Supreme Court: Tribunal’s Decision Just and Reasonable in Awarding Higher Damages In Motor Accident Case

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SC allows the appeal to award compensation for motor vehicle accidents in the case of Uma Maheshwari & Ors. v United India Insurance Co. Ltd & Anr. It was towards the loss of dependency for the appellants. The High Court of Karnataka interfered with the quantum of damages without any valid ground.

Brief Facts of the Case

The deceased was the husband of the first appellant, and the father of the remaining appellants. On 16.07.2012, he met with a car accident and succumbed to his injuries. The deceased was working as Commissioner of Raichur City Municipal Corporation. They filed a petition claiming compensation under Section 166 of the Motor Vehicles Act, 1988. 

Arguments before the Court

The counsel for the appellants has contended that the accident occurred due to rash and negligent driving of the driver. They submitted that the deceased was drawing a monthly salary of Rs. 55,000/-. Moreover, the death of the deceased has cost him his bright future. The appellants also lost their dependency on the deceased. The respondent’s contended that the first appellant was claiming a family pension. Thus while computing the loss of dependency there should be calculations for deductions. They contended that the age of the deceased was 50 years and 3 months, on the date of the accident. Thus, computing the future prospects of the deceased at 15% and not 30%. There is thus, no need to award separate compensation to each appellant. The award of compensation was towards loss of dependency; loss of consortium and love and affection to the children. 

Supreme Court’s ruling

The Supreme Court is of the view that the High Court committed error in reducing the compensation on account of the loss of dependency. In view of the above reasoning, the Apex Court ruled that the HC should not reduce any amount from the grant of Rs. 1,00,000/-. The compensation awarded by the Tribunal is just and reasonable.


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