FAO NO-3924-2023 IN THE HIGH COURT OF PUNJAB AND HARYANA BHATERI AND ANOTHER Vs. SHRI BHAGWAN AND OTHERS 1. The date when the judgment was reserved 2. The date when the judgment is pronounced 3. The date when the judgment is uploaded on the website 4. Whether only operative part of the judgment is pronounced 5. The delay, if any, of the pronouncement of full judgment and reasons thereof. CORAM: HON’BLE MR. JUSTICE HARKESH MANUJA Present: Mr. Vishal Yadav for the appellant Mr. Diwan S. Adlakha for respondent no.3 HARKESH MANUJA, J. By way of present appeal, challenge has been laid dated 26.04.2023 Rewari (for brevity, “the Tribunal”), whereby an amount of Rs. was awarded as compensation to the appellants/claimants along with interest @ 7.5% realization on account of death of vehicular accident, 2. Since the sole issue for determination in the present appeal is confined to the quantum of compensation awarded by the learned Tribunal, 2023(O&M) IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH Pronounced on: BHATERI AND ANOTHER SHRI BHAGWAN AND OTHERS The date when the judgment was reserved The date when the judgment is pronounced The date when the judgment is uploaded on the website Whether only operative part of the judgment is or whether the full judgment is pronounced. The delay, if any, of the pronouncement of full judgment and reasons thereof. HON’BLE MR. JUSTICE HARKESH MANUJA . Vishal Yadav, Advocate appellants. Diwan S. Adlakha, Advocate for respondent no.3- Insurance Company. ****** HARKESH MANUJA, J. By way of present appeal, challenge has been laid 6.04.2023 passed by the learned Motor Accident Claims Tribunal, (for brevity, “the Tribunal”), whereby an amount of Rs. was awarded as compensation to the appellants/claimants along with % per annum from the date of filing of petition till its realization on account of death of Pardeep @ Chhotiya vehicular accident, that occurred on 01.11.2020 Since the sole issue for determination in the present appeal is to the quantum of compensation awarded by the learned Tribunal, (O&M) 1 IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH FAO NO–3924-2023 Reserved on: 28.01.2026 Pronounced on: 04.02.2026 ..….Appellants ..….Respondents 28.01.2026 04.02.2026 The date when the judgment is uploaded on the website 04.02.2026 Whether only operative part of the judgment is or whether the full judgment is pronounced. Full The delay, if any, of the pronouncement of full judgment Not applicable. HON’BLE MR. JUSTICE HARKESH MANUJA Insurance Company. By way of present appeal, challenge has been laid to an award passed by the learned Motor Accident Claims Tribunal, (for brevity, “the Tribunal”), whereby an amount of Rs. 14,84,920/- was awarded as compensation to the appellants/claimants along with per annum from the date of filing of petition till its Pardeep @ Chhotiya(aged 23) in a motor 01.11.2020. Since the sole issue for determination in the present appeal is to the quantum of compensation awarded by the learned Tribunal, 1 to an award passed by the learned Motor Accident Claims Tribunal, - was awarded as compensation to the appellants/claimants along with per annum from the date of filing of petition till its in a motor Since the sole issue for determination in the present appeal is to the quantum of compensation awarded by the learned Tribunal, SANJAY GUPTA 2026.02.04 18:30 I attest to the accuracy and integrity of this document FAO NO-3924-2023 a detailed narration of the facts of the case is omitted herein for the sake of brevity. ARGUMENTS ON BEHALF OF LEARNED COUNSEL FOR THE APPELLANTS 3. Learned counsel for the award by submitting that the deceased approximately Rs 18,000 categorizing the deceased as an unskilled labourer and arbitrarily assess his income at Rs.9,458/ amount of compensation granted under conventional heads was not in consonance with the settled law annual interest awarded was also towards the low prayed for enhancement of compensation as per latest decision on the subject. ARGUMENTS RESPONDENT No.3/INSURANCE COMPANY 4. Per contra, learned counsel representing respondent No. 3/Insurance Company neither refuted the factum of accident nor even the negligence of the offending vehicle, however submitted that in the facts of the present case, the compensation assessed by the learned Tribunal called for no interference. DISCUSSION 5. I have heard learned counsel for the parties and perused the paper-book of the case. I find force in the arguments advanced by learned counsel for the appellants. 