Summary
A tanker-lorry cleaner suffered comminuted fractures of both tibias in a 2015 collision near Chitradurga. He needed two operations, including bone grafting. His treating doctor certified 54% disability. The Tribunal awarded Rs 21.08 lakh, more than he had claimed. The Karnataka High Court cut this to Rs 7.37 lakh, taking 20% disability on a monthly income of Rs 9,000. Applying Raj Kumar v. Ajay Kumar, the Supreme Court held that the doctor's percentage is not automatically the loss of earning capacity, which the court must assess from all the evidence. It fixed whole-body disability at 30% on a notional income of Rs 10,000, and increased the awards for pain and suffering, loss of amenities and twelve months' lost income. Compensation was raised to Rs 11,67,405 with 6% interest, Rs 3 lakh of it to be kept in a fixed deposit for five years.
Issues
- What loss of earning capacity and compensation is just for a lorry cleaner with comminuted fractures of both tibias whose doctor assessed 54% permanent disability.
Provisions considered
- Sections 166 and 168, Motor Vehicles Act, 1988Just compensation for injury covers pecuniary and non-pecuniary heads; loss of future earnings depends on the effect of the permanent disability on earning capacity, assessed by the tribunal from the entire evidence (Raj Kumar). (¶¶ 8, 9)
Held
- The percentage of permanent disability, especially when expressed for a limb, is not the percentage of loss of earning capacity; the tribunal must assess the effect of the disability on earnings, the doctor's evidence going only to the extent of disability. (¶ 8)
- The doctor's assessment of 54% was on the higher side; for comminuted fractures of both tibias, whole-body disability is fixed at 30%, and with a notional income of Rs 10,000 and multiplier 17, loss of future earning capacity is Rs 6,12,000. (¶¶ 10, 11, 12)
- Given two surgeries and likely future surgery, pain and suffering is raised to Rs 1,00,000, loss of amenities to Rs 1,00,000 and loss of income for twelve months laid up to Rs 1,20,000, making a total of Rs 11,67,405. (¶¶ 11, 12)
Result
Civil Appeal Nos. 8598-8599 of 2022 partly allowed; the Karnataka High Court judgment dated 16.10.2020 in M.F.A. No. 48 of 2017 and M.F.A. No. 7972 of 2016 modified, and compensation enhanced from Rs 7,37,604 to Rs 11,67,405 with 6% interest from the petition, to be deposited within six weeks, Rs 3,00,000 of it to be kept in a nationalised bank for five years; parties to bear their costs.