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

Menaka w/o late Ravi and Lakshmi T.R and Vishnu Ravi (minor) through mother Menaka v. A. D. Aby, Managing Partner, Sakthi Metals; P. V. Shaju; Oriental Insurance Co. Ltd.

Case / Petition Number:M.A.C.A No.2710 of 2012

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • A. Badharudeen
Judgment Date
2021-10-26
Court Decision / Holding
Appeal allowed in part. The monthly income was fixed at Rs. 7,000 (instead of Rs. 5,000 as initially fixed) with a 40% addition for future prospects, yielding Rs. 9,800 per month. Calculations using 9,800 x 12 x 15 x 2/3 produced Rs. 11,76,000. Of this, Rs. 6,00,000 was already granted by the Tribunal; an additional Rs. 5,76,000 was awarded under the head ‘loss of dependency’. Funeral expenses and loss of estate were recalibrated to Rs. 15,000 each, and loss of consortium was adjusted to Rs. 1,15,000 more (total). Pain and suffering awards were reduced in light of Satinder Kaur. The aggregate compensation amounted to Rs. 13,52,436, in addition to the Tribunal’s Rs. 6,48,436, and the Insurance Company was directed to deposit the balance amount within two months. The Insurance Company was also directed to bear the enhanced amount with interest from the date of petition until realization.
Final Disposition
Appeal allowed in part; enhanced compensation and directions issued for deposit/payment of the enhanced sums.

Parties to the Case

Appellants / Petitioners

  • Menaka w/o late Ravi
  • Lakshmi T.R
  • Vishnu Ravi (minor), represented by guardian Menaka

Respondents

  • A.D. Aby, Managing Partner, Sakthi Metals
  • P.V. Shaju
  • The Oriental Insurance Co. Ltd.

Legal Representation & Advocates

Counsels for Petitioners

  • • Sri. P. V. Baby
  • • Sri. A. N. Santhosh

Counsels for Respondents

  • • Sri. P. Jacob Mathew
  • • Sri. Mathews Jacob

Case Synopsis & Summary

This is a Motor Accidents Claims Appeal (MACA No. 2710 of 2012) from the Kerala High Court challenging the Motor Accidents Claims Tribunal, Irinjalakuda’s award dated 24 September 2012 in O.P.(MV) No.666/2006. The accident occurred on 20 May 2006 involving a vehicle registered KL-08-P-576. The petitioners, legal representatives of the deceased head-load worker, sought Rs. 10,00,000 as compensation, arguing the deceased’s monthly income was Rs. 10,000 (with Ext. A7 series by PW2 suggesting Rs. 11,000). The Tribunal fixed Rs. 5,000 per month, prompting the appellants to press for Rs. 10,000. The Insurance Company countered that PW2 was an interested witness and urged reliance on Ramachandrappa v. Manager, Royal Sundaram Alliance Insurance Co. Ltd. (2011) 13 SCC 236, fixing income at Rs. 5,500. The court ultimately found the income fluctuated for a head-load worker, holding Rs. 7,000 per month as base with a 40% addition for future prospects per Pranay Sethi, yielding Rs. 9,800 per month. Applying the 2/3 share and the multiplier (12 months × 15 years), it calculated Rs. 11,76,000 for dependency, with Rs. 6,00,000 already awarded by the Tribunal and Rs. 5,76,000 added. Additional heads (funeral, loss of estate, and loss of consortium) were recalibrated, while pain and suffering was reduced in light of Satinder Kaur. The result: total compensation of Rs. 13,52,436. The appeal was allowed in part with enhanced compensation and directions for deposit and payment of the balance to the appellants.

Legal Doctrines & Maxims

  • 40% addition for future prospects (National Insurance Co. Ltd. v. Pranay Sethi, (2017) 16 SCC 680)
  • Income estimation in head-load work cases (Ramachandrappa v. Manager, Royal Sundaram Alliance Insurance Company Ltd., (2011) 13 SCC 236)
  • Pain and suffering standards (United India Insurance Co. Ltd v. Satinder Kaur and others, 2020 (3) KHC 760)

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellants argued that the deceased‘s stable income as a head-load worker should be taken as Rs. 10,000 per month, supported by Ext. A7 series showing an average of Rs. 11,000 per month. They contended that the Tribunal erred in accepting only Rs. 5,000 per month and insisted on Rs. 10,000 as monthly income. Citing Ramachandrappa, they asserted that the income of such casual workers can be reasonably determined, and that Ext. A7 evidence, though contested, reflects the deceased’s actual earnings. They pressed for higher compensation by applying the Pranay Sethi framework (40% future prospects) and by addressing other heads (funeral expenses, loss of estate, loss of consortium) to reflect true losses. The aim was to secure Rs. 10,00,000 plus appropriate enhancements to arrive at a total compensation closer to the claimed amount.

