- 1 - HC-KAR NC: 2025:KHC:36075-DB MFA No. 7779 of 2018 C/W MFA No. 9726 of 2018 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 11TH DAY OF SEPTEMBER, 2025 PRESENT THE HON'BLE MR. JUSTICE D K SINGH AND THE HON'BLE MR. JUSTICE VENKATESH NAIK T MISCELLANEOUS FIRST APPEAL NO. 7779 OF 2018 (MV-D) C/W MISCELLANEOUS FIRST APPEAL NO. 9726 OF 2018 (MV-D) IN MFA No. 7779/2018 BETWEEN: 1. SMT. SHOBHA BAI W/O LATE MOHAN SINGH, AGED ABOUT 57 YEARS, 2. KAMALA BAI W/O LATE P.GOPAL SINGH, AGED ABOUT 80 YEARS, (SENIOR CITIZENSHIP NOT CLAIMED) BOTH ARE RESIDING AT NO. 3, M.THIPPAIAH COMPLEX, KOTHANUR, BENGALURU, PRESENTLY R/AT C/O KALPANA, A.M. PALYA, NEAR PLAYGAMMA TEMPLE, SIRA GATE, TUMKUR CITY, TUMKUR - 572 101. …APPELLANTS (BY SRI. SUNIL K.N., ADVOCATE FOR SRI. RAMESH K.R.,ADVOCATE) Digitally signed by VASANTHA KUMARY B K Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2025:KHC:36075-DB MFA No. 7779 of 2018 C/W MFA No. 9726 of 2018 AND: 1. M/S THIRUMALA MILK PRODUCTS PVT. LTD., REPRESENTED BY N.VENIKATA RAO, AGED ABOUT 53 YEARS, R/O. PASUPATTURU, SIVADI POST, GANGAVARAM, MANDAL, CHITTOOR DISTRICT - 517408. SERVICING ADDRESS, NO.9, 3RD CROSS, S.P. NAIDU LAYOUT, OPP: RAMAMURTHYNAGAR POLICE STATION ROAD, VIJINAPURA, BENGALURU 5600016 2. THE MANAGER, ORIENTAL INSURANCE CO. LTD., NO. 7, UTHAMAR GANDHI SALAI, 2ND FLOOR, ROSY TOWERS, NUNGAMBAKKAM, CHENNAI, TAMIL NADU - 600034. SERVICING ADDRESS: THE DIVISIONAL MANAGER, ORIENTAL INSURANCE CO. LTD, JAYADEVA COMPLEX, BH ROAD, TUMKUR CITY, TUMKUR - 572 101. 3. SRI. HARISH B.N., S/O NAGARAJA B.S., AGED ABOUT 58 YEARS, R/O NO. 412, SAMRUDHI NILAYA, 3RD MAIN ROAD, 9TH BLOCK, 2ND STAGE, NAGARABHAVI, BENGALURU - 560072. 4. THE BRANCH MANAGER, NATIONAL INSURANCE CO. LTD., BEHIND KRISHNA TALKISH, - 3 - HC-KAR NC: 2025:KHC:36075-DB MFA No. 7779 of 2018 C/W MFA No. 9726 of 2018 M.G. ROAD, TUMAKURU CITY, TUMKUR - 572 101. …RESPONDENTS (VIDE ORDER DATED 22.08.2025 NOTICE TO R1 IS D/W SRI. S.V.HEGDE MULKHAND, ADVOCATE FOR R2 R3 SERVED; SRI. C.SHANKARA REDDY, ADVOCATE FOR R4) THIS MFA IS FILED U/S 173(1) OF MV ACT AGAINST THE JUDGMENT AND AWARD DATED 02.08.2018 PASSED IN MVC NO.1416/2015 ON THE FILE OF THE ADDITIONAL SENIOR CIVIL JUDGE & CJM, TUMUKURU, PARTLY ALLOWING THE CLAIM PETITION FOR COMPENSATION AND SEEKING ENHANCEMENT OF COMPENSATION. IN MFA NO. 9726/2018 BETWEEN: THE MANAGER, THE ORIENTAL INSURANCE CO. LTD., NO.7 UTTHAMAR GANDHI SALAI 2ND FLOOR, ROSY TOWERS, NUNGAMBAKAM, CHENNAI, TAMILNADU, SERVICING ADDRESS: AT JAYADEVA COMPLEX, B.H.ROAD, TUMKUR CITY, THROUGH ITS BENGALURU REGIONAL OFFICE, NO.44/45, LEO SHOPPING COMPLEX, RESIDENCY ROAD CROSS, BENGALURU-560025. REPRESENTED BY ITS DEPUTY MANAGER. ...APPELLANT (BY SRI. S.V.HEGDE MULKHAND, ADVOCATE) AND: 1. SHOBHA BAI, W/O LATE MOHAN SINGH, AGED ABOUT 57 YEARS, - 4 - HC-KAR NC: 2025:KHC:36075-DB MFA No. 7779 of 2018 C/W MFA No. 9726 of 2018 2. KAMALABAI, W/O LATE P.GOPALSINGH, AGED ABOUT 80 YEARS, R/AT NO.3, M.THIPPAIAH COMPLEX, KOTTANUR, BENGALURU. R1 & R2 ARE R/O C/O KALPANA, A.M. PALYA, NEAR PAYGAMMA TEMPLE, SIRA GATE, TUMKUR CITY-572101 3. TIRUMALA MILK PRODUCTS PVT. LTD., REPRESENTED BY N.VENKATA RAO PASUPATTARU, PASUPATTURU VILLAGE, SIVADI POST, GANGAVARAM MANDAL, CHITTOOR DISTRICT, ANDHRA PRADESH-517432 SERVING ADDRESS NO.9, 3RD CROSS, SP NAIDU LAYOUT, OPP RAMAMURTHY NAGAR POLICE STATION, VIJNANAPURA, BENGALURU-560016. 