- 1 - HC-KAR NC: 2025:KHC-D:8135 MFA No. 100049 of 2015 C/W MFA No. 100415 of 2015 IN THE HIGH COURT OF KARNATAKA DHARWAD BENCH DATED THIS THE 27TH DAY OF JUNE, 2025 BEFORE THE HON'BLE MR JUSTICE HANCHATE SANJEEVKUMAR MISCELLANEOUS FIRST APPEAL NO. 100049 OF 2015 (MV) C/W MISCELLANEOUS FIRST APPEAL NO. 100415 OF 2015 IN MFA NO. 100049 OF 2015: BETWEEN: 1. PRABHUGOUDA S/O CHANNAPPAGOUDA MARIGOUDAR, AGE: 41 YEARS, OCC: COOLIE, 2. NAGARAJ S/O PRABHUGOUDA MARIGOUDAR, AGE: 14 YEARS, OCC: STUDENT, 3. JYOTHI D/O PRABHUGOUDA MARIGOUDAR, AGE: 09 YEARS, OCC: STUDENT, ALL ARE R/O: ALADAKATTI, TQ: AND DIST: HAVERI. NOTE: APPELLANT NO.2 AND 3 ARE THE MINORS R/BY FATHER APPELLANT NO.1 MINOR GUARDIAN. … APPELLANTS (BY SRI HARSHAWARDHAN PATIL, FOR SRI PATIL M.H., ADVOCATE) AND: 1. PUTTAPPA S/O FAKKIRAPPA MELINAMANI, AGE: 28 YEARS, OCC: BUSINESS, R/O: ALADAKATTI, TQ: AND DIST: HAVERI. 2. THE NATIONAL INSURANCE CO. LTD., R/BY ITS BRANCH MANAGER, Digitally signed by MALLIKARJUN RUDRAYYA KALMATH Location: HIGH COURT OF KARNATAKA DHARWAD BENCH - 2 - HC-KAR NC: 2025:KHC-D:8135 MFA No. 100049 of 2015 C/W MFA No. 100415 of 2015 KRISHNA AGENCY BUILDING, HAVERI. … RESPONDENTS (BY SMT. ARUNA R. DESHPANDE, ADVOCATE FOR R2; R1 – SERVICE OF NOTICE DISPENSED WITH.) THIS MISCELLANEOUS FIRST APPEAL IS FILED UNDER SECTION 173(1) OF THE MOTOR VEHICLES ACT, 1988, PRAYING TO ENHANCE THE COMPENSATION AND MODIFY THE JUDGMENT AND AWARD DATED 11.11.2014, PASSED IN MVC NO.200/2013, ON THE FILE OF THE ADDITIONAL SENIOR CIVIL JUDGE AND ADDITIONAL MOTOR ACCIDENT CLAIMS TRIBUNAL, HAVERI AND ETC.,. IN MFA NO. 100415 OF 2015: BETWEEN: THE NATIONAL INSURANCE CO. LTD., R/BY ITS DEPUTY BRANCH MANAGER, KRISHNA AGENCY BUILDING, HAVERI. … APPELLANT (BY SMT. ARUNA R. DESHPANDE, ADVOCATE.) AND: 1. PRABHUGOUDA S/O CHANNAPPAGOUDA MARIGOUDAR, AGE: 42 YEARS, OCC: COOLIE, R/O: ALADAKATTI, TQ: AND DIST: HAVERI. 2. NAGARAJ S/O PRABHUGOUDA MARIGOUDAR, AGE: 15 YEARS, OCC: STUDENT, R/O: ALADAKATTI, TQ: AND DIST: HAVERI. 3. JYOTHI D/O PRABHUGOUDA MARIGOUDAR, AGE: 10 YEARS, OCC: STUDENT, R/O: ALADAKATTI, TQ: AND DIST: HAVERI. (RESPONDENT NO.2 AND 3 ARE MINORS R/BY FATHER RESPONDENT NO.1 AS MINOR GUARDIAN). - 3 - HC-KAR NC: 2025:KHC-D:8135 MFA No. 100049 of 2015 C/W MFA No. 100415 of 2015 4. PUTTAPPA S/O FAKKIRAPPA MELINAMANI, AGE: 29 YEARS, OCC: BUSINESS, R/O: ALADAKATTI, TQ: AND DIST: HAVERI. (OWNER OF BIKE NO.KA-27/U-7185) … RESPONDENTS (BY SRI HARSHAWARDHAN PATIL, FOR SRI PATIL M.H., ADVOCATE FOR R1; R2 AND R3 ARE MINORS R/BY R1; R4 – NOTICE SERVED.) THIS MISCELLANEOUS FIRST APPEAL IS FILED UNDER SECTION 173(1) OF THE MOTOR VEHICLES ACT, 1988, PRAYING TO SET ASIDE THE JUDGMENT AND AWARD DATED 11.11.2014, PASSED IN MVC NO.200/2013, ON THE FILE OF THE ADDITIONAL SENIOR CIVIL JUDGE AND ADDITIONAL MOTOR ACCIDENT CLAIMS TRIBUNAL, HAVERI AND ETC.,. THESE APPEALS COMING ON FOR ADMISSION THIS DAY, JUDGMENT IS DELIVERED THEREIN AS UNDER: ORAL JUDGMENT (PER: THE HON'BLE MR JUSTICE HANCHATE SANJEEVKUMAR) Both these appeals are filed challenging the judgment and award dated 11.11.2014, passed by the Additional Senior Civil Judge and Additional MACT, Haveri, in MVC No.200/2013. 2. MFA No.100049/2015 is filed by the claimants seeking enhancement of compensation, whereas, MFA No.100415/2015 is filed by the insurance company - 4 - HC-KAR NC: 2025:KHC-D:8135 MFA No. 100049 of 2015 C/W MFA No. 100415 of 2015 seeking to reduce the compensation awarded by the tribunal. 3. Heard the arguments addressed by the learned counsels appearing for the respective parties and perused the material placed before the Court. 4. For the purpose of convenience and easy reference, ranking of the parties is referred to as per their status before the trial Court. 5. In this case, occurrence of accident, death of one Smt.Lalitavva in a road traffic accident and coverage of insurance are not in dispute. 6. In this case, the tribunal has awarded compensation under various heads as under: Sl. No. Heads. Amount in (Rs.) 1. Loss of future income. 