Ld. Counsel for the respondent no. 1 / injured has relied upon a case of Rajesh and Ors. Vs. Rajbir Singh and Ors. 2013 (6) SCALE 563, wherein the Full Bench of the Apex Court has held as under:

“12. In Sarla Verma's case (supra), it has been stated that in the case of those above 50 years, there shall be no addition. Having regard to the fact that in the case of those self-employed or on fixed wages, where there is normally no age of superannuation, we are of the view that it will only be just and equitable to provide an addition of 15% in the case where the victim is between the age group of 50 to 60 years so as to make the compensation just, equitable, fair and reasonable. There shall normally be no addition thereafter.”

11. This Court finds force in the submission of the Ld. Counsel for respondent no.1. Therefore, keeping in view the dictum of Rajesh & Ors. (Supra), to grant just compensation, I add 15% of his actual income towards future prospects.

12. Accordingly, the compensation amount comes as under:

┌─────────────────────────────────────────────────────────────────────────────────────┐
│       Sl.    Heads of             Compensation   Compensation                       │
│       No.    compensation         granted by the granted by this                    │
│                                   Ld. Tribunal.  court.                             │
│         i. Loss of income on Rs.19,90,021/-      Rs.13,66,200/-                     │
│             account of disability                                                   │
│        ii. Expenses           for Rs.5,97,184/-  Rs.5,97,184/-                      │
│             Medicines        and                                                    │
│             treatment                                                               │
│        iii. Conveyance and diet Rs.25,000/-      Rs.25,000/-                        │
│             charges                                                                 │
│        iv. Loss of income on Rs.67,842/-         Rs.67,842/-                        │
│             account of leaves                                                       │
│         v. Loss of amenities Rs.1,50,000/-       Rs.1,50,000/-                      │
│             and expectation of                                                      │
│             life                                                                    │
│        vi. For convenience and Rs.50,000/-       Rs.50,000/-                        │
│             hardship                                                                │
│       vii. Compensation for Rs.1,50,000/-        Rs.1,50,000/-                      │
│             pain and suffering                                                      │
│       viii. For future care and Rs.50,000/-      Rs.50,000/-                        │
│             attendant                                                               │
│                    Total          Rs.30,80,047/- Rs.24,56,226/-                     │
│        Resultantly, the award is assessed at Rs. 24,56,226/-                        │
├─────────────────────────────────────────────────────────────────────────────────────┤
│ 13.    Hence,      the     reduced   compensation   comes      to   Rs.6,23,821/-   │
└─────────────────────────────────────────────────────────────────────────────────────┘

14. Statutory amount with excess amount, if any, with proportionate interest be released in favour of the appellant and balance compensation amount, if any, be released in favour of the respondent no. 1 / injured.

6,599 characters total

15. In view of the above, the appeal is disposed of. CM.No.16534/2011 With the disposal of the instant appeal itself, instant application has become infructuous and disposed of as such.

SURESH KAIT, J FEBRUARY 24, 2014 Jg/sb