- 1 - HC-KAR NC: 2026:KHC:31239 MFA No. 4755 of 2024 C/W MFA No. 5580 of 2024 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 23RD DAY OF JUNE, 2026 BEFORE THE HON'BLE MR. JUSTICE SHIVASHANKAR AMARANNAVAR MISCELLANEOUS FIRST APPEAL No. 4755 OF 2024 (MV-D) C/W MISCELLANEOUS FIRST APPEAL No. 5580 OF 2024 (MV-I) IN MFA No. 4755/2024 BETWEEN: 1. SMT. KEMPALAKSHMAMMA D/O NAGAMUTHAIAH AGED ABOUT 82 YEARS. 2. SRI THADAPPA S/O VEERACHIKKAIAH AGED ABOUT 61 YEARS. 3. SRI YOGANARASIMHA MURTHY S/O VEERACHIKKAIAH AGED ABOUT 53 YEARS. 4. SMT. LAKSHMAMMA D/O VEERACHIKKAIAH AGED ABOUT 51 YEARS R/AT MANNE TYAMAGONDLU HOBLI NELAMANGALA TALUK, BENGALURU RURAL DISTRICT. THE APPELLANT No.1, 2 & 3 Digitally signed by LAKSHMINARAYANA MURTHY RAJASHRI Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2026:KHC:31239 MFA No. 4755 of 2024 C/W MFA No. 5580 of 2024 ARE R/AT No.81, HULLEHARVE MARALAKUNTE POST SOMPURA HOBLI NELAMANGALA TALUK BENGALURU RURAL DISTRICT – 562 111. …APPELLANTS (BY SRI NAIK KRISHNA VENKATRAMAN, ADVOCATE) AND: 1. THE MANAGING DIRECTOR KSRTC DIVISION CENTRAL OFFICE SHANTHINAGAR DOUBLE ROAD BENGALURU – 560 027. KSRTC BUS BEARING REG No.KA-57-F-4178. …RESPONDENT (BY SRI S.RAJASHEKAR, ADVOCATE) THIS MFA IS FILED UNDER SECTION 173(1) OF MV ACT AGAINST THE JUDGMENT AND AWARD DATED 27.02.2024 PASSED IN MVC No.2426/2023 ON THE FILE OF THE XXIII ADDITIONAL SMALL CAUSES JUDGE, MOTOR ACCIDENT CLAIMS TRIBUNAL, COURT OF SMALL CAUSES, BENGALURU, (SCCH-25), ALLOWING THE CLAIM PETITION FOR COMPENSATION AND SEEKING ENHANCEMENT OF COMPENSATION. IN MFA No. 5580/2024: BETWEEN: THE MANAGING DIRECTOR KSRTC DIVISION CENTRAL OFFICE, SHANTHINAGAR DOUBLE ROAD - 3 - HC-KAR NC: 2026:KHC:31239 MFA No. 4755 of 2024 C/W MFA No. 5580 of 2024 BENGALURU-560 027. REP. BY CHIEF LAW OFFICER. ...APPELLANT (BY SRI RAJASHEKAR S, ADVOCATE) AND: 1. SMT. KEMPALAKSHMAMMA D/O. NAGAMUTHAIAH, AGED 81 YEARS. 2. SMT. THADAPPA S/O. VEERACHIKKAIAH, AGED 60 YEARS. 3. SRI. YOGANARASIMHA MURTHY S/O. VEERACHIKKAIAH AGED 52 YEARS. RESPONDENT Nos.1 TO 3 ARE R/AT No.81, HULLEHARVE MARLAKUNTE POST SOMAPURA HOBLI NELAMANGALA TALUK BENGALURU RURAL DISTRICT-562 111. 4. SMT. LAKSHMAMMA S/O. VEERACHIKKAIAH AGED ABOUT 50 YEARS R/AT MANNE, TYMAGONDLU HOBLI NELAMANGALA TALUK BENGALURU RURAL DISTRICT-562 123. ...RESPONDENTS (BY SRI NAIK KRISHNA VENKATRAMAN, ADVOCATE FOR R1 – R4 (VK NOT FILED) ) THIS MFA IS FILED UNDER SECTION 173(1) OF MV ACT, AGAINST THE JUDGMENT AND AWARD DATED:27.02.2024 PASSED IN MVC No.2426/2023 ON THE FILE OF THE XXIII - 4 - HC-KAR NC: 2026:KHC:31239 MFA No. 4755 of 2024 C/W MFA No. 5580 of 2024 ADDITIONAL SMALL CAUSES JUDGE, MACT, BENGALURU, (SCCH-25), AWARDING COMPENSATION OF Rs.6,88,600/- WITH INTEREST AT 6 PERCENT P.A. FROM THE DATE OF PETITION TILL THE DATE OF DEPOSIT. THESE APPEALS COMING ON FOR ORDERS THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE SHIVASHANKAR AMARANNAVAR ORAL JUDGMENT 1. M.F.A. No. 4755/2024 is filed by the claimants seeking enhancement and M.F.A. No. 5580/2024 is filed by the Karnataka State Road Transport Corporation (hereinafter referred to as the `Corporation’) challenging the liability and also the quantum of compensation awarded in the judgment and award dated 27.02.2024 passed in MVC No. 2426/2023 by the XXIII Additional Small Causes Judge and MACT, Bengaluru (SCCH-25). 2. The claimants being the wife, 2 sons and a daughter of the deceased made a claim petition in respect of death of Veerachikkaiah in a road traffic accident which occurred on 26.03.2023 contending that the accident occurred due to the rash and negligent driving of the - 5 - HC-KAR NC: 2026:KHC:31239 MFA No. 4755 of 2024 C/W MFA No. 5580 of 2024 driver of KSRTC bus bearing No. KA-57-F-4178. The Tribunal has recorded the evidence. The Tribunal appreciating the evidence, assessed the compensation and awarded compensation under different heads as under: a) Loss of dependency Rs.4,80,000/- b) Funeral Expenses Rs. 20,000/- c) Loss of the estate Rs. 20,000/- e) Loss of consortium Rs.1,93,600/- Total Rs.7,13,600/- 3. The Tribunal has also awarded interest at the rate of 6% per annum from the date of petition till the date of realization and directed the respondent Corporation to pay the award amount with interest. Claimants have filed the appeal seeking enhancement and the Corporation has filed appeal challenging the liability and quantum of compensation awarded. 