✦ High Court of India · 05 Dec 2024

OF LEARNED COUNSELS FOR T SUBMISSIONS OF LEARNED COUNSELS FOR T 3 v. Delhi Hon’ble Supreme Court in the case of Sarla Verma Vs. Delhi & Ors.

Case Details High Court of India · 05 Dec 2024
Court
High Court of India
Decided
05 Dec 2024
Bench
Not available
Length
6,131 words

Acts & Sections

Cited in this judgment

seemly to fix reasonable sums. It seems to us that reasonable seemly to fix reasonable sums. It seems to us that reasonable seemly to fix reasonable sums. It seems to us that reasonable figures on conventional heads, namely, loss of estate, loss of figures on conventional heads, namely, loss of estate, loss of figures on conventional heads, namely, loss of estate, loss of consortium and consortium and consortium and funeral expenses should be Rs.15,000, funeral expenses should be Rs.15,000, funeral expenses should be Rs.15,000, tively. The principle of Rs.40,000 and Rs.15,000 respectively. The principle of Rs.40,000 and Rs.15,000 respec revisiting the said heads is an acceptable principle. But the revisiting the said heads is an acceptable principle. But the revisiting the said heads is an acceptable principle. But the revisit should not be fact-centric or quantum centric. We think centric or quantum-centric. We think RAJ KUMAR 2024.12.14 13:30 I attest to the accuracy and integrity of this document/judgment (O&M) -6- that it would be condign that the amount that we have that it would be condign that the amount that we have that it would be condign that the amount that we have in every quantified should be enhanced on percentage basis in every quantified should be enhanced on percentage basis three years and the enhancement should be at the rate of 10% three years and the enhancement should be at the rate of 10% three years and the enhancement should be at the rate of 10% in a span of three years. We are disposed to hold so because in a span of three years. We are disposed to hold so because in a span of three years. We are disposed to hold so because that will bring in consistency in respect of those heads. that will bring in consistency in respect of those heads. * * * * *

59.3. While determining the income, an addition of 50% of . While determining the income, an addition of 50% of actual salary to the income of the deceased towards future actual salary to the income of the deceased towards future actual salary to the income of the deceased towards future prospects, where the deceased had a permanent job and was prospects, where the deceased had a permanent job and was prospects, where the deceased had a permanent job and was below the age of 40 years, should be made. The addition below the age of 40 years, should be made. The addition below the age of 40 years, should be made. The addition should be 30%, if the age of the deceased was between 40 to 50 should be 30%, if the age of the deceased was between 40 to 50 should be 30%, if the age of the deceased was between 40 to 50 se the deceased was between the age of 50 to 60 years. In case the deceased was between the age of 50 to 60 se the deceased was between the age of 50 to 60 years, the addition should be 15%. Actual salary should be years, the addition should be 15%. Actual salary should be years, the addition should be 15%. Actual salary should be read as actual salary less tax.

