Tag: Multiplier Method

Landmark Ruling: Supreme Court Explains How to Calculate “Just Compensation” for Accident Deaths
Supreme Court

Landmark Ruling: Supreme Court Explains How to Calculate “Just Compensation” for Accident Deaths

This Supreme Court judgment clarifies that allowances forming part of a deceased's salary, if used for family support, must be included in income computation for motor accident compensation. It applies established principles from Sarla Verma and Pranay Sethi to include future prospects and awards consortium as per Magma General Insurance, ensuring just compensation under the Motor Vehicles Act. Facts Of The Case: On February 16, 2009, Lokender Kumar died in a motor accident caused by the rash and negligent driving of a Santro car on the Sohna-Gurgaon Road. His widow and two minor children filed a claim petition before the Motor Accident Claims Tribunal in Gurgaon, seeking Rs. 25 lakhs in compensation. The Tribunal, considering his basic salary of Rs. 3,665 per month and applying a multip...
Not Just Salaried: Supreme Court Rules Self-Employed Accident Victims Get Future Income Rise
Supreme Court

Not Just Salaried: Supreme Court Rules Self-Employed Accident Victims Get Future Income Rise

The Supreme Court held that self-employed claimants are entitled to future prospects, affirming the principles in Santosh Devi and Pranay Sethi. It further ruled that uncontroverted medical evidence on disability must be accepted in its entirety, and the percentage of disability assessed by the treating doctor cannot be arbitrarily reduced by the Tribunal or High Court without reasoning. Facts Of The Case: On November 19, 2016, at approximately 6:00 a.m., the appellant, Lokesh B, a 38-year-old tailor, was driving his Omni car on the Peenya flyover in Bengaluru. His vehicle collided with a stationary lorry that was allegedly parked in the middle of the flyover without any indicators or reflective warnings. As a result of the collision, Lokesh sustained grievous injuries, including skull f...
Supreme Court’s Key Ruling :Notional Income of an Engineering Student Should Be Higher
Supreme Court

Supreme Court’s Key Ruling :Notional Income of an Engineering Student Should Be Higher

The Supreme Court modified the contributory negligence apportionment to 20% on the claimant, 50% on the car driver, and 30% on the bus driver. It enhanced compensation by revising the notional income calculation for an engineering student and reinstated attendant charges, emphasizing just compensation for 100% disability. Facts Of The Case: On January 7, 2017, the appellant, a 20-year-old engineering student, was riding a motorcycle with a friend on the pillion. A car ahead, driven by respondent no. 2, suddenly applied its brakes on the highway because the driver's pregnant wife felt a vomiting sensation. This caused the appellant to collide with the rear of the car and fall onto the road. Subsequently, a bus, insured by respondent no. 1, which was coming from behind, ran over the appell...
Supreme Court Clarifies Compensation Rules for Loss of Dependency in Fatal Accident
Supreme Court

Supreme Court Clarifies Compensation Rules for Loss of Dependency in Fatal Accident

The Supreme Court upheld the High Court’s decision, affirming the Motor Accident Claims Tribunal’s award of ₹76.63 lakhs with 9% interest. It rejected the insurer’s plea to reduce the multiplier, holding that remarriage of the widow did not negate dependency claims of minor children. The Court also clarified that future prospects and interest apply from the claim filing date, emphasizing timely compensation. Delay in adjudication was not solely attributable to claimants, justifying the interest rate. The judgment reinforces precedent-based compensation principles in fatal accident cases. Facts Of The Case: The case involved a fatal motor accident that occurred on 18 November 1995, when a car collided with a truck due to the alleged rash and negligent driving of the truck driver. The dece...