Meena Pawaia v. Ashraf Ali

Motor Accident Claims – Merely because in the execution proceedings the claimants might have accepted the amount as awarded by the Court, may be as full and final settlement, it shall not take away the right of the claimants to claim just compensation and shall not preclude them from claiming the enhanced amount of compensation which they as such are held to be entitled to. [Para 13]

Motor Accident Claims – Even in case of a deceased who was not serving at the time of death and had no income at the time of death, their legal heirs shall also be entitled to future prospects by adding future rise in income i.e. addition of 40% of the income determined on guesswork considering the educational qualification, family background etc., where the deceased was below the age of 40 years.

Motor Accident Claims – Deceased at the time of accident was aged 21­-22 years and that he was a 3rd year student in civil engineering – Therefore, it can be said that looking to his educational qualification he was having a bright future – Even the labourers / skilled labourers were getting Rs.5,000/­ per month under the Minimum Wages Act in the year 2012 – As the deceased was studying in the 3rd/4th semester of civil engineering, he cannot be considered worse than the labourers / skilled labourers.

Learned Tribunal assessed the income of deceased at Rs.15,000/­ per month for the purpose of awarding compensation under the head of future economic loss. However, by the impugned judgment and order, the High Court has reduced the compensation and determined the income of the deceased at Rs.5,000/­ per month. Awarding the future economic loss to the claimants considering the income of the deceased as Rs.5,000/­ is not sustainable at all. Even the counsel appearing on behalf of the Union of India has fairly conceded that assessing the income of deceased at Rs.5,000/­ per month for the purpose of awarding the compensation under the head of future economic loss can be said to be at lower side and as such is not justifiable. [Para 8]

Motor Accident Claims – Future Economical Loss While awarding the future economical loss, when the deceased died at the young age 21­-22 years and was not earning at the time of death/accident, the income for the purpose of determining the future economic loss is always done on the basis of guesswork considering many circumstances namely the educational qualification and background of the family, etc.

Therefore looking to the educational qualification and the family background, the deceased was having a bright future studying in the 3rd year of civil engineering, the income of the deceased at least ought to have been considered at least Rs.10,000/­ per month, more particularly considering the fact that the labourers / skilled labourers were getting Rs.5,000/­ per month even under the Minimum Wages Act in the year 2012. [Para 8]