59.4. In case the deceased was self employed (or) on a fixed . In case the deceased was self-employed (or) on a fixed ould be salary, an addition of 40% of the established income should be salary, an addition of 40% of the established income sh the warrant where the deceased was below the age of 40 years. the warrant where the deceased was below the age of 40 years. the warrant where the deceased was below the age of 40 years. An addition of 25% where the deceased was between the age of An addition of 25% where the deceased was between the age of An addition of 25% where the deceased was between the age of 40 to 50 years and 10% where the deceased was between the 40 to 50 years and 10% where the deceased was between the 40 to 50 years and 10% where the deceased was between the age of 50 to 60 years should be regarded as the necessary age of 50 to 60 years should be regarded as the necessary age of 50 to 60 years should be regarded as the necessary computation. The established income means the method of computation. The established income means the computation. The established income means the income minus the tax component. income minus the tax component. . For determination of the multiplicand, the deduction for 59.5. For determination of the multiplicand, the deduction for . For determination of the multiplicand, the deduction for personal and living expenses, the tribunals and the courts shall personal and living expenses, the tribunals and the courts shall personal and living expenses, the tribunals and the courts shall we have be guided by paras 30 to 32 of Sarla Verma which we have be guided by paras 30 to 32 of Sarla Verma which reproduced hereinbefore. The selection of multiplier shall be as indicated in the 59.6. The selection of multiplier shall be as indicated in the The selection of multiplier shall be as indicated in the Table in Sarla Verma¹ read with para 42 of that judgment. Table in Sarla Verma¹ read with para 42 of that judgment. . The age of the deceased should be the basis for applying 59.7. The age of the deceased should be the basis for applying . The age of the deceased should be the basis for applying the multiplier. . Reasonable figures on conventional heads, namely, loss 59.8. Reasonable figures on conventional heads, namely, loss . Reasonable figures on conventional heads, namely, loss of estate, loss of consortium and funeral expenses should be Rs of estate, loss of consortium and funeral expenses should be Rs of estate, loss of consortium and funeral expenses should be Rs 15,000, Rs 40,000 and Rs 15,000 respectively. The aforesaid 15,000, Rs 40,000 and Rs 15,000 respectively. The aforesaid 15,000, Rs 40,000 and Rs 15,000 respectively. The aforesaid RAJ KUMAR 2024.12.14 13:30 I attest to the accuracy and integrity of this document/judgment (O&M) amounts should be enhanced at the rate of 10% in every three amounts should be enhanced at the rate of 10% in every three amounts should be enhanced at the rate of 10% in every three -7- years.”

9. Hon’ble Supreme Court in the case of e Supreme Court in the case of Magma General Magma General Insurance Company Limited Vs. Nanu Ram alias Chuhru Ram & Insurance Company Limited Vs. Nanu Ram alias Chuhru Ram & Insurance Company Limited Vs. Nanu Ram alias Chuhru Ram & Insurance Company Limited Vs. Nanu Ram alias Chuhru Ram & Others [2018(18) SCC 130] after considering Others [2018(18) SCC 130] after considering Sarla Verma (supra) and has settled the law regarding consortium. Pranay Sethi (Supra) has settled the law regarding consortium. has settled the law regarding consortium. Pranay Sethi (Supra) Relevant paras of the same are reproduced as under: Relevant paras of th e same are reproduced as under:- . A Constitution Bench of this Court in Pranay Sethi dealt “21. A Constitution Bench of this Court in Pranay Sethi dealt . A Constitution Bench of this Court in Pranay Sethi dealt with the various heads under which compensation is to be with the various heads under which compensation is to be with the various heads under which compensation is to be awarded in a death case. One of these heads is loss of awarded in a death case. One of these heads is loss of awarded in a death case. One of these heads is loss of compendious consortium. In legal parlance, "consortium" is a compendious consortium. In legal parlance, "consortium" is a term which encompasses "spousal consortium", "parental term which encompasses "spousal consortium", "parental term which encompasses "spousal consortium", "parental consortium", and "filial consortium". The right to consortium consortium", and "filial consortium". The right to consortium consortium", and "filial consortium". The right to consortium would include the company, care, help, comfort, guidance, would include the company, care, help, comfort, guidance, would include the company, care, help, comfort, guidance, solace and affection of the deceased, which is a loss to his solace and affection of the deceased, which is a loss to his solace and affection of the deceased, which is a loss to his With respect to a spouse, it would include sexual family. With respect to a spouse, it would include sexual With respect to a spouse, it would include sexual relations with the deceased spouse. relations with the deceased spouse. is generally defined as rights 21.1. Spousal consortium is generally defined as rights is generally defined as rights wife which allows pertaining to the relationship of a husband-wife which allows pertaining to the relationship of a husband mpany, compensation to the surviving spouse for loss of "company, compensation to the surviving spouse for loss of "co society, cooperation, affection, and aid of the other in every society, cooperation, affection, and aid of the other in every society, cooperation, affection, and aid of the other in every conjugal relation".

21.2. Parental consortium is granted to the child upon the is granted to the child upon the is granted to the child upon the premature death of a parent, for loss of "parental aid, premature death of a parent, for loss of "parental aid, premature death of a parent, for loss of "parental aid, e and protection, affection, society, discipline, guidance and protection, affection, society, discipline, guidanc training".

