High Court of KeralaSingle JudgeAppeal allowed; enhanced compensation; deposit ...

MACA No. 2329/2009

Case / Petition Number:MACA No. 2329/2009

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • C. S. Dias
Judgment Date
2022-02-08
Court Decision / Holding
The appeal is allowed. The Court enhances compensation by Rs.3,43,000, making the total Rs.5,74,000, with interest at 6% p.a. from the date of petition till deposit, after deducting interest for 357 days (delay). The third respondent is to deposit the enhanced amount with interest and costs before the Tribunal within 60 days of receipt of a certified copy of the judgment. The Tribunal shall disburse the deposited amount to appellants 1 and 2 in equal shares in accordance with law. The decision also implements notional income of Rs.30,000 for the minor, adopts a multiplier of 15, adjusts conventional heads as per Pranay Sethi and subsequent Supreme Court dicta, and removes duplication by excluding the ‘loss of love and affection’ head where ‘loss of consortium’ is awarded.
Final Disposition
Appeal allowed; enhanced compensation; deposit within 60 days; disbursement to appellants; 6% interest; costs.

Parties to the Case

Appellants / Petitioners

  • P.V.Ramachandran
  • T.V.SANTHA
  • P.V.Chitra

Respondents

  • Noushad
  • P.P Jayaprakash
  • The Oriental Insurance Co. Ltd.

Legal Representation & Advocates

Counsels for Petitioners

  • • Sri. Nagaraj Narayanan
  • • Sri. Benoj C Augustine
  • • Sri. Prathap Pillai
  • • Sri. Sunil Nair Palakkat
  • • Sri. A.S.Sabu

Counsels for Respondents

  • • Sri. Alexy Augustine
  • • Sri. George A.Cherian

Case Synopsis & Summary

This Motor Accidents Claims Appeal before the Kerala High Court arises from a common award passed by the Motor Accidents Claims Tribunal, Ottapalam, on a set of petitions including O.P.(MV) No. 975/2005, seeking compensation on account of the death of Sajith P.V., who was 17 years old at the time of the accident (10.12.2004) when he was riding as a pillion on a motorcycle. The vehicle involved was a lorry owned by the second respondent and insured by the third respondent. The Tribunal had partly allowed the petition and awarded Rs. 2,31,000 with interest and costs. The appellants (parents and sister) challenge the quantum, asserting higher compensation given the minor’s death and the impact on dependents. The High Court, examining the evidence and relying on precedents, holds that the deceased was a minor and fixes notional income at Rs.30,000 per year with a multiplier of 15 (citing Kuruvan Ansari and Kishan Gopal). It adopts Pranay Sethi’s framework for conventional heads—funeral expenses, loss of estate and loss of consortium—permitting escalation and adjusting amounts in light of later Supreme Court rulings (N. Jayasree, Rasmita Biswal) that 10% escalation applies in a calibrated manner. The court excludes duplicative damages for loss of love and affection and recalculates heads accordingly. Ultimately, the appeal is allowed, enhancing compensation by Rs.3,43,000 to a total of Rs.5,74,000, with 6% interest and costs, to be deposited before the Tribunal within 60 days for disbursement to appellants.

Provisions of Law Cited

Section 166 of the Motor Vehicles Act, 1988

Legal Doctrines & Maxims

  • Non-duplication principle: loss of love and affection cannot be awarded where loss of consortium has already been granted (New India Assurance Co. v. Somwati)
  • Notional income for a minor fixed at Rs.30,000 per annum with multiplier 15 (Kuruvan Ansari v. Shyam Kishore Murmu)
  • Adoption of Pranay Sethi framework for conventional heads and 10% escalation for head losses (Pranay Sethi v. Bank of Baroda)
  • 10% escalation on conventional heads irrespective of accident dates (N. Jayasree v. Cholamandalam M.S. General Insurance Co. Ltd., Rasmita Biswal v. D.M., etc.)

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellants contended that the Tribunal’s quantum was inadequate, particularly given the deceased’s minor status. Relying on Kuruvan Ansari and Kishan Gopal, they urged a notional income of Rs.30,000 per year and a multiplier of 15, to compute loss of dependency. They invoked Pranay Sethi to fix conventional heads (funeral expenses, loss of estate, loss of consortium) and to apply a 10% escalation, with adjustments per subsequent Supreme Court decisions (Jayasree, Biswal) to reflect escalations in 2011–2020. They argued for higher awards to reflect funeral, loss of estate, and loss of consortium per the latest precedents, while removing duplicative awards for love and affection.

