High Court of KeralaSingle JudgeAppeal dismissed; award upheld and no interfere...

Managing Director, Tamil Nadu State Transport Corporation v Sahaya Leenus, Kanakaraj, P.K. Srinivasan and The Divisional Manager, National Insurance Company

Case / Petition Number:MACA NO. 1462 OF 2012

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • C.S.Dias
Judgment Date
2021-06-22
Court Decision / Holding
The appeal is dismissed; the Tribunal’s quantum of Rs. 6,86,622 with 9% interest and the 22% disability finding are upheld; no interference with the award is warranted.
Final Disposition
Appeal dismissed; award upheld and no interference with the MACT award.

Parties to the Case

Appellants / Petitioners

  • Managing Director, Tamil Nadu State Transport Corporation, Madurai Division III, Nagercoil

Respondents

  • Sahaya Leenus S/O Joseph
  • Kanakaraj S/O Swaminathan
  • P.K. Srinivasan
  • Divisional Manager, National Insurance Company

Legal Representation & Advocates

Counsels for Petitioners

  • • Sri Subhash Cyriac

Counsels for Respondents

  • • Sri L. Mohanan
  • • Sri/Smt. Sarah Salv y
  • • Sri Rajesh Thomas

Case Synopsis & Summary

This is a motor accident claims appeal arising from a Mahindra Motor Accident Claims Tribunal (MACT) award in favor of the claimant for injuries sustained when a state bus collided with his motorcycle on the Thakkala-Marthandam road on 19 January 2005. The Tribunal in Neyyattinkara awarded Rs. 6,86,622 with 9% interest per annum, despite the petitioner initially claiming Rs. 11,98,500. The appellant, as the 1st respondent in the MACT petition, challenged the quantum arguing that the permanent disability was fixed at 22% largely on the basis of Ext. A5 disability certificate, and that the disability should not be fixed mechanically without cross-examining the certifying doctor. The respondents-claimant and the insurer argued that the Tribunal recorded reasons for the disability assessment—limp, limited arm mobility and surgical scars—and that the multiplier of compensation along with medical expenses were justified. The High Court referred to Rajkumar v. Ajaykumar to caution against relying solely on disability certificates, but upheld the Tribunal’s conclusion that the 22% disability and the compensation awarded were reasonable, within Section 168 of the Motor Vehicles Act’s just compensation framework established by Pranay Sethi. The appeal is dismissed, leaving the Tribunal’s award intact.

Provisions of Law Cited

Section 168 of the Motor Vehicles Act, 1988

Legal Doctrines & Maxims

  • Just compensation principle
  • Fairness, reasonableness, and equitability in determining compensation (Pranay Sethi)
  • Tribunal should not mechanically apply the percentage of permanent disability (Rajkumar v. Ajaykumar)
  • Non-violation of the principle of equitability (Pranay Sethi)

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellant contends that the Tribunal erred by fixing the petitioner’s permanent disability at 22% primarily on the Ext. A5 disability certificate without requiring examination of the certifying doctor. It is argued that disability certificates cannot be dispositive proof of disability and the Tribunal should not mechanically apply a fixed percentage; cross-examination of the physician is necessary to test credibility and to avoid over- or under-estimation of the disability. The appellant also asserts that the quantum of compensation under various heads is exorbitant and warrants reassessment, emphasizing that the injury gravity, expected loss of earning capacity, and medical expenditure should be considered with due process under Section 168. The counsel relies on Rajkumar v. Ajaykumar to challenge certificate-based disability fixation and urges stringent scrutiny of disability evidence.

Contentions of Respondents

The respondents contend that the Tribunal meticulously observed the petitioner’s injuries and observed limping, inability to raise the right hand, and long surgical scars corroborated by Ext. A5, which justified a 22% permanent disability. They submit that the Tribunal provided reasons in paragraph 12 for fixing disability, and the award falls within the reasonable and just compensation framework under Section 168. They argue that the 9% interest, medical expenses, and other heads were properly calculated in light of the evidence and the financial status of the claimant, who earned about Rs. 4,000 per month in 2005.

Cited Precedents (2)

Case NameCitationTreatmentExplanation
Rajkumar v. Ajaykumar2011 (1) KLT 620 SCMentioned OnlyCited to note that mere disability certificates can’t automatically fix disability; however, the court did not depart from relying on Ext. A5 supported by clinical findings.
National Insurance Co. Ltd. v. Pranay Sethi(2017) 16 SCC 680PositiveUsed to anchor the concept of 'just compensation' and the fairness, reasonableness, and equitableness guiding award of compensation under the Motor Vehicles Act.

