High Court of KeralaSingle JudgeAppeal allowed in part; enhanced compensation g...

M.A.C.A No.229 of 2015

Case / Petition Number:MACA No.229 of 2015

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • P.B.SURESH KUMAR
Judgment Date
2019-08-29
Court Decision / Holding
In the result, the appeal is allowed in part; the claimants are entitled to an additional compensation of Rs.3,48,528/- with interest at 7.5% on the enhanced amount. All other directions in the impugned award will stand. The claimants will be at liberty to move the Tribunal for directions regarding deposit and disbursal of the enhanced amount. The court clarifies that no interest for the enhanced compensation will accrue for the 409-day delay in filing the appeal.
Final Disposition
Appeal allowed in part; enhanced compensation granted with terms for deposit/disbursal; no interest on enhanced amount for delay period; interlocutory applications closed.

Parties to the Case

Appellants / Petitioners

  • Mrs.Mariyamma
  • Mr.Tijo Abraham
  • Mr.Timit Abraham

Respondents

  • Susanth S
  • Rajeev K.R Kunnumpurathuthoppil
  • The Divisional Manager, New India Assurance Company Limited

Legal Representation & Advocates

Counsels for Petitioners

  • • P.M. Joshi
  • • Smt.Siji K. Paul

Counsels for Respondents

  • • Mathew George Vadakkel
  • • A.A.Ziyad Rahman

Case Synopsis & Summary

This motor accident claims appeal arises from the Motor Accidents Claims Tribunal's award in OP(MV) No.94/2012 (award dated 31-08-2013) granting Rs.10,67,000 as compensation to the wife and two children of K. Abraham, who died in a motor accident on 13-08-2011. The appellants contend that the Tribunal wrongly assessed income and certain heads of compensation, resulting in an inadequacy of award. The High Court, after hearing, re-assesses the deceased’s monthly income in light of Ramachandrappa and Syed Sadiq, concluding Rs.8,000 per month as a more appropriate figure (given the absence of direct evidence) and applies the Pranay Sethi framework to compute dependency loss: three dependants, one-third deduction for personal living expenses, and 10% future prospects due to the deceased’s age (59) with a multiplier of 9. The Court also awards conventional damages for pain and suffering (Rs.25,000) and, following Pranay Sethi and subsequent precedent (including Magma General Insurance Co. Ltd. v. Nanu Ram), enhances loss of consortium (wife Rs.40,000), loss of estate (Rs.15,000) and funeral expenses (Rs.15,000) though noting some amounts in the Tribunal’s head-total were excessive. Ultimately, the appeal is allowed in part, directing an additional compensation of Rs.3,48,528 with interest at 7.5% and provision for deposit/disbursal, while denying interest for the delay period of 409 days.

Legal Doctrines & Maxims

  • Pranay Sethi principles for calculation of compensation (loss of dependency, future prospects, multiplier)
  • Ramachandrappa approach to determining deceased’s income
  • Syed Sadiq benchmarks for income of similarly placed persons
  • Magma General Insurance Co. Ltd. v. Nanu Ram as authority for awards on loss of love and affection
  • Conventional heads of compensation (pain and suffering, loss of consortium, loss of estate, funeral expenses)

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellants contended that the Tribunal erred in assessing the deceased’s income and certain heads of compensation, leading to under-compensation. Relying on Ramachandrappa and Syed Sadiq, they argued for a higher monthly income and appropriate adjustments under loss of dependency, future prospects, and other heads, in line with Pranay Sethi and subsequent judgments to reflect the facts of the case (death in 2012, incident 2011).

Contentions of Respondents

The respondents urged upholding the Tribunal’s award, contending that the Tribunal’s income and heads of compensation were correct and that the appeal should be dismissed or the award maintained.

