High Court of KeralaDivision BenchAppeal partly allowed; enhanced compensation aw...

Laila A.V. and others v. Rejeena K.J. and others

Case / Petition Number:MACA No. 1553 of 2012

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • C. T. Ravikumar
  • Anil K. Narendran
Judgment Date
2017-07-24
Court Decision / Holding
Appeal partly allowed. The High Court enhanced compensation by fixing monthly income at Rs. 5,000 and applying multiplier 9, resulting in an aggregate increase in loss of dependency. Additional sums were granted for loss of consortium, funeral expenses, love and affection, and loss of estate, guided by Rajesh. The total additional compensation amounted to Rs. 3,93,000, allocated among appellants 70:15:15, with Rs. 20,000 to the legal heirs of the deceased’s fourth appellant (who died). The insurer was directed to deposit the enhanced amount with interest at 8% per annum within two months. There was no order as to costs.
Final Disposition
Appeal partly allowed; enhanced compensation awarded; payment of enhanced amount with interest within two months; no order as to costs.

Parties to the Case

Appellants / Petitioners

  • Laila A.V., W/o Late P.K. Abdul Salam
  • Shameer Abdul Salam, S/o Late P.K. Abdul Salam
  • Muhammed Shiffin Abdul Salam, Minor represented by Laila A.V.
  • Aisha, W/o Late Kochunni

Respondents

  • Rejeena K.J., W/o K.J. Jose
  • K.J. Arun, S/o K.J. Jose
  • M/S. Oriental Insurance Company Ltd., Tripunithura

Legal Representation & Advocates

Counsels for Petitioners

  • • Sri M.M. Saidu Muhammed
  • • Smt. Reena Mathew (Thevalakkattu)

Counsels for Respondents

  • • Sri VPK. Panicker
  • • Sri George Cherian (Thiruvalla)

Case Synopsis & Summary

This MACA arises from an award under the Motor Vehicles Act for the death of Abdul Salam, a retired government servant. The Motor Accidents Claims Tribunal, Ernakulam, awarded Rs. 2,09,000 as compensation for death, with interest at 8% per annum from the date of petition till realisation and costs. The appellants (widow, two children and mother) challenge the quantum, contending that the Tribunal undervalued the deceased’s income and applied an inadequate multiplier. Abdul Salam, aged 58 at the time of the accident, was a Gazetted officer who retired as Farm Manager Grade II; Ext. A9 shows his age. The Tribunal fixed monthly income at Rs. 2,500 and used multiplier 7. The appellants rely on the principle in Sarla Verma v. Delhi Transport Corporation to apply a higher multiplier (8 or 9) and to fix a more realistic income; they also seek enhancement under heads of loss of dependency, loss of consortium, funeral expenses, love and affection, and loss of estate. In light of Rajesh v. Rajbir Singh, the court awards a higher consortium amount to the spouse and fixes funeral expenses at a minimum. The High Court re-computes the compensation, increasing the monthly income to Rs. 5,000 and applying a multiplier of 9, resulting in substantial enhancement. It apportions the enhanced amount among appellants, directs the insurer to deposit the amount with 8% interest within two months, and holds that there is no order as to costs. The judgment was delivered by a Division Bench of two Judges on 24 July 2017.

Provisions of Law Cited

Section 166 of the Motor Vehicles Act

Legal Doctrines & Maxims

  • Multiplier principle for computation of dependency loss (as refined in Sarla Verma v. Delhi Transport Corporation)
  • Minimum loss of consortium as a quid pro quo in death claims (as clarified in Rajesh v. Rajbir Singh)
  • Loss of love and affection as a compensable head of damage
  • Funeral expenses and loss of estate considerations in death claims

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellants contended that the Tribunal erred in fixing the deceased’s monthly income at Rs. 2,500 and applying a multiplier of 7. The deceased was a retired gazetted government servant; income should be notionally fixed higher (Rs. 5,000 per month) and a multiplier of 9 applied. They argued for appropriate deductions (1/4 for personal expenses) and enhancement under heads such as loss of dependency, loss of consortium (minimum Rs. 1,00,000 as per Rajesh), funeral expenses (minimum Rs. 25,000), love and affection, and loss of estate. They relied on Sarla Verma for the multiplier and Rajesh for consortium, seeking substantial enhancement and just distribution among the appellants.

Contentions of Respondents

The respondents contended the Tribunal’s findings on income, multiplier, and damages reflect the evidence and established practice. They argued against re-opening the quantum and supported the award, maintaining insurer’s liability and opposing larger damages beyond what was proven.

