Rajiv Bali v. Narender Kumar & Ors.

Delhi High Court · 03 Feb 2010 · 2010:DHC:643
J. R. Midha
MAC.APP. 368/2009
2010:DHC:643
civil appeal_allowed Significant

AI Summary

The Delhi High Court held that financially independent heirs are not entitled to loss of dependency but can claim loss of estate, adjusted the compensation accordingly, and reduced the interest rate on the award.

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35 & 36 HIGH COURT OF DELHI
Date of Decision: 3rd February, 2010
MAC.APP. 368/2009
RAJIV BALI ..... Appellant
Through : Mr. Rajeev Khanna, Advocate
VERSUS
NARENDER KUMAR & ORS. ..... Respondents
Through : Mr. Sunil Kumar, Adv. for R-1.
Mr. S.L. Gupta and Mr. Ram Ashray, Advs. for R-4.
MAC.APP. 387/2009
NARENDER KUMAR & ORS ..... Appellants
Through : Mr. Sunil Kumar, Adv.
VERSUS
RAJIV BALI & ORS. ..... Respondents
Through : Mr. Rajeev Khanna, Adv. Mr. S.L. Gupta and Mr. Ram Ashray, Advs. for R-3.
CORAM :- THE HON'BLE MR. JUSTICE J.R. MIDHA
JUDGMENT

1. Whether Reporters of Local papers may YES be allowed to see the Judgment?

2. To be referred to the Reporter or not? YES

3. Whether the judgment should be YES reported in the Digest? JUDGMENT (Oral)

1. The appellant in MAC.APP.No.368/09 has challenged the impugned award whereby the compensation of Rs.1,22,500/has been awarded to claimants/respondents No.1 to 3. Respondent Nos. 1 to 3 have filed cross appeal bearing 2010:DHC:643 MAC.APP.No.387/2009 seeking enhancement of the award amount.

2. The accident dated 9th April, 2005 resulted in the death of Jai Devi. The deceased was survived by her three sons, who filed the claim petition before the Claims Tribunal. The deceased was aged 54 years at the time of the accident. As per post-mortem report, the age of the deceased was 62 years. The learned Tribunal took the age of the deceased as 60 years. The learned Tribunal took income of the deceased as Rs.25,000/- per annum, deducted 1/2 towards her personal expenses and applied the multiplier of 9 to compute the loss of dependency at Rs.1,12,500/-. Rs.5,000/- was awarded towards loss of estate and Rs.5,000/- towards funeral expenses. The total compensation awarded is Rs.1,22,500/-.

3. The appellant in MAC.APP.No.368/2009 has urged following grounds at the time of hearing of the appeal:-

(i) The sons of the deceased were not dependent upon the deceased and therefore they are not entitled to loss of dependency.

(ii) The multiplier to be reduced from 9 to 8.

4. The appellant in MAC.APP.No.387/09 has urged following grounds for enhancement of award amount at the time of hearing the appeal:-

(i) The income of the deceased be taken to be

(ii) The Personal expenses be reduced from 1/2 to

(iii) Compensation be awarded for loss of love and affection.

(iv) Medical expenses of Rs.4,000/- be awarded.

5. The deceased is survived by her three sons who are financially independent and were not dependent upon the deceased. However, they are entitled to compensation for loss of estate in terms of the judgment of this Court in the case of Keith Rowe vs. Prashant Sagar, MAC.APP.No.601/2007 decided on 15th January, 2010 (to be checked). The loss of estate comprises of the savings of the deceased which would have devolved upon her sons irrespective of their dependency. The loss of estate is taken to be 1/3rd of the income of the deceased. The learned Tribunal has taken the income of deceased to be Rs.25,000/- which is fair and reasonable in the facts and circumstances of the case. The sons of the deceased are entitled to 1/3rd of the said amount towards the loss of estate. The learned Tribunal has applied the multiplier of 9 by taking the age of the deceased as 60 years. Both the parties agree that multiplier of 8 be applied for computation of compensation. Taking the loss of estate of the deceased to be 1/3rd of the income of the deceased and applying the multiplier of 8, the loss of estate is computed to be Rs.66,666/- (Rs.25,000 x 1/2 x 8 x 2/3). Rs.5,000/- awarded by the learned Tribunal towards loss of estate is taken to be towards loss of love and affection. Rs.13,400/- more is awarded towards loss of love and affection. Rs.4,000/- is awarded towards medical expenses. The claimants are entitled to total compensation of Rs.89,066/- (Rs.66,666 + Rs.13,400 + Rs.4,000 + Rs.5,000), rounded off as Rs.90,000/-. The learned Tribunal has awarded interest @ 9% per annum which is on the higher side and is reduced to 7.5% per annum.

6. MAC.APP.No.368/2009 is allowed and the award amount is reduced from Rs.1,22,500/- to Rs.90,000/- along with interest @7.5% per annum.

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7. MAC.APP.No.387/2009 is dismissed.

8. The appellant has deposited a sum of Rs.1,25,000/with the Registrar General of this Court in terms of order dated 3rd August, 2009.

9. The claimants have received a sum of Rs.51,961/- (interim award of Rs.50,000 + Rs.1,961 towards interest) from respondent No.4 on 25th October, 2005 as interim award amount passed by the learned Tribunal. The claimants are entitled to balance principal amount of Rs.40,000/- and interest of Rs.14,140/- from the date of filing of the claim petition i.e. 17th May, 2005 till today. As such, the claimants are entitled to balance amount of Rs.54,140/- (Rs.40,000 + Rs.14,140 towards interest).

10. The Registrar General of this Court is directed to release a sum of Rs.54,140/- to claimants/respondents No.1 to 3 in equal shares. Out of the remaining amount, a sum of Rs.51,961/- be released to respondent No.4 and balance amount be refunded back to the appellant through counsel within four weeks.

11. Copy of this order be given ‘Dasti’ to learned counsel for the parties under the signature of Court Master. J.R. MIDHA, J FEBRUARY 03, 2010 hl/aj