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Extracted Judgment Text

Exact text extracted from official judgment records.

**MACA NO. 1462 OF 2012** **1** ## **IN THE HIGH COURT OF KERALA AT ERNAKULAM** ## **PRESENT** **THE HONOURABLE MR.JUSTICE C.S.DIAS** **TUESDAY, THE 22[ND] DAY OF JUNE 2021 / 1ST ASHADHA, 1943** **MACA NO. 1462 OF 2012** **AGAINST THE ORDER/JUDGMENT IN OPMV 817/2005 OF MOTOR ACCIDENT CLAIMS** **TRIBUNAL ,NEYYATTINKARA, THIRUVANANTHAPURAM** ## **APPELLANT/RESPONDENT:** THE MANAGING DIRECTOR, TAMIL NADU STATE TRANSPORT CORPORATION TAMIL NADU STATE TRANSPORT CORPORATION,MADURAIDIVISION III,NAGERCOIL. BY ADV SRI.SUBHASH CYRIAC ## **RESPONDENTS/APPLICANT & RESPONDENTS 2 TO 4:** 1 SAHAYA LEENUS S/O.JOSEPH,ASWATHI,MANALIVILA VEEDU,KOZHIVILA,PARASSALA.P.O,PIN-695502. 2 KANAKARAJ S/O.SWAMINATHAN,VAZHATHAVILA VEEDU,NATTALAM.P.O,MARTHANDUM,PIN-695502. 3 P.K.SRINIVASAN, S/O.PALAYAM,VILAVANVILAI,KANYAKUMARI DISTRICT,PIN-629152. 4 THE DIVISIONAL MANAGER NATIONAL INSURANCE COMPANY,GANDHRIX AMMAN COIL ROAD,THIRUVANANTHAPURAM-695001. BY ADVS. SRI.L.MOHANAN SMT.SARAH SALVY SRI.RAJESH THOMAS THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING COME UP FOR ADMISSION ON 22.06.2021, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: **MACA NO. 1462 OF 2012** **2** ## **JUDGMENT** The 1[st] respondent in O.P (MV) No.817/2005 on the file of the Motor Accident Claims Tribunal, Neyyattinkara is the appellant. The claimant and the respondents 2 to 4 in the claim petition are the respondents in the appeal. The parties are, for the sake of convenience, referred to as per their status in the claim petition. 2. The facts in the claim petition, relevant for the determination of the appeal, are: on 19.1.2005 while the petitioner was riding his motor cycle bearing Reg.No. TN 74 -W 5218 along the Thakkala-Marthandam Pubic Road, while he reached Kalluvila junction, a bus bearing Reg. No. TN.074/0610 (offending vehicle) driven by the 2[nd] respondent in a rash and negligent manner came from the opposite direction and hit the motorcycle of the petitioner. The petitioner was thrown on the road and he sustained multiple abrasions, wounds and swellings on his right AC joint, commuted fracture right scapula, mid shaft of femur, **MACA NO. 1462 OF 2012** **3** separation of pubic symphysis and tibial attachment. The petitioner was treated at the Krishnakumar Orthopaedics Hospital, Nagercoil. The petitioner was aged 33 years at the time of accident. He was doing Motor oil business earning a monthly income of Rs.4,000/-. The offending vehicle was owned by the 1[st] respondent and was driven by the 2[nd] respondent. The 3[rd] respondent was the owner of the motorcycle and the 4[th] respondent was the insurer of the motorcycle. The accident occurred solely due to the rash and negligent driving of the 2[nd] respondent. Hence, the respondents 1 and 2 were jointly and severally liable to pay compensation to the petitioner, which he quantified at Rs.11,98,500/-, but restricted to Rs.10,00,000/-. 3. The respondents 3 and 4 did not contest the proceedings. The respondents 1 and 2 had filed a joint written statement, inter alia, contending that the amount of compensation claimed was excessive and exorbitant. The 2[nd] respondent drove the offending vehicle in a careful manner obeying the traffic rules. The accident occurred due to the negligence on the part of the petitioner. **MACA NO. 1462 OF 2012** **4** 4. The petitioner produced and marked Exts.A1 to A8 series in evidence. The petitioner presented himself before the Tribunal and the Tribunal took note of the injuries sustained by him. 5. The Tribunal, after considering the pleadings and materials on record and after evaluating the injuries of the petitioner, by the impugned award, allowed the claim petition, in part, by directing the 1[st] respondent to pay an amount of Rs.6,86,622/- with interest at the rate of 9% per annum from 5.5.2005 till the date of realisation. 6. Aggrieved by the quantum of compensation awarded by the Tribunal, the 1[st] respondent is in appeal. 7. Heard the learned counsel appearing for the appellant, the learned counsel appearing for the 1[st] respondent and the learned counsel appearing for the 4[th] respondent--Insurance Company. 