Contentions of Respondents

The respondents argued that PW2, as President of the Head Load Workers’ Association, was an interested witness and that Ext. A7’s figures could not be fully credited. They urged adherence to Ramachandrappa’s approach resulting in a monthly income of Rs. 5,500. They asserted the deceased’s job was not permanent and income varied; hence the Tribunal’s figure was not arbitrary but justified. They challenged reliance on Ext. A7 and urged that future prospects should be applied within reasonable limits, with the primary focus on stabilizing the base income and applying the standard 15-year multiplier within the 2/3 dependency framework. They also argued against excessive enhancement for pain and suffering, following other precedents.

Cited Precedents (3)

Case NameCitationTreatmentExplanation
Ramachandrappa v. Manager, Royal Sundaram Alliance Insurance Company Ltd.(2011) 13 SCC 236PositiveCourt relied on Ramachandrappa for fixing the income base of the deceased head-load worker (Rs. 5,500) and in evaluating non-fixed, fluctuating earnings.
National Insurance Company Ltd. v. Pranay Sethi(2017) 16 SCC 680PositiveCourt applied the 40% addition for future prospects per Pranay Sethi in computing the compensation.
United India Insurance Co. Ltd v. Satinder Kaur and others2020 (3) KHC 760PositiveCourt used this decision to justify limiting or reducing pain and suffering awards.

