The New India Assurance Co Ltd v. Bindra & Ors.

1. The appellant has challenged the award of the Claims Tribunal dated 30th October, 2019 whereby the compensation of Rs.4,32,750/has been awarded to respondents No.1 and 2. The accident dated 20th June, 2011 resulted in the death of Sunder Lal. The deceased was aged 60 years at the time of the accident.

2. The Claims Tribunal took the minimum wages of Rs.3,750/per month, added 10% towards future prospects, deducted ½ towards personal expenses and applied the multiplier of 9 to computed the loss of dependency as Rs.2,22,750/-. The Claims Tribunal awarded Rs.80,000/- loss of consortium; Rs.1,00,000/towards loss of love and affection; Rs.15,000/- to loss to the estate; and Rs.15,000/- towards funeral expenses. The total compensation 2021:DHC:1705 awarded is Rs.4,32,750/- along with interest @ 9% per annum form the date of filing of the claim petition i.e. 19th February, 2014.

3. Learned counsel for the appellant urged at the time of hearing that the compensation awarded under the heads of loss of love and affection and loss of consortium are on a higher side. It is further submitted that the future prospects of 10% are not warranted.

4. The Claims Tribunal has deducted ½ towards personal expenses of the deceased whereas the appropriate deduction towards personal expenses would be 1/3rd according to the principles laid down in National Insurance Company Ltd. v. Pranay Sethi, (2017) 16 SCC 680. This Court is of the view that the reduction under the heads of loss of love and affection and consortium would balance out the enhancement warranted by reducing the personal expenses. Therefore, no ground for reducing the award amount is made out.

5. This Court is of the view that the compensation awarded by the Claims Tribunal is just, fair and reasonable. In that view of the matter, no reduction of the award amount is warranted. The appeal against respondents No.1 and 2 is dismissed.

6. The appellant has deposited the entire award amount with the transfer the entire award amount along with interest to DSLSA whereupon DSLSA shall issue notice to respondents No.1 and 2 and disburse the amount in terms of the principles laid in Rajesh Tyagi v. Jaibir Singh dated 08th January, 2021, MANU/DE/0051/2021.

7. Learned counsel for the appellant submits that the appellant has claims of recovery rights against respondent No.3. The appellant’s ground for recovery rights against respondent No.3 shall be considered on the next date of hearing.

8. List the appeal relating to the appellant’s claim for recovery rights on 03rd August, 2021.

9. The statutory amount deposited by the appellant be refunded to the appellant.

10. Copy of this judgment be sent to DSLSA. J.R. MIDHA, J. MAY 25, 2021 ak