- 1 - HC-KAR NC: 2025:KHC:28572 MFA No. 2201 of 2024 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 25TH DAY OF JULY, 2025 BEFORE THE HON'BLE DR. JUSTICE CHILLAKUR SUMALATHA MISCELLANEOUS FIRST APPEAL NO.2201 OF 2024(MV-D) BETWEEN: 1. MR. JAGADEESH SHETTY, S/O. LATE MAHABALA SHETTY, AGED ABOUT 61 YEARS, 2. MR. KOUSHIK, S/O. JAGADEESH SHETTY, AGED ABOUT 27 YEARS, 3. MISS. KRITHIKA. J. SHETTY, D/O. JAGADEESH SHETTY, AGED ABOUT 24 YEARS, ALL ARE R/AT THRIKARIYA HOUSE, ADDOOR VILLAGE, GURUPURA POST, MANGALURU. …APPELLANTS (BY SRI. B.R. GURUPRASAD, ADVOCATE (VC)) AND: 1. THE NEW INDIA ASSURANCE COMPANY LTD., CALICUT D.O. -II, 2ND FLOOR, FAIR MONT BUILDING, ERANHIPALAM, WAYNAD ROAD, KOZHIKODE, KERALA, LOCAL OFFICE FORTUNE BUILDING, 4TH FLOOR, OPP ATHENA HOSPITAL, FALNIR, MANGALURU-575 001, REPRESENTED BY ITS MANAGER. Digitally signed by AASEEFA PARVEEN Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2025:KHC:28572 MFA No. 2201 of 2024 2. MR. SUBIN. K. B., S/O. BASKRAN K.K., AGED MAJOR, R/AT KANDOTHUMPURATH HOUSE, KARAKKAT, PETTIKUNADU, CHERUVATHUR, KASARAGOD, KERALA-671 313. …RESPONDENTS (BY SRI. R. JAIPRAKASH, ADVOCATE FOR R1; V/O. DATED 23.11.2024, NOTICE TO R2 IS DISPENSED WITH) THIS MFA FILED U/S.173(1) OF MV ACT, AGAINST THE JUDGMENT AND AWARD DATED 30.08.2023 PASSED IN MVC NO.363/2020 ON THE FILE OF THE I ADDITIONAL SENIOR CIVIL JUDGE AND MACT, MANGALURU, D.K, PARTLY ALLOWING THE CLAIM PETITION FOR COMPENSATION AND SEEKING ENHANCEMENT OF COMPENSATION. THIS APPEAL, COMING ON FOR ADMISSION, THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER: CORAM: HON'BLE DR. JUSTICE CHILLAKUR SUMALATHA ORAL JUDGMENT Heard Sri.Guruprasad.B.R, learned counsel for the appellants who appears through video conference. Also heard Sri.R.Jaiprakash, learned counsel for respondent No.1 who appears physically before this Court. 2. Challenge in this appeal is the order that is rendered by the Motor Accident Claims Tribunal, - 3 - HC-KAR NC: 2025:KHC:28572 MFA No. 2201 of 2024 Mangaluru, Dakshina Kannada in MVC No.363/2020 dated 30.08.2023. This is a claimants' appeal. 3. Making his submission with regard to the merits of the matter, learned counsel for the appellants submits that appellant No.1 is the husband and appellant Nos.2 and 3 are the college going children of the deceased Sujatha (herein after referred to as 'the deceased' for brevity) who died in a road traffic accident that occurred in the year 2020. Learned counsel submits that the deceased was rendering substantial services as a home maker by the date of accident. Due to the death of the deceased, the appellants are suffering a lot. The Tribunal took the notional income of the deceased as Rs.11,000/- p.m. only. However, for the relevant period i.e., for the year 2020, the Karnataka State Legal Services Authority is taking the notional income as Rs.14,500/- p.m. for settlement of claims and atleast the said figure should have been considered by the Tribunal. Learned counsel also states that the Tribunal failed to award justifiable sum as - 4 - HC-KAR NC: 2025:KHC:28572 MFA No. 2201 of 2024 compensation even under the head loss of consortium. Learned counsel thereby seeks for enhancement of compensation. 