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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 A. BADHARUDEEN** **TUESDAY, THE 26[TH] DAY OF OCTOBER 2021 / 4TH KARTHIKA, 1943 MACA NO. 2710 OF 2012** **AGAINST THE ORDER/JUDGMENT IN O.P(MV)No.666/2006 OF MOTOR ACCIDENT CLAIMS TRIBUNAL, IRINJALAKUDA, THRISSUR** ## **APPELLANTS/PETITIONERS:** 1 MENAKA W/O.LATE RAVI, THUPRAN HOUSE,KUTTICHIRA DESOM, VILLAGE AND P.O, MUKUNDAPURAM TALUK, THRISSUR DISTRICT. 2 LAKSHMI.T.R AGED 19 YEARS D/O. D/O.LATE RAVI,-DO- , -DO3 VISHNU RAVI AGED 17 YEARS S/O.LATE RAVI,-DO- -DO-, MINOR REPRESENTED BY NEXT FRIEND AND GUARDIAN MOTHER,MENAKA. BY ADVS. SRI.P.V.BABY SRI.A.N.SANTHOSH ## **RESPONDENTS/RESPONDENTS:** 1 A.D.ABY MANAGING PARTNER, SAKTHI METALS, ALOOR.P.O,PIN-680683. 2 P.V.SHAJU S/O.VELAYUDHAN, PUTHIYEDAN HOUSE, PARIYARAM.P.O,MUKUNDAPURAM TALUK,PIN-686021. 3 THE ORIENTAL INSURANCE CO.LTD CHALAKKUDY-680307. BY ADVS. SRI.P.JACOB MATHEW SRI.MATHEWS JACOB, SR. THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING COME UP FOR ADMISSION ON 26.10.2021, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: **M.A.C.A No.2710 of 2012** 2 ## **JUDGMENT** The award dated 24.09.2012 in O.P.(MV) No.666/2006 on the file of the Motor Accidents Claims Tribunal, Irinjalakuda, is under challenge at the instance of petitioners 1 to 3 before the Tribunal. Originally there were 5 petitioners out of which, petitioners 4 and 5 are no more. 2. The respondents herein are the owner, driver and insurer of the vehicle bearing registration no.KL-08-P-576 alleged to be driven by the 2[nd] respondent in a rash and negligent manner on 20.05.2006 at about 7 A.M. 3. The petitioners being legal representatives claimed Rs.10,00,000/- as compensation. The Tribunal examined PWs 1 and 2 and marked Ext.A1 to A7 on the part of petitioners and Ext.B1 marked on the side of ## **M.A.C.A No.2710 of 2012** 3 respondents. On appraisal of the evidence, the Tribunal granted Rs.6,48,436/-. The above award is under challenge. 4. It is argued by the learned counsel for the appellants that the appellants claimed income of the deceased at Rs.10,000/- per month as head load worker in Railway Goods Shed, Alwaye. He submitted further that Ext.A7 series documents produced by examining PW2 categorically established the income at Rs.11,000/- per month. However, the Tribunal fixed Rs.5,000/- alone as the monthly income, eschewing evidence of PW2 and A7 series. The learned counsel for the appellants pressed to fix the monthly income at Rs.10,000/-. 5. Per contra, the learned counsel for the Insurance Company urged that, the evidence of PW2, who is the President of Head Load Workers' Association, who issued Ext.A7 series showing the average income of the deceased as ## **M.A.C.A No.2710 of 2012** 4 Rs.11,000/- per month to support the appellants' case, as such cannot be given emphasis to fix the monthly income at Rs.10,000/- claimed by the appellants, as PW2 is an interested witness. According to the learned counsel for the Insurance Company, following the ratio in _**Ramachandrappa v. Manager, Royal Sundaram Alliance Insurance**_ _**Company Ltd.**_ : **(2011) 13 SCC 236** , the monthly income of the deceased can be fixed at Rs.5,500/-. 6. The crucial question herein is whether the appellants are entitled to get compensation by fixing Rs.10,000/- as monthly income of the deceased, who was a head load worker. First of all, it has to be observed that the monthly income of the deceased was stated as Rs.10,000/- in the petition. But PW2, the President of the Head Load Workers' Association in Alwaye Railway Goods Shed, who ## **M.A.C.A No.2710 of 2012** ## 5 issued Ext.A7 series, had deposed by supporting Ext.A7 that the average income of the deceased was Rs.11,000/-. Some calculations for each month varying between Rs.5,000/- to Rs.15,000/- could be gathered from Ext.A7 series. That itself would show that the income of the deceased from loading and unloading works was not stable and the income had been fluctuating in every month. That apart, it is not a permanent job also. It is interesting to note that when a person doing the job of head load worker, cannot produce exact evidence to prove his monthly income. Therefore, some credence to be given to the evidence of PW2 as well as Ext.A7 series, taking note of the fact that the deceased proved to be a head load worker in Railway Goods Shed at the time of accident as borne out from Ext.A7 series. However, the income stated in Ext.A7 series issued by PW2 ## **M.A.C.A No.2710 of 2012** 6 as such cannot be taken into consideration. Therefore, I am of the view that, considering the nature of the deceased as a person having head loading work in Railway Goods Shed at Alwaye, the income fixed by the Tribunal as Rs.5,000/- is to be modified. Thus the income of the deceased in this case can be fixed at Rs.7,000/- per month. Apart from that, 40% addition as per the ratio in _**National Insurance Company Ltd. v. Pranay Sethi :**_ **(2017) 16 SCC 680** , also to be taken into consideration. Thus, the same is recalculated as; 7,000+40% = 9,800x12x15x⅔ = 11,76,000/-. Out of which, Rs.6,00,000/- was granted by the Tribunal and the remaining viz., Rs.5,76,000/- more is granted under the head 'loss of dependency'. 7. Coming to the other heads also, the ## **M.A.C.A No.2710 of 2012** 7 compensation granted by the Tribunal is on lower side. Towards, 'funeral expenses', only Rs.2,000/- is granted by the Tribunal though the appellants are entitled to Rs.15,000/-. Similarly, towards 'loss of estate' also, Rs.5,000/- alone was granted though the petitioners entitled to get Rs.15,000/-. Thus, Rs.23,000/- is more granted under the heads 'funeral expenses' and 'loss of estate' following the ratio in _**Pranay Sethi's**_ case (supra). Coming to 'loss of consortium', the Tribunal granted only Rs.5,000/- though the petitioners together are entitled to get Rs.1,20,000/- @ Rs.40,000/- each, by following the ratio in _**Pranay Sethi's**_ case (supra). Thus, Rs.1,15,000/- more is granted under this head. Coming to 'pain and suffering', Rs.10,000/- was granted by the Tribunal and it cannot be granted in view of the decision in _**United India Insurance Co. Ltd v. Satinder**_ ## **M.A.C.A No.2710 of 2012** 8 _**Kaur**_ **@ Satwinder Kaur and others : 2020 (3)** **KHC 760.** Thus, Rs.10,000/- granted under the said head is reduced. Therefore, the appellants are entitled to get Rs.7,04,000/more as compensation in addition to the amount of Rs.6,48,436/- granted by the Tribunal. Thus the total amount of compensation would be 7,04,000 + 6,48,436 = 13,52,436/-. 8. In the result, this appeal is allowed in part. It is held that the appellants are entitled to get Rs.13,52,436/- as compensation out of which Rs.6,48,436/- was granted by the Tribunal and the balance amount of Rs.7,04,000/- is granted as enhanced compensation with the same rate of interest awarded by the Tribunal payable by the 3[rd] respondent Insurance Company from the date of petition till the date of deposit or realisation. 9. The appellants valued the claim at ## **M.A.C.A No.2710 of 2012** 9 Rs.10,00,000/- and court fee payable is calculated as Rs.9,373/-. In view of grant of Rs.7,04,000/- in excess of the claim, the appellants are bound to deposit Rs.7,040/- as additional court fee. The Insurance Company is directed to deposit Rs.7,040/- as additional court fee by a separate cheque in favour of M.A.C.T. The remaining amount shall be deposited in the name of appellants in the proportion fixed by the Tribunal within two months. On deposit, the appellants are entitled to release the same. Sd/- ## **A.BADHARUDEEN, JUDGE.** ww