2023(O&M) a detailed narration of the facts of the case is omitted herein for the sake of ARGUMENTS ON BEHALF OF LEARNED COUNSEL FOR THE Learned counsel for the appellants/claimants assailed the award by submitting that the deceased was an agriculturist earning approximately Rs 18,000/- per month and t deceased as an unskilled labourer and arbitrarily assess .9,458/- per month. Furthermore, it was submitted that the amount of compensation granted under conventional heads was not in consonance with the settled law and multiplier applied as well as the rate of annual interest awarded was also towards the low rayed for enhancement of compensation as per latest decision on the ARGUMENTS ON BEHALF OF LEARNED COUNSEL FOR RESPONDENT No.3/INSURANCE COMPANY Per contra, learned counsel representing respondent No. Company neither refuted the factum of accident nor even the negligence of the offending vehicle, however submitted that in the facts of the present case, the compensation assessed by the learned Tribunal called for no interference. I have heard learned counsel for the parties and perused the book of the case. I find force in the arguments advanced by learned ounsel for the appellants. (O&M) 2 a detailed narration of the facts of the case is omitted herein for the sake of ARGUMENTS ON BEHALF OF LEARNED COUNSEL FOR THE appellants/claimants assailed the was an agriculturist earning and the ld. Tribunal erred in deceased as an unskilled labourer and arbitrarily assessed . Furthermore, it was submitted that the amount of compensation granted under conventional heads was not in multiplier applied as well as the rate of annual interest awarded was also towards the lower side. Ld. Counsel thus rayed for enhancement of compensation as per latest decision on the ON BEHALF OF LEARNED COUNSEL FOR RESPONDENT No.3/INSURANCE COMPANY Per contra, learned counsel representing respondent No. Company neither refuted the factum of accident nor even the negligence of the offending vehicle, however submitted that in the facts of the present case, the compensation assessed by the learned Tribunal I have heard learned counsel for the parties and perused the book of the case. I find force in the arguments advanced by learned 2 a detailed narration of the facts of the case is omitted herein for the sake of ARGUMENTS ON BEHALF OF LEARNED COUNSEL FOR THE appellants/claimants assailed the was an agriculturist earning he ld. Tribunal erred in ed . Furthermore, it was submitted that the amount of compensation granted under conventional heads was not in multiplier applied as well as the rate of er side. Ld. Counsel thus rayed for enhancement of compensation as per latest decision on the ON BEHALF OF LEARNED COUNSEL FOR Per contra, learned counsel representing respondent No. Company neither refuted the factum of accident nor even the negligence of the offending vehicle, however submitted that in the facts of the present case, the compensation assessed by the learned Tribunal I have heard learned counsel for the parties and perused the book of the case. I find force in the arguments advanced by learned SANJAY GUPTA 2026.02.04 18:30 I attest to the accuracy and integrity of this document FAO NO-3924-2023 QUESTION OF INCOME ASSESSED 6. In the present case, deceased was a however, they failed to lead any cogent evidence or of his employment. deceased @ Rs.9458/ the Minimum Wages of an unskilled person in the year 2020. In the humble opinion of this Hon’ble Court, Ld. Tribunal in the absence of any evidence regarding the income, expenses or deceased b work has correctly assessed the monthly income to the tune of Rs. 9,458/ 7. The learned Tribunal deducted personal and living expenses of the deceased in accordance with the law laid down by the Ho and others vs. Delhi Transport Corporation and another,” 2009(3) RCR (Civil) 77, a bachelor and the claimants were the parents, the deduction follows a different principle and with regard to bachelors, 50% deducted as personal and living expenses. Relevant para of the judgment is culled out as under: “15. 2023(O&M) QUESTION OF INCOME ASSESSED In the present case, appellants/claimants eased was an agriculturist and was earning Rs they failed to lead any cogent evidence employment. Learned Tribunal assessed the monthly income of @ Rs.9458/- on notional basis relying upon basic wages as per Minimum Wages of an unskilled person in the year 2020. In the humble opinion of this Hon’ble Court, Ld. Tribunal in the absence of any evidence regarding the income, expenses or deceased b work has correctly assessed the monthly income to the tune of Rs. 9,458/ The learned Tribunal deducted 50% personal and living expenses of the deceased in accordance with the law laid down by the Hon’ble Supreme Court in the case of and others vs. Delhi Transport Corporation and another,” 2009(3) RCR (Civil) 77, wherein it