B/C Musalman Karigar – Appellant Vs. Javed – Respondent

Core ratio / Key holding

Headnote

Motor Vehicles Act, 1988 — S.166 — Compensation — Deduction for Personal Expenses.

Motor Vehicles Act, 1988 — S.166 — Compensation — Multiplier Selection.

Motor Vehicles Act, 1988 — S.166 — Compensation — Future Prospects — Self-employed/Fixed Salary.

Motor Vehicles Act, 1988 — S.166 — Compensation — Conventional Heads.

Motor Vehicles Act, 1988 — S.166 — Compensation — Dependents — Siblings.

Ratio decidendi

• For determination of the multiplicand in motor accident claims, the deduction for personal and living expenses shall be guided by paragraphs 30 to 32 of Sarla Verma.
• The selection of multiplier in motor accident claims shall be as indicated in the Table in Sarla Verma read with paragraph 42 of that judgment, with the age of the deceased as the basis.
• Where the deceased was self-employed or on a fixed salary and below 40 years of age, an addition of 40% of the established income shall be made towards future prospects in motor accident claims.
• For conventional heads in motor accident claims, reasonable figures are Rs. 15,000/- for loss of estate, Rs. 40,000/- for loss of consortium, and Rs. 15,000/- for funeral expenses, to be enhanced at 10% every three years.
• Siblings of the deceased are generally not considered dependents for compensation under the Motor Vehicles Act unless evidence to the contrary is presented.

Important points

• Held: Compensation for motor vehicle accident death recalculated to Rs. 6,57,985/- based on Pranay Sethi principles, modifying the Tribunal's award.
• Dismissed: Claimants' appeal (S.B. Civil Miscellaneous Appeal No. 4038/2017) seeking enhancement of compensation.
• Allowed: Insurance Company's appeal (S.B. Civil Miscellaneous Appeal No. 4082/2017) seeking reduction of compensation.
• Clarified: Siblings of the deceased are generally not considered dependents for compensation under the Motor Vehicles Act.

Keywords