New India Assurance Co Ltd v. Krishna & Ors

Delhi High Court · 15 Feb 2017 · 2017:DHC:9077
L. Gaur
MAC. APPEAL NOS. 450/2008 & 5/2017
2017:DHC:9077
civil appeal_allowed Significant

AI Summary

The Delhi High Court held that compensation under Section 163-A of the Motor Vehicles Act must strictly follow the Second Schedule, reducing the awarded amount accordingly and dismissing the claimants' appeal for enhancement.

Full Text
Translation output
HIGH COURT OF DELHI
(i) +
DateofDecision: February15,2017 MAr.APP.450/2008
NEWINDIA ASSURANCECOLTD ••••• Appellant
Through: Mr.PankajSeth,Advocate
VERSUS
KRISHNA & ORS Respondents (ii) +.
^ respl)hdmt^^^^to3.
;!i . w §. '5»f:...\Kppellants KRISHMAf&IORS
VERSUS
THENE^INDL^^ Throu MRS i^NavneetGoyal,A|vocate iC.Respondents iohglK^^Mr^P*#p^A'dvocatefor
1</V - *--^1 .,4^^
CORAM: , , „
HON'BLE MR.JUSTICESUNiCGAUR .niDGMENT (ORAL)
In a petition under Section 163-A ofMotor VehiclesAct,learned
Tribunal has granted compensation of?3,49,656/- with interest@9% per annum to Claimants onaccountofdeath ofoneRajesh Kumarin a
MAC.APPEAL NOSA50/2008&5/2017
Page 1 of5 2017:DHC:9077 road accident on 26"' February, 1996. The breakup of.compensation awarded bylearned Tribunalis as under.-
S.NO. 1.
2.
3.
Head Loss of Income (minimum wages minus 1/f towards personal expenses) ri341 X12X18
Loss ofconsortium Funeral expey.s0 \oss
Total ■f
Amount (in ^ '^2,89,656/-.

'?25,000/- rio.ooo/- '^25,000/- ^,49,656A Impugtte^^ of assaife^surer inthe ahove-captiof^IStappealo^^hatcontpe^tid|awardedis not as per t|e Schedule whic|p#| grant of compe|ation in a petitionundlsection 163-A||MfaotesAct. Inab|e-captk,ned
, second r parties, theseappeals have bll^lfietherandarebeing decided by this cornmonjudgment. , ■ ■'fAlA'c. ^
The facts as noted in impugned Award needs no reproduction for the reasonthatthe issue laisedm these two appeals is regarding quontum of compensation,only. Siiffieeto note that Insurer herein had insured
Truck No.HR-02-9675,which was in'^lved.in.the.accldent m question.
It is also pertinent.to note;that: duririig pendency of these appeals, '■ III*' ' i-MTiTirrT"
MAC.APPEAL NOS.450/2008 & 5/2017 > impugnedAwai'dwasnotstayed andso,compensationgranted underthe impugned Award musthavebeenreleasedto Claimants.
Learned counselforInsurersubmitsthataspersecond Scheduleto
Motor Vehicles Act, which governs grant of compensation in a claim petition under Section 163-A ofMotor Vehicles Act,one-third is to be deducted towards personal expenses, but learned Tribunal has erred in deducting one-fifth towards personal expenses.It is next submitted by
Insurer's counsel that comp^wpante^eder non-peamimy head is notin consonance^dl|„tl#^(M Sche^TiylV^o?- VehiclesAct.. towards learned
Icounsel for to Motor '^esAc, ot'Im iove end unjuatifcd. .Thus,ii isiaisaiis:!^^ quantum ofcompensationawarded desei-vestobesuitablyreduced.
On the other hand, ieamed counsel;,for resppiidents-Clairnants submitsthatinimpugned Award,compensation..granted ison lowerside and it needs to be suitably enhanced as tlie deceased was aged about26 years On the day of,accident and Claimants aip her two daughters, who have no mea^oflivehhoOd. else is urged by either side.
MAC.APPEALNOS.450/200nSS/2027 Page3of5 . . .. '
Upon hearing and on perusal of impugned Award and second
ScheduletoMotor VehiclesAct,Ifindthatsinceclaim petitionwasfiled under Section 163-A of Motor Vehicles Act, therefore, compensation payable needs to be in conformity with second Schedule to Motor
Vehicles Act and so, no case is made out for enhancement of compensation. Rather, compensation granted needs to be reduced to bringitinlinewiththequantum ofcompensation asspecified msecond
Schedule to Motor VehiclesAct. .^ordingly,compensation payableto iscneuuic lu iviuiui
Claimantsisreassessete^nSepiOJ n 'n While wages of ri,677/-perJnt^ne-thS^^^^ardsM^bMexpenses' solossofincim^^, ^ \ multipliercAs,compensatioM& ^o rillSxhX18i.e.
I ffillmiV asunder:- n
JUDGMENT

1. Lossofcons'drtm^^^^^JJ^PlQOO/-

2. Funeralexpenses ^ ?2,000/-

3. LossofRstate • ?2,500/- Total, ^9,500/- Compensation under ''non-pecuniary heads" is accordingly reduced from?60,000/-to?9,500/-. Inlightoftheaforesaid,totalcompensationpayabletoClaimantsis ?2,50,988/-(?2,41,488+?9,500/-)." The appeal ofInsurer succeeds to the extentindicated above and appeal ofClaimants is dismissed. Since Page4of[5] therewasnostayinappealbyInsurer,soitispresumedthattheawarded compensation must have been released to Claimants. If it is so,then excess amountof?98,668/- with interestpaidthereupon,berealized by Insurerfrom Claimantsintermsofthisjudgment. Statutory amount deposited,ifany,be refunded to Insurer as per Rules. With the aforesaid directions,^ahove-captioned two appeals are disposed of. 4© • ' 'S, #' M % 5^ ■■1 'T 'I,v ^ *1 ■ I 4. 4 - I ^ 'XiC FEBRUARYS, ^7 sm,, -I" ! s.vt -fi, I it % s./hVHjfV' V <■ >',[4] „ ? 14i". t/'.'iVi \V 4 V, [1.'^ y^'r ■t [L GAUR) UUDGE 'Ki, r *•. ■ 4 J- '^fc- -s -4 i n »■ "*■ X'' i -S? «■» V- * 4' ts,... S-*:.. -J#'* ' s t r. I' f Ksummo^t^^SSSS^SSSSBSSaSa: MAC.APPEAL NOS.450/2008 & 5/2017 Pegs 5 ofi