5,76,000 2. Loss of consortium. 1,00,000 3. Funeral expenses. 25,000 4. Love and affection. 10,000 Total: 7,11,000 - 5 - HC-KAR NC: 2025:KHC-D:8135 MFA No. 100049 of 2015 C/W MFA No. 100415 of 2015 7. The tribunal awarded lesser amount of compensation contrary to the principles of law decided by the Hon’ble Supreme Court. Therefore, the same is required to be enhanced by modifying the judgment and award of the tribunal. 8. The deceased was aged 33 years as on the date of accident and was doing coolie work. The accident is caused on 03.05.2011. The claimants have not produced any proof with regard to income of the deceased. Hence, in the absence of proof of income, notional income is to be taken at Rs.6,000/- for the accident year 2011, 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, considering the age of the deceased, 40% of the income is to be added towards loss of future prospects in life. There are three dependents who are husband and two children of the deceased. Therefore, 1/3rd of the income is to be deducted towards her personal and living expenses. - 6 - HC-KAR NC: 2025:KHC-D:8135 MFA No. 100049 of 2015 C/W MFA No. 100415 of 2015 Considering the age of the deceased, the appropriate applicable multiplier is 16. Therefore loss of dependency is re-assessed and quantified at Rs.10,75,200/- (Rs.6,000 + 40% minus 1/3rd x 12 x 16). 9. 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. There are three dependents who are husband and two children. Accordingly, Rs.1,32,000/- (Rs.40,000 x 3 + 10%) is awarded under the head ‘loss of consortium including loss of love and affection’. 10. 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. - 7 - HC-KAR NC: 2025:KHC-D:8135 MFA No. 100049 of 2015 C/W MFA No. 100415 of 2015 11. Thus, the claimants would be entitled for total compensation under various heads as under: Sl. No. Heads. Amount in (Rs.) 1. Towards loss of dependency 10,75,200 2. Towards loss of consortium (40,000 x 3 +10%) 1,32,000 3. Towards loss of estate and transportation of dead body & funeral expenses. (15,000 x 2 + 10%) 33,000 Total: 12,40,200 12. Therefore, the claimants are entitled for total compensation of Rs.12,40,200/- along with interest at the rate of 6% p.a. from the date of filing of the petition till realization, as against Rs.7,11,000/- awarded by the tribunal. The insurance company shall deposit the compensation amount within eight weeks from the date of receipt of a certified copy of this judgment. 13. In the result, the claimants are entitled for enhanced compensation. Therefore, the appeal filed by the insurance company seeking to reduce the compensation is liable to be dismissed and the appeal filed by the claimants - 8 - HC-KAR NC: 2025:KHC-D:8135 MFA No. 100049 of 2015 C/W MFA No. 100415 of 2015 seeking enhancement of compensation is liable to be allowed in part. Hence, I proceed to pass the following: ORDER i) The appeal in MFA No.100415/2015 filed by the insurance company is dismissed. ii) The appeal in MFA No.100049/2015 filed by the claimants is allowed in part. iii) The judgment and award dated 11.11.2014, passed by the Additional Senior Civil Judge and Additional MACT, Haveri, in MVC No.200/2013, stands modified. iv) The claimants in MFA No.100049/2015 are entitled for total compensation of Rs.12,40,200/- along with interest at the rate of 6% p.a. from the date of filing of the petition till realization, as against Rs.7,11,000/- awarded by the tribunal. - 9 - HC-KAR NC: 2025:KHC-D:8135 MFA No. 100049 of 2015 C/W MFA No. 100415 of 2015 v) The insurance company shall deposit the compensation amount within eight weeks from the date of receipt of a certified copy of this judgment. vi) The amount in deposit, if any, shall be transmitted to the tribunal for disbursement. vii) Send a copy of this judgment and award to the tribunal. viii) No order as to costs. ix) Draw modified award accordingly. Sd/- (HANCHATE SANJEEVKUMAR) JUDGE MRK CT:BCK LIST NO.: 1 SL NO.: 39