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

Sreevidhya and others v. K.P. Jose and The New India Insurance Co. Ltd.

Case / Petition Number:MACA.No.1400 of 2010 (C)

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • S. Siri Jagan
  • K. Ramakrishnan
Judgment Date
2013-11-06
Court Decision / Holding
With the above modification of the Tribunal’s award, the MACA is disposed of. The court enhanced the monthly income to ₹4,000, reduced personal expenses deduction to ¼, and adopted a 16-year multiplier for a 32-year-old, resulting in higher compensation for dependency (₹5,76,000). Pain and suffering were increased to ₹10,000; love and affection for appellants 2–4 raised to ₹25,000; loss of consortium increased to ₹60,000. An additional ₹2,14,000 was awarded with 9% interest from the petition date, to be deposited within two months, and distributed between the first appellant and the fourth appellant, with the latter’s share deposited in a nationalized bank for the minor’s benefit. The first appellant may withdraw interest for the minor’s benefit.
Final Disposition
Appeal partly allowed; enhanced compensation with modified calculations and directions for deposit within two months; distribution of enhanced amount among appellants and minor.

Parties to the Case

Appellants / Petitioners

  • Sreevidhya
  • Balakrishna Pillai
  • Devaki
  • Pavithra @ Veni

Respondents

  • K.P. Jose
  • The New India Insurance Co. Ltd.

Legal Representation & Advocates

Counsels for Petitioners

  • • T. C. Suresh Menon

Counsels for Respondents

  • • S. K. M. Sherif
  • • Lal K. Joseph
  • • A. A. Ziyad Rahman
  • • A. C. Devy
  • • John Joseph Vettikkad
  • • K. B. Ramanand
  • • R. Ajith Kumar Varma
  • • A. R. George
  • • M. A. George
  • • George Cherian (Thiruvalla)
  • • Mathews Jacob (Sr.)

Case Synopsis & Summary

The deceased Venugopalan, aged 32, died in a motor vehicle accident on 17.04.2005 caused by the negligence of a vehicle owned by the first respondent and insured with the second respondent. His wife, father, mother and the minor children approached the Motor Accidents Claims Tribunal, Thrissur, under OP(MV) 1551/2005 for compensation for his death. The Tribunal awarded a total of ₹4,72,000 across heads including loss of dependency, love and affection, pain and suffering, transportation and funeral expenses, loss of estate and loss of consortium. The appellants challenged the quantum, contending that Venugopalan’s income was not ₹3,000 but ₹6,000 per month (supported by Ext. A-10 salary certificate), and that the income should be computed with future prospects. They argued the deduction for personal expenses should be ¼ for four dependants, not 1/3, and that compensation for love and affection, pain and suffering, and loss of consortium was too low. The High Court corrected these points by applying the Supreme Court doctrine in Sarla Varma v. Delhi Transport Corporation, increasing income to ₹4,000 per month, adopting a 16-year multiplier (instead of 18) for a 32-year-old, and adjusting several heads. The court awarded an additional ₹2,14,000 with 9% interest, directing deposit within two months and distributing the amount between the first appellant and the minor. The appeal was disposed of with modified compensation.

Legal Doctrines & Maxims

  • Sarla Varma v. Delhi Transport Corporation (2010(2) KLT 802 (SC)) – multiplier and future prospects doctrine for assessment of compensation

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellants contended that the deceased was a 32-year-old bar-tender earning about ₹6,000 per month (Ext.A-10). The Tribunal erred in relying on a reduced notional income of ₹3,000 and ought to have considered future prospects. With four dependants, the deduction for personal expenses should be ¼ rather than 1/3. They sought enhancement in all heads—dependency, love and affection, pain and suffering, loss of estate, and loss of consortium—citing the extended impact on the family, including a minor child. They also urged applying the Supreme Court’s multiplier rules (Sarla Varma) and awarding interest on the enhanced amount.

