Pawan - Appellant Versus Amrood Khan and Another - Respondent

Core ratio / Key holding

Headnote

Motor Accident Claims - Disability Compensation - Calculation Method

Motor Accident Claims - Death Compensation - Notional Income Assessment

Issues for determination

• Whether the compensation of Rs. 3,500/- awarded for injuries to Pawan (aged three years) is adequate and requires enhancement.
• Whether the compensation of Rs. 40,500/- awarded for 17.40% disability to Gokul Das requires enhancement by adopting the II Schedule to the Motor Vehicles Act as a guideline.
• Whether the compensation of Rs. 76,000/- awarded for the death of Smt. Krishna alias Gora requires enhancement by assessing her notional income as Rs. 15,000/- without deductions.

Ratio decidendi

• In motor accident claims for disability, compensation should be computed by adopting an appropriate multiplier based on the injured's age and assessing income commensurate with the percentage of disability, using the II Schedule to the Motor Vehicles Act as a guideline.
• In motor accident death claims, the notional income of a deceased person contributing to the family, such as a tailor, should be assessed without deductions for personal expenses, and compensation calculated using an appropriate multiplier based on age.

Important points

• Appeal dismissed, finding Rs. 3,500/- adequate compensation for three simple injuries sustained by a three-year-old child.
• Appeal partly allowed, enhancing compensation by Rs. 15,859/- for 17.40% disability to an agriculturist, applying a multiplier of 13 and notional income.
• Appeal partly allowed, enhancing compensation by Rs. 1,90,000/- for the death of a 29-year-old tailor, assessing notional income at Rs. 15,000/- without deductions.

Keywords