High Court of KeralaDivision BenchPartial allowed; appellant awarded Rs. 26,460 a...

Subramanyan v. Antony, Jamol & The National Insurance Co. Ltd.

Case / Petition Number:MACA 1549/2008

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • R. Basant
  • K. Surendra Mohan
Judgment Date
2011-09-06
Court Decision / Holding
This appeal is allowed in part. The appellant is found entitled to a further amount of Rs. 26,460 in addition to the amount awarded by the Tribunal. The entire amount of compensation shall carry interest at the rate and for the period as specified by the Tribunal in the impugned award.
Final Disposition
Partial allowed; appellant awarded Rs. 26,460 additional and interest as per Tribunal's order.

Parties to the Case

Appellants / Petitioners

  • Subramanyan

Respondents

  • Antony, S/o. Joseph, Vazhayil Vempolly House, Pazhanganadu Kara, Kizhakkambalam Village, Ernakulam District
  • K.M. Jamol, S/o. Mohammed, Kalloorkkadu Veedu, Netoor P.O., Ernakulam District
  • The National Insurance Co. Ltd., Aluva Divisional Office, Urumbath Building, Pump Junction, Aluva - 683 101, Ernakulam District

Legal Representation & Advocates

Counsels for Petitioners

  • • Sri.K.V.Rajan

Counsels for Respondents

  • • Sri.Lal George

Case Synopsis & Summary

Subramanyan, the claimant in MACA No. 1549 of 2008, sustained severe injuries in a motor vehicle accident on 2 November 1999, including fracture of the left femur shaft and a left scapula fracture. He remained an inpatient for 48 days in three spells and claimed permanent disability. The Motor Accidents Claims Tribunal awarded Rs 1,44,000 against a claim of Rs 5,00,000, allocating modest sums for transportation, hospitalisation, attendant expenses and clothing damage; medical expenses of Rs 85,500; and Rs 12,500 for loss of earnings, plus Rs 25,000 for pain and Rs 15,000 for discomfort. On appeal, the appellant contends that the Tribunal erred by failing to account for a higher income (he was about 26 years old) and by under-compensating for nourishment, bystander expenses, transport and clothing damage; and by not awarding any amount for loss of earning power despite a 3% disability. The court agrees with the appellant's submissions on income and the need to reflect the inpatient period, and applies the multiplier principle from Sarla Verma to estimate reduced earning capacity. It thereby increases the compensation by Rs 26,460, in addition to the Tribunal's award, and directs that the entire amount bear interest as per the Tribunal's order. The appeal is allowed in part.

Legal Doctrines & Maxims

  • Multiplier principle for compensation (Sarla Verma)
  • Reduction in earning capacity due to disability

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellant contends that the Tribunal erred in not reflecting a realistic monthly income for a 26-year-old manual worker, and that the 48 days of inpatient treatment and other losses warrant higher compensation under heads such as extra nourishment, bystander expenses, transportation, and damage to clothing. He argues for application of the multiplier method to account for loss of earning capacity, especially given a 3% disability as assessed by the Medical Board, following the principles laid down in Sarla Verma.

Contentions of Respondents

The respondents’ counsel contends that the Tribunal’s quantum should stand, arguing against excessive enhancement; the dispute centers on the amount of compensation rather than liability, with emphasis on maintaining consistency with the Tribunal’s award.

Cited Precedents (1)

Case NameCitationTreatmentExplanation
Sarla Verma (Smt) & Others v. Delhi Transport Corporation and another(2009) 6 SCC 121PositiveCourt follows the multiplier principle from Sarla Verma and applies it to determine enhanced compensation for reduced earning capacity.

