Swaran Lata Malhotra & Anr v. Mayank Arora & Ors

Delhi High Court · 28 Jan 2020 · 2020:DHC:592
J. R. Midha
MAC.APP. 494/2017
2020:DHC:592
civil appeal_allowed Significant

AI Summary

The Delhi High Court enhanced compensation in a motor accident death claim by applying appropriate minimum wages, future prospects, and multiplier, significantly increasing the award to the claimants.

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MAC.APP. 494/2017
HIGH COURT OF DELHI
Date of Decision: 28th January, 2020
MAC.APP. 494/2017
SWARAN LATA MALHOTRA & ANR ..... Appellants
Through: Mr. Manish Maini and Mr. Ishan Vaswani, Advocates
VERSUS
MAYANK ARORA & ORS (NEW INDIA ASSURANCE CO LTD) ..... Respondents
Through: Mr. D. Rajeshwar Rao and Mr. Chirag Mittal, Advocates for R-3
CORAM:
HON'BLE MR. JUSTICE J.R. MIDHA
JUDGMENT
(ORAL)

1. The appellants have challenged the award dated 28th November, 2016 whereby the Claims Tribunal awarded compensation of Rs.4,96,000/- to the appellants. The Claims Tribunal amended the award on 19th December, 2016 and reduced the compensation amount to Rs.4,03,285/-.

2. The accident dated 8th June, 2013 resulted in the death of Amandeep Malhotra. The deceased was aged 21 years at the time of the accident and was survived by his parents who claimed compensation. The deceased was educated up to 9th Standard and was running his mobile repair shop. It was claimed that the deceased was earning Rs.30,000/- per month. However, in the absence of any documentary proof of income, the Claims Tribunal took minimum wages of Rs.7,722/- per month, deducted 50% towards personal 2020:DHC:592 expenses and applied the multiplier of 5 to compute the loss of dependency as Rs.2,31,660/-. The Claims Tribunal awarded Rs.21,625/- towards medical expenses, Rs.[1] lakh towards loss of love and affection, Rs.25,000/towards funeral expenses and Rs.25,000/- towards loss of estate. Total compensation awarded is Rs.4,03,285/-.

3. Learned counsel for the appellants urged at the time of hearing that the deceased had studied up to 9th standard and therefore, minimum wages of Rs.8,528/- per month in respect of a non-matriculate be taken into consideration. It is further submitted that the Claims Tribunal has not taken the future prospects to 40% while computing the compensation. Learned counsel for the appellants further submits that the Claims Tribunal has taken multiplier of 5 whereas appropriate multiplier according to the age of the deceased is 18.

4. Learned counsel for respondent No.3 urged at the time of hearing that non-pecuniary compensation of Rs.1,00,000/- towards loss of love and affection, Rs.25,000/- towards loss to estate and Rs.25,000/- towards funeral expenses be reduced to Rs.70,000/- (Rs.40,000/- towards consortium, Rs.15,000/- towards loss to estate and Rs.15,000/- towards funeral expenses).

5. Applying well settled principles of law, the minimum wages of Rs.8,528/- per month are taken as income of the deceased, 40% is added towards future prospects and the multiplier is enhanced from 5 to 18. The appellants are entitled to Rs.40,000/- each towards loss of consortium, Rs.15,000/- towards loss of estate and Rs.15,000/- towards funeral expenses. The appellants are also entitled to compensation of Rs.50,000/- each towards loss of love and affection and Rs.21,625/- towards medical expenses.

6. Taking the income of the deceased as Rs.8,528/- per month, adding 40% towards future prospects, deducting 50% towards personal expenses and applying the multiplier of 18, the loss of dependency is computed as Rs.12,89,500/- (Rs.12,89,433.[6] rounded off). Adding Rs.1,00,000/- (Rs.50,000/- each) towards loss of love and affection, Rs.21,625/- towards medical expenses, Rs.80,000/- (Rs.40,000/- each) towards consortium, Rs.15,000/- towards loss to estate and Rs.15,000/- towards funeral expenses, the total compensation is computed as Rs.14,81,125/-.

7. The appeal is allowed and the compensation amount is enhanced from Rs.4,03,285/- to Rs.14,81,125/- along with interest @ 9% per annum from the date of institution of the petition. Respondent No.3 is entitled to recover the award amount from respondent No.1 and 2 after depositing the same with this Court.

8. Respondent No.3 is directed to deposit the enhanced compensation amount with the Registrar General of this Court within four weeks.

9. Learned counsel for the appellants submits that appellant No.2 has expired and his rights have devolved upon appellant No.1 who is the sole surviving appellant.

10. List for disbursement of the enhanced compensation amount as a partheard matter on 6th March, 2020.

11. The appellants shall remain present in Court on the next date of hearing along with passbooks of her savings bank account near the place of her residence as well as PAN card and Aadhaar card.

12. The concerned bank is directed not to issue any cheque book and/or debit card to the appellant and if the same has already been issued, the concerned bank is directed to cancel the same and make an endorsement on the passbook that no cheque book or debit card shall be issued to appellant without the permission of this Court. The appellants shall produce the copy of this order before the concerned bank whereupon the bank shall make an endorsement on the passbooks. The appellants shall produce the original passbooks with the necessary endorsement on the next date of hearing.

13. Copy of this judgment be given dasti to counsel for the parties under signatures of Court Master. J.R. MIDHA, J. JANUARY 28, 2020 mamta