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Supreme Court of India

RAMESH SINGH & ANR.versusSATBIR SINGH & ANR.

Citation
2008 INSC 73
Decided
21 January 2008
Disposal
Dismissed

Holding

The multiplier under Section 163-A is to be determined by the higher of the age of the deceased or the claimant, making the multiplier of eight appropriate in this case.

Summary

The father and mother of Banu Pratap Singh, who died at age 22 in a motor accident, appealed against the compensation awarded under the Motor Vehicles Act, 1988. The trial court and the High Court had applied a multiplier of eight, based on the father's age of 55, to calculate loss of dependency. The appellants argued that the multiplier should be 16, reflecting the deceased's age, or at least 11, reflecting the mother's age. The Supreme Court held that the multiplier is determined by the higher of the age of the deceased or the claimant, and since the father was 55, a multiplier of eight was appropriate. It further clarified that relief under Section 163‑A is alternate, not additional, and that the Second Schedule is merely a guide, not a mandatory rule. Consequently, the appeals were dismissed.

Issues considered

  • The appropriate multiplier under Section 163-A: whether it should be based on the age of the deceased or the claimant.
  • Whether the Second Schedule multiplier is mandatory or a guideline.
  • Whether relief under Section 163-A is additional or alternate to other compensation.
  • Whether the compensation awarded should be enhanced beyond the multiplier of eight.

Legislation cited

Subjects

Motor Vehicles ActSection 163-AMultiplierCompensationDependency lossSecond ScheduleAlternate reliefMotor accident liability

Judgment

                          [2008] 1 S.C.R. 959


A                      RAMESH SINGH & ANR.
                                  v.
                        SATBIR SINGH & ANR.
                                                                           '
                (Civil Appeal Nos. 545-546 of 2008)
                        JANUARY 21, 2008
B
            (S.B. SINHA AND V.S. SIRPURKAR, JJ.)

         Motor Vehicles Act, 1988:
                                                                           '
         s. 163-A - Appropriate multiplier-At the time of accident
c deceased son aged 22 years and claimant father 55 years -
   HELD: Choice of multiplier is determined by age of deceased·
   or claimant, whichever is higher - Taking the age of father to
   be 55 years, courts below did not commit any illegality in
   applying multiplier of 8 - Relief u/s 163-A is not additional but
D ·alternate - Second Schedule to the Act can only be used as a
   guide.
       In the instant appeals for further enhancement of
  compensation, filed by the father who was aged about 55
  years at the time of death of his young son, who died in a
E
  motor accident, it was contended for the appellants that
  the Motor Accident Claims Tribunal and the High Court
  erred in applying the multiplier of 8, and instead, in view
  of provisions of s.163-A considering the age of the
  deceased being 22 years at the time of the accident, the
F multiplier of 16 should have been applied. It was
                                                                       I   r   •
  alternatively contended that the age of the mother being
  52 years, at that time, at least a multiplier of 11 should have
  been applied.

G         Dismissing the appeals, the Court
       HELD: 1.1 The choice of multiplier is determined by
                                                                       ,"t'
  the age of the deceased or claimants whichever is higher.
  Admittedly, the age of the father was 55 years. The
  question of mother's age never cropped up because that
H                            959
               RAMESH SINGH & ANR. v. SATBIR SINGH & ANR.            960