Contentions of Respondents

The respondents asserted that negligence lay with the rider of the motorcycle and questioned the age, income, and occupation of the deceased. They argued the insurer’s liability was confined to the policy terms. They maintained that the Tribunal’s quantum did not warrant higher compensation and contested the use of fixed notional income and escalation, urging consistency with earlier awards and the specific facts of the case.

Cited Precedents (6)

Case NameCitationTreatmentExplanation
Kuruvan Ansari v. Shyam Kishore Murmu and another2021 SCC Online SC 1060PositiveCourt follows the Kuruvan Ansari principle fixing notional income for a minor and using multiplier 15.
Kishan Gopal and another v. Lala and others2014(1) SCC 244PositiveAdopted notional income approach and multiplier in determining compensation for a minor.
Pranay Sethi v. Bank of Baroda(2017) 16 SCC 680PositiveAdopts framework for conventional heads and 10% escalation as laid down in Pranay Sethi.
N. Jayasree v. Cholamandalam M.S. General Insurance Co Ltd.2021 SCC Online SC 967PositiveEscalation of conventional heads irrespective of accident date applied in this case.
Rasmita Biswal v. Divisional Manager, National Insurance Co., Ltd. and another2021 SCC Online SC 1193PositiveAffirms 10% escalation on conventional heads per judgments post-2017.
New India Assurance Co. v. Somwati and others(2020) 9 SCC 644PositivePrevents duplication of damages by disallowing 'loss of love and affection' where 'loss of consortium' is awarded.

