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C.A.  @ SLP (C) No. 2339 of 2014                     1

  IN THE SUPREME COURT OF INDIA    CIVIL APPELLATE JURISDICTION CIVIL APPEAL NO. 9972 OF 2014

(Arising out of SLP(C) NO. 2339 OF 2014)

KALA DEVI & ORS.                    …APPELLANTS

Vs.

BHAGWAN DAS CHAUHAN & ORS.         ….RESPONDENTS

J U D G M E N T    V. GOPALA GOWDA, J.

      Leave granted.

2.    This  appeal  has  been  filed  by  the  appellant-

claimants  against  the  Judgment  and  order  dated  

31.07.2013 passed in First Appeal No. 413 of 2007 by  

the High Court of Himachal Pradesh at Shimla, wherein  

the High Court has partly allowed the appeal filed by  

the appellant-claimants.

3. The necessary relevant facts are stated hereunder to  

NON REPORTABLE

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appreciate the case with a view to ascertain whether  

the appellants are entitled for relief as prayed in  

this appeal.  

  On  15.12.2003,  Roshan  Chauhan,  husband  of  the  

appellant Kala Devi was travelling in a vehicle bearing  

No. HP-09A-0897(207 TATA), which was being driven by  

respondent No. 3 Keshav Ram. When they reached near  

Narla, Tehsil Theog, District Shimla, the vehicle got  

stuck due to snow surfaced road. Roshan and few others  

alighted and tried to push the vehicle. In the process  

of pushing the vehicle, suddenly the vehicle slipped  

and hit Roshan and went off the road. This lead to the  

death of Roshan and seriously injured others who later  

succumbed to the same.  

4.  The claimants i.e. the wife, 2 minor children and  

mother of the deceased filed a claim petition before  

the Motor Accidents Claims Tribunal, Shimla (in short  

‘the Tribunal’) claiming Rs.12,96,000/- as compensation  

on the ground that the deceased was 25 years of age, a  

matriculate  and  a  driver  by  vocation,  earning  

Rs.9,000/- p.m. at the time of his death. The Tribunal

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took the income of the deceased at Rs.3,000/- p.m. for  

the purpose of quantifying loss of dependency of the  

appellants. 1/3rd of the monthly income was deducted  

towards  personal  expenses  of  the  deceased.  As  the  

deceased was 25 years of age at the time of his death,  

therefore by applying the appropriate multiplier of 17,  

the compensation determined by the Tribunal towards the  

loss  of  dependency  was  arrived  at  Rs.4,08,000/-  

(Rs.2,000 x 12 x 17). A sum of Rs.32,000/- was awarded  

towards conventional heads. Thus, a total compensation  

of  Rs.4,40,000/-  was  awarded  by  the  Tribunal  with  

interest at the rate of 7.5% p.a. to the appellants.

5. Being aggrieved by the judgment and award passed by  

the Tribunal, the claimant-appellants preferred First  

Appeal  No.  413  of  2007  before  the  High  Court  of  

Himachal  Pradesh  at  Shimla  for  enhancement  of  

compensation, whereas the respondent-Insurance Company  

preferred First Appeal No.498 of 2007 for the reduction  

of the compensation awarded by the Tribunal.  

6.  After hearing the parties, the High Court was of  

the view that there was nothing to dislodge the income

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of the deceased as assessed by the Tribunal. However,  

it could not be applied for all of the forthcoming  

years had the deceased survived. Therefore, keeping in  

view the potentiality that the deceased could have had,  

a benefit of 40% increase in the income was given by  

the  High  Court.  Thus,  arriving  at  an  income  of  

Rs.4,200/- p.m. and after deducting 1/3rd amount towards  

personal  expenses,  the  dependency  was  arrived  at  

Rs.2,800/-  p.m.  (Rs.33,600/-  p.a.).  The  appropriate  

multiplier of 18 was adopted by the High Court and  

arrived at a loss of dependency of Rs.6,04,800/-. It  

was further held that the appellant-wife was entitled  

for  a  compensation  of  Rs.30,000/-  for  loss  of  

consortium  and  the  minors  were  entitled  to  a  

compensation  of  Rs.40,000/-  for  loss  of  love  and  

affection. Further, the appellants were also entitled  

for Rs.25,000/- under the head of conventional charges.  

Thus, the total amount of compensation calculated by  

the High Court was Rs.6,99,800/- with 9% interest p.a.  

with costs quantified at Rs.5,000/-. The appeal filed  

by the respondent-Insurance Company was dismissed by  

the High Court.  

