MANU/SC/0782/2017

True Court CopyTM English

IN THE SUPREME COURT OF INDIA

Civil Appeal Nos. 6445-6446 of 2017 (Arising out SLP (C) Nos. 36407-36408 of 2016)

Decided On: 03.05.2017

Appellants: Afnees (Unconscious) rep. thr. Mother Vs. Respondent: Oriental Insurance Co. Ltd. Vadakara and Ors.

Hon'ble Judges/Coram:
Pinaki Chandra Ghose and Rohinton Fali Nariman

JUDGMENT

1. Leave granted. The Appellant-Afnees (unconscious), through his mother, has approached this Court aggrieved by the order passed by the Division Bench of the High Court of Kerala at Ernakulam whereby the High Court allowed the appeal of the Insurance Company and reduced the amount of compensation awarded by the Motor Accident Claims Tribunal, Vadakara (for short, 'the Tribunal') from ` 10,88,800/- to ` 5,76,000/- by applying a multiplier of 16 as the claimant was aged 19 at the relevant time and further partly allowed the appeal of the Appellant and awarded ` 1 lakh towards future treatment.

2. In the petition filed by the Appellant Under Section 166 of the Motor Vehicles Act, 1988 (for short, 'the Act'), which came to be registered as OP (MV) No. 575 of 2007, the Appellant prayed for award of compensation to the tune of ` 22,00,000/-. The Appellant's claim was founded on the following assertions:

(i) That the Appellant had suffered grievous injuries in an accident which occurred on 28.12.2006 when his motor cycle was hit by a jeep driven in a rash and negligent manner and in a high speed.

(ii) That he was initially treated at MCH, Calicut from where he was shifted to Indo American Hospital Brain and Spine Centre, Vaikom. He remained in the hospital from 28.12.2006 to 11.02.2007 and 28.02.2007 to 15.03.2007. Due to the accident, the Appellant was totally bed ridden and is in a coma (vegetative) stage and the medical board assessed his disability at 100 per cent. His treatment still continues with no improvement and may be in the same position for his remaining life.

(iii) That at the time of accident his age was about 19 years and he was doing part-time job as a sales man drawing a monthly salary of ` 3,000/- per month.

(iv) That on account of the accident, he is fully dependent for all activities of daily life.

(v) He is from a poor family and his parents, being labourers, cannot afford the treatment expenses.

3. After considering the pleadings of the parties and evidence adduced by them, the Tribunal held that the accident was caused due to rash and negligent driving. The Respondent insurance-company admitted the valid insurance coverage over the offending jeep as on the date of accident and has not proved any violation of policy terms and conditions by driver and the owner. Hence, the above compensation is to be paid by the insurance company. The Tribunal then referred to the Second Schedule of the Act and determined the amount of compensation by assuming the Appellant's income to be ` 3,000/- per month. The Tribunal was of the view that due to 100% disability, the Appellant would suffer loss of income to the tune of ` 36,000/- per annum. The Tribunal then applied the multiplier of 18 and held that the Appellant is entitled to ` 6,48,000/- towards permanent disability. The total compensation awarded by the Tribunal under different heads amounts to ` 10,88,800/-.

4. The Tribunal also awarde........