Motor Vehicles Act, 1988 – Motor accident – Award of compensation – Future income rise – Computation of – Death of victim-25 year old widow, in a motor accident – Victim was a qualified engineer, drawing monthly salary of Rs. 6,273/- – Claim petition by parents – Tribunal awarded Rs. 15,71,000/- as compensation wherein added 100 per cent towards future rise in income, deducted 1/3rd towards personal expenses and applied multiplier of 16 – In appeal, the High Court took future rise in income as 50 per cent, deducted 50 per cent towards personal expenses, applied multiplier of 18 and awarded Rs. 10,72,360/- – On appeal, held: Standardized percentage is capable of being varied if the evidence is so led – Assessment of the tribunal is based on the evidence led – On facts, the tribunal justified in giving 100 per cent increase and taking the future prospects at Rs.12,000 per month – As regards, the percentage of deduction, considering that the deceased survived by her parents,
50 per cent amount be deducted as personal and living expenses of the deceased when the deceased is a widow – Thus, the High Court was justified in increasing the percentage of personal expenses to the extent of 50 per cent – After deducting 50 per cent of the amount towards personal expenses and adding 100 per cent towards future rise in income, to the figure of Rs.6,273 per month, multiplier of 18 is applied, amounting to Rs.13,54,968 – Amount under conventional heads would be Rs.70,000, totaling to around Rs.14,25,000/- – Award of interest would continue @ 12 % – Litigation being of two decades, Rs.25,000 awarded as costs.
Sarla Verma & Ors. v. Delhi Transport Corporation & Anr. (2009) 6 SCC 121; National Insurance Company Limited v. Pranay Sethi & Ors. AIR 2017 SC 5157 – referred to.
As published in the Supreme Court Reports, Supreme Court of India. Text from the Indian Supreme Court Judgments open data set (Dattam Labs), CC BY 4.0.
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