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Gujarat High Court · body

2018 DIGILAW 340 (GUJ)

JYOTIBEN BHARATBHAI SHAH v. MANSINGH PADAMSINH RAJPUT

2018-02-01

BIREN VAISHNAV, M.R.SHAH

body2018
JUDGMENT : M.R. SHAH, J. 1. Feeling aggrieved and dissatisfied with the impugned judgment and award passed by the learned Motor Accident Claims Tribunal, Vadodara (hereinafter referred to as “Tribunal”) in Motor Accident Claim Petition No.576/2000 by which the learned Tribunal has partly allowed the said claim petition and has awarded a total sum of Rs.12,98,232/- towards compensation for the death of the deceased Bharatbhai Shah, the original claimants have preferred the present appeal to enhance the amount of compensation. 2. We have heard Shri Hakim, learned Advocate appearing on behalf of the appellants – original claimants and Shri Hamesh Naidu, learned Advocate appearing on behalf of the respondent No.3 – insurance company. We have considered and perused the impugned judgment and award passed by the learned Tribunal. We have re-appreciated the entire evidence on record. 3. At the outset it is required to be noted that the deceased Bharatbhai Shah who at the time of accident was aged 40 years and 5 months died in a vehicular accident. That the original claimants claimed a total sum of Rs.50 lakh towards compensation under different heads. That the learned Tribunal awarded future loss of income/loss of dependency assessing/considering the income of the deceased at Rs.10,065/- per month. Deducting 1/4th towards personal expenses of the deceased, the learned Tribunal considered the dependency at Rs.7,549/- per month and applying the multiplier of 14, awarded Rs.12,68,232/- towards future loss of income. The learned Tribunal also awarded Rs.25,000/- towards loss of estate and Rs.5000/- towards funeral expenses. Thus, the learned Tribunal awarded a sum of Rs.12,98,232/- with 9% interest thereon from the date of claim petition till realization. 4. Shri Hakim, learned Advocate appearing on behalf of the original claimants relying upon the pay slip produced on record has vehemently submitted that at the time of accident the deceased was getting Rs.12,773/- per month out of which Rs.2060/- was required to be deducted towards income tax and therefore, the income of the deceased is required to be considered at Rs.11,651/- per month. Relying upon the decision of the Hon’ble Supreme Court in the case of National Insurance Company vs. Pranay Sethi reported in 2017 (3) GLH 536, it is submitted that 40% of the above is required to be added towards future prospects. It is submitted that looking to the age of the deceased, multiplier of 15 is required to be applied. Relying upon the decision of the Hon’ble Supreme Court in the case of National Insurance Company vs. Pranay Sethi reported in 2017 (3) GLH 536, it is submitted that 40% of the above is required to be added towards future prospects. It is submitted that looking to the age of the deceased, multiplier of 15 is required to be applied. 4.1 Relying upon the above decision it is submitted that the original claimants shall be entitled to Rs.70,000/- under the conventional heads and funeral expenses etc. Making above submissions it is requested to allow the present First Appeal. 5. Present First Appeal is opposed by Shri Naidu, learned Advocate appearing on behalf of the respondent – insurance company. It is submitted that as the deceased was aged above 40 years, only 25% of the actual income at the time of death / accident is required to be added towards future prospects. 6. Heard learned Advocates appearing for respective parties at length. At the outset it is required to be noted that at the time of accident the deceased was aged about 40 years and 5 months. At the time of accident he was serving as a Medical Representative in one Himalaya Drug Company and was getting Rs.12,773/- per month. Out of the aforesaid, Rs.2060/- is required to be deducted towards income tax/professional tax. Therefore, the income of the deceased can safely be considered at Rs.11,651/- per month. It is true that as per the decision of the Hon’ble Supreme Court, as the deceased was aged above 40 years, 25% is required to be added towards future prospects. However, as the deceased was aged 40 years and 5 months and if 20% is added towards future prospects and if considering the decision of the Hon’ble Supreme Court in the case of Pranay Sethi (Supra), 45% as required to be added towards future prospects in case of deceased below 40 years and 5 months, the claimants will be losing 15% x 12 x 15 and would suffer a huge loss, we are of the opinion that in the peculiar facts and circumstances of the case, if 40% is added towards future prospects, it will meet the ends of justice. Looking to the number of dependents, 1/4th is required to be deducted towards personal expenses of the deceased and multiplier of 15 is required to be applied. Looking to the number of dependents, 1/4th is required to be deducted towards personal expenses of the deceased and multiplier of 15 is required to be applied. The sum and substance of the aforesaid would be that the original claimants shall be entitled to Rs.22,02,120/-towards future loss of income/loss of dependency. Considering the decision of the Hon’ble Supreme Court in the case of Pranay Sethi (Supra), the original claimants also shall be entitled to Rs.70,000/-under the conventional heads and funeral expenses etc. Thus, the original claimants shall be entitled to a total sum of Rs.22,72,120/with 9% interest thereon from the date of claim petition till its realization. To the aforesaid extent the impugned judgment and award is required to be modified and the present First Appeal is required to be partly allowed to the aforesaid extent. 7. In view of the above and for the reasons stated above, present First Appeal succeeds in part. Impugned judgment and award passed by the learned Tribunal in MACP No.576/2000 is required to be modified to the extent and it is held that the original claimants shall be entitled to Rs.22,72,120/- with 9% interest thereon from the date of claim petition till its realization. Present First Appeal is partly allowed to the aforesaid extent. The enhanced amount of compensation to be deposited by the insurance company now within a period of eight weeks from today, with the learned Tribunal.