4. Heard learned counsel for claimants and learned counsel for respondent – Corporation. - 6 - HC-KAR NC: 2026:KHC:31239 MFA No. 4755 of 2024 C/W MFA No. 5580 of 2024 5. Learned counsel for claimants would contend that claimants are wife, 2 sons and daughter of the deceased. The deceased was aged about 85 years as on the date of the accident. The Tribunal has deducted 50% towards personal expenses while calculating loss of dependency. Placing reliance on the decision of Coordinate Bench of this Court in M.F.A. No. 7089/2016 and connected matters rendered on 19.09.2024 learned counsel for appellants would contend that in case of a married man having spouse there should not be deduction of 50% towards personal expenses and deduction towards personal expenses should be 1/3rd. He further contented that deduction of Rs.25,000/- out of the compensation assessed towards interim compensation paid is not just and proper. On that point, he places reliance on the decision of Division Bench of this Court rendered in M.F.A. No. 102117/2022 and connected matters decided on 24.09.2024 and the decision of a coordinate Bench - 7 - HC-KAR NC: 2026:KHC:31239 MFA No. 4755 of 2024 C/W MFA No. 5580 of 2024 rendered in M.F.A. No. 1480/2020 decided on 17.03.2026. With this he prayed to allow the appeal. 6. Learned counsel for respondent – Corporation would contend that the accident has taken place on national highway. The accident occurred at the time when the deceased was crossing the road where there was no zebra crossing. Therefore there is contributory negligence on the part of the deceased and the same has not been considered by the Tribunal. P.W.1 has admitted in his cross-examination that he is working, he is not dependant on the deceased and the other two claimants are also not dependant on the deceased. Considering the same, the Tribunal has rightly deducted 50% of the income of the deceased towards his personal expenses. The deceased was aged 85 years and the Tribunal has erred in taking the notional income at Rs.16,000/-. With this he prayed to allow the appeal filed by the Corporation. 7. Learned counsel for claimants, in reply, would contend that the deceased was an agriculturist and - 8 - HC-KAR NC: 2026:KHC:31239 MFA No. 4755 of 2024 C/W MFA No. 5580 of 2024 earning more than Rs.16,000/- per month and the Tribunal has rightly taken the notional income of the deceased at Rs.16,000/- per month. 8. Having heard learned counsel for the parties the Court has perused judgment, award and trial Court records. 9. The accident occurred on 26.03.2023 at about 12.00 noon when the deceased was crossing the road and at that time, KSRTC bus dashed against the deceased and the deceased succumbed to the injuries. Charge sheet has been filed against the driver of the bus for rash and negligent driving of the bus. Ex.P.3 - spot mahazar does not indicate any brake marks on the road. If there were brake marks on the road then it can be said that in order to avoid the accident the driver of the bus had applied brake. Merely because there was no zebra crossing at the spot of the accident, it cannot be said that the deceased contributed to the accident. Considering these aspects, the - 9 - HC-KAR NC: 2026:KHC:31239 MFA No. 4755 of 2024 C/W MFA No. 5580 of 2024 Tribunal has rightly held that there is rash and negligent driving by the driver of the bus. 10. The deceased has left behind the claimants who are wife, two major sons and a daughter. The Tribunal, considering that the claimant Nos. 2 to 4 are major sons and married daughter who were not dependent on the deceased, has deducted 50% towards personal expenses of the deceased out of his income. 