Manju & Anr v. Reliance General Insurance Co Ltd & Anr

Delhi High Court · 22 Mar 2018 · 2018:DHC:2032
J.R. Midha
MAC. APP. 1121/2017
2018:DHC:2032
civil appeal_allowed Significant

AI Summary

The Delhi High Court enhanced compensation in a motor accident claim by applying future prospects and the correct multiplier as per the Supreme Court's Pranay Sethi judgment.

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MAC. APP. 1121/2017
HIGH COURT OF DELHI
Date of Decision: 22nd March, 2018
MAC.APP. 1121/2017
MANJU & ANR ..... Appellants
Through: Mr. D.K. Sharma, Advocate
VERSUS
RELIANCE GENERAL
INSURANCE CO LTD & ANR ..... Respondents
Through: Mr.Arun Yadav, Advocate for respondent no.1.
CORAM:
HON'BLE MR. JUSTICE J.R. MIDHA
JUDGMENT
(ORAL)

1. The appellant has challenged the award of the Claims Tribunal whereby compensation of Rs.8,14,564/- has been awarded to them.

2. The accident dated 14th July, 2014 resulted in the death of Jitender. The deceased was aged 18½ years and was survived by his parents. It was claimed that the deceased was in a private job earning Rs.15,000/- per month. However, the Claims Tribunal took minimum wages of Rs.8,554/-, deducted 1/2 towards his personal expenses and applied the multiplier of 11 to compute the loss of dependency as Rs.5,14,564/-. The Claims Tribunal awarded Rs.1,50,000/- towards loss of love and affection, Rs.50,000/towards loss of estate and Rs.50,000/- towards funeral expenses. The total compensation awarded is Rs.8,14,564/-. 2018:DHC:2032 MAC. APP. 1121/2017

3. Learned counsel for the appellant submits that the appellants be awarded future prospects and the multiplier of 18 be applied according to the age of the deceased in terms of the principles laid down by the Supreme Court in National Insurance Company Ltd. vs. Pranay Sethi, 2017 SCC OnLine 1117.

4. Learned counsel for respondent no.1 submits that the non-pecuniary compensation be reduced in terms of the principles laid down in Pranay Sethi (supra).

5. Applying the principles laid down in Pranay Sethi (supra), the appellants are entitled to future prospects @ 40% and the multiplier of 18 is to be applied. Taking the income of the deceased as Rs.8,554/- per month, adding 40% towards future prospects, deducting 1/2 towards the personal expenses and applying the multiplier of 18, the loss of dependency is computed as Rs.12,93,364.8. The appellants are awarded non-pecuniary compensation of Rs.15,000/- towards loss of estate and Rs.15,000/- towards funeral expenses. The appellants are entitled to a total compensation of Rs.13,23,365/-.

6. The appeal is allowed and the award amount is enhanced from Rs.8,14,564/- to Rs.13,23,365/- along with interest @ 9% per annum.

7. Respondent no.1 is directed to deposit the enhanced award amount with the Registrar General of this Court within four weeks from today.

8. List for disbursement of the compensation amount on 21st May, 2018.

9. Copy of this judgement be given dasti to counsel for the parties under the signature of the Court Master.

MARCH 22, 2018 J.R.MIDHA, J. dk