Saturday, 12 March 2016

MACMA 507 OF 2007

HONOURABLE Dr. JUSTICE B. SIVA SANKARA RAO
M.A.C.M.A.NO.507 OF 2007
JUDGMENT:
          The Claimants, who are husband, major son and two minor daughters of deceased Laxmi, filed this appeal, having been aggrieved by the Order/Award of the learned Chairman of the Motor Accidents Claims Tribunal–cum–III Additional Chief Judge, City Civil Court, Hyderabad, (for short, ’Tribunal’) in O.P.No.1442 of 2001 dated 29.09.2005, awarding compensation of Rs.2,00,000/-(Rupees two lakh only) as against the claim of Rs.5,00,000/-(Rupees five lakh only), against respondent Nos.1 and 2 viz., the owner and insurer of the crime vehicle (lorry) for enhancement of compensation as prayed for in the claim petition under Section 166 of the Motor Vehicle Act,1988 (for short, ‘the Act’).
          2. Heard K.Siva Reddy, the learned counsel for the appellants and Sri R.Sridhar, the learned standing counsel for the 2nd respondent-The New India Assurance Company Limited and the 1st respondent-owner of the crime lorry bearing No.AP12 T 6138 remained ex parte before the Tribunal and did not choose to put forth his appearance herein, hence taken as heard the 1st respondent for the absence to decide on merits and perused the record. The parties hereinafter are referred to as arrayed before the Tribunal for the sake of convenience in the appeal.

3. The contentions in the grounds of appeal as well as submissions during course of hearing in nutshell are that the award of the Tribunal is contrary to law, weight of evidence and probabilities of the case, the Tribunal erred in not taking correct multiplier and not properly assessed the earnings of the deceased and the interest awarded at 6%p.a. is also low, hence to allow the appeal by enhancing and awarding full compensation as prayed for.  Whereas, it is the contention of the 2nd respondent-Insurer that for this while sitting in appeal, there is nothing to interfere with the reasoned award of the Tribunal either on the quantum or rate of interest. Hence, to dismiss the appeal.
4).Now the points that arise for consideration in the appeal are:
1.    Whether the compensation awarded by the Tribunal is not just and requires interference by this Court while sitting in appeal against the award and if so with what enhancement to arrive a just compensation and with what rate of interest?

2.    To what result?
POINT-1:
5. The facts of the case are that on 05.07.2001 while the deceased B.Laxmi along with some others while returning from Yadagirigutta to Hyderabad  in an auto bearing No. AP 12 T 7554, due to rash and negligent driving of the driver of the crime lorry bearing No.AP 12 T 6138 belongs to the 1st respondent insured with the 2nd respondent covered by the Ex.B.1 policy while proceeding in opposite direction, dashed to the auto, as a result of which the driver of the auto and the deceased died on spot, which occurrence is covered by Ex.A.1 First Information Report and A.11 charge sheet.  The Tribunal from the oral and documentary evidence on record, awarded compensation of Rs.2,00,000/- with interest at 6%p.a. against both the respondents jointly and severally.
          6. Before coming to decide, what is just compensation in the factual matrix of the case, It is apt to state that perfect compensation is hardly possible and money cannot renew a physique or frame that has been battered and shattered, nor relieve from a pain suffered as stated by Lord Morris. In Ward v. James[1], it was observed by Lord Denning that award of damages in personal injury cases is basically a conventional figure derived from experience and from awards in comparable cases. Thus, in a case involving loss of limb or its permanent inability or impairment, it is difficult to say with precise certainty as to what composition would be adequate to sufferer. The reason is that the loss of a human limb or its permanent impairment cannot be measured or converted in terms of money.  The object is to mitigate hardship that has been caused to the victim or his or her legal representatives due to sudden demise. Compensation awarded should not be inadequate and neither be unreasonable, excessive nor deficient. There can be no exact uniform rule in measuring the value of human life or limb or sufferance and the measure of damage cannot be arrived at, by precise mathematical calculation, but amount recoverable depends on facts and circumstances of each case. Upjohn LJ in Charle red House Credit v. Tolly[2] remarked that the assessment of damages has never been an exact science and it is essentially practical. Lord Morris in Parry v. Cleaver[3] observed that to compensate in money for pain and for physical consequences is invariably difficult without some guess work but no other process can be devised than that of making a monitory assessment  though it is impossible to equate the money with the human sufferings or personal deprivations.  The Apex Court in R.D.Hattangadi v. Pest Control (India) Private Limited[4] at paragraph No.12 held that in its very nature whatever a Tribunal or a Court is to fix the amount of compensation in cases of accident, it involves some guess work, some hypothetical consideration, some amount of sympathy linked with the nature of the disability caused.  But all the aforesaid elements have to be viewed with objective standard. Thus, in most of the cases involving Motor Accidents, by looking at the totality of the circumstances, an inference may have to be drawn and a guess work has to be made even regarding compensation in case of death, for loss of dependent and estate to all claimants; care, guidance, love and affection especially of the minor children, consortium to the spouse, expenditure incurred in transport and funerals etc., and in case of injured from the nature of injuries, pain and sufferance, loss of earnings particularly for any disability and also probable expenditure that has to be incurred from nature of injuries sustained and nature of treatment required. The appeal claim herein is thus confined to the quantum from the contention of not correctly taken the multiplicand and multiplier with future prospects in earnings and on the quantum of consortium and funeral expenses etc., in arriving a sum for awarding just compensation.