was held that in case the deceased was a bachelor and the claimants were the parents, the deduction follows a different principle and with regard to bachelors, 50% deducted as personal and living expenses. Relevant para of the judgment lled out as under:- Where the deceased was a bachelor and the claimants are the parents, the deduction follows a different principle. In this regard to bachelors, normally, 50% is deducted as personal and living expenses, because it is assumed that a bachelor would tend to spend more on himself. Even otherwise, there is also the possibility of his getting married in a short time, in which event the contribution to the parent(s) and siblings is likely to be cut drastically (O&M) 3 appellants/claimants asserted that and was earning Rs.18,000/- per month, they failed to lead any cogent evidence with regard to his income earned Tribunal assessed the monthly income of on notional basis relying upon basic wages as per Minimum Wages of an unskilled person in the year 2020. In the humble opinion of this Hon’ble Court, Ld. Tribunal in the absence of any evidence regarding the income, expenses or deceased been involved in agricultural work has correctly assessed the monthly income to the tune of Rs. 9,458/-. 50% of the income towards personal and living expenses of the deceased in accordance with the law n’ble Supreme Court in the case of “Smt. Sarla Verma and others vs. Delhi Transport Corporation and another,” reported as held that in case the deceased was a bachelor and the claimants were the parents, the deduction follows a different principle and with regard to bachelors, 50% was required to be deducted as personal and living expenses. Relevant para of the judgment Where the deceased was a bachelor and the claimants are the parents, the deduction follows a different principle. In this regard to bachelors, normally, 50% is deducted as personal and living expenses, because it is assumed that bachelor would tend to spend more on himself. Even otherwise, there is also the possibility of his getting married in a short time, in which event the contribution to the parent(s) and siblings is likely to be cut drastically….” 3 asserted that per month, with regard to his income earned Tribunal assessed the monthly income of on notional basis relying upon basic wages as per Minimum Wages of an unskilled person in the year 2020. In the humble opinion of this Hon’ble Court, Ld. Tribunal in the absence of any evidence een involved in agricultural of the income towards personal and living expenses of the deceased in accordance with the law “Smt. Sarla Verma reported as held that in case the deceased was a bachelor and the claimants were the parents, the deduction follows a to be deducted as personal and living expenses. Relevant para of the judgment Where the deceased was a bachelor and the claimants are the parents, the deduction follows a different principle. In this regard to bachelors, normally, 50% is deducted as personal and living expenses, because it is assumed that bachelor would tend to spend more on himself. Even otherwise, there is also the possibility of his getting married in a short time, in which event the contribution to SANJAY GUPTA 2026.02.04 18:30 I attest to the accuracy and integrity of this document FAO NO-3924-2023 7.1. However deceased was survived by aged parents who was 67 years of age at the time of filing of the present appeal Evidently, being the sole earning member of the family, the deceased was under moral and social obligation to contribute some amount towards the maintenance of his aged parents, in discharge of his filial and pious obligation. In such circumstances, it can be reasonably inferred that the deceased would have been saving a considerabl the benefit and welfare of his dependents same solely for his personal use. Though, according to the ratio laid down by the Hon’ble Supreme Court in deduction towards personal and living expenses of the deceased comes out to be half (1/2 the case in hand and the above assessed at one-third (1/3 QUESTION OF COMPENSATION UNDER CONVENTIONAL HEADS 8. Furthermore, in view of the judgment of the Hon’ble Apex Court in Smt. Sarla Verma’s case (supra) Pranay Sethi and others India Insurance Co. Ltd. vs. Satinder Kaur” 780, compensation awarded under conventional heads are also required to be assessed accordingly. Appellants/claimants are thus, held entitled for Rs. 18,000/- as compensati loss of estate. Loss of consortium is assessed to the tune of Rs. (Rs. 48,000 x 2) as the appellants, entitled to filial consortium. 