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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.S.DIAS ``` ``` TUESDAY, THE 8[TH] DAY OF FEBRUARY 2022 / 19TH MAGHA, 1943 ``` ``` MACA NO. 2329 OF 2009 ``` ``` AGAINST THE AWARD DATED 07.05.2008 IN OP(MV)NO. 975/2005 OF MOTOR ACCIDENT CLAIMS TRIBUNAL, OTTAPPALAM ``` ## `APPELLANTS/PETITIONERS:` ``` 1P.V.RAMACHANDRAN, AGED 54, RESIDING AT CHITHRA NIVAS, MALAMKKAVU P.O., ANGADI AMSOM, ARIKKAD DESOM. 2T.V. SANTHA, AGED 51, RESIDING AT CHITHRA NIVAS, MALAMKKAVU P.O., ANGADI AMSOM, ARIKKAD DESOM. 3P.V. CHITRA, AGED 18, RESIDING AT CHITHRA NIVAS, MALAMAKKAVU P.O., ANGADI AMSOM, ARIKKAD DESOM. ``` ``` BY ADVS.SRI.NAGARAJ NARAYANAN SRI.BENOJ C AUGUSTIN SRI.PRATHAP PILLAI SRI.SUNIL NAIR PALAKKAT SRI.A.S.SABU ``` ## `RESPONDENTS/RESPONDENTS:` ``` 1NOUSHAD, KIZHAKKETTU VALAPPIL HOUSE, NELLKATTIRI P.O., THIRUMILLAKODE, PALAKKAD DIST. 2P.P JAYAPRAKASH, PARTNER CORDIAL ENTERPRISES, 845, MANAVATTY COMPLEX, PALAKKAD DISTRICT. ``` ``` 3THE ORIENTAL INSURANCE CO. LTD. PRANAVAM, MELE PATTAMBI P.O., ``` M.A.C.A.No.2329/2009 -:2:- ``` PATTAMBI -06. ``` ``` BY ADVS.SRI.ALEXY AUGUSTINE SRI.GEORGE A.CHERIAN ``` ``` THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING COME UP FOR ADMISSION ON 08.02.2022, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: ``` M.A.C.A.No.2329/2009 -:3:- Dated this the 8[th] day of February,2022 ## **J U D G M E N T** The appellants were the petitioners in O.P.(MV) No.975/2005 on the file of the Motor Accidents Claims Tribunal, Ottapalam. The respondents in the appeal were the respondents before the Tribunal. 2. The appellants had filed the claim petition under Section 166 of the Motor Vehicles Act, 1988, claiming compensation on account of the death of Sajith P.V.(deceased) – the son of the appellants 1 and 2, the brother of the third appellant. It was their case that, on 10.12.2004, while the deceased was riding pillion on a motorcycle bearing registration No. KL-9-N-6013 from Pattambi to Nhangattiri, a lorry bearing registration No.KL-9-B-2097, driven by the first respondent in a negligent manner, hit the M.A.C.A.No.2329/2009 -:4:- motorcycle on which the deceased was travelling. The deceased lost his life instantaneously. He was a 17 year old Plus 2 Science student in the Gokhale Higher Secondary School. Due to his death, the appellants 1 and 2 lost the love and affection of their son and third appellant lost the love and affection of her brother. The lorry was owned by the second respondent and insured with the third respondent. Hence, the appellants claimed a compensation of Rs.10,00,000/- from the respondents. 3. The legal representatives of other deceased and an injured in the same accident, filed O.P. (MV)Nos.591/2005, 1206/2005 and 1324/2005 before the same Tribunal, against the respondents, seeking compensation. 4. The respondents 1 and 2 had filed separate M.A.C.A.No.2329/2009 -:5:- written statements in all the claim petitions denying negligence on the part of the first respondent. They contended that the accident occurred due to the negligence of the rider of the motorcycle. The respondents 1 and 2 also disputed the age, income and occupation of the deceased/injured. 5. The third respondent also had filed separate written statements in all the claim petitions refuting the pleadings in the claim petitions, especially negligence on the part of the first respondent. The third respondent reiterated the very same contentions as that of the respondents 1 and 2. 6. The Tribunal consolidated and jointly tried all the claim petitions. 7. The appellants in all the claim petitions produced and marked Exts.A1 to A22 in evidence. The M.A.C.A.No.2329/2009 -:6:- third respondent produced the insurance policy, which was marked as Ext.B1. 8. The Tribunal, after analysing the pleadings and materials on record, by its common award, allowed the captioned claim petition in part, by permitting the appellants to recover from the third respondent an amount of Rs.2,31,000/- with interest and cost. 9. Dissatisfied with the quantum of compensation awarded by the Tribunal, the petitioners are in appeal. 10. Heard; Sri. Nagaraj Narayanan, the learned counsel appearing for the appellants/petitioners and Smt. K.S. Santhi the learned counsel appearing for the third respondent-insurer. 11. The sole point that arises for consideration in M.A.C.A.No.2329/2009 -:7:- this appeal is whether the quantum of compensation awarded by the Tribunal is reasonable and just?. ## **Negligence and liability** 12. Ext.A5 chargesheet filed by the Thrithala Police in Crime No.234/2004 proves that the accident occurred due to the negligence of the first respondent. Admittedly, the second respondent was the owner and the third respondent was the insurer of the lorry. The respondents have not let in any evidence to discredit Ext.A5 chargesheet. The third respondent has also not proved that the second respondent had violated the insurance policy conditions. Therefore, the third respondent is to indemnify the liability of the second respondent arising out of the accident. ## **Loss due to disability:** 13. As per Ext.A20 admission Ticket and Ext.A22 M.A.C.A.No.2329/2009 -:8:- Secondary School Leaving Certificate, the deceased was born on 18.03.1987. Thus, on the date of accident the deceased had not complete the age of 18 years. Therefore, he was a minor at the time of the accident/death. 