✦ High Court of India · 06 Mar 2025

As per the judgment of the Hon'bre Supreme court in Sarara Verma v. I)elhi Transport Corporation,, if the deceased is a bachelor as on the date of

Case Details High Court of India · 06 Mar 2025

Gounsel forthe Respondent Nos.l to 3: SRI PALLE SRIHARTNATH The Court delivered the following: Judgment I HON'BLE SRIJUSTICE LAXMI NARAYANA ALISHETTY M.A.C.M.A.No.1236 of 2024 JUDGMENT: Heard Sri A.Ramakrishna Reddy, learned Standing Counsel lor the appellant-insurance company and Sri Palle Sriharinath, leamed counsel for respondent Nos.l to 3-claimants.

2. The present appeal is filed by the insurance company challenging the Award, dated 23.04.2024, passed by the Motor Accident Claims Tribunal-cum-Ill Additionat District and Sessions Judge, Sangareddy (for short, 'Tribunal') in M.V.O.P.No.230 of 2021 .

3. The appellant is the insurance company, respondent Nos.l to 3 are claimants and respondent No.4 is drivcr-cum-owner of the ollending car.

4. The brief factual matrix of the case is as follows: On 18.10.2021, at about 3.20 pm., the deceased was travelling as a pillion rider on a motor cycle, bearing registration No.TS-35-C- 5852, driven by one K.Srikanth, towards Rcddipatle junction and whiqn they were at a distance of 300 yards from Bajaranga Bali 2 LNA,J MACMA No 1236 aJ 2A24 Dharma Kanta on NH.No.4, respondent No.4 herein, who is driver of Maruti Dzire car bcaring registration No.TS-09-ET-TiR-9917, coming from Hyderabad towards Rarnayampet side, drove the said car in a rash and negligent manncr in high speed and dashed the motor cycle on which the cleceased u,as going from back side, as a resuit, both the deceased and the driver of the motor cycle-K.Srikanth fell down and sustained sevcre injuries; that immediately, the deceased was shifted to Govemment Hospital, 'foopran, but, he died on the u,ay to hospital; and that police of Chegunta Police Station registered a case in Crime No.25012021 under Sections 304-4 and 337 IPC against the driver of the offending car and filed charge sheet.

5. Clairnant Nos. I and 2-parents of the deceased and claimant No.3-sister of the deceased have filed claim petition against the driver and insurer of the offending car under Section 166 of Motor Vehicles Act, 1988, before the l'ribunal claiming conrpensation of Rs.30,00,000/- along with interest from the date of the petition till the date ofrealization. t I I I I I 3 LNA,I MACMA No.1236 oJ 2024

6. In the Claim Petition, the claimants contended that the deceased was hale and healthy and was earning Rs.i5,000/- per month; that he was contributing all his eamings to the farnily expenses; that due to the death of the deceased, they lost the sole bread winner of their family and suffered much mental pain and agony and hence, the claim for compensation of Rs.30,00,000/-.

7. Respondent No.4 herein-driver-cum-owner of the offending car remained ex parle before the Tribunal. The appellant-insurance company filed counter denying the averments made in the claim petition and inter alia contended that the'accident took place due to sole negligence on the part of the rider of the motor cycle on which the deceased was travelling as a pillion rider and as such, the owner and insurer of the motor cycle are proper and necessary parties, and therefore, O.P. filed without arraying them as palties is bad in law for non-joinder of proper and necessary parties.

8. lt was further contended that the driver of the car was not holding driving licence and as such, he committed breach of contract and violated the terms and conditions of the insurance policy and I I 4 LNA,) MACMA No 12j6 ol2024 hence, the appellant-insu r.ance compauy is not liable to pay compensation and finally, prayed to dismiss the clairn petition. 9. On tl.re basis of the above pleadings, the Tribunal framed the following issues for trial: " (i) Wlrcther the accident occurred due to rash and negligent driving of drit'er of crim.e vehicle? (ii) Il'hether lhe claimants arc entitled to compensation as Pt'q)ed.forl (iii) To x'hat relicJ? "

10. In order to substantiate thc case, on behalf of the claimants, P. Ws. 1 to 3 rvere examined and Exs.A 1 to ,A7 u,ere marked. On behalf of the appel lant-insurance company, none was examined, but Ex.B-1-copy of insurance policy was marked.

