Divakaran v. Lonappan, Shoy & Oriental Insurance Company Ltd.
Case Details & Bench
- Court
- High Court of Kerala
- Hon'ble Judges
- C. S. Dias
- Judgment Date
- 2021-08-26
- Court Decision / Holding
- The appeal is allowed, in part, by enhancing the compensation by a further amount of Rs.12,000/- (Rupees twelve thousand only) with interest at 7.5% per annum from the date of petition till the date of realisation along with proportionate costs. The third respondent shall deposit the enhanced compensation awarded in this appeal before the Tribunal with interest and proportionate costs within a period of two months from the date of receipt of a certified copy of the judgment. The appellant/petitioner would be at liberty to move the Tribunal for withdrawal of the enhanced compensation. After deposit, the third respondent is free to recover the enhanced amount from the first respondent (owner).
- Final Disposition
- Appeal allowed in part; enhanced compensation by Rs.12,000 with interest and costs; deposit within two months; insurer to recover from owner.
Parties to the Case
Appellants / Petitioners
- Divakaran, S/o Bhaskaran Nair
Respondents
- Lonappan Ellikkal
- Shoy S/O Thomas
- The Manager, Oriental Insurance Company Ltd.
Legal Representation & Advocates
Counsels for Petitioners
- • Sri. V. Binoy Ram
Counsels for Respondents
- • Sri. Binny Thomas
- • Sri. Nagaraj Narayanan
- • Sri. Binny Thomas
- • Sri. Saijo Hassan
- • Sri. Titus Mani
- • Sri. BenoJ C Augustin
- • Sri. Rafeeq. V.K.
- • Sri. U.M. Hassan
- • Sri. P. Parvathy
- • Sri. Surya P Shaji
Case Synopsis & Summary
Divakaran, the appellant, challenges the Motor Accidents Claims Tribunal, Irinjalakkuda’s award in OP(MV)1599/2007. On 14 August 2007, while riding a motorcycle, he collided with another vehicle driven by the second respondent, allegedly due to rash and negligent driving. The vehicle was owned by the first respondent and insured by the third respondent; the policy’s liability depended on the license status of the second rider. The Tribunal partly allowed the claim and awarded Rs 44,300 with 7.5% interest and costs, directing payment by the owner and recovery from him. The petitioner claimed higher compensation arguing that his notional income, based on his status as a ration shop dealer in 2007, should be Rs 5,000 per month, citing Ramachandrappa v. Manager, Royal Sundaram Alliance Insurance Company Ltd for notional income. The respondents contended the petition was not maintainable and that negligence lay on the petitioner; the insurer contended policy guidelines were violated as the rider did not possess a valid license. The High Court examined Ext A3 (final report) indicating collusion between the petitioner’s bike and the offending vehicle (due to the second rider’s negligence). It accepted the Supreme Court’s approach in Ramachandrappa to determine notional income, fixing Rs 5,000 per month, and recalculated heads of compensation. The tribunal’s disability award of 10% was not accepted due to lack of proof. The court enhanced compensation by Rs 12,000, with 7.5% interest from petition date to realization, and proportionate costs, with deposit within two months; insurer to recover from the owner.
Submissions & Arguments
Contentions of Appellants / Petitioners
The appellant contends that the Tribunal’s quantum is inadequate and that the notional income should be Rs.5,000 per month in line with Ramachandrappa, as he was a ration shop dealer in 2007. He asserts Ext A11 (disability certificate) was not proven since the doctor was not examined, and that there is evidence of substantial injuries including head injury and multiple fractures. He maintains that the accident occurred due to the second rider’s negligence (supported by Ext A3) and that the insurer remains liable; he seeks higher compensation under heads such as loss of earnings, pain and suffering, extra nourishment, and loss of amenities, with interest and costs. The appellant also disputes the Tribunal’s finding of no permanent disability, arguing the medical records support greater impact on his earning capacity.
Contentions of Respondents
The respondents contend the claim petition is not maintainable and that the accident was caused by the petitioner’s own negligence. They argue the petitioner influenced the police and that the third respondent insurer is not liable due to policy violations (the second rider riding without a valid license). They urge upholding the Tribunal’s award on a proper evaluation of evidence, and that the notional income should not be inflated beyond the evidence. They also highlight lack of proof of permanent disability and question the reliance on Ext A11.
Cited Precedents (1)
| Case Name | Citation | Treatment | Explanation |
|---|---|---|---|
| Ramachandrappa v. Manager, Royal Sundaram Alliance Insurance Company Limited | [(2011) 13 SCC 236] | Positive | Cited as controlling authority for determining notional income of an earning class; followed to fix notional income at Rs.5,000 per month. |
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