- 1 - NC: 2025:KHC-D:4026 MFA No. 106445 of 2024 IN THE HIGH COURT OF KARNATAKA, DHARWAD BENCH DATED THIS THE 28TH DAY OF FEBRUARY, 2025 BEFORE THE HON'BLE MR. JUSTICE HANCHATE SANJEEVKUMAR MISCELLANEOUS FIRST APPEAL NO.106445 OF 2024 (MV-D) BETWEEN: THE BRANCH MANAGER, M/S. CHOLAMANDALAM GENERAL INSURANCE COMPANY LIMITED, UPSTAIRS OF 24 HOURS NEW BHARATHI MEDICAL STORES, DOUBLE ROAD, BALLARI-583101 NOW REPRESENTED BY ITS AUTHORISED SIGNATORY. …APPELLANT (BY SRI S.J. BADDI, ADVOCATE) AND: 1. SMT. KAVITHA D. W/O. Y. LOKESH AGED ABOUT 33 YEARS, OCC. HOUSEWIFE, 2. KUM. RUCHITA, D/O. Y. LOKESH AGED ABOUT 9 YEARS, STUDENTS,. 3. MASTER. Y. GANESH S/O. Y. LOKESH, AGED ABOUT 19 YEARS, STUDENT, 4. SMT. Y. SUNITHA W/O. Y. RAMALINGANA GOUDA, AGED ABOUT 61 YEARS, HOUSEWIFE, 5. MR. Y. RAMALINGANA GOUDA S/O. Y. BASAPPA, AGED ABOUT 73 YEARS, RESPONDENTS NO.1 TO 5 ARE RESIDING AT #183, WARD NO.34, DEVINAGAR, SHANTHI MARGA, BEHIND MALLAPPA COMPOUND, NEAR REMAND HOME, BALLARI-583102. Digitally signed by MALLIKARJUN RUDRAYYA KALMATH Location: HIGH COURT OF KARNATAKA - 2 - NC: 2025:KHC-D:4026 MFA No. 106445 of 2024 THE RESPONDENT NO.2 SINCE MINOR REPRESENTED THROUGH HER MOTHER, NATURAL GUARDIAN, NEXT FRIEND, SMT. KAVITHA D. W/O. Y.LOKESH RESPONDENT NO.1 HEREIN 6. MR. MD. THAYUB S/O. MD. KHASEEM, AGED ABOUT 26 YEARS, DRIVER, RESIDENT OF KONDURG, RANGA REDDY DISTRICT, TELANGANA-509207. 7. ABDUL QAYYUM S/O. ABDUL HAMEED, AGED ABOUT 46 YEARS, OWNER OF THE LORRY BEARING REGISTRATION NO.TS 07 UH 9357, RESIDENT OF 23-19/3, ADVOCATE COLONY, SHADNAGAR, FAROOQ NAGAR, RANGA REDDY DISTRICT, TELANGANA-509207. …RESPONDENTS (BY SRI M.G. PATIL, ADVOCATE FOR C/R1; R6 AND R7-SERVICE OF NOTICE DISPENSED WITH) THIS MISCELLANEOUS FIRST APPEAL IS FILED UNDER SECTION 173(1) OF MOTOR VEHICLES ACT, 1988, PRAYING TO ALLOW THE APPEAL AS PRAYED FOR BY SETTING ASIDE THE JUDGMENT AND AWARD DATED 17.01.2024 PASSED IN MVC NO.913/2021 ON THE FILE OF THE MOTOR ACCIDENT CLAIMS TRIBUNAL-XI AND II ADDITIONAL SENIOR CIVIL JUDGE, BALLARI AND ETC., THIS MISCELLANEOUS FIRST APPEAL, COMING ON FOR ORDERS, THIS DAY, THE COURT DELIVERED THE FOLLOWING: - 3 - NC: 2025:KHC-D:4026 MFA No. 106445 of 2024 ORAL JUDGMENT (PER: THE HON'BLE MR. JUSTICE HANCHATE SANJEEVKUMAR) This appeal is filed by the Insurance Company challenging the quantum of compensation, being aggrieved by the judgment and award dated.17.01.2024, passed in MVC No.913/2021, by the Court of Motor Accident Claim Tribunal No-XI and II Additional Senior Civil Judge, Ballari (for short, ‘Tribunal’). 2. Heard the arguments and perused the material placed on record. 3. In this case, the factum of accident, death of deceased Y.Lokesh (for short, ‘deceased’) in the said accident and coverage of insurance are not in dispute. 4. In the present case, the Tribunal awarded compensation under various heads as follows: Sl.No. Heads. Amount in (Rs.) 1. Loss of dependency. 28,72,800/- 2. Transportation & funeral expenses 15,000/- 3. Loss of estate. 15,000/- 4. Loss of spousal & parental consortium. 2,00,000/- Total: 31,02,800/- - 4 - NC: 2025:KHC-D:4026 MFA No. 106445 of 2024 5. The Tribunal has deviated in holding correct parameters while awarding compensation. Therefore, the compensation awarded by the Tribunal is to be re-determined and quantified by using correct parameters as follows. 