Cited Precedents (4)

Case NameCitationTreatmentExplanation
Ramachandrappa v. Manager, Royal Sundaram Alliance Insurance Company Limited[(2011) 13 SCC 236]PositiveUsed to justify elevating the deceased’s income based on precedents for similarly placed individuals.
Syed Sadiq v. Divisional Manager, United India Insurance Co. Ltd.[(2014) 2 SCC 735]PositiveAffirmed use of benchmark incomes for similar cases to inform computation.
National Insurance Company Ltd v. Pranay Sethi[2017(4) KLT 662 (SC)]PositiveApplied for determining personal expenses deduction, future prospects, and multiplier.
Magma General Insurance Co. Ltd. v. Nanu Ram and others(2018 ACJ 2782)PositiveCited to justify enhanced awards for loss of love and affection and related heads.

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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 P.B.SURESH KUMAR** **THURSDAY, THE 29TH DAY OF AUGUST 2019 / 7TH BHADRA, 1941** ## **MACA.No.229 OF 2015** **AGAINST THE AWARD IN OP(MV)NO.94/2012 DATED 31-08-2013 OF THE ADDITIONAL MOTOR ACCIDENTS CLAIMS TRIBUNAL, KOTTAYAM** ## **APPELLANTS/PETITIONERS:** **1 MRS.MARIYAMMA, AGED 50 YEARS W/O. K.A.ABRAHAM @ THAMPI, KALATHIL HOUSE, KURICHY P.O., KOTTAYAM DISTRICT.** **2 MR.TIJO ABRAHAM, AGED 28 YEARS S/O. K.A.ABRAHAM @ THAMPI, KALATHIL HOUSE, KURICHY P.O., KOTTAYAM DISTRICT.** **3 MR.TIMIT ABRAHAM AGED 23 YEARS S/O. K.A.ABRAHAM @ THAMPI, KALATHIL HOUSE, KURICHY P.O., KOTTAYAM DISTRICT.** **BY ADVS. SRI.P.M.JOSHI SMT.SIJI K.PAUL RESPONDENTS/RESPONDENTS:** **1 MR.SUSANTH S S/O. P.K.SADASIVAN, AGED NOT KNOWN, PUTHENPARAMBIL, NEAR MAVILANGU TEMPLE, PALLOM P.O., KOTTAYAM DISTRICT - 686 007, KOTTAYAM DISTRICT.** **2 MR.RAJEEV K.R KUNNUMPURATHUTHOPPIL, NEAR HOUSING COLONY, CHANGANASSERY, CHANGANACHERY, PIN CODE - 686 535, KOTTAYAM DISTRICT.** M.A.C.A No.229 of 2015 2 - **3 THE DIVISIONAL MANAGER, NEW INDIA ASSURANCE COMPANY LIMITED, KOTTAYAM, PIN CODE - 686 001.** **R3 BY ADVS. SRI.MATHEW GEORGE VADAKKEL SRI.A.A.ZIYAD RAHMAN** **THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING BEEN FINALLY HEARD ON 29.08.2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:** M.A.C.A No.229 of 2015 3 ## **J U D G M E N T** The claimants in a proceedings for compensation before the Motor Accidents Claims Tribunal have come up in this appeal challenging the inadequacy of the quantum of compensation granted by the Tribunal. 2. One K.Abraham, aged 59 years died on 18.12.2012 on account of the injuries sustained by him in a motor accident took place on 13.8.2011. It is stated in the claim petition that he was a driver. His wife and two children were the claimants in the proceedings. A sum of Rs.29,11,000/was the claim made in the proceedings. As against the said claim, the Tribunal has granted to the claimants a sum of Rs.10,67,000/- by way of compensation. It is aggrieved by the inadequacy of the said compensation that the claimants have come up in this appeal. **==> picture [72 x 46] intentionally omitted <==** 3. Heard the learned counsel for the parties. 4. Though it is stated in the claim petition that the M.A.C.A No.229 of 2015 4 deceased was earning a sum of Rs.9,000/- per month, in the absence of supporting evidence, the Tribunal has reckoned the monthly income of the deceased only at Rs.5,000/- for the purpose of computing the compensation payable to the claimants for loss of dependency. 5. In the absence of any evidence in support of the plea as regards the income of the deceased, in the light of the decisions of the Apex Court in **Ramachandrappa** v. **Manager, Royal Sundaram Alliance Insurance Company Limited** , [(2011) 13 SCC 236] and **Syed Sadiq** v. **Divisional Manager, United India Insurance Co. Ltd.