In a recent case regarding compensation assessment in a motor accident, the Supreme Court made a pivotal decision overturning the High Court’s judgement. The case involved the analysis of disability percentage and its impact on the compensation awarded to the injured party. Stay tuned to learn how the Supreme Court’s ruling has reshaped the outcome of this legal dispute.
Facts
- The appellant filed a claim petition seeking compensation for injuries sustained in a motor accident.
- The insurance company filed an appeal in MFA No.103118 of 2014 (MV) before the High Court.
- The High Court passed a final judgment partly allowing the appeal filed by the insurance company.
- High Court re-assessed compensation by reducing it to Rs.4,74,072/- based on disability at 20%
- High Court allowed the appeal in part by reducing the compensation
- Tribunal initially awarded Rs.5,38,872/- considering disability at 25%
- High Court’s judgment dated 13.11.2018 is under challenge before them
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Issue
- The issue at hand is whether the High Court rightly reduced the appellant’s percentage of disability from 25% to 20% when determining compensation.
- The Tribunal initially fixed the appellant’s disability at 25%.
- The High Court revised this percentage to 20% during the compensation assessment process.
- The key question is whether this reduction was appropriate and justified in the case.
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Arguments
- The appellant, an agriculturist, is unable to do agricultural operations due to disability.
- The Tribunal determined compensation for ‘Loss of future income’ at 25% disability.
- The High Court re-determined the compensation, reducing disability to 20% due to non-examination of the doctor who issued the disability certificate.
- The appellant sustained three injuries and underwent surgeries in both hands, resulting in a 50% disability as per the doctor’s certificate.
- Learned counsel for the insurance company argues that the High Court awarded a fair compensation to the appellant.
- The counsel believes that the compensation was justly determined based on the facts and circumstances of the case.
- The insurance company’s counsel requests the dismissal of the appeal.
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Analysis
- Appellant sustained injuries including displaced fracture upper 1/3rd of the shaft of right radius and ulnar shafts
- Appellant underwent surgery and had plates and screws implanted in his hands
- Tribunal determined disability at 25% without providing a reason
- Doctor’s certificate indicated 50% permanent disablement, supporting the appellant’s claim
Decision
- The impugned judgment dated 13.11.2018 passed by the High Court in MFA No.103118 of 2014 (MV) is set aside.
- The judgment dated 28.06.2014 passed by the Tribunal in MAC No.1587 of 2013 fixing the disability of the appellant at 25% is restored.
- The insurance company is directed to deposit the entire compensation along with interest as determined by the Tribunal, after adjusting the amounts already deposited, before the Tribunal.
- The deposit should be made within a period of four weeks from the date of receipt of a copy of this judgment.
- Upon the deposit being made, the appellant is permitted to withdraw the same.
Case Title: RAHUL Vs. NATIONAL INSURANCE COMPANY LTD. (2024 INSC 598)
Case Number: C.A. No.-008614-008614 – 2024