21.3. Filial consortium is the right of the parents to is the right of the parents to is the right of the parents to compensation in the case of an accidental death of a child. An compensation in the case of an accidental death of a child. An compensation in the case of an accidental death of a child. An accident leading to the death of a child causes great shock and accident leading to the death of a child causes great shock and accident leading to the death of a child causes great shock and RAJ KUMAR 2024.12.14 13:30 I attest to the accuracy and integrity of this document/judgment (O&M) -8- greatest agony to the parents and family of the deceased. The greatest agony to the parents and family of the deceased. The agony for a parent is to lose their child during their lifetime. agony for a parent is to lose their child during their lifetime. agony for a parent is to lose their child during their lifetime. Children are valued for their love, affection, companionship Children are valued for their love, affection, companionship Children are valued for their love, affection, companionship and their role in the family unit. and their role in the family unit. . Consortium is a special prism reflecting changing norms 22. Consortium is a special prism reflecting changing norms . Consortium is a special prism reflecting changing norms of actual relationships. Modern about the status and worth of actual relationships. Modern of actual relationships. Modern over have recognised that the value of a jurisdictions world-over have recognised that the value of a over have recognised that the value of a child's consortium far exceeds the economic value of the child's consortium far exceeds the economic value of the child's consortium far exceeds the economic value of the compensation awarded in the case of the death of a child. Most compensation awarded in the case of the death of a child. Most compensation awarded in the case of the death of a child. Most jurisdictions jurisdictions therefore permit parents therefore permit parents be awarded to be awarded compensation under loss of consortium on the death of a child. compensation under loss of consortium on the death of a child. compensation under loss of consortium on the death of a child. The amount awarded to the parents is a compensation for loss The amount awarded to the parents is a compensation for loss The amount awarded to the parents is a compensation for loss of the love, affection, care and companionship of the deceased of the love, affection, care and companionship of the deceased of the love, affection, care and companionship of the deceased child.

23. The Motor Vehicles Act is a beneficial legisla tion aimed at . The Motor Vehicles Act is a beneficial legislation aimed at providing relief to the victims or their families, in cases of providing relief to the victims or their families, in cases of providing relief to the victims or their families, in cases of genuine claims. In case where a parent has lost their minor genuine claims. In case where a parent has lost their minor genuine claims. In case where a parent has lost their minor child, or unmarried son or daughter, the parents are entitled to child, or unmarried son or daughter, the parents are entitled to child, or unmarried son or daughter, the parents are entitled to be awarded loss of consortium under the head of filial be awarded loss of consortium under the head of filial be awarded loss of consortium under the head of filial consortium. Parental consortium is awarded to children who consortium. Parental consortium is awarded to children who consortium. Parental consortium is awarded to children who lose their parents in motor vehicle accidents under the Act. A lose their parents in motor vehicle accidents under the Act. A lose their parents in motor vehicle accidents under the Act. A few High Courts have awarded compensation on this count. few High Courts have awarded compensation on this count. few High Courts have awarded compensation on this count. However, there was no clarity with respect to the principles on However, there was no clarity with respect to the principles on However, there was no clarity with respect to the principles on sation could be awarded on loss of filial which compensation could be awarded on loss of filial sation could be awarded on loss of filial consortium. RAJ KUMAR 2024.12.14 13:30 I attest to the accuracy and integrity of this document/judgment (O&M) . The amount of compensation to be awarded as consortium 24. The amount of compensation to be awarded as consortium . The amount of compensation to be awarded as consortium -9- will be governed by the principles of awarding compensation will be governed by the principles of awarding compensation will be governed by the principles of awarding compensation under "loss of consortium" as laid down in Pranay Sethi². In under "loss of consortium" as laid down in Pranay Sethi². In under "loss of consortium" as laid down in Pranay Sethi². In eem it appropriate to award the father the present case, we deem it appropriate to award the father eem it appropriate to award the father and the sister of the deceased, an amount of Rs 40,000 each for and the sister of the deceased, an amount of Rs 40,000 each for and the sister of the deceased, an amount of Rs 40,000 each for loss of filial consortium. CONCLUSION CONCLUSION

