Summary
The Supreme Court reassessed fatal-accident compensation at Rs.14,25,600 with 12% annual interest from the claim petition to payment. It applied 40% future prospects, upheld the deceased bachelor’s aged father and unmarried sister as dependants and retained a one-third personal-expense deduction. It explained spousal, parental and filial consortium and awarded Rs.40,000 each to the father and sister in this case, alongside the other specified heads.
Issues
- How future prospects, personal expenses and dependency should be assessed for the deceased bachelor.
- Whether loss of estate and consortium should be awarded and what compensation and liability should result.
Provisions considered
- Article 142(1), Constitution of IndiaTo secure substantial justice, the Court added Rs.15,000 for loss of estate, a head omitted below, while explaining the duty to award just compensation. (¶ 8.6)
Held
- For the twenty-four-year-old deceased treated as self-employed, future prospects were 40%, rather than the High Court’s 50%. The monthly income of Rs.6,000, marginally above the applicable unskilled minimum wage, was left undisturbed. (¶¶ 8.1, 8.3)
- The aged father and unmarried sister were dependent on the deceased’s contribution. The contention that only a bachelor’s mother could qualify was rejected. On these circumstances, the one-third deduction for personal expenses was upheld. (¶¶ 8.2, 8.4)
- Funeral expenses were reduced to Rs.15,000, the Rs.1,00,000 loss-of-love-and-affection award was retained, and Rs.15,000 for loss of estate was added under Article 142 despite absence of a specific plea. (¶ 8.5–8.6)
- Consortium encompasses spousal, parental and filial relationships. The judgment explained parents’ loss of a child’s companionship and children’s loss of parental care. Applying the consortium principles, the Court awarded Rs.40,000 each to the father and sister in this case. (¶ 8.7)
- Using multiplier eighteen, the Court fixed total compensation at Rs.14,25,600 with 12% annual interest from filing to payment, apportioned 60% to the father and 40% to the sister. The insurer and driver were jointly and severally liable; the insurer was to pay the full award and could recover half from the driver. (¶ 9–11)
Result
Appeal disposed of with compensation fixed at Rs.14,25,600 plus 12% annual interest from claim filing to payment, divided 60:40 between father and sister. Insurer to pay, with recovery of 50% from driver.