- 1 - NC: 2025:KHC-D:1281-DB MFA No. 104313 of 2022 IN THE HIGH COURT OF KARNATAKA, DHARWAD BENCH DATED THIS THE 23RD DAY OF JANUARY, 2025 PRESENT THE HON'BLE MR. JUSTICE B.M.SHYAM PRASAD AND THE HON'BLE MR. JUSTICE RAMACHANDRA D. HUDDAR MISCELLANEOUS FIRST APPEAL NO. 104313 OF 2022 (MV-D) BETWEEN: M/S UNITED INDIA INSURANCE CO. LTD BY ITS DIVISIONAL MANAGER, STATION ROAD, HOSAPETE TOWN AND TALUK, BALLARI DIST, REPRESENTED BY ITS AUTHORIZED SIGNATORY, DIVISIONAL MANAGER. …APPELLANT (BY SRI. SHARNAPPA S. KOLIWAD, ADVOCATE) AND: 1. MUNNA SAB @ MUNNA S/O. AHMED SAB, AGE: 41 YEARS, OCCU: TRAVEL AGENCY, R/O. DAGGI CAMP, GANGAVATHI TALUK. PRESENTLY AT MEHABOOB NAGAR, NEAR HOSTEL, POST THORANAGALU VILLAGE, TQ: SANDUR, DIST: BALLARI, PIN-583 123 2. SMT. RABEEYA BEGUM ALIAS RABHIYA BEGUM W/O. MUNNA SAB @ MUNNA AGE: 37 YEARS, OCC: HOUSE WIFE, R/O. DAGGI CAMP, GANGAVATHI TALUK. PRESENTLY AT MEHABOOB NAGAR, NEAR HOSTEL, POST THORANAGALU VILLAGE, TQ: SANDUR, DIST: BALLARI, PIN-583123 Digitally signed by ANJALI M Location: High Court of Karnataka, Dharwad Bench - 2 - NC: 2025:KHC-D:1281-DB MFA No. 104313 of 2022 3. TANAJI KHOT S/O. BHIMU, AGE:49 YEARS, OCC: DRIVER, R/O. AP-ASAMGI (JATH), JATH TALUK, SANGILI DISTRICT, PIN 416400, STATE: MAHARASTRA. 4. M/S M D MOVERS BY ITS MANAGER R/O. HOSAPETE BALLARI ROAD, BEHIND BPCL PETROL BUNK, TORANAGALLU, SANDUR TALUKA, BALLARI DISTRICT, PIN 583123, OWNER OF THE LORRY, BEARING NO. MH -46/AF-3593. …RESPONDENTS (BY SRI. GURURAJ R. TURMARI, ADVOCATE FOR C/R1-2; R3 AND R4 ARE SERVED) MFA FILED U/S.173(1) OF MOTOR VEHICLES ACT, 1988, AGAINST THE JUDGMENT AND AWARD DATED 18.06.2022 PASSED IN MVC NO.444/2020 ON THE FILE OF THE SENIOR CIVIL JUDGE AND MOTOR ACCIDENT CLAIMS TRIBUNAL-VI, KUDLIGI SITTING AT SANDUR AWARDING COMPENSATION OF RS.22,97,400/- WITH INTEREST AT 6 PERCENT P.A. FROM THE DATE OF PETITION TILL ITS REALIZATION. THIS APPEAL, COMING ON FOR FINAL HEARING, THIS DAY, THE COURT DELIVERED THE JUDGMENT THEREIN AS UNDER: CORAM: THE HON'BLE MR. JUSTICE B.M.SHYAM PRASAD AND THE HON'BLE MR. JUSTICE RAMACHANDRA D. HUDDAR - 3 - NC: 2025:KHC-D:1281-DB MFA No. 104313 of 2022 ORAL JUDGMENT (PER: THE HON'BLE MR. JUSTICE B.M. SHYAM PRASAD) This appeal is filed by an Insurer calling in question the Judgment and Award dated 18.6.2022 in MVC No. 444/2020 on the file of Sr. Civil Judge and MACT- VI, Kudligi sitting at Sandur (for short `the Tribunal’). The Tribunal, by the impugned judgment and award, has granted compensation of Rs.22,97,400/- under the following heads: The Tribunal has held that the Insurer and insured are jointly and severally liable to pay the compensation directing the Insurer to deposit the entire compensation. The Insurer is aggrieved by the said finding. Sl. No. Heads Amount In Rs. 1. Loss of Dependency 21,92,400-00 2. Loss of Consortium 80,000-00 3. Towards Transportation and Funeral Expenses 25,000-00 Total 22,97,400-00 - 4 - NC: 2025:KHC-D:1281-DB MFA No. 104313 of 2022 2. It is not in dispute that the claimants’ daughter, Kum. Naseem Bhanu, who was aged about 17 years, has died in the road traffic accident on 11.3.2020 when she was riding a Scooty with her sister on the pillion. The accident is because of a collision between this Scooty and a lorry that is insured with the Insurer. Sri S.S.Koliwad, learned counsel for the Insurer, submits that the Tribunal could not have fastened the liability on the Insurer because the Insurer has established that the deceased was a minor who did not hold a driving licence and that her father, one of claimants, had permitted her to ride the Scooty despite the same The learned counsel emphasizes that to establish these circumstances; the Insurer has examined one of its Officers. 