4. HARISH B.N., S/O NAGARAJA B.S, AGED ABOUT 48 YEARS, R/O NO.412, 3RD MAIN, 9TH BLOCK, NAGARABHAVI 2ND STAGE, BENGALURU-560072. 5. THE BRANCH MANAGER, THE NATIONAL INSURANCE CO. LTD., BEHIND KRISHNA TALKIES, M.G.ROAD, TUMAKURU CITY-572101. ...RESPONDENTS (BY SRI.SUNIL K.N., ADVOCATE FOR SRI. K.R.RAMESH, ADVOCATE FOR R1 AND R2; R3 - VIDE ORDER DATED 22.08.2025 NOTICE IS DISPENSED WITH; R4 IS SERVED; SRI. C.SHANKAR REDDY, ADVOCATE FOR R5) THIS MFA IS FILED U/S 173(1) OF MV ACT AGAINST THE JUDGMENT AND AWARD DATED 02.08.2018 PASSED - 5 - HC-KAR NC: 2025:KHC:36075-DB MFA No. 7779 of 2018 C/W MFA No. 9726 of 2018 IN MVC NO.1416/2015 ON THE FILE OF THE ADDITIONAL SENIOR CIVIL JUDGE & CJM, MACT, TUMAKURU AWARDING COMPENSATION OF RS.10,91,000/- WITH INTEREST @ 6% P.A. FROM THE DATE OF PETITION TILL DEPOSIT. THESE APPEALS, COMING ON FOR ORDERS, THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE D K SINGH and HON'BLE MR. JUSTICE VENKATESH NAIK T ORAL JUDGMENT (PER: HON'BLE MR. JUSTICE VENKATESH NAIK T) Heard learned counsel for the appellants and learned counsel for the respondents. 2. Miscellaneous First Appeal No.7779/2018 is filed by the claimants seeking enhancement of compensation being aggrieved by the judgment and award dated 02.08.2018 in MVC No.1416/2015 passed by the Senior Civil Judge and Additional MACT, Tumakuru (for short 'the Tribunal') whereas Miscellaneous First Appeal No.9726/2018 is filed by Insurance Company challenging the judgment and award passed by the Tribunal. On the - 6 - HC-KAR NC: 2025:KHC:36075-DB MFA No. 7779 of 2018 C/W MFA No. 9726 of 2018 ground of negligence, liability and quantum of compensation. 3. For the sake of convenience, the parties are referred to as per their rankings before the Tribunal. 4. Brief facts of the case are that, on 08.08.2015 at 1:00 p.m. Deepak M Singh (herein after referred to as 'the deceased') was traveling in car bearing registration No.KA -02-AE-2539. The car was proceeding on the left side of the road in front of Fire Brigade office on NH-75 Chennai - Bangalore road, at that time, one milk lorry bearing registration No.AP-03-TC-0054 driven by its driver proceeding ahead the vehicle of the deceased drove it in a rash and negligent manner endangering the human life suddenly, applied brake and stopped the lorry. As a result, the deceased dashed the lorry as he could not control the vehicle. Due to the said impact, he sustained grievous injuries and was shifted to Manipal Hospital, Bangalore and admitted as inpatient. After five days of the accident he - 7 - HC-KAR NC: 2025:KHC:36075-DB MFA No. 7779 of 2018 C/W MFA No. 9726 of 2018 succumbed to the injuries. This led to registration of FIR and investigation. Further, the claimants filed claim petition under Section 166 of the Motor Vehicles Act. The Tribunal allowed the claim petition in part, thus, the claimants are before this Court. 