6. The deceased was aged 38 years as on the date of accident and was looking farm dairy and horticultural plants at Pulkurthi. The accident occurred on 15.11.2021. Hence, notional income is to be taken at Rs.14,250/- as recognized by the Karnataka State Legal Services Authority. In view of the decision of the Hon’ble Apex Court in case of National Insurance Company Limited vs. Pranay Sethi and others, reported in (2017) 16 Supreme Court Cases 680, 40% of the income is to be added towards loss of future prospects in life. There are totally five legal heirs i.e., mother and father, wife and two children. Therefore, 1/4th of the income is to be deducted towards personal and living expenses. Considering the age of the deceased, the appropriate applicable multiplier is 15. Therefore loss of dependency is re-assessed and quantified at Rs.26,93,250/- (Rs.14,250 +40% x 12 x 15 minus 1/4). - 5 - NC: 2025:KHC-D:4026 MFA No. 106445 of 2024 7. In view of the decision of the Hon’ble Supreme Court in the case of Magma General Insurance Co. Limited v. Nanu Ram & Others, reported in 2018 ACJ 2782 and in the case of Pranay Sethi supra, the claimants are entitled to Rs.40,000/- each under the head ‘loss of consortium’, along with 10% escalation. Accordingly, Rs.2,20,000/- (Rs.40,000 x 5 + 10%) is awarded under the head ‘loss of consortium including loss of love and affection’. 8. Further, a compensation of Rs.15,000/- each is awarded under the head ‘loss of estate’ and ‘funeral and transportation’ respectively, along with 10% escalation. Therefore under these heads Rs.33,000/- (Rs.15,000 x 2 + 10%) is awarded. 9. Thus, the claimants would be entitled for compensation under various heads as under: Sl. No. Heads. Amount in (Rs.) 1. Towards loss of dependency 26,93,250/- 2. Towards loss of consortium (40,000 x 5 +10%) 2,20,000/- 3. Towards loss of estate and transportation of dead body & funeral expenses. (15,000 x 2 + 10%) 33,000/- Total: 29,46,250/- - 6 - NC: 2025:KHC-D:4026 MFA No. 106445 of 2024 10. Therefore, the claimants are entitled for compensation of Rs.29,46,250/- along with interest at the rate of 6% p.a. from the date of filing of the petition till realization, as against Rs.31,02,800/- awarded by the Tribunal. The Insurance Company is directed to deposit the compensation within eight weeks from the date of receipt of a certified copy of this judgment. 11. In the result, I proceed to pass the following: ORDER i) The appeal is allowed in part. ii) The judgment and award dated.17.01.2024, passed in MVC No.913/2021 by the Court of Motor Accident Claim Tribunal No-XI and II Additional Senior Civil Judge, Ballari, stands modified. iii) The claimants are entitled for total compensation of Rs.29,46,250/- along with interest at the rate of 6% p.a. from the date of petition till its realization as against Rs.31,02,800/- awarded by the Tribunal. iv) The Insurance Company shall deposit the amount within a period of eight weeks from the date of receipt of a copy of this judgment. - 7 - NC: 2025:KHC-D:4026 MFA No. 106445 of 2024 v) Send a copy of this judgment to the Tribunal. vi) The amount in deposit made by the appellant/Insurance Company shall be transmitted to the Tribunal. vii) No order as to costs. viii) Draw award accordingly. Sd/- (HANCHATE SANJEEVKUMAR) JUDGE PMP List No.: 1 Sl No.: 36