4. Learned counsel who is representing respondent No.1 did not raise any objection for taking the notional income of the deceased as Rs.14,500/- p.m. Also the submission made by learned counsel for the appellant in that regard is justifiable. Further this Court is of the view that the Tribunal ought to have applied the decision of the Hon'ble Apex Court in National Insurance Company Limited Vs. Pranay Sethi and Others reported in (2017) 16 SCC 680 while awarding compensation under the head loss of consortium. 5. Admittedly, the deceased was aged about 49 years by the date of accident. Therefore, the appropriate multiplier to be applied as per the decision of the Hon'ble Apex Court in Smt. Sarla Verma and Others Vs. Delhi Transport Corporation and Another reported in AIR 2009 - 5 - HC-KAR NC: 2025:KHC:28572 MFA No. 2201 of 2024 SC 3104 is '13'. Also as per the decision of the Hon'ble Apex Court in National Insurance Company Limited Vs. Pranay Sethi and Others reported in (2017) 16 SCC 680, 25% of the actual earnings are required to be added towards future prospects. The dependents being three in number, 1/3rd of the earnings are required to be deducted towards personal and living expenses which the deceased would have incurred for herself had she been alive. Thus the compensation which the appellants are entitled to under the head 'loss of dependency' is as under: Notional monthly income Rs.14,500/- Annual income Rs.1,74,000/- Add 25% towards future prospects Rs.2,17,500/- On deduction of 1/3rd towards personal and living expenses Rs.1,45,000/- Loss of dependency on applying appropriate multiplier '13' Rs.18,85,000/- 6. Thus the appellants are entitled to a sum of Rs.18,85,000/- under the head loss of dependency. - 6 - HC-KAR NC: 2025:KHC:28572 MFA No. 2201 of 2024 However, the Tribunal awarded a sum of Rs.14,30,000/- only under the said head. Also the appellant No.1 being the husband of the deceased is entitled to Rs.44,000/- under the head loss of spousal consortium. The appellant Nos.2 and 3 being the son and daughter of the deceased are entitled to Rs.44,000/- under the head loss of parental consortium. The appellants are also entitled to Rs.15,000/- under the head loss of estate and Rs.15,000/- for funeral expenses. 7. Thus, the total compensation which the appellants are entitled to is as under: Sl. No Description Amount 1 Loss of dependency Rs.18,85,000 2 Loss of spousal consortium Rs.44,000 3 Loss of parental consortium Rs.44,000 4 Loss of estate Rs.15,000 5 Funeral expenses Rs.15,000 Total Rs.20,03,000 - 7 - HC-KAR NC: 2025:KHC:28572 MFA No. 2201 of 2024 8. Thus the compensation which the appellants are entitled to is Rs.20,03,000/-. Therefore, the appeal is disposed of with the following: ORDER (i) The appeal is allowed in part. (ii) The compensation that is granted by the Motor Accident Claims Tribunal, Mangaluru, Dakshina Kannada through orders in MVC No.363/2020 dated 30.08.2023 is enhanced from Rs.15,80,000/- to Rs.20,03,000/-. (iii) The enhanced sum shall carry interest at the rate of 6% p.a. from the date of petition till the date of deposit. (iv) Respondent No.1 is directed to deposit the enhanced sum within a period of 8(eight) weeks from the date of receipt of certified copy of this order. (v) The apportionment made by the Tribunal applies to enhanced sum as well. - 8 - HC-KAR NC: 2025:KHC:28572 MFA No. 2201 of 2024 (vi) On deposit, the appellants are permitted to withdraw their respective shares. Sd/- (DR.CHILLAKUR SUMALATHA) JUDGE NS CT:TSM List No.: 1 Sl No.: 38