11. Co-ordinate Bench of this Court in M.F.A. No. 7089/2016 and connected matters, relying upon the decision of the Hon’ble Supreme Court in the case of Sarla Verma (Smt.) and others Vs. Delhi Transport Corporation and another reported in (2009) 6 SCC 121 has observed at paragraph No. 14 as under: “14. The Hon'ble Apex Court while dealing with a married person, clearly said that 1/3rd has to be deducted. But there is no specific mention either in paragraph Nos.30 and 31 or in body of the judgment that, in case of a married person died leaving behind spouse alone, 50% has to be deducted towards personal expenses. The Hon'ble - 10 - HC-KAR NC: 2026:KHC:31239 MFA No. 4755 of 2024 C/W MFA No. 5580 of 2024 Apex Court specifically mentioned with reference to the bachelor that 50% has to be deducted towards personal expenses. If the intention of the Hon'ble Apex Court to deduct 50% in case of a spouse, it could have been mentioned specifically in paragraph No.30. Under such circumstances, argument of the Insurance Company is not persuasive to deduct 50% towards personal expenses in a case of married person. Hence, it is proper to deduct 1/3rd towards personal expenses. Then loss of dependency is Rs.8,000/- + 800(10%) = 8,800 - 2,933 (1/3rd) = 5,867 x 12 x 11 = Rs.7,74,444/-.” 12. Considering the said aspect deduction of 50% of the income of the deceased towards his personal expenses by the Tribunal is not proper. Deceased was a married man and he has left behind his wife and 3 major children. Therefore, deduction is to be taken at 1/3rd towards personal expenses of the deceased. 13. The Tribunal has deducted Rs.25,000/- paid by the Corporation towards interim compensation to the claimants out of the total compensation awarded. In the judgment relied on by the learned counsel for claimants - 11 - HC-KAR NC: 2026:KHC:31239 MFA No. 4755 of 2024 C/W MFA No. 5580 of 2024 rendered in M.F.A. No. 102117/2022 and connected matters decided on 24.09.2024 and M.F.A. no. 1480/2020 decided on 17.03.2026 it is held that ex-gratia paid by the Corporation to meet the immediate financial crisis cannot be deducted from the compensation awarded. Considering the said aspect, deduction of Rs.25,000/- by the Tribunal out of the total compensation awarded is not proper. In view of the above, claimants are entitled to loss of dependency as under: 16000 – 1/3 = 10667 10667 X 12 X 5 = 640020 14. Claimants are entitled to funeral expenses in a sum of Rs.15,000/- and loss of estate in a sum of Rs.15,000/- with 20% escalation as the accident occurred after 6 years of the decision rendered in the case of National Insurance Company Vs Pranay Sethi and Others reported in AIR 2017 SC 5157. Therefore, claimants are entitled to funeral expenses in a sum of Rs.18,000/- and loss of estate in a sum of Rs.18,000/-. - 12 - HC-KAR NC: 2026:KHC:31239 MFA No. 4755 of 2024 C/W MFA No. 5580 of 2024 15. Claimants are entitled to consortium of Rs.40,000/- each with 20 % escalation. 40000 + 20% = 48000 48000 X 4 = 192000 16. Considering the above aspects, the claimants are entitled to compensation under different heads as under: a) Loss of dependency Rs.6,40,020/- b) Funeral Expenses Rs. 18,000/- c) Loss of the estate Rs. 18,000/- e) Loss of consortium Rs.1,92,000/- Total Rs.8,68,020/- 17. Ex-gratia amount of Rs.25,000/- paid by the Corporation shall not be deducted from the aforesaid compensation awarded. 18. In view of the above, claimants are entitled to total compensation of Rs.8,68,020/- as against Rs.6,88,600/- awarded by the Tribunal with interest at the rate of 6% p.a. from the date of petition till the date of realization. Consequently, claimants are entitled to - 13 - HC-KAR NC: 2026:KHC:31239 MFA No. 4755 of 2024 C/W MFA No. 5580 of 2024 enhanced compensation of Rs.1,79,420/- (868020 – 688600) with interest at the rate of 6% p.a. from the date of petition till the date of realization. The respondent Corporation is liable to pay the entire compensation with interest to the claimants. 19. In view of the above, the following; O R D E R i) Appeal filed by the claimants in M.F.A. No. 4755/2024 is allowed in part. ii) Appeal filed by the Corporation in M.F.A. No. 5580/2024 is dismissed. iii) Claimants are entitled to enhanced compensation of Rs.1,79,420/- with interest at the rate of 6% p.a. from the date of petition till the date of realization. iv) The Corporation shall deposit the enhanced compensation, with interest at the rate of 6% from the date of petition till the date of realization within a period of six weeks from this day failing which it - 14 - HC-KAR NC: 2026:KHC:31239 MFA No. 4755 of 2024 C/W MFA No. 5580 of 2024 is liable to pay interest at the rate of 9% p.a. from this day till the date of payment. v) Claimants are entitled to release of entire enhanced compensation amount. vi) Amount in deposit is ordered to be transmitted to the Tribunal. Sd/- (SHIVASHANKAR AMARANNAVAR) JUDGE LRS List No.: 1 Sl No.: 58