Cited Precedents (2)

Case NameCitationTreatmentExplanation
Sarla Verma v. Delhi Transport Corporation[2010 (2) KLT 802 (SC)]PositiveUsed to justify the multiplier of 9 for the 56-60 age group and the 1/4 deduction for personal expenses in calculation of dependency loss.
Rajesh and others v. Rajbir Singh and others(2013) 9 SCC 54PositiveUsed to secure a minimum loss of consortium of Rs. 1,00,000 for the spouse and to adjust damages as per the decision.

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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 C.T.RAVIKUMAR & THE HONOURABLE MR. JUSTICE ANIL K.NARENDRAN MONDAY, THE 24TH DAY OF JULY 2017/2ND SRAVANA, 1939 MACA.No. 1553 of 2012 () ------------------------AGAINST THE AWARD IN OPMV 1241/2011 of M.A.C.T.,ERNAKULAM DATED 03-04-2012 APPELLANT(S)/PETITIONER: ---------------------------------- 1. LAILA A.V, AGED 49 YEARS W/O.LATE P.K.ABDUL SALAM, POOPPADY HOUSE, MLA ROAD, PANANGAD P.O., KOCHI-06. 2. SHAMEER ABDUL SALAM S/O.LATE P.K.ABDUL SALAM, POOPPADY HOUSE, MLA ROAD, PANANGAD P.O., KOCHI-06. - 3. MUHAMMED SHIFFIN ABDUL SALAM S/O.LATE P.K.ABDUL SALAM, MINOR, AGED 17 YEARS REPRESENTED BY HIS NEXT FRIEND AND GUARDIAN LAILA A.V., THE 1ST APPELLANT (RECORDED) 4. AISHA, W/O.LATE KOCHUNNI, AGED 81 YEARS,POOPADY HOUSE, KOTTAKKAL P.O., MUNDAKKAYAM. BY ADVS.SRI.M.M.SAIDU MUHAMMED SMT.REENA MATHEW (THEVALAKKATTU) RESPONDENT(S):RESPONDENTS ----------------------------------- 1. REJEENA K.J, W/O.K.J.JOSE, KALAPARAMBIL HOUSE, MADAVANA, PANANGAD P.O.,KUMBALAM, ERNAKULAM, PIN-682 506. 2. K.J.ARUN, S/O.K.J.JOSE, KALAPARAMBIL HOUSE, MADAVANA, PANANGAD P.O.,KUMBALAM, ERNAKULAM, PIN-682 506. 3. M/S.ORIENTAL INSURANCE COMPANY LTD BRANCH OFFICE, TRIPUNITHURA, PIN-682 301. *(AS PER ORDER DATED 21.6.2013 IN I.A.NO.1583/2013 IN M.A.C.A.NO.1553 OF 2012, THE NEXT FRIEND AND GUARDIAN, REPRESENTING THE THIRD APPELLANT, IS DISCHARGED SINCE THE APPELLANT HAS BECOME A MAJOR AND IS CAPABLE OF CONDUCTING THE CASE HIMSELF) R3 BY ADV. SRI.VPK.PANICKER R3 BY SRI.GEORGE CHERIAN (THIRUVALLA) THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING BEEN FINALLY HEARD ON 24-07-2017, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: ## **C.T. RAVIKUMAR & ANIL K. NARENDRAN, JJ. ========================== M.A.C.A. No.1553 OF 2012** **==========================** Dated this the 24[th] day of July, 2017 ## **JUDGMENT** _Ravikumar, J._ This appeal is directed against the judgment and award dated 3.4.2012 in O.P.(MV) No.1241 of 2011 passed by the Motor Accidents Claims Tribunal, Ernakulam. During the pendency of this appeal, the fourth appellant died and a memo to that effect has been filed and permission was sought to proceed the appeal at the instance of the surviving appellants. There is no reason to decline permission as sought for. 2. The deceased Abdul Salam was a retired government servant. The accident in which Abdul Salam lost his life occurred at 11 p.m on 27.2.2011 and he succumbed to the injuries on the very next day. The aforesaid claim petition was filed under section 166 of the Motor **M.A.C.A.1553/2012** 2 Vehicles Act seeking a total compensation of Rs.10,00,000/- for the death of Abdul Salam by his widow, children and mother. The Tribunal has awarded a sum of Rs.2,09,000/- as compensation with interest at the rate of 8% per annum from the date of the petition till realisation with proportionate cost. Essentially, it is seeking enhancement of the quantum of compensation that this appeal has been filed. 3. On the side of the appellants, one P.B Sheriff was examined before the Tribunal as PW1 besides getting marked Exts.A1 to A10. No evidence, either oral or documentary, was adduced by the respondents. 4. We have heard the learned counsel for the appellants and the learned counsel for the third respondent insurance company. 