High Court of KeralaSingle JudgeAppeal allowed; Tribunal’s award modified as pe...

K. Janardhanan and others v. Rajasekhara V. and others

Case / Petition Number:MACA NO. 1579 OF 2021

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • DEVAN RAMACHANDRAN
Judgment Date
2023-02-10
Court Decision / Holding
Appeal allowed with directions: (a) Funeral Expenses reduced to Rs.15,000; (b) Loss of Estate Rs.15,000; (c) Loss of Love and Affection deleted; (d) Loss of Dependency enhanced to Rs.13,60,800 after standardization to Rs.12,600 income with 40% future prospects; (e) Loss of Consortium awarded Rs.80,000; (f) All other heads confirmed; (g) Insurance Company liable to pay enhanced compensation with interest at 9% p.a. from the date of filing, excluding 794 days due to delay; (h) Appellants entitled to proportionate costs on enhanced amounts.
Final Disposition
Appeal allowed; Tribunal’s award modified as per directions; enhanced compensation to be paid by insurer with 9% interest; delay period excluded; costs as directed.

Parties to the Case

Appellants / Petitioners

  • K. Janardhanan
  • Grija
  • Shreyas J.

Respondents

  • Rajasekhhar V.
  • Satheeshkumar
  • HDFC ERGO General Insurance Co. Ltd.
  • Dhijees
  • IIFCO Tokio General Insurance Company Ltd.

Legal Representation & Advocates

Counsels for Petitioners

  • • RAJESH SIVARAMANKUTTY
  • • K.VIJINA
  • • K.V.ANTONY
  • • ARUL MURALIDHARAN

Counsels for Respondents

  • • GEORGE CHERIAN (SR.)
  • • BINOY VASUDEVAN
  • • MATHEWS JACOB (SR.)
  • • P.JACOB MATHEW
  • • K.S.SANTHI
  • • LATHA SUSAN CHERIAN
  • • ALEXY AUGUSTINE
  • • GEORGE A.CHERIAN

Case Synopsis & Summary

This appeal is filed by the legal heirs of late K. Janardhanan challenging the quantum of compensation awarded by the Motor Accidents Claims Tribunal, Palakkad, in OP(MV) No. 13/2014. The appellants contend that the Tribunal undervalued loss of dependency by adopting an inappropriately low notional income for a 20-year-old deceased and erred in denying other heads of compensation. Counsel for the appellants argued that, following Ramachandrappa v. Manager, Royal Sundaram Alliance Insurance Co. Ltd., the notional income should be standardized to Rs.9,000 with 40% future prospects, yielding Rs.12,600 as the baseline income; this would make the loss of dependency Rs.13,60,800. They also claimed entitlement to compensation for loss of consortium and loss of estate for the parents, while objecting to amounts awarded for loss of love and affection and for pain and suffering. The insurer contends the Tribunal’s award is just and fair, arguing that non-pecuniary heads should be limited in light of Pranay Sethi and that funeral expenses should be capped. The High Court finds merit in the submissions, noting the Tribunal’s underestimation of income and misapplication of Pranay Sethi guidelines. It standardizes income to Rs.12,600 and enhances the loss of dependency to Rs.13,60,800, awards Rs.80,000 for loss of consortium, Rs.15,000 for loss of estate, and deletes loss of love and affection and pain and suffering, while reducing funeral expenses to Rs.15,000. The enhanced amount is to be paid by the insurer with 9% interest from the filing date, excluding 794 days for delay, with proportionate costs.

Legal Doctrines & Maxims

  • Ramachandrappa v. Manager, Royal Sundaram Alliance Insurance Company Limited (2011) 13 SCC 236 — standardization of income for unascertainable earnings; 40% future prospects.
  • National Insurance Company Ltd. v. Pranay Sethi [2017 (4) KLT 662] — guidelines for compensation heads, including funeral expenses cap and steps for non-pecuniary damages.

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellants submit that the Tribunal erred in adopting a very low notional income for the deceased (20 years old) and failed to apply Ramachandrappa’s standardization to Rs.9,000 with 40% future prospects, making the loss of dependency Rs.13,60,800. They contend parents are entitled to Loss of Consortium and Loss of Estate, and dispute the awards for Loss of Love and Affection and Pain and Suffering, urging reallocation as per Pranay Sethi guidelines.

Contentions of Respondents

The respondents contend the Tribunal’s total award is fair; the non-pecuniary heads like Loss of Love and Affection and Pain and Suffering should be disallowed; funeral expenses should be capped at Rs.15,000 as per Pranay Sethi; liability rests with the 3rd respondent insurer.

Cited Precedents (2)

Case NameCitationTreatmentExplanation
Ramachandrappa v. Manager, Royal Sundaram Alliance Insurance Company Limited[(2011) 13 SCC 236]PositiveUsed to standardize income for unascertainable earnings, forming basis for higher loss of dependency figure.
National Insurance Company Ltd. v. Pranay Sethi[2017 (4) KLT 662]PositiveProvided guidelines on heads of compensation including cap on funeral expenses and non-pecuniary damages.