5. Sri. Sunil K.N., learned counsel for Sri. Ramesh K., learned counsel for the appellants - claimants vehemently contended that, the Tribunal awarded meager compensation considering the income of the deceased at Rs.7,000/- per month which is on the lower side. The accident is of the year 2015. Hence, the notional income has to be assessed at Rs.15,000/- per month. Further, it is contended that the Tribunal has not granted fair and reasonable compensation under conventional heads. Hence, he prays to allow the appeal. 6. Sri S.V. Hegde Mulkhand, learned counsel for the respondent - Insurance Company vehemently contended that the accident occurred due to negligence of - 8 - HC-KAR NC: 2025:KHC:36075-DB MFA No. 7779 of 2018 C/W MFA No. 9726 of 2018 driver of the car in which the claimants and deceased were travelling. Further, he contended that the driver of the car moving behind another vehicle should have kept sufficient distance from other vehicle to avoid collision, if the vehicle in front suddenly slow down or stop the vehicle. Further, the Tribunal has awarded higher and exorbitant compensation under all other heads. 7. We have perused the material available on record. Having heard learned counsels for the appellants and respondents, the point that would arise for our consideration in the appeal is: i. Whether the Tribunal was justified in saddling the liability on the driver of the Lorry i.e, offending vehicle? ii. Whether the quantum of compensation awarded by the Tribunal is just and reasonable or does it call for enhancement or reduction? 8. Insofar as negligence aspect is concerned, on perusal of Exs.P1 & 2 – are complaint and FIR, Ex.P5 – - 9 - HC-KAR NC: 2025:KHC:36075-DB MFA No. 7779 of 2018 C/W MFA No. 9726 of 2018 Final report and oral evidence of P.W.1 clearly demonstrates the driver of the lorry i.e., offending vehicle was negligent in causing the accident. 9. In the connected matters arising out of the same accident, the learned Single Judge in MFA No.2112/2021 and other connected appeals disposed of on 24.08.2021 gave clear findings against the driver of the lorry, and observed that, the driver of the lorry has contributed entire negligence. Thus, the driver of the lorry was responsible for the accident and hence, the Insurer of the lorry is liable to pay entire compensation. 10. Insofar as quantum of compensation is concerned, the Tribunal has assessed the notional income of the deceased at Rs.7,000/- per month, which is on meager side. The accident is of the year 2015. No documentary evidence is placed on record with regard to the income of the deceased. In the absence of any proof of income, taking note of the circular issued by the - 10 - HC-KAR NC: 2025:KHC:36075-DB MFA No. 7779 of 2018 C/W MFA No. 9726 of 2018 Karnataka State Legal Authority and the High Court Legal Services Committee, Bengaluru, we deem it appropriate to reassess the income of the claimant at Rs.9,000/- per month. As on the date of accident, the age of the deceased was 28 years. The Insurance Company has not disputed this aspect. Hence, the appropriate multiplier applicable would be ‘17’. The deceased died leaving behind mother, grandmother and he was bachelor. Therefore, deduction of personal expenses would be 50%. The Tribunal has wrongly