2023(O&M) However, in the given case, it has come on record that the deceased was survived by aged parents especially appellant No.2 who was 67 years of age at the time of filing of the present appeal Evidently, being the sole earning member of the family, the deceased was moral and social obligation to contribute some amount towards the maintenance of his aged parents, in discharge of his filial and pious obligation. In such circumstances, it can be reasonably inferred that the deceased would have been saving a considerabl the benefit and welfare of his dependents-parents, rather than spending the same solely for his personal use. Though, according to the ratio laid down by the Hon’ble Supreme Court in Smt.Sarla Verma’s deduction towards personal and living expenses of the deceased comes out to be half (1/2nd), but keeping in mind the facts and circumstances of the case in hand and the above-mentioned reasons, the deduction is third (1/3rd) of the income. UESTION OF COMPENSATION UNDER CONVENTIONAL HEADS Furthermore, in view of the judgment of the Hon’ble Apex Court Smt. Sarla Verma’s case (supra), “National Insurance Co. Ltd. vs. Pranay Sethi and others” reported as (2017) 16 SCC 680 India Insurance Co. Ltd. vs. Satinder Kaur” , compensation awarded under conventional heads are also required to be assessed accordingly. Appellants/claimants are thus, held entitled for as compensation under funeral head and Rs. 18,000/ loss of estate. Loss of consortium is assessed to the tune of Rs. ) as the appellants, being parents of the deceased are entitled to filial consortium. (O&M) 4 case, it has come on record that the especially appellant No.2-father who was 67 years of age at the time of filing of the present appeal. Evidently, being the sole earning member of the family, the deceased was moral and social obligation to contribute some amount towards the maintenance of his aged parents, in discharge of his filial and pious obligation. In such circumstances, it can be reasonably inferred that the deceased would have been saving a considerable portion of his income for parents, rather than spending the same solely for his personal use. Though, according to the ratio laid down Sarla Verma’s case (supra), the deduction towards personal and living expenses of the deceased comes ), but keeping in mind the facts and circumstances of mentioned reasons, the deduction is UESTION OF COMPENSATION UNDER CONVENTIONAL HEADS Furthermore, in view of the judgment of the Hon’ble Apex Court “National Insurance Co. Ltd. vs. (2017) 16 SCC 680 and “United India Insurance Co. Ltd. vs. Satinder Kaur”, reported as (2021) 11 SCC , compensation awarded under conventional heads are also required to be assessed accordingly. Appellants/claimants are thus, held entitled for on under funeral head and Rs. 18,000/- towards loss of estate. Loss of consortium is assessed to the tune of Rs. 96,000/- being parents of the deceased are 4 case, it has come on record that the father . Evidently, being the sole earning member of the family, the deceased was moral and social obligation to contribute some amount towards the maintenance of his aged parents, in discharge of his filial and pious obligation. In such circumstances, it can be reasonably inferred that the e portion of his income for parents, rather than spending the same solely for his personal use. Though, according to the ratio laid down the deduction towards personal and living expenses of the deceased comes ), but keeping in mind the facts and circumstances of mentioned reasons, the deduction is Furthermore, in view of the judgment of the Hon’ble Apex Court “National Insurance Co. Ltd. vs. “United (2021) 11 SCC , compensation awarded under conventional heads are also required to be assessed accordingly. Appellants/claimants are thus, held entitled for towards - being parents of the deceased are SANJAY GUPTA 2026.02.04 18:30 I attest to the accuracy and integrity of this document FAO NO-3924-2023 CONCLUSION 9. In view of the dis appellants/claimants are held entitled for the grant of compensation in the following manner: S No. Nature 1. Annual Income of the deceased 2. Deduction (1/3rd 3. Net Income 4. Future Prospects 5. Total Income 6. Loss of Income after applying multiplier of 18 as deceased aged 2 (Rs.1,05,929.6 7. Loss of Estate 8. Funeral Expenses 9. Loss of Consortium 11. Total Compensation 12. Amount Awarded by the Tribunal 13. Enhanced Compensation 10. Accordingly, the appellants/claimants shall be entitled to receive compensation in the proportion already determined by the ld. Tribunal. 