11. The Tribuna[, on due considcration of the evidence and material placed on record, came to a conclusion that the accident took place due to rash and negligenr driving of the offending car and accordingly, awarded compensation ol' 1k.24,18,000/-, payabte by respondent Nos.land 2 jointly and severally to the claimants together with costs I 5 LNA) MACMANo-1236of 2024 I I I and interest @ 9%o per annum from the date of petition till the date of realization.

12. Leamed Standing Counsel for appellant-insurance company, while reiterating the averments made in the counter, mainly contended that the deceased was a bachelor at the time ofaccident and as such, % of his income has to be deducted towards his personal expenses, however, the Tribunal erred in deducting 1/4th towards his personal expenses. Leamed Standing Counsel further contended that the rate ol interest i.e., 9%o per annum awarded by the Tribunal is on higher side and prayed this Court to slash down the same to 6%o per annum.

13. Per contra, leamed counsel for respondent Nos.l to 3-claimants submitted that the Tribunal taking into consideration the facts and circumstances of the case, has rightly assessed and awarded the compensation, which is just and proper. He further contended that in view of the present day inflation, awarding interest @ 9%;o per arnum by the Tribunal is reasonable and hence, the impugned order of the Tribunal needs no interference by this Court and finally, prayed to dismips the Appeal. I / 6 LNA,J MACMA No.12j6 ol2024 Conside ration: 14. On pcrusal of the entire evidence, both oral and documentary, it is evident that admittedly, trre deceased was unma,.ied as on the date of the accident. While assessing the compensation. the Tribunal has considered the earnings of the deceased @ Rs.10,000/_ per month and deducted 1/3'd of the said eamings towards his personal expenses. 15. As per the judgment of the Hon'bre Supreme court in Sarara Verma v. I)elhi Transport Corporation,, if the deceased is a bachelor as on the date of t[.re accident, 50% of his income has to be deducted towards his personal expensts. In the Iight of the said -ludgment, thc T-rib.nar erred in dcducting r/3'd of incorne of deceased towards his personal expenses and the sarne requires interference by this court and accordingry, 50% or income of the deceased has to be deducted towards his personal expcnses. 16. As regards the rate of intercst awarded by the I @ go/o per annum, it is to be seen that in the present day scenario, the Banks even for the Fixed Dcposits is not awarding interest rnore than 7.5o2 ,lribuna ' lzoory e scc tz r \ \ 7 LNA) MACMANo.1236 ol 202a per annum, therefore, in such a case, this Court is of the opinion that awarding interest on the compensation amount @ 9Yo per annum by the Tribunal is slightly on higher and the same is hereby modified to @1.5% per annum.

17. In view of the above, the compensation amount is recalculated as under: Sl.No. I Compensation awarded I 2 3 4 5 6 7 8 9 Income Future prospects Total income Deduction towards rsonal ex enses Net Income per annum Multiplier Loss ol dependcncy (Sl.No.l to 6) Consortium (Rs.40,000/- x3 Funeral expenses l0 Loss of estate Rs. 1 ,20,000/- per annum Rs.10,000i- m Rs.48,000/- (40% of income) Rs.1,68O00/- 000/- + Rs.48,0001 Rs.1,20, Rs.84,000i- (i.e., half of the total tncomc o Rs.84,000/- (i.e., Rs. 1,68,000/- Rs.84,000/- t8 Its.15,12,000/- (i.e., Rs.84,000/- x t8 Rs.1,20,000/- Rs.15,000/- Rs.15.000/- Total compensation to be aid: Rs.16,62,000/- \ 8 LN\) MACMA No.1236 ol2024

18. In the result, Appeal is partly allowed, and tlre compensation awarded by the Tribunal is accordingly rnodified, awarding compensation arnount of Rs. I6,62,000/_ with interest at the rate of 7.5o/o per annum from the date ol the claim petition till the date of realization. Respondent No.4 herein and the appellant, who are the owner and insurer of the olfcndin, car, respectivell,, are directed to pay the said compensation a.rount within a period o'six weeks from the date of t.eceipt of copv of this order. Respondcnt Nos.l to 3 l-rerein/claimants are entitled to sha.e in thc said compensation amount as apportioned by the Tribunal. There shill be no order as to costs. 19. Pending miscellaneous applications ifany shall stand closed. //TRUE COPY// SD/- MOHD. ISMAIL REGISTRAR ON OFFICER To,