Contentions of Respondents

The respondents’ counsel argued for sustaining the Tribunal’s award and its quantum. They supported the fixation of notional income and the deductions as appropriate and contended there was no basis to substantially alter the award, given the evidence and the Tribunal’s findings. They urged maintaining the stability of the impugned award and resisting excessive enhancements.

Cited Precedents (1)

Case NameCitationTreatmentExplanation
Sarla Varma v. Delhi Transport Corporation2010(2) KLT 802 (SC)PositiveUsed to justify higher income (with future prospects) and the 16-year multiplier for a 32-year-old, affecting the calculation of dependency and total compensation.

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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 S.SIRI JAGAN & THE HONOURABLE MR. JUSTICE K.RAMAKRISHNAN** **WEDNESDAY, THE 6TH DAY OF NOVEMBER 2013/15TH KARTHIKA, 1935** **MACA.No. 1400 of 2010 (C)** **--------------------------** ## **IN OP(MV) 1551/2005 OF MOTOR ACCIDENTS CLAIMS TRIBUNAL, THRISSUR** ## **PETITIONERS:** **1. SREEVIDHYA, W/O.LATE VENUGOPALAN,MALLIAKKAL HOUSE, MANNUTHY, THRISSUR DISTRICT.** **2. BALAKRISHNA PILLAI, AGED 61, S/O.NARAYANA PILLAI, MALLIAKKAL HOUSE, RAJEEV NAGAR, PATTALAKKUNU, MANNUTHY, THRISSUR DISTRICT.** **3. DEVAKI, AGED 54, W/O.BALAKRISHNA PILLAI, MALLIAKKAL HOUSE, RAJEEV NAGAR, PATTALAKKUNU, MANNUTHY, THRISSUR DISTRICT.** **4. PAVITHRA @ VENI, D/O.LATE VENUGOPALAN, RESIDING MALLIAKKAL HOUSE, RAJEEV NAGAR, PATTALAKKUNU MANNUTHY, THRISSUR DISTRICT.** **BY ADV. SRI.T.C.SURESH MENON.** **RESPONDENTS:** **1. K.P.JOSE, S/O. POULOSE, KOTTAKKLA HOUSE, MARKET ROAD, ARANATTUKARA, THRISSUR DISTRICT.** **2. THE NEW INDIA INSURANCE CO.LTD.,** - **KOLLANNUR DEVASSY BUILDING, PALACE ROAD, THRISSUR.** **R2 BY ADV. SRI.KKM.SHERIF R2 BY ADV. SRI.LAL K.JOSEPH R2 BY ADV. SRI.A.A.ZIYAD RAHMAN R2 BY ADV. SRI.A.C.DEVY R BY SRI.JOHN JOSEPH VETTIKKAD R BY SRI.K.B.RAMANAND R BY SRI.R.AJITH KUMAR VARMA R BY SRI.A.R.GEORGE R BY SRI.M.A.GEORGE R BY SRI.GEORGE CHERIAN (THIRUVALLA) R BY SRI.MATHEWS JACOB (SR.)** **THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING BEEN FINALLY HEARD ON 06-11-2013, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:** **rvs/** ## **S.SIRI JAGAN & K.RAMAKRISHNAN, JJ.** --------------------------------------------------------------M.A.C.A. No.1400 of 2010 --------------------------------------------------------------Dated this, the 6[th] day of November 2013 ## Judgment Siri Jagan, J. The wife, father, mother and minor children of deceased Venugopalan, are the appellants in this appeal. Venugopalan died in an accident on 17.04.2005, caused by the negligent driving of a vehicle, owned by the first respondent and insured with the 2[nd] respondent. The appellants filed OP(MV) No.1551/05 before the Motor Accidents Claims Tribunal, Thrissur, claiming compensation for the death of their breadwinner. The Tribunal, after finding negligence on the part of the driver of the vehicle, awarded compensation under various heads as follows : MACA No.1400/10 2 |**_Head_**|**_Amount ₹_**| |---|---| |**_Loss of contribution &_**<br>**_dependency_**|**_432,000.00_**| |**_Loss of love and affection_**|**_10,000.00_**| |**_Pain and sufferings_**|**_5,000.00_**| |**_Transportation &_**<br>**_funeral expenses_**|**_5,000.00_**| |**_Loss of estate_**|**_10,000.00_**| |**_Loss of consortium_**|**_10,000.00_**| |**_Total_**|**472,000.00**| Dissatisfied with the quantum of compensation awarded by the Tribunal, the appellants have filed this appeal, seeking enhanced compensation. 