8. The question that emerges for consideration in the appeal is whether the impugned award passed by the Tribunal is erroneous or not? 9. The learned counsel appearing for the appellant argued that the Tribunal has gone wrong in fixing the **MACA NO. 1462 OF 2012** **5** disability of the petitioner based on Ext.A5 disability certificate. According to him, the petitioner ought to have examined the author of Ext.A5 certificate. In view of nonexamination of the Doctor who issued Ext.A5, the fixing of disability of the petitioner at 22% is erroneous and liable to be set aside. Similarly, the quantum of compensation awarded under the different heads is also excessive. 10. Per contra, the learned counsel appearing for the 1[st] respondent/petitioner argued that the Tribunal has given specific reasons for fixing the disability of the petitioner. In fact, the Tribunal in paragraph 12 of the impugned award has stated reasons for fixing the disability of the petitioner. The petitioner was directed to be present before the Tribunal on 3.2.2011. It was found that the petitioner was limping and that he was unable to raise his right hand. Similarly, long surgical scars were seen on his right shoulder, rear and lateral sides on the right upper leg and right hip. He also complained to the Tribunal that he is suffereing from severe pain at the hip area and he was unable to do any work. The petitioner bore a weary and unhealthy look. It was in such circumstances that the **MACA NO. 1462 OF 2012** **6** Tribunal fixed the permanent residual disability of the petitioner at 22%. 11. It is true that the Hon'ble Supreme Court in **Rajkumar v. Ajaykumar** [2011 (1) KLT 620 SC] has held that the mere production of the disability certificate is not sufficient to prove the disability of an injured and that the Tribunal should not mechanically apply the percentage of permanent disability. 12. The petitioner had produced Ext.A5 disability certificate and the Tribunal had taken judicial notice of the disabilities of the petitioner and found that he had limped while he was walking and that he was unable to raise his right hand. Likewise, he had surgical scars all across his body and he had severe pain on his hip area. It was in the said peculiar and facts and circumstances that the Tribunal arrived at a conclusion and fixed the permanent residual disability of the petitioner at 22%. This fact finding exercise carried out by the Tribunal as an expert, cannot be found fault with especially when corroborated with Ext.A5 disability certificate. Therefore, I am of the considered opinion that the contention that the Doctor who **MACA NO. 1462 OF 2012** **7** issued Ext.A5 had to be examined for assessing the disability of the petitioner is unsustainable in law. The method adopted by the Tribunal especially after taking note of the serious injuries of the petitioner and fixing the disability of the petitioner at 22% is only reasonable and in accordance with law. Hence, I accept the findings of the Tribunal with regard to the disability of the petitioner at 22%. 13. A Constitution Bench of the Hon'ble Supreme Court in **National Insurance Company Ltd. v. Pranay Sethi [(2017) 16 SCC 680],** has held that Section 168 of the Motor Vehicles Act, 1988, deals with the concept of 'just compensation' and the same has to be determined on the foundation of fairness, reasonableness and equitability on acceptable legal standards. The conception of 'just compensation' has to be viewed through the prism of fairness, reasonableness and non-violation of the principle of equitability. 14. Going by the fact that the petitioner was doing motor oil business and getting a monthly income of Rs.4,000/- in the year 2005, I find that the quantum of **MACA NO. 1462 OF 2012** **8** compensation awarded by the Tribunal under the various heads to be reasonable and just. 15. It is also to be noted that the petitioner had incurred an amount of Rs.4,66,702/- for his medical treatment. Accordingly, the Tribunal awarded consequential amounts under different heads. 16. On an overall re-appreciation of the pleadings, materials on record and after hearing the respective counsel on both the parties and also taking note of the fact that the Tribunal had evaluated the disability and the graveness of the injuries sustained by the petitioner, I do not find any error in the impugned award warranting any interference by this Court in exercise of its appellate jurisdiction. In the result, the appeal is dismissed. Sd/- **C.S.DIAS, JUDGE** ma/23.06.2021 /True copy/