1. The chairperson, Motor Accident claims Tribunal-cum-lll Additional District and Sessions Judge, Sangareddy(With records, if any) 2. One CC to SRt A RAIVIAKR|SHNA REDDY, Advocate [OeUC1 3. One CC to SRI PALLE SR|HAR|NATH, Advocate [OpUC] 4. Two CD Copies ADK M. HIGH COURT DATED:0610312025 JUDGMENT+DECREE 2 DRAFTS MACMA.No.1236 oI 2024 tiE t i't .J C-) It -'- '\.: ' [; JU 2[25 ,' ii'.il ..i:.!' PARTLY ALLOWING THE MACMA WITHOUT COSTS I4 4 [ 33831 IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAO THURSDAY, THE SIXTH DAY OF MARCH TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTTCE LAXMI NARAYANA ALISHETTY MOTOR ACCIDENT CIVIL MISCEL NE APPEA 1 F2 4 Between: M/s. Bajaj Allianz General lnsurance Co. Ltd, Represented by its Manager, Office at North East Plaza, 4th Floor, Besides BMW Showroom, Opposite to RTA Offlce, Erramanzil X Roads, Hyderabad. ... Respondent No.2 AND

1. Chakali Narsimulu, S/o Chakali Sailu, Age. 50 years, Occ. Agriculturist, 2. Chakali Manemma, W/o Chakali Narsimulu, Age. 45 years, Occ. Household 3. Chakali Madhavi, D/o Chakali Narsimulu, Age. 20 years, Occ.Student All are Rl/o H.No.4-5, Reddipalle Village, Chegunta Mandal, Medak District, Now Rl/o H.No.3-61/, Isnapur Village, Patancheru Mandal, Sangareddy District.

4. Banna Durga Prasad, S/o Banna Rajalingu, Age. Major, Occ. Driver-cum- Owner of Car bearing No. TS 09 ET-T/R 9917, R/o H.No.1-164, Main Road, Kasipet Village and Mandal, Mancherial District. ...Respondent Nos.1 to 3/Petitioners ...Respondent No.4/Respondent No.'l Appeal filed Under Section 173 of Motor Vehicles Act,1988 against the Order and decree in M.V.O.P.No.23O oI 2021 dated.23-04-2024 on the file of the Court of the Chairperson, Motor Accident Claims Tribunal-cum-lll Additional District and Sessions Judge, Sangareddy. This appeal coming on for hearing and upon perusing the grounds of appeal, the Judgment and Decree of the Lower Court and the material papers in the Case and upon hearing the arguments of SRI A RAMAKRISHNA REDDY, Advocate for the Appellant and of SRI PALLE SRIHARINATH, Advocate for the Respondent Nos.1 to 3. ! :_ i+. -4.r I €!- . r: - This Court doth Order and Decree as follows:

1. That the Motor Accident Civil Miscellaneous Appeal be and hereby is parfly allowed;

2. That the compensation awarded by the Tribunal be and herby is accordingly modified, awarding compensation amount of Rs. 16,62,0001 (Rupees Sixteen lakhs and Sixty two Thousand only) with interest at the rate of 7.5oh per annum from the date of the elaim petition till the date of realization;

3. Th4 the Respondent No.4 herein and the appellant, who are the owner and insurer-of the offending car, respectively be and hereby are directed to pay the said compensation amount within a period of six weeks from the date of receipt of copy of this order;

4. That the Respondent Nos.1 to 3 herein/claimants are enti ed to share in the said compensation amount as apportioned by the Tribunal;

5. That there shall be no order as to costs in this appeal. //TRUE COPYII SD/- MOHD. ISMAIL TY REGISTRAR i', \i SECTION OFFICER To,

1. The chairperson, Motor Accident claims Tribunal-cum-lll Additional District and Sessions Judge, Sangareddy

2. Two CD Copies ADK 4L HIGH COURT DATED:0610312025 I DECREE MACMA.No.1236 ot 2024 PARTLY ALLOWING THE MACMA WITHOUT COSTS 1 4

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