3. However, the Tribunal has found the driver of the lorry [the insured vehicle] guilty of negligence, and therefore, the driver of the vehicle was responsible for the accident. The Tribunal is persuaded by the evidence on record, including the jurisdictional police filed charge sheet against the driver of the lorry. There is nothing on record to - 5 - NC: 2025:KHC-D:1281-DB MFA No. 104313 of 2022 show that the Tribunal’s finding is irregular, and this Court must opine that it will not be reasonable to infer that the deceased has contributed to the accident merely because the deceased did not hold a driving licence. 4. Significantly, the deceased is a third party qua Insurer, and even if the Insurer establishes that there was a breach of the Policy Condition, viz., the deceased did not possess driving licence, it is not absolved of its liability in view of Full Bench judgment of this Court reported in New India Assurance Co.Ltd., Bijapur by its Divisional Manager vs. Yallavva and another1. Therefore, this Court opines that there is no reason for interference with the Tribunal’s finding. 5. On the quantum of compensation, Sri S. S. Koliwad submits that the Tribunal has taken the deceased’s notional income at Rs.14,500/- per month although the claimants themselves have stated that the deceased was a 10th Standard student and that there is no evidence on the 1 ILR 2020 KAR 2239 - 6 - NC: 2025:KHC-D:1281-DB MFA No. 104313 of 2022 deceased’s actual income. The learned counsel also submits that the Tribunal could not have taken the income of the deceased at Rs.14,500/- as the income for settlement at Lok Adalat in cases arising out of the accidents in 2020 is taken at Rs.13,750/- when there is no proof of income. 6. This Court, on perusal of the record, must opine that the deceased had discontinued her studies prior to the accident, and that she was just short for completion of 18 years. If this remains indisputable, no exception can be taken by the Tribunal in deciding the issue on `Loss of Dependency’ taking the notional income of the deceased. However, there can be no justification to take a sum higher than Rs.13,750/- per month as the notional income. As such, there must be limited interference on this count. If the `Loss of Dependency’ is calculated looking to other attending circumstances for addition towards future prospects, for deduction towards and multiplier, the claimant will be entitled to a sum of Rs.20,79,000/- computed as per the table below: - 7 - NC: 2025:KHC-D:1281-DB MFA No. 104313 of 2022 Computation of Loss of Dependency [In Rs.] Monthly Income 13,750.00 Addition towards future Prospects at 40% 5,500.00 Monthly Income with Future prospects 19,250.00 Deduction at 1/2 towards personal expenses 9,625.00 Monthly Income after deductions 9,625.00 Annual Income 1,15,500.00 Loss of dependency with multiplier of '18' 20,79,000.00 Further, the claimants are entitled for Rs.80,000/- towards ‘Loss of Consortium’ and Rs.30,000/- towards ‘Transportation and Funeral Expenses’. Thus, the claimants are entitled for Rs.21,89,000/- as against total compensation of Rs.22,97,400/-. As such, there will be reduction by Rs.1,08,400/-as per table below: Description of Heads By the Tribunal [In Rs.] By this Court [In Rs.] Loss of dependency 21,92,400.00 20,79,000.00 Loss of estate and funeral expenses 25,000.00 30,000.00 Loss of consortium 80,000.00 80,000.00 Total 22,97,400.00 21,89,000.00 Reduction Rs.1,08,400.00 - 8 - NC: 2025:KHC-D:1281-DB MFA No. 104313 of 2022 The claimants-appellants will be entitled for this amount Rs.21,89,000.00 along with interest at 6% p.a. n the light of the afore, the following: ORDER [A] The appeal filed by the Insurer is allowed in-part and the Tribunal’s impugned judgment and award insofar as M.V.C. No. 444/2020 is modified granting claimants a compensation of Rs.21,89,000/- with interest at 6% p.a. from the date of petition till the date of deposit. [B] The Registry is directed to transmit the amount in deposit to the Tribunal for disbursal along with the trial Court records expeditiously. SD/- (B.M.SHYAM PRASAD) JUDGE SD/- (RAMACHANDRA D. HUDDAR) JUDGE Sk/ Ct-VG List No.: 1 Sl No.: 30