Compensation Awarded Towards 'Pain And Suffering' On Lower Side- SC Increases Compensation In Road Accident Case

The Supreme Court has increased the compensation awarded to a claimant who was injured in a road accident in the year 2007.

The two-Judge Bench comprising Justice Surya Kant and Justice Aravind Kumar noted, “... we are of the view that compensation awarded towards ‘pain and suffering’ is on the lower side. Having regard to the fact that claimant remained in hospital for ten days and was also in continuous treatment thereafter persuade us to award additional compensation towards ‘pain and suffering’. Hence, we award Additional Compensation of Rs.50,000/- under the head ‘pain and suffering’”.

The Apex Court said that the claimant being a graduate and working as Marketing Executive, his plea of salary being Rs.8,000/- p.m. deserves to be accepted, as it is within proximity of truth and same could not have been ignored by the Tribunal and the High Court on hyper-technical grounds.

"Hence, we are of the considered view that Tribunal and the High Court fell in error in construing the income of the claimant at Rs.3,000/- p.m. instead of Rs.8,000/- p.m. To this extent the award passed by the Tribunal and affirmed by the High Court requires to be modified and the compensation requires to be recomputed by taking into consideration salary certificate”, the Bench held.

Advocate C.B. Gururaj appeared on behalf of the claimant while Advocate T. Mahipal appeared on behalf of the insurance company.

In this case, a Civil Appeal was filed before the Supreme Court against the judgement passed by the Karnataka High Court. The High Court affirmed the compensation granted to the claimant by Motor Vehicle Claims Tribunal (Tribunal). The claimant met with a road accident in December 2007, and sustained injuries and hence filed a claim petition for compensation under Section 166 of the Motor Vehicles Act (MV Act). The insurer contested the matter, but the Tribunal partially allowed the claim petition and awarded compensation of Rs. 2,36,812/-.

The counsel for the claimant contended that Tribunal had awarded an abysmally low compensation and that they had erred in construing the claimant's income. The counsel further argued that the Tribunal had failed to consider the claimant's permanent physical disability of 48%. While the counsel for the insurance company alleged that the award granted by the Tribunal was fair and reasonable.

The Supreme Court in view of the facts and circumstances of the case awarded an additional compensation of Rs. 50,000/- under the head 'pain and suffering'. The Court further increased the compensation for loss of future income to Rs.12,96,000, based on the claimant's actual income of Rs.8,000 per month.

"On account of the injuries sustained claimant has suffered 75% whole body disability. He has clearly deposed that on account of the injuries sustained and consequential disability suffered his marriage prospects have become bleak. Even in the affidavit filed on 30.09.2022 he has deposed that he has remained unmarried and none has come forward to marry him. In other words, the prospects of appellant getting married would remain a dream and for loss of the same he has to be suitably awarded compensation. Hence, we award a sum of Rs.50,000/- towards the “loss of marriage prospects”, directed the Court.

The Court, therefore, awarded a sum of Rs.15,94,812/- with interest @ 6% p.a. to the appellant.

Accordingly, the Apex Court allowed the appeal in part and directed the first respondent, Oriental Insurance Company Limited, to deposit the award amount within six weeks.

Cause Title: Sri Lakshmana Gowda B.N v The Oriental Insurance Co. Ltd. And Another

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