5. There is no dispute regarding the accident, cause of the accident as also the liability of the third respondent insurer to indemnify the insured owner of the offending vehicle. Hence, we are only called upon to consider the question whether the appellants are **M.A.C.A.1553/2012** 3 entitled to get enhanced compensation. The main grievance of the appellants is that the Tribunal has erroneously estimated the monthly income of the deceased for calculating the compensation for loss of dependency. The Tribunal fixed the monthly income of the deceased as Rs.2,500/-. That apart, it is contended that the Tribunal has wrongly adopted the multiplier. Going by Ext.A9 certificate, the deceased was aged 58 years at the time of the accident. The Tribunal has adopted the multiplier as '7'. In view of schedule given in the decision in **Sarla Verma v. Delhi Transport Corporation [2010 (2) KLT 802 (SC)],** the multiplier applicable for the age group of 56 to 60 years is '9'. Therefore, the multiplier has to be taken as '9'. Evidently, the Tribunal has rightly effected deduction of ¼ of the income towards personal and living expenses of the deceased reckoning the number of dependent family members in terms of the said decision. As noticed hereinbefore, the deceased was a government servant. He retired from service as Farm Manager Gr.II. We are of the view that in respect of a person who retired from service **M.A.C.A.1553/2012** 4 as a gazetted officer, the monthly income fixed by the Tribunal, viz., Rs.2,500/- is too low. In such circumstances, we are inclined to fix the monthly income of the deceased as Rs.5,000/- notionally for calculation purpose. Based on the re-fixed monthly income and the multiplier, the compensation under the head 'loss of dependency' has to be re-assessed. On such re-assessment, the appellants will be entitled to get an amount of Rs.4,05,000/- (5000x12x9x3/4). The Tribunal has already awarded a sum of Rs.1,57,500/- under the said head. After deducting the said amount, the appellants are entitled to get an additional sum of Rs.2,47,500/- under the head 'loss of dependency'. Towards 'loss of consortium', the Tribunal has granted only a sum of Rs.5,000/- and towards 'funeral expenses', only an amount of Rs.7,500/- was granted. The sums of compensation awarded under the said heads invite interference in the light of the decision in **Rajesh and others v. Rajbir Singh and others [(2013) 9 SCC 54].** Going by the said decision, in an application under section 166 of the M.V Act seeking compensation for death, the surviving **M.A.C.A.1553/2012** 5 spouse is entitled to get a minimum of Rs.1,00,000/- towards the head 'loss of consortium'. The first appellant widow of deceased Abdul Salam was aged only 48 years at the time of accidental death of her husband. Hence, we are inclined to grant an additional sum of Rs.95,000/- under the head 'loss of consortium'. In the light of the decision in **Rajesh** 's case, in the absence of evidence for higher expenses, a minimum of Rs.25,000/- shall be granted towards funeral expenses. Hence, an additional sum of Rs.17,500/- is granted under the said head. Appellants 2 and 3 were aged 25 years and 16 years at the time of accidental death of their father. The fourth respondent, the mother of the deceased was then aged 80 years. We are inclined to grant an amount of Rs.50,000/- under the head loss of 'love and affection'. The Tribunal has already awarded a sum of Rs.25,000/ under the said head. Hence, appellants 2 and 3 are entitled to get an additional sum of Rs.25,000/- thereunder. Towards loss of estate, only an amount of Rs.2,000/- was awarded. We are inclined to grant Rs.8,000/- additionally under the said head. In the light of the **M.A.C.A.1553/2012** 6 discussions as above, the appellants are entitled to get an additional compensation of Rs.3,93,000/-. It is awarded. Out of the said amount, the first appellant alone will be entitled to get additional compensation granted under the head loss of consortium. Since the fourth appellant is no more, the legal heirs of the fourth appellant will be entitled to get an amount of Rs.20,000/-. The balance amount shall be apportioned between appellants 1 to 3 in the ratio 70:15:15. The third respondent shall deposit the additional compensation along with interest at the rate of 8% per annum from the date of the petition till realisation within two months from the date of receipt of a copy of this judgment. No order as to costs. **Sd/C.T. RAVIKUMAR (JUDGE)** **Sd/ANIL K. NARENDRAN (JUDGE)** **spc/** **M.A.C.A.1553/2012** 7 **C.T. RAVIKUMAR, J.** **M.A.C.A.1553/2012** 8 **JUDGMENT September, 2010**