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CDJ 2026 MHC 5922 My Notes print Preview print print
Court : High Court of Judicature at Madras
Case No : CMA. No. 1591 of 2021 & CMP. No. 8265 of 2021
Judges: THE HONOURABLE MR. JUSTICE N. ANAND VENKATESH
Parties : The Manager, M/s. Royal Sundaram General Insurance Co Ltd, Chennai Versus Pavunesan & Another
Appearing Advocates : For the Appellant: C. Harini, Advocate. For the Respondents: R1, S.P. Yuvaraj, Advocate, R2, No representation.
Date of Judgment : 03-08-2026
Head Note :-
Motor Vehicles Act, 1988 - Section 173 -
Judgment :-

(Prayer: This Civil Miscellaneous Appeal filed under Section 173 of Motor Vehicles Act, 1988, against the Judgment and Decree made in MCOP No.286/2018, dated 07.03.2020, on the file of the Motor Accidents Claims Tribunal, Additional District Court, Hosur.)

1. This Civil Miscellaneous Appeal has been filed by the Appellant Insurance company against the award passed by the Motor Accident Claims Tribunal, Additional District Court, Hosur in MCOP No.286 of 2018, questioning the quantum of compensation fixed by the Tribunal.

2. The case of the claimant is that on 18.11.2016, he was riding a two wheeler and at about 9.30 a.m, near Jayanagar, Bangalore city, the offending vehicle, which was a Maruti car, was driven in a rash and negligent manner and dashed against the two wheeler. As a result of which, the claimant sustained a “closed left leg both bones fracture”. The claimant underwent treatment as an inpatient from 18.11.2016 to 24.11.2016 and one surgery was also performed. An FIR came to be registered in Crime No.374 of 2016 against the driver of the offending vehicle. It is under these circumstances, the claim petition came to be filed before the Tribunal.

3. The Tribunal on considering the facts and circumstances of the case and on appreciation of oral and documentary evidence came to a conclusion that the accident had taken place only due to the rash and negligent driving on the part of the driver of the offending vehicle.

4. Having rendered such a finding, the Tribunal proceeded to fix the total compensation at Rs.13,69,882/- under the following heads :-

Sl.No.

Compensation awarded under the head

Amount (in Rs.)

1.

Loss of earning capacity

Rs.11,52,000/-

2.

Transportation charges

Rs.17,160/-

3.

Nutrition charges

Rs.10,000/-

4.

Attender Charges

Rs.10,000/-

5.

Pain and sufferings

Rs.50,000/-

6

Discomfort, frustration and loss of social enjoyment

Rs.10,000/-

7

Future Medical expenses

Rs.20,000/-

8

Medical Bills

Rs.1,00,722/-

Total

Rs.13,69,882/-

5. The above compensation was directed to be paid with interest at the rate of 7.5% per annum. Aggrieved by the same, the Insurance company has filed this appeal.

6. Heard Ms.C.Harini, learned counsel for appellant and Mr.S.P.Yuvaraj, learned counsel for the 1st respondent.

7. This Court carefully considered the submissions made on the side of the appellant and the materials available on record.

8. This Court also carefully went through the award passed by the Tribunal.

9. The bone of contention is regarding the Tribunal applying the multiplier method and fixing the compensation under the head of loss of earning capacity.

10. In the case in hand, the nature of injury sustained by the claimant was a left leg both bone fracture. The claimant had undergone treatment as an inpatient for 7 days and one surgery was also performed. The Medical board had assessed the partial permanent disability at 40% and there is no material to show that the claimant suffered any functional disability. The Tribunal has straight away rendered a finding that the accident had resulted in loss of earning capacity of the claimant and applied the multiplier method, taking the functional disability at 40%. The said finding rendered by the Tribunal is illegal and is liable to be interfered by this Court.

11. This is a fit case where the percentage method must be adopted and considering the fact that the accident had taken place in the year 2016, this Court is inclined to award a sum of Rs.6,000/- per percentage and accordingly, the compensation under the head of disability is fixed as Rs.6000/- x 40 = Rs.2,40,000/-.

12. The claimant is said to be a mason and considering the nature of injury sustained, he would have been out of action for atleast four months, this Court is inclined to fix Rs.15,000/- as the Notional monthly income and the loss of income is calculated as Rs.15,000 x 4 = Rs.60,000/-.

13. This Court is inclined to enhance the compensation under the head of Extra Nourishment to Rs.25,000/-. Attendar charges to Rs.20,000/- and loss of amenities to Rs.15,000/-. The compensation that has been granted under the head of future medical expenses is set aside, since there is no material to grant compensation under the said head.

14. The compensation fixed under the other heads are just and reasonable and it does not require the interference of this Court.

15. In the light of the above discussion, this Court modifies the compensation in the following manner:

Sl.No.

Compensation awarded under the head

Amount by the Tribunal (in Rs.)

Amount awarded by this Court (in Rs.)

1.

Loss of earning capacity / disability

Rs.11,52,000/-

2,40,000/-

2.

Transportation charges

Rs.17,160/-

Rs.17,160/-

3.

Nutrition charges

Rs.10,000/-

Rs.25,000/-

4.

Attender Charges

Rs.10,000/-

Rs.20,000/-

5.

Pain and sufferings

Rs.50,000/-

Rs.50,000/-

6

Discomfort, frustration and loss of social enjoyment

Rs.10,000/-

Rs.15,000/-

7

Future Medical expenses

Rs.20,000/-

-

8

Medical Bills

Rs.1,00,722/-

Rs.1,00,722/-

9.

Loss of income

Rs.60,000/-

Total

Rs.13,69,882/-

Rs.5,27,882/-

16. The compensation awarded by the Tribunal is reduced from Rs.13,69,882/- to Rs,5,27,882/-. The Appellant Insurance company is directed to deposit the reduced compensation amount, less the amount already deposited, together with interest at 7.5% p.a. from the date of claim petition till the date of deposit within a period of four (4) weeks from the date of receipt of this judgment. The excess amount deposited by the Insurance company shall be permitted to be withdrawn. On such deposit, the claimant is entitled to withdraw the compensation amount. The other directions issued by the Tribunal with regard to the mode of payment of compensation remains unaltered. The guidelines issued by the Division Bench of this Court in C.M.A.No.2064 of 2026, dated 08.07.2026 shall be strictly complied with respect to disbursement of the compensation amount to the claimant.

17. In the result, the Civil Miscellaneous Appeal is Allowed in the above terms. No costs. Consequently, the connected miscellaneous petition is closed.

 
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