          7. From the above legal principles and in the factual matrix of case, the fact that the accident was the result of the rash and negligent driving of the driver of the crime lorry bearing No.AP 12 T 6138 belongs to the 1st respondent insured with the 2nd respondent covered by the Ex.B.1 policy while proceeding in opposite direction to the auto  bearing No. AP 12 T 7554 in which the deceased was travelling as one of the passengers, not in dispute.  Ex.A.1 FIR and Ex.A.11 chargesheet with reference to the evidence of P.Ws. 1 to 3 besides not in dispute no way requires interference by this Court but for to decide on the quantum of compensation and rate of interest as unjust.   First considering the age of the deceased, the age of her husband shown as 40 years alleged as if unemployee (for the case purpose), the eldest son about 18 years and the daughters at 16 and 15 respectively.  The postmortem report not filed much less any proof of age for reasons better known.  In fact, the death certificate of the deceased obtained showing falsely as if aged only 30 years after the accident dated 05.07.2001, on 31.08.2001 for the case purpose. Because, when the eldest son is more than 18 years shown as major admittedly the age of the mother must be at least 17 or 18 years inclusive to that to say about approximately of 36 years even taken with reference to the age of the husband P.W.1 of the deceased above 40 years as claimed as on the date of claim petition immediately after the accident. Thus, the multiplier as per Sarla Verma v. Delhi Transport Corporation[5] for a person aged between 36 to 40 applicable is 15 and accordingly taken in this case as 15.  Coming to the earnings of the deceased, it is claimed that she was doing tailoring work and earning Rs.4,500/- per month and relied upon Ex.A.4 to A.9 so called receipts regarding payment of the amount as tailor.  Ex.A.10 is receipt of Bentex Tailor shop. That no way proves the allegation of she was a tailor by avocation much less working as tailor. In the absence of showing any employment as per the rules under the Minimum wage Act and Shops and Establishments Act or the like, even taken the earnings at minimum of Rs.3,000/- per month as on the date of accident i.e. 05.07.2001 basing on the Apex Court’s expression in Latha Wadhwa vs. State of Bihar[6] in which it is held even there is no proof of income and earnings, it can be reasonably estimated at Rs.3,000/- p.m. for any non-earning member and even for housewife as domestic contribution. Out of the claimants even the eldest son major, the others are the unmarried minor daughters and the husband, 1/3rd  to be deducted towards personal expenses it comes to Rs.2,000/- p.m. the contribution to the family i.e. Rs.2,000/-p.m.x12x15=Rs.3,60,000/- and Rs.25,000/- towards funeral expenses, Rs.75,000/- towards loss of consortium as per Rajesh v. Rajbir Singh[7] (three judge Bench expression), however, herein since in the wedlock they got three children and one was admittedly major, besides and Rs.10,000/- maximum towards loss of estate which comes to Rs.4,70,000/- is the just compensation to award. 
8. Having regard to the interest the Tribunal awarded at 6% per annum is low but from the settled proposition of law TN Transport Corporation v. Raja Priya[8], Sarla Verma’s case (cited supra) and from the latest expression of the Apex Court in Rajesh’s case (cited supra), interest is awarded at 7½% per annum by modifying and enhancing from 6% per annum awarded by the Tribunal.  Accordingly, Point-1 for consideration is answered.
POINT -2:
9. In the result, the appeal is partly allowed by modifying the Award of the Tribunal on quantum of compensation by enhancing the same from Rs.2,00,000/- to Rs.4,70,000/-(Rupees four lakh seventy thousand only) with interest at 7½% per annum from date of the claim petition till realization/deposit with notice. Respondent Nos.1 and 2, who are jointly and severally liable to pay the compensation, are directed to deposit within one month said amount with interest from the date of petition (after deduction of any amount paid so far pursuant to the award of the Tribunal), failing which the claimants can execute and recover. In other respects, award of the Tribunal holds good.  It is left open to move the Tribunal for any permission for withdrawal to consider on any just grounds. There is no order as to costs in the appeal.

          ________________________
Dr. B.SIVA SANKARA RĀO, J
Date: 10-02-2014
VVR
Note: L.R. copy to be marked.  Yes/No
                                          



[1] 1965(1) A11. E.R-563
[2] 1963(2) All.E.R-432
[3] 1969(1)A11.E.R –555
[4] 1995 ACJ 366(SC)
[5] 2009 ACJ 1298
[6] (2001) 8 SCC 197=AIR 2001 (SC) 3218
[7] 2013(4)ALT 35(SC)
[8] (2005) 6 SCC 236