14. In **Kuruvan Ansari vs. Shyam Kishore Murmu and another** [2021 SCC Online SC 1060], the Honourable Supreme Court, following its earlier decision in **Kishan Gopal and another v. Lala and others –** [(2014) 1 SCC 244], has fixed the notional income of a ten year old child at Rs.30,000/- per annum and adopted the multiplier of ‘15’. 15. As the deceased was a minor, I follow the principles laid down in **Kuruvan Ansari** and **Kishan Gopal** (supra) and fix the notional annual income of the deceased at Rs.30,000/- and adopt the multiplier of M.A.C.A.No.2329/2009 -:9:- 15, which works out to **Rs.4,50,000/-.** ## **Conventional heads of compensation** 16. In paragraph 59.8 of **Pranay Sethi** (supra) it is held that the dependents of the deceased are entitled for compensation under the conventional heads viz., ‘funeral expenses’, ‘loss of estate’ and ‘loss of consortium’ at Rs.15,000/-, Rs.15,000/- and Rs.40,000/- per dependent, respectively. It is further held that the above amounts have to be enhanced by 10% every three years. 17. In **N.Jayasree vs. Cholamandalam M.S, General Insurance Co Ltd.** [2021 SCC Online SC 967] and **Rasmita Biswal and others vs. The** **Divisional Manager, National Insurance Co., Ltd and another** [2021 SCC Online SC 1193], the Hon'ble Supreme Court, for the accidents that happened in the M.A.C.A.No.2329/2009 -:10:- years 2011 and 2013, respectively, has granted 10% escalation on the conventional heads, irrespective of the dates of the accident. Thus, it is to be construed and inferred that the 10 % escalation is to be granted every three years from the date of pronouncement of the judgment in **Pranay Sethi** (supra), which was rendered on 31.10.2017, and not for accidents that occur every three years after 31.10.2017. Thus, the dependents of the deceased are, after 31.10.2020, entitled to amounts of Rs.16,500/- each under the heads 'funeral expenses' and 'loss of estate', and Rs.44,000/- under the head 'loss of consortium'. 18. In the instant case, the Tribunal has awarded an amount of Rs.5,000/under the head ‘funeral expenses’. Therefore, I award the appellants a further amount of **Rs.11,500/-** under the head ‘funeral M.A.C.A.No.2329/2009 -:11:- expenses’. I also award an amount of **Rs.16,500/-** under the head ‘loss of estate’ and an amount of **Rs.88,000/-** i.e.,Rs.44,000/- each to the appellants 1 and 2, towards ‘loss of consortium’. ## **Loss of love and affection:** 19. The Tribunal has awarded an amount of Rs.15,000/under the head 'loss of love and affection'. In **New India Assurance Co. v. Somwati** **and others** [(2020) 9 SCC 644], the Honourable Supreme Court has held that once compensation is awarded under the head 'loss of consortium', no amount shall be awarded under the head 'loss of love and affection', as it would amount to duplication of compensation. Therefore, I set aside the amount of Rs.15,000/- awarded under the head 'loss of love and affection'. M.A.C.A.No.2329/2009 -:12:- 20. With respect to the compensation awarded under the head 'transportation expenses, I find the same to be reasonable and just. 21. On a comprehensive re-appreciation of the pleadings, materials on record and the law referred to in the afore-cited precedents, I hold that the appellants/petitioners 1 and 2 are entitled for enhancement of compensation as modified and recalculated above, and given in the table below for easy reference. |Sl.No.|Head of claim|Amount<br>awarded by<br>the Tribunal<br>(in rupees)|Amounts<br>modified and<br>recalculated<br>bythis Court| |---|---|---|---| |1|Transport<br>expenses|3,000|3,000| |2|Funeral<br>expenses|5,000|16,500| |3|Loss of estate|Nil|16,500| |4|Loss of|Nil|88,000| M.A.C.A.No.2329/2009 -:13:- ||consortium||| |---|---|---|---| |5|loss of love and<br>affection|15,000|Nil| |6|Loss of<br>dependency|1,98,000|4,50,000| ||**TOTAL**|**2,21,000**<br>but awarded<br>**Rs.2,31,000**|**5,74,000**| In the result, the appeal is allowed, by enhancing the compensation by a further amount of **Rs.3,43,000/-** with interest at the rate of 6% per annum from the date of petition till the date of deposit, after deducting interest for a period of 357 days i.e., the period of delay in filing the appeal and as ordered by this Court on 28.10.2021 in C.M.Appln. No.1/2009, and proportionate costs. The third respondent is ordered to deposit the enhanced compensation with interest and cost before the Tribunal within sixty days from the date of receipt of a certified copy of the judgment. Immediately on the compensation amount being deposited, the Tribunal shall disburse the M.A.C.A.No.2329/2009 -:14:- deposited amount to the appellants 1 and 2 in equal shares and in accordance with law. ``` Sd/- ``` ## **C.S.DIAS,JUDGE** DST/08.02.22 //True copy/ P.A.To Judge