2. The appellants point out that the accident was on 17.04.2005 and the deceased was a 32 year old bar-tender, who was earning Rs.6,000/- per month as income. In order to prove the income and avocation, the appellants had produced Ext.A10 salary certificate, issued by his employer. But, the Tribunal refused to rely on the same and fixed a notional income of Rs.3,000/-, which is on the lower side, is the contention raised by the appellants. The second contention is that since there were four dependants, the Tribunal could have deducted only ¼[th] for the personal expenses of MACA No.1400/10 3 the deceased, whereas, actually, 1/3[rd] was deducted. The appellants contend that the compensation for love and affection, pain and sufferings of the deceased and loss of consortium for the first appellant are all on the lower side. The appellants, therefore, seek enhancement of compensation under all heads. 3. We have heard the learned counsel for the insurance company as well, who would argue for sustaining the award. 4. We have considered the rival contentions in detail. 5. Taking into account the fact that the accident was in the year 2005 and the deceased was 32 years old at that time and taking into account future prospects as well, we fix the monthly income of the deceased as Rs.4,000/-, instead of Rs.3,000/- fixed by the Tribunal. As rightly pointed out by the learned counsel for the appellant, the deduction for personal expenses should be only ¼[th] , instead of 1/3[rd] . But, at the same time, we note that the multiplier applicable to a 32 year old person is only 16 as per the Supreme Court decision in **Sarla Varma v. Delhi Transport Corporation** (2010(2) KLT 802 (SC), whereas, the Tribunal has adopted 18. Calculated on the basis of these parameters, the MACA No.1400/10 4 appellants would be entitled to Rs.5,76,000/- (4000 x 12 x 16 x ¾), instead of Rs.4,32,000/-, awarded by the Tribunal towards loss of dependency. The difference would be Rs.1,44,000/-. 6. We are inclined to enhance the compensation for pain and sufferings of the deceased to Rs.10,000/- from Rs.5,000/awarded by the Tribunal. We are also inclined to enhance the compensation for loss of love and affection of appellants 2 to 4, especially, taking into account the fact that the fourth appellant was only a minor aged 28 days, at the time of death of her father, to Rs.25,000/- from Rs.10,000/-, awarded by the Tribunal. Taking into account the fact that the first appellant was only 22 years old at the time of accident and the chances of a re-marriage are not very bright, we award Rs.60,000/- towards loss of consortium, instead of Rs.10,000/-, awarded by the Tribunal. In all, the appellants would be entitled to additional compensation of Rs.2,14,000/-, over and above what has been awarded by the Tribunal. This amount would carry interest @ 9% per annum from the date of claim petition till the date of payment. The insurance company shall deposit this amount also within two months. This amount shall be divided MACA No.1400/10 5 among the first appellant and the fourth appellant. The share of the fourth appellant shall be deposited in a Nationalised bank, drawing interest. The first appellant mother can withdraw the interest accruing on the deposit from time to time, for the benefit of the minor child. With the above modification of the impugned award of the Tribunal, the appeal is disposed of. **S.SIRI JAGAN, JUDGE** **K.RAMAKRISHNAN,JUDGE** sta MACA No.1400/10 6 MACA No.1400/10 7