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 Not satisfied with the order of the High Court,  

the appellants have filed this appeal, urging various  

grounds.

7. It has been contended by the learned counsel for the  

appellants that the income of the deceased at the time  

of his death was Rs.9,000/- p.m. and therefore, the  

assessment of loss of dependency based on Rs.3,000/-  

p.m. as the income of the deceased is wrong.

 8.  On  the  other  hand,  the  learned  counsel  for  the  

respondents  contended  that  the  computation  of  the  

compensation is after thorough analysis of the evidence  

on record in detail and the High Court has correctly  

assessed  the  monthly  income  of  the  deceased  as  

Rs.3,000/- and thereafter gave a further increase of  

40% towards future prospects and enhanced the total  

compensation of Rs.6,99,800/- at 9% interest p.a.

9. We have heard the learned counsel for the parties.  

The deceased was 25 years of age at the time of death  

and was a matriculate, working as a driver with a valid  

license for driving heavy motor vehicles. A driver in

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Himachal Pradesh on an average earns Rs.9,000/- p.m. as  

per Minimum Wages Act. Therefore, the courts below have  

failed to take judicial notice of the same and the fact  

that  the  post  of  a  driver  is  a  skilled  job.  Thus,  

considering the facts and circumstances of the case, we  

take  the  gross  monthly  income  of  the  deceased  at  

Rs.9,000/- p.m., i.e. Rs.1,08,000/- p.a. On deduction  

of 20% towards income tax, the net income comes to  

Rs.86,400/-  p.a.  Further,  deducting  1/3rd towards  

personal  expenses  and  applying  the  appropriate  

multiplier of 18, the loss of dependency is calculated  

at Rs.10,36,800/-.

10. Further, the High Court has failed in not following  

the principles laid down by this Court in Rajesh & Ors.  

v. Rajbir Singh & Ors.1 and erred in awarding a meagre  

sum  of  just  Rs.30,000/-  under  the  head  of  loss  of  

consortium,  Rs.40,000/-  towards  loss  of  love  and  

affection.  Accordingly, we award Rs.1,00,000/- towards  

loss  of  consortium,  Rs.25,000/-  towards  funeral  

expenses and Rs.1,00,000/- to each minor child of the  

deceased (i.e. Rs.2,00,000/-) towards loss of love and  1

 (2013) 9 SCC 54

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affection as per the guidelines laid down by this Court  

in Juju Kuruvila & Ors. v. Kunjujamma Mohan & Ors.2.

11. The High Court has further erred by not awarding  

compensation towards loss of estate to the appellant-

wife. We accordingly award Rs.1,00,000/- towards the  

same, as per the principles laid down by this Court in  

Kalpanaraj  &  Ors.  v.  Tamil  Nadu  State  Transport  

Corporation3.

12. In the result, the appellants shall be entitled to  

compensation under the following heads:

1. Loss of dependency Rs. 10,36,800/- 2. Loss of Consortium Rs.  1,00,000/- 3. Loss of Estate Rs.  1,00,000/- 4. Loss of love and  

affection Rs.  2,00,000/- 5. Funeral expenses Rs.    25,000/-

TOTAL Rs. 14,61,800/-

Thus, the total compensation payable to the appellants  

by  the  respondent-Insurance  Company  will  be  

Rs.14,61,800/- with interest at the rate of 9% p.a.  

from the date of filing of the application till the  

date of payment. Accordingly, we allow this appeal in  2

(2013)9 SCC 166 3

 2014(5)SCALE 479

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awarding Rs.14,61,800/- with interest @9% p.a.

    The  compensation  awarded  shall  be  apportioned  

between  the  appellants  equally  with  proportionate  

interest.  The  respondent-Insurance  Company  shall  

either pay by way of demand draft in favour of the  

appellants  or  deposit  the  same  with  interest  as  

awarded  by  this  Court,  before  the  Motor  Accidents  

Claims  Tribunal, after  deducting the  amount already  

paid  to  the  appellants  pursuant  to  the  impugned  

Judgment and Award, if any, within six weeks from the  

date  of  receipt  of  the  copy  of  this  judgment.  No  

Costs.

                 ……………………………………………………………J.                              [V. GOPALA GOWDA]

  ……………………………………………………………J.                               [ADARSH KUMAR GOEL]

New Delhi,  October 31, 2014