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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 R.BASANT & THE HONOURABLE MR. JUSTICE K.SURENDRA MOHAN TUESDAY, THE 6TH SEPTEMBER 2011 / 15TH BHADRA 1933 MACA.No. 1549 of 2008() ----------------------OPMV.2936/2000 of MOTOR ACCIDENT CLAIMS TRIBUNAL, ERNAKULAM .................... APPELLANT/PETITIONER. ----------------------------------- SUBRAMANYAN, AGED 34 YEARS, S/O. MADHAVAN, PALLANGATTU MUGAL HOUSE, KANGARAPADY KARA, THRIKKAKARA NORTH VILLAGE, ERNAKULAM DISTRICT. BY ADV. SRI.K.V.RAJAN RESPONDENTS/ RESPONDENTS. --------------------------- 1. ANTONY, S/O. JOSEPH, VAZHAYIL VEMPOLLY HOUSE, PAZHANGANADU KARA, KIZHAKKAMBALAM VILLAGE, ERNAKULAM DISTRICT. 2. K.M.JAMOL, S/O. MOHAMMED, KALLOORKKADU VEEDU, NETOOR P.O.,ERNAKULAM DISTRICT 3. THE NATIONAL INSURANCE CO.LTD., ALUVA DIVISIONAL OFFICE, URUMBATH BUILDING, PUMP JUNCTION, ALUVA - 683 101,ERNAKULAM DISTRICT. ADV. SRI.LAL GEORGE FOR R3 THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING BEEN FINALLY HEARD ON 06/09/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: jj ## **R. BASANT & K. SURENDRA MOHAN, JJ.** ## **-----------------------------------------------------------M.A.C.A.NO:1549 OF 2008 ----------------------------------------------------------Dated this the 6[th ] September, 2011.** ## **JUDGMENT** ## Basant, J. Claimant is the appellant. He claimed compensation for personal injuries suffered by him in a motor accident which took place on 2-11-1999. He had suffered multiple injuries including fracture shaft of the femur left and fracture scapula on the left. He was inpatient for 48 days in three spells. He had allegedly suffered permanent physical disability. The Tribunal referred the appellant to a Medical Board and the Medical Board assessed the disability to be 3%. Against a total claim of Rs.5 lakhs the Tribunal under the impugned award directed payment of only an amount of Rs.1,44,000/- as per the details given in paragraph 10 of the impugned award which we extract below:- |Head|Amount awarded| |---|---| |Transportation, hospitalisation,|| |attendant expenses, Extra nourishment|| |&damage to clothings|Rs.6000| |Medical expenses|Rs.85500| |Loss of earnings|Rs.12500| MACA 1549/2008 2 Pain and suffering Rs.25000 For discomforts & inconveniences Rs.15000 -----------------------Total Rs.144000 2. We have heard learned counsel for the appellant and the learned counsel for the Insurance company. The challenge is raised only against the quantum of compensation awarded. Called upon to explain and be specific, the learned counsel for the appellant submits first of all that the monthly income of the 26 year old young claimant reckoned by the Tribunal at Rs.2,500/- is grossly inadequate. At least Rs.3,000/- must have been reckoned as the monthly income even in the absence of any better and clinching evidence. We agree with the learned counsel. The inability of a manual worker to produce satisfactory evidence to prove his monthly income has to be viewed realistically by a Tribunal. 3. The learned counsel next contends that though the Tribunal had noted that the appellant was an inpatient for a period of 48 days the Tribunal had awarded only a composite amount of Rs.6000/- under the heads of transportation, extra nourishment, damage to clothing and bystander expenses. At MACA 1549/2008 3 the rate of Rs.100/- per day under each of the heads of extra nourishment and bystander expenses an amount of Rs.9600/- (48 x 200) must have been awarded contends counsel. For transportation and damage to clothing an amount of Rs.1000/each must have been awarded argues counsel. We agree with the counsel. 4. Learned counsel for the appellant then submits that though the disability was assessed by a medical board to be 3% the Tribunal surprisingly did not award any amount under the head of loss of earning power. This is grossly unsatisfactory and unacceptable contends the learned counsel for the appellant. We agree with the learned counsel for the appellant. We are satisfied that the multiplier multiplicant method must have been pressed into service to ascertain the quantum of compensation payable for reduction of earning capacity following the disability suffered. In respect of a person like the appellant, a coolie the disability of 3% can safely be assumed to result in reduction of earning capacity to identical extent. Going by the dictum in **Sarla Verma (Smt) & Others v. Delhi Transport Corporation and another {(2009) 6 SCC 121}** 17 is the multiplier to be adopted also. MACA 1549/2008 4 5. The above discussion leads us to the conclusion that the appellant is entitled to a further amount of Rs.26460/- as shown in addition to the amount already awarded by the Tribunal. 1. Loss of earnings Rs.2500 (3000 x 5 – 12500) 2. Extra nourishment and bystander expenses Rs.3600(48x200=9600-6000) 3. Expenses for transportation Rs.1000 4. Damage to clothing and articles Rs.1000 5. Reduction in earning capacity Rs.18360 (3000x12x17x3/100) ---------------Total: Rs.26460 ======= 6. We are not satisfied that the amounts awarded under the other heads deserve modification/enhancement invoking our appellate jurisdiction. 7. In the result; a) This appeal is allowed in part. b) The appellant is found entitled to a further amount of Rs.26460/- (Rupees twenty six thousand four hundred and sixty only) in addition to the amount awarded by the Tribunal. MACA 1549/2008 5 c) We make it clear that the entire amount of compensation shall carry interest at the rate and for the period as specified by the Tribunal in the impugned award. R. BASANT Judge K. SURENDRA MOHAN Judge jj MACA 1549/2008 6