11. The grant of interest @ just in view of the observations made by the Hon’ble Supreme Court in “Smt. Supe Dei and others vs. National Insurance Company Limited and other, reported as judgment titled as another,2014 (1) RCR (Civil) 443 annum on the amount of compensation awarded to the claimants from the date of institution of claim petition till its realization. In ca is not paid within three months, the same shall be payable thereafter along 2023(O&M) In view of the discussion made herein above, the appellants/claimants are held entitled for the grant of compensation in the following manner:- Annual Income of the deceased 1/3rd) (Rs.1,13,496-Rs. 37,832) Future Prospects (40%) Total Income (Rs. 75,664/- + Rs. 30,265.6 Loss of Income after applying multiplier as deceased aged 23 years Rs.1,05,929.6/- x 18) Loss of Estate Funeral Expenses Loss of Consortium (48,000 x 2) Total Compensation Amount Awarded by the Tribunal Enhanced Compensation Accordingly, the appellants/claimants shall be entitled to receive compensation in the proportion already determined by the ld. Tribunal. e grant of interest @ 7.5% per annum is not equitable and just in view of the observations made by the Hon’ble Supreme Court in “Smt. Supe Dei and others vs. National Insurance Company Limited reported as (2009) (4) SCC 513 judgment titled as “Puttamma and others vs. K.L. Narayana Reddy and another,2014 (1) RCR (Civil) 443, thus, the interest is annum on the amount of compensation awarded to the claimants from the date of institution of claim petition till its realization. In ca is not paid within three months, the same shall be payable thereafter along (O&M) 5 made herein above, the appellants/claimants are held entitled for the grant of compensation in the Amount (in Rs.) Rs.1,13,496/- (monthly income: Rs. 9458/-) Rs. 37,832/- Rs. 75,664/- Rs.30,265.6/- 30,265.6/-) Rs. 1,05,929.6/- Loss of Income after applying multiplier years Rs. 19,06,732.8/- Rs. 18,000/- Rs. 18,000/- Rs.96,000/- Rs.20,38,732.8/- Rs.14,84,920/- Rs.5,53,812.8/- Accordingly, the appellants/claimants shall be entitled to receive compensation in the proportion already determined by the ld. Tribunal. per annum is not equitable and just in view of the observations made by the Hon’ble Supreme Court in “Smt. Supe Dei and others vs. National Insurance Company Limited (2009) (4) SCC 513 approved in a subsequent ttamma and others vs. K.L. Narayana Reddy and , thus, the interest is enhanced to 9% per annum on the amount of compensation awarded to the claimants from the date of institution of claim petition till its realization. In case the said amount is not paid within three months, the same shall be payable thereafter along 5 made herein above, the appellants/claimants are held entitled for the grant of compensation in the Accordingly, the appellants/claimants shall be entitled to receive per annum is not equitable and just in view of the observations made by the Hon’ble Supreme Court in “Smt. Supe Dei and others vs. National Insurance Company Limited approved in a subsequent ttamma and others vs. K.L. Narayana Reddy and enhanced to 9% per annum on the amount of compensation awarded to the claimants from the se the said amount is not paid within three months, the same shall be payable thereafter along SANJAY GUPTA 2026.02.04 18:30 I attest to the accuracy and integrity of this document FAO NO-3924-2023 with 12% interest from the expiry of period of three months from today. Needless to mention here that the amount of compensation already paid to the claimant shall be deducted from the enhanced compensation. 12. In view of the aforesaid modification, the present appeal stands disposed of. 13. Pending miscellaneous application(s), if any, shall also stand disposed of. February 04, 2026 atik/sanjay Whether speaking/reasoned? Whether Reportable? 2023(O&M) with 12% interest from the expiry of period of three months from today. Needless to mention here that the amount of compensation already paid to ll be deducted from the enhanced compensation. In view of the aforesaid modification, the present appeal stands Pending miscellaneous application(s), if any, shall also stand , 2026 Whether speaking/reasoned? Whether Reportable? (O&M) 6 with 12% interest from the expiry of period of three months from today. Needless to mention here that the amount of compensation already paid to ll be deducted from the enhanced compensation. In view of the aforesaid modification, the present appeal stands Pending miscellaneous application(s), if any, shall also stand (HARKESH MANUJA) JUDGE Yes/No Yes/No 6 with 12% interest from the expiry of period of three months from today. Needless to mention here that the amount of compensation already paid to In view of the aforesaid modification, the present appeal stands Pending miscellaneous application(s), if any, shall also stand SANJAY GUPTA 2026.02.04 18:30 I attest to the accuracy and integrity of this document