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Extracted Judgment Text

Exact text extracted from official judgment records.

# `IN THE HIGH COURT OF KERALA AT ERNAKULAM` ## `PRESENT` ## `THE HONOURABLE MR. JUSTICE DEVAN RAMACHANDRAN` ``` FRIDAY, THE 10[TH] DAY OF FEBRUARY 2023 / 21ST MAGHA, 1944 ``` ``` MACA NO. 1579 OF 2021 ``` ``` AGAINST THE AWARD IN OPMV 13/2014 OF MOTOR ACCIDENT CLAIMS TRIBUNAL , ``` ## `PALAKKAD` ## `APPELLANTS/PETITIONERS:` ``` 1K.JANARDHANAN AGED 60 YEARS S/O.KUNCHU, THEKKECHALLA, NATTUKAL, KOZHINJAMPARA, PALAKKAD, PIN - 678 554. 2GIRIJA AGED 48 YEARS W/O.K.JANARDHANAN, THEKKECHALLA, NATTUKAL, KOZHINJAMPARA, PALAKKAD, PIN - 678 554. 3SHREYAS J. AGED 24 YEARS S/O.K.JANARDHANAN, THEKKECHALLA, NATTUKAL, KOZHINJAMPARA, PALAKKAD, PIN - 678 554. BY ADVS. RAJESH SIVARAMANKUTTY K.VIJINA K.V.ANTONY ARUL MURALIDHARAN ``` ## `RESPONDENTS/RESPONDENTS:` ``` 1RAJASEKHAR V. S/O.KOMALAVALLI K., AGE NOT KNOWN, RESIDING AT 36/665, VISWASREE COLONY, OLAVAKKODE, PALAKKAD, PIN - 678 002. (OWNER OF VEHICLE BEARING REG.NO.KL 9/AA-4899). 2SATHEESHKUMAR S/O.KUNCHUMANI, AGE NOT KNOWN, PADINJAKKARA, ELAPPULLY, PALAKKAD, PIN -678 622. (DRIVER OF VEHICLE BEARING REG.NO.KL 9/AA-4899). 3HDFC ERGO GENERAL INSURANCE CO.LTD. 2ND FLOOR, KANAKATH TOWER, WEST FORT ROAD, PALAT JUNCTION, PALAKKAD, PIN - 678 001. (INSURER OF VEHICLE BEARING REG.NO.KL 9/AA-4899), (POLICY NO.231120023432220100 VALIDITY FROM 16/4/2013 TO 15/4/2014). ``` ``` MACA NO. 1579 OF 2021 ``` ``` 2 ``` ``` 4DHIJEES S/O.MANI, AGE NOT KNOWN, THEKKECHALLA, NATTUKAL POST, KOZHINJAMPARA, PALAKKAD, PIN - 678 554 (OWNER OF VEHICLE BEARING REG.NO.TN-38/BH-1434). 5IIFCO TOKIO GENERAL INSURANCE COMPANY LTD. NO.16, VENKATAVA ROUND ROAD, MAHALINGAPURAM, POLLACHI, TAMIL NADU,PIN - 642 002 (INSURER OF VEHICLE BEARING REG.NO.KL 9/AA-4899) (POLICY NO.1-IXAOSVIAP400, POLICY 82984749, VALID FROM 14/2/2013 TO 14/2/2014). BY ADVS. GEORGE CHERIAN (SR.) BINOY VASUDEVAN(K/001751/1999) MATHEWS JACOB (SR.) P.JACOB MATHEW K.S.SANTHI LATHA SUSAN CHERIAN ALEXY AUGUSTINE GEORGE A.CHERIAN ``` ``` THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING COME UP FOR ADMISSION ON 10.02.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: ``` ``` MACA NO. 1579 OF 2021 ``` ``` 3 ``` ## `JUDGMENT` ``` This appeal, filed by the legal heirs of late K.Janardhanan - who is the son of the 1[st] among them and the husband and father of the 2[nd] and 3[rd] among them respectively – is filed being aggrieved by the quantum of compensation awarded by the Motor Accidents Claims Tribunal, Palakkad (“Tribunal” for short) in OP(MV)No.13/2014 filed by them. ``` ``` 2.Since the facts are not in dispute, I will proceed directly to the controversy projected. ``` ``` 3.Smt.K.Vijina – learned counsel for the ``` ``` appellants, submitted that the notional income adopted by the Tribunal, for awarding ``` ``` compensation for “Loss of Dependency”, was ``` ``` woefully insufficient because it adopted ``` ``` MACA NO. 1579 OF 2021 ``` ``` 4 ``` ``` Rs.4,500/- alone. She added that the Tribunal ``` ``` erred in not granting any amount as compensation for “Loss of Consortium”, as also under the head ``` ``` “Loss of Estate”. She thus prayed that the impugned Award of the Tribunal be modified, ``` ``` granting the enhancement sought for. ``` ``` 4.Even though there are two insurance ``` ``` companies on the party array, it is conceded ``` ``` that 3[rd] respondent alone is responsible. ``` ``` 5.Smt.Latha Susan Cherian – learned ``` ``` Standing Counsel for the 3[rd] respondent, argued ``` ``` that, not merely is the quantum of compensation ``` ``` awarded by the Tribunal just and fair; but that ``` ``` it has actually granted Rs.1,00,000/- under the head “Loss of Love and Affection” and ``` ``` Rs.25,000/- for “Pain and Suffering”, which