10. In view of the law laid down by the Hon’ble Supreme Court in In view of the law laid down by the Hon’ble Supreme Court in In view of the law laid down by the Hon’ble Supreme Court in s allowed. The award the above referred to judgments, the present appeal is allowed. The award the above referred to judgments, the present appeal i the above referred to judgments, the present appeal i dated 03.03.2006 passed by the Motor Accident Claims Tribunal, 03.03.2006 passed by the Motor Accident Claims Tribunal, passed by the Motor Accident Claims Tribunal, Kurukshetra is modified. The appellants Kurukshetra claimants are entitled to is modified. The appellants-claimants are entitled to enhanced compensation as per the calculations made hereunder: enhanced compensation as per the calculations made hereunder:- Sr. No. Heads Compensation Awarded (In ) Monthly Income 1. Monthly Income 2,700

2. Future prospects @ Future prospects @ 40% Deduction towards personal 3. Deduction towards personal expenditure (1/4th) expenditure (1/ Total Income 4. Total Income Multiplier 5. Multiplier 1,080 (40% of 2700) 945 (1/4th of 3780) 2,835 (3,780-945) 16 Annual Dependency 6. Annual Dependency 5,44,320 (2825x16x12) Loss of Estate 7. Loss of Estate Funeral Expenses 8. Funeral Expenses Loss of Consortium 9. Loss of Consortium Parental : Rs.48000/- x 2 Parental Spousal : Rs.48000/- x 1 Spousal : Rs.48000/- x 1 Filial Filial 18,000 18,000 1,92,000 Total Compensation Total Compensation 7,72,320 Already Awarded by the Tribunal Already Awarded by the Tribunal 3,67,200 Enhanced Compensation Enhanced Compensation 4,05,120/- (7,72,320-3,67,200) RAJ KUMAR 2024.12.14 13:30 I attest to the accuracy and integrity of this document/judgment (O&M) -10-

10. So far as the interest part is concerned, as held by Hon’ble So far as the interest part is concerned, as held by Hon’ble So far as the interest part is concerned, as held by Hon’ble Dara Singh @ Dhara Banjara Vs. Shyam Singh Supreme Court in Dara Singh @ Dhara Banjara Vs. Shyam Singh Dara Singh @ Dhara Banjara Vs. Shyam Singh Supreme Court in Varma 2019 ACJ 3176 R.Valli and Others VS. Tamil Nandu State 2019 ACJ 3176 and R.Valli and Others VS. Tamil Nandu State R.Valli and Others VS. Tamil Nandu State Transport Corporation (2022) 5 Supreme Court Cases 107, Transport Corporation (2022) 5 Supreme Court Cases 107, the appellant- 9% per annum on the claimant is granted the interest @ 9% per annum on the -claimant is granted the interest @ enhanced amount from the date of filing of claim petition till the date of enhanced amount from the date of filing of claim petition till the date of enhanced amount from the date of filing of claim petition till the date of enhanced amount from the date of filing of claim petition till the date of its realization. its realization. The respondent No.3-Insurance Company is directed to deposit Insurance Company is directed to deposit the enhanced amount of compensation along with interest with the the enhanced amount of compensation along with interest with the the enhanced amount of compensation along with interest with the the enhanced amount of compensation along with interest with the Tribunal within a period of two months from the date of receipt of copy Tribunal within a period of two months from the date of receipt of copy Tribunal within a period of two months from the date of receipt of copy Tribunal within a period of two months from the date of receipt of copy The Tribunal is further directed to disburse the amount of this judgment. The Tribunal is further directed to disburse the amount The Tribunal is further directed to disburse the amount of this judgment. its award of compensation along with interest as per the ratio settled in its award of compensation along with interest as per of compensation along with interest as per dated 03.03.2006 . The claimants/appellants are directed to furnish their 03.03.2006. The claimants/appellants are directed to furnish their . The claimants/appellants are directed to furnish their bank accounts details to the Tribunal. bank accounts details to the Tribunal. Disposed of accordingly. Pending application(s), if any, also stand disposed of. Pending application(s), if any, also stand disposed of RAJ KUMAR 2024.12.14 13:30 I attest to the accuracy and integrity of this document/judgment

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