added 50% towards future prospects, which is contrary to the principle laid down in Pranay Sethis’s case. Hence, 40% of the assessed income has to be added towards ‘future prospects’ instead of 50%. Thus, ‘loss of dependency’ is worked out as under: Rs.9,000 + Rs.3,600(40%) = Rs.12,600/- Rs.12,600 x 50% = Rs.6,300/- Rs.6,300 x 12 x 17 = Rs. 12,85,200/- - 11 - HC-KAR NC: 2025:KHC:36075-DB MFA No. 7779 of 2018 C/W MFA No. 9726 of 2018 11. The Tribunal has committed an error in not awarding fair compensation under conventional heads. In view of the judgment of Hon'ble Apex Court in the case of MAGMA GENERAL INSURANCE CO. LIMITED VS. NANU RAM ALIAS CHUHRURAM AND OTHERS reported in (2018) 18 SCC 130 and NATIONAL INSURANCE CO. LIMITED VS. PRANAY SETHI AND OTHERS reported in 2017(16) SCC 680, the claimants are entitled towards ‘loss of consortium’ at Rs.40,000/- each which comes to the total of Rs.80,000/-, Rs.15,000/- towards ‘loss of estate’ and Rs.15,000/- for ‘funeral expenses’. 12. Insofar as medical bills are concerned, the Tribunal has not granted any compensation. We have perused the documentary evidence of P.W.1 and Ex.P8 – Medical Bills. It clearly demonstrates that the total bill payable was Rs.3,47,115/- and the hospital authorities have reduced Rs.2,19,904/- under Medical scheme. Therefore, the claimants have paid Rs.1,27,211/-. Hence, - 12 - HC-KAR NC: 2025:KHC:36075-DB MFA No. 7779 of 2018 C/W MFA No. 9726 of 2018 we are granting compensation of Rs.1,27,211/- under 'medical expenses'. 13. Thus, the claimants are entitled for the following compensation: HEADS Rs. Loss of dependency 12,85,200.00 Loss of consortium 80,000.00 Medical expenses 1,27,211.00 Funeral expenses 15,000.00 Loss of estate 15,000.00 TOTAL 15,22,411.00 Less: Compensation awarded by the Tribunal 10,91,000.00 ENHANCED COMPENSATION 4,31,411.00 14. In the result, we pass the following: O R D E R i. The appeals are allowed-in-part. ii. The judgment and award passed by the Tribunal is modified to the extent stated hereinabove. The claimants are entitled for a total compensation of Rs.15,22,411/- as against Rs. 10,91,000/- awarded - 13 - HC-KAR NC: 2025:KHC:36075-DB MFA No. 7779 of 2018 C/W MFA No. 9726 of 2018 by the Tribunal with interest at the rate of 6% per annum on the enhanced compensation of Rs. 4,31,411/- from the date of filing of the claim petition till the date of its realization. iii. Respondent - Corporation is directed to deposit the enhanced compensation amount together with interest within six weeks from the date of receipt of a copy of this judgment. iv. Apportionment, disbursement and deposit of the enhanced compensation shall be made in terms of the award of the Tribunal. v. Draw modified award accordingly. vi. No order as to costs. Registry is directed to send a copy of this judgment to the Tribunal along with its record, forthwith. - 14 - HC-KAR NC: 2025:KHC:36075-DB MFA No. 7779 of 2018 C/W MFA No. 9726 of 2018 In view of the disposal of the appeal, all pending applications, if any, shall stand disposed off, as they do not survive for any consideration. Sd/- (D K SINGH) JUDGE Sd/- (VENKATESH NAIK T) JUDGE RKA List No.: 1 Sl No.: 40