Case Note & Summary
The appellants, original claimants, filed a claim petition under the Motor Vehicles Act, 1988, seeking compensation for the death of the wife of appellant no.1 and mother of appellants no.2 to 5 in a motor accident that occurred on 06.03.2020. The deceased was a pedestrian when a trailer driven rashly and negligently by opponent no.1 hit her, causing fatal injuries. The Tribunal partly allowed the claim petition. Aggrieved by the quantum, the appellants appealed under Section 173 of the Act, contending that the Tribunal failed to consider the minimum wages prevalent at the time of the accident for computing loss of dependency and also failed to grant consortium to each appellant. The High Court, after hearing the parties, held that the Tribunal ought to have considered the minimum wages prevalent at the time of the accident for a housewife, and accordingly enhanced the notional income from Rs.3,000/- to Rs.4,000/- per month. The Court also held that each appellant is entitled to Rs.40,000/- towards loss of consortium, as per the principles laid down in National Insurance Co. Ltd. v. Pranay Sethi. The Court modified the award, enhancing the total compensation from Rs.5,40,000/- to Rs.7,40,000/-, with interest at 7.5% per annum from the date of petition till realization. The appeal was partly allowed.
Headnote
A) Motor Accident Claims - Computation of Loss of Dependency - Notional Income of Housewife - Tribunal erred in not considering prevalent minimum wages for a housewife - Held that notional income should be based on minimum wages prevalent at the time of accident (Para 5). B) Motor Accident Claims - Consortium - Entitlement of Each Claimant - Tribunal granted consortium only to the widow, but each appellant is entitled to consortium - Held that each claimant is entitled to Rs.40,000/- towards loss of consortium (Para 5).
Issue of Consideration
Whether the Tribunal erred in not considering the prevalent minimum wages for computing loss of dependency and in not granting consortium to each appellant?
Final Decision
The appeal is partly allowed. The judgment and award dated 02.09.2022 passed by the Motor Accident Claims Tribunal (Auxi.), Petlad in MACP No.18 of 2020 is modified. The appellants are entitled to total compensation of Rs.7,40,000/- with interest at 7.5% per annum from the date of petition till realization. The Insurance Company is directed to deposit the enhanced amount within eight weeks.
Law Points
- Notional income for housewife
- Consortium to each claimant
- Minimum wages prevalent at time of accident
- Section 173 Motor Vehicles Act
- 1988