** , [(2014) 2 SCC 735], where the Apex Court has reckoned the monthly income of similarly placed persons at Rs.4,500/- and Rs.6,500/- in the context of the accidents took place in the year 2004 and 2008 respectively, I am of the view that the monthly income of the deceased in the instant case could have been certainly reckoned by the Tribunal at Rs.8,000/-, in the context of the M.A.C.A No.229 of 2015 5 accident took place in 2011. In the light of the decision of the Apex Court in **National Insurance Company Ltd v. Pranay Sethi** [2017(4) KLT 662 (SC)], as the dependants of the deceased were three in number, one third of the income has to be deducted towards personal expenses, and as the deceased was aged above 50 and below 60, 10% of the income reckoned has to be added towards future prospects for arriving at the multiplicand while computing the compensation for loss of dependency. As the deceased was aged 59, the multiplier to be applied for the said purpose is '9'. If compensation for loss of dependency is arrived at on that basis, the same would come to Rs.6,33,600/- (Rs.8000x12x2/3x110/100x9). As the Tribunal has granted only a sum of Rs.3,60,072/- towards compensation under that head, the claimants would be entitled to an additional compensation of Rs.2,73,528/-. 6. It is trite that a conventional amount has to be granted in all cases of death towards compensation for pain and M.A.C.A No.229 of 2015 6 suffering. As no amount has been granted by the Tribunal, I deem it appropriate in the facts and circumstances in the case to grant to the claimants Rs.25,000/- by way of compensation under that head. 7. In the light of the decision of the Apex Court in **Pranay Sethi** , and having regard to the fact that the accident in the instant case is one that took place in the year 2011, I am of the view that the Tribunal should have granted Rs.40,000/- to the wife of the deceased towards compensation for loss of consortium. Similarly, in the light of the said decision, the Tribunal should have granted to the claimants Rs.15,000/towards compensation for loss of estate and Rs.15,000/towards funeral expenses. The Tribunal has granted only a sum of Rs.75,000/- under those heads. Rs.5,000/- granted under the said heads is therefore excessive. 8. Coming to the compensation for loss of love and affection, in the light of the decision of the Apex Court in M.A.C.A No.229 of 2015 7 **Magma General Insurance Co. Ltd.** v. **Nanu Ram and others** (2018 ACJ 2782) and having regard to the fact that the accident in the instant case is one that took place in the year 2011, I am of the view that the children of the deceased are entitled to a sum of Rs.40,000/- each. As the claimants were granted only a sum of Rs.25,000/- under that head, they are entitled to a sum of Rs.55,000/- by way of additional compensation. 9. The compensation granted by the Tribunal under the remaining heads appear to be in order. 10. In short, the claimants are entitled to Rs.3,48,528/- by way of additional compensation. In the result, the appeal is allowed granting to the claimants a sum of Rs.3,48,528/- by way of additional compensation. Needless to say, the claimants will be entitled to interest for the additional compensation at the rate of 7.5%. It is clarified that all other directions contained in the impugned M.A.C.A No.229 of 2015 8 award will stand. The parties will be at liberty to move the Tribunal for directions as regards deposit of the additional amount of compensation granted and for the disbursal thereof. It is made clear that the claimants will not be entitled to interest for the additional compensation granted for the period of delay in filing appeal, viz, 409 days, as ordered by this court. All interlocutory applications in the appeal are closed. **Sd/P.B.SURESH KUMAR, JUDGE** DK