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Case Law Details

Case Name : Rajwati @Rajjo & Ors. Vs United India Insurance Company Ltd. & Ors. (Supreme Court of India)
Appeal Number : Civil Appeal No. 8179 of 2022
Date of Judgement/Order : 09/12/2022
Related Assessment Year :
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Rajwati @Rajjo & Ors. Vs United India Insurance Company Ltd. & Ors. (Supreme Court of India)

Conclusion: The Hon’ble Supreme Court held that that strict rules of evidence as applicable in a criminal trial, are not applicable in motor accident compensation cases. In other words, the standard of proof to be borne in mind must be of preponderance of probability and not the strict standard of proof beyond all reasonable doubt which is followed in criminal cases.

Facts: In present facts of the case, two appeals were directed against the final orders dated 29.04.2019 passed by the High Court of Judicature for Rajasthan, Jaipur Bench (hereinafter referred to as ‘High Court’) in two Miscellaneous Appeals filed by Respondent No. 1 herein, seeking to set aside the judgment and award dated 26.10.2018 passed by the Motor Accident Claim Tribunal/Additional District and Sessions Judge, Kaman, District Bharatpur (hereinafter referred to as ‘Learned Tribunal’). Both these appeals arise out of the same accident. Hence, they have been clubbed together and are being decided by this common judgment. In both the matters, the High Court allowed the appeal of Respondent No.1 herein and modified the award passed by the Learned Tribunal, and reduced the compensation awarded to the Claimants/Appellants.

The Appellants are the heirs and dependents of the deceased, who died on 29.10.2013 as a result of a motor accident. The deceased was working as a driver. On 29.10.2013, at around about 8:00 PM, the deceased along with his co-worker Kanti Lal was riding a motorcycle while returning home from work, when he was hit from behind by a truck being driven by Respondent No. 3 in a rash and negligent manner. The deceased and his co-worker were severely injured and died on the spot. The Appellants filed a claim petition under Section 166 of the Motor Vehicles Act, 1988 before the Learned Tribunal, seeking compensation amounting to Rs.91,46,000/- along with interest. Vide Judgment and Award dated 26.10.2018, the Learned Tribunal awarded a compensation of Rs.19,64,218.75/- along with interest @ 7% per annum from the date of filing of the claim petition till the realization of the decretal amount. The deceased’s age at the time of the accident was 41 years, and the same was ascertained by the Learned Tribunal on the basis of his driving license (Exhibit-A1) which recorded his date of birth as 25.08.1972. Exhibit-19 (Salary Certificate) and Exhibit-20 (Pay Slip) were produced. On the basis of pay slip, the Learned Tribunal assessed the income of the deceased at Rs.11,225/- per month. To this, 25% was added towards future prospects bringing his monthly income to Rs.14,031.25/-. The Learned Tribunal added a multiplier of 15, thereby calculating the compensation to be Rs.25,25,635/-(Rs.14,031.25 x 12 x 15). After deducting 1/4th of the total income towards personal expenses (amounting to Rs.6,31,406.25/-), the Learned Tribunal arrived at a compensation of Rs.18,94,218.75/-. Further, the Learned Tribunal awarded Rs.40,000 towards loss of consortium, Rs.15,000/- towards loss of estate, and Rs.15,000/- towards funeral expenses.

Being aggrieved, Respondent No. 1 filed an appeal before the High Court. Vide judgment and final order dated 29.04.2019, the High Court held that the Learned Tribunal erred in relying on the salary certificate (Exhibit-19) and pay slip (Exhibit-20) to ascertain the income of the deceased at Rs.11,225/-per month, as the person who issued the said documents was not examined before the Learned Tribunal. Accordingly, the High Court assessed the income at Rs. 4,836/- per month in view of the minimum wages fixed by the State at the relevant time. Therefore, a total compensation of Rs.8,16,670/- (Rs.6,09,336/- + Rs.1,52,334/- + Rs.40,000/- + Rs.15,000/-) was awarded by the High Court. The remaining terms and conditions of the original award passed by the Learned Tribunal were affirmed.

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