is not eligible to the appellants. She additionally submitted that the amount towards “funeral ``` ``` MACA NO. 1579 OF 2021 ``` ``` 5 ``` ``` expenses” could not have exceeded Rs.15,000/-, going byNational Insurance Company Ltd. v. Pranay Sethi [2017 (4) KLT 662]. ``` ``` 6.When I evaluate the afore submissions on ``` ``` the touchstone of the evidence on record - ``` ``` copies of which have been made available to this Court by the learned counsel for the parties ``` ``` across the Bar, with the express consent that they can be acted upon, without dispute - I must say that I find force in the submissions of both sides. ``` ``` 7.This is because, the Tribunal has taken ``` ``` the notional income of the deceased, who was 20 years age at the time of the accident, as being a mere Rs.6,000/-, even though the Hon’ble Supreme Court, inRamachandrappa v. Manager, Royal Sundaram Alliance Insurance Company Limited[(2011) 13 SCC 236], has postulated the ``` ``` MACA NO. 1579 OF 2021 ``` ``` 6 ``` ``` standardization of income of a person with un- ascertainable one in the year 2013 - when the accident in this case occurred - to be Rs.9,000/-. When 40% future prospects is added to it, the income to be adopted ought to have been Rs.12,600/-; and on such yardstick, the compensation for “Loss of Dependency” eligible to the appellants would be Rs.13,60,800/-. ``` ``` 8.That apart, since petitioners 1 and 2 are the parents of the deceased, the Tribunal could not have denied them compensation under the head “Loss of Consortium”, which ought to have been Rs.80,000/-; and similarly, under the head “Loss of Estate”, they are certainly entitled to Rs.15,000/-, going by Pranay Sethi (supra). ``` ``` 9.However, coming to the arguments of the Insurance Company, I find force with it also ``` ``` MACA NO. 1579 OF 2021 ``` ``` 7 ``` ``` because, after the Tribunal considered the grant of compensation under the head “Loss of Dependency”, no amounts for “Loss of Love and Affection” could have been granted; as also under the head “Pain and Suffering”. ``` ``` Additionally, the amount of funeral expenses should have been limited to Rs.15,000/- as ``` ``` standardized inPranay Sethi(supra). ``` ``` Consequently, this appeal is allowed with ``` ``` the following directions: ``` ``` a)The compensation under the head “Funeral ``` ``` Expenses” is reduced to Rs.15,000/-, from Rs.25,000/-. ``` ``` b)The compensation under the head “Loss of ``` ``` Estate” is granted for a sum of Rs.15,000/-. ``` ``` c)The compensation under the head “Pain ``` ``` and Suffering” is deleted. ``` ``` d)Thecompensationfor“Lossof ``` ``` MACA NO. 1579 OF 2021 ``` ``` 8 ``` ``` Dependency” is enhanced to Rs.13,60,800/-, from Rs.9,72,000/- now granted. ``` ``` e)The compensation under the head “Loss of ``` ``` Love and Affection” is deleted. ``` ``` f)Thecompensationfor“Lossof ``` ``` Consortium” is granted to an extent of Rs.80,000/- to the appellants. ``` ``` g)The compensation granted by the Tribunal ``` ``` and its holdings on all other heads are confirmed. ``` ``` Consequently, the appellants would be ``` ``` entitled to recover the compensation, as ``` ``` enhanced by this Court, from the 3rd respondent ``` ``` – Insurance Company, along with interest at the ``` ``` rate of 9% per annum, as fixed by the Tribunal, ``` ``` from the date of filing of claim, until it is realised. ``` ``` However, while computing the interest, the ``` ``` MACA NO. 1579 OF 2021 ``` **==> picture [8 x 9] intentionally omitted <==** ``` period of 794 days, being the delay caused by the appellants in filing this appeal, shall be excluded. ``` ``` The appellants will also be entitled to proportionate costs, on the enhanced amounts, as ordered by the Tribunal. ``` ``` Sd/- ``` ## `DEVAN RAMACHANDRAN` ``` JUDGE ``` ``` SAS ```