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SC Enhances Compensation for Death of 14-Year-Old in Motor Accident

Case Law Details

TaxGuru Citation
2025 taxguru.in 12863
Case Name
Devendra Kumar Tripathi & Ors. Vs The Oriental Insurance Company Ltd. & Anr. (Supreme Court of India)
Date of Judgement/Order
Only available for paid members
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Devendra Kumar Tripathi & Ors. Vs The Oriental Insurance Company Ltd. & Anr. (Supreme Court of India)

SC enhances compensation for death of 14-year-old: Minimum wages, 40% future prospects & multiplier 15 applied

.The Supreme Court  enhanced compensation payable to parents for the death of their 14-year-old son in a motor accident. The Tribunal had awarded a meagre ₹1.29 lakh, which the High Court enhanced to ₹4.70 lakh. The Apex Court held that notional income should be assessed on the basis of minimum wages applicable to a Class-B city, i.e. ₹5,400 per month, with addition of 40% towards future prospects. Distinguishing Baby Sakshi Greola, the Court applied multiplier of 15 as laid down in Reshma Kumari for death cases and allowed 50% deduction towards personal expenses. The Court also granted conventional heads including loss of estate, funeral expenses, loss of filial consortium, medical expenses, and compensation for pain & suffering since the child survived for a day after the accident. Total compensation was recalculated at ₹8,65,400 with interest @ 7.5% per annum, payable within two months after adjusting amounts already paid.

FULL TEXT OF THE SUPREME COURT JUDGMENT/ORDER

1. Leave granted.

2. A 14-year-old boy, proceeding to school with two of his classmates, met with an accident when a truck driven rashly and negligently took their lives. The son of the appellants No.1 and 2 herein died a day after, in the hospital while the two school mates died on the spot.

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Author Info

CA Vijayakumar Shetty
Qualification: CA in Practice
Company: Shetty & Co, Chartered Accountants, Mangalore
Location: Mangalore, Karnataka
Articles Published: 6,954

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