       ~
             was not the contention raised even before the trial court A
             or before this court. Taking the age of the father to be 55
             years, the courts below have not committed any illegality
             in applying the multiplier of 8 since he was running 56th
..           year of his life. [para 4) [962-G-H]
                  1.2 The relief uls 163-A of the Motor Vehicles Act, 1988 B
             has been held not to be additional but alternate. The
             Second Schedule to the Act is to be used not only referring
      ,.     to age of victim but also other factors relevant therefor.
             Complicated questions of facts and law arising in accident
             cases cannot be answered all times by relying on c
             mathematical equations. The Schedule can only be used
             as a guide. The selection of multiplier cannot in all cases
             be solely dependent on the age of the deceased. If a
             youngman is killed in the accident leaving behind aged
             parents who may not survive long enough to match with D
     ~       a high multiplier provided by the Second Schedule, then
             the Court has to offset such high multiplier and balance
             the same with the short life expectancy of the claimants.
             That precisely has happened in this case. The Courts
             below rightly struck the said balance. [para 5) [963-C-G] E
                   New India Assurance Co. Ltd. v. Charlie (2005) 10 SCC
             720; Deepal Girishbhai Soni vs. United India Insurance Co.
             Ltd. (2004) 5 SCC 385; UP State Road Transport Corporation
             vs. Trilok Chandra (1996) 4 SCC 362; Oriental Insurance Co.
     -i.,    Ltd. vs. Syed Ibrahim & Ors. JT 2007(11) SC 113 - relied on.   F

                  CIVILAPPELLATE JURISDICTION: Civil Appeal Nos. 545-
             546 of 2008.
                  From the final Judgment and Order dated 31.1.2007 of
             the High Court of Delhi at New Delhi in MAC APP. Nos. 330- G
     .....   331of2006 .
         )

                  Manjeet Chawla for the Appellants.
                  Praveen Swarup for the Respondents.
    961       SUPREME COURT REPORTS                  [2008] 1 S.C.R.


A         The Judgment of the Court was delivered by
          V.S. SIRPURKAR, J. 1. Leave granted.
         2. Not being satisfied with the Judgment of the High Court
   enhancing the compensation by a sum of Rs.50,000/-, the
B parents of deceased Banu Pratap Singh have filed these
   appeals. Deceased Banu Pratap Singh was killed in an
   accident on 29.3.2004 involving a truck which was being driven
   by first respondent, Satbir Singh. The truck belonged to
   Municipal Corporation of Delhi. At the time of his death, Bhanu
c Pratap Singh was about 22 years of age. It was claimed by the
  first appellant, i.e., the father of the deceased that he was 41
  years old at the time of death of Bhanu Pratap Singh. The Trial
   Court, on the basis of the evidence, came to the conclusion that
  the annual loss of dependency regarding Bhanu Pratap Singh
D could be taken at Rs.28,992/-. It was further held that Appellant
   No.1, the father of the deceased was 55 years of age at the
  time of accident and that is how the Trial Court applied the          '
  multiplier of 8 years and held that the total loss of dependency
  was Rs.2,31,936/-. Further compensation of Rs.2,000/- for
E funeral expenses and Rs.2500/- on account of loss of estate
  was added to the above sum and total compensation of
  Rs.2,36,436/- was awarded with interest at 6% from the date of
  filing of the petition till realization. It was held that both
  respondents, namely, the driver and the owner, i.e., Municipal
  Corporation of Delhi were jointly and severally liable to pay the
F compensation, however, primary obligation to pay the
  compensation was fixed against second respondent. An appeal
  was filed by the appellants herein before the High Court wherein
  three grounds were raised. It was firstly contended that the future
  prospects were ignored by the Tribunal; secondly it was
G contended that the Tribunal was wrong in adopting the multiplier
  of 8 as the father of the deceased was only 41 years of age at
  the time of death; and the third contention was that no
  compensation was awarded for the loss of love and affection of
  a son to the parents. The High Court disbelieved the theory that
H the father was only 41 years of age on the date of the accident
                    RAMESH SINGH & ANR. v. SATBIR SINGH & ANR.               962
                               [VS. SIRPURKAR, J.]

'
    ~-
    '             or that he was confused when he mentioned his age to be 55 A
                  years at the time of evidence. The High Court also disbelieved
                  the High School certificate in relation to the father and held the
                  claim to be absurd. The High Court considered the first and the
                  second contentions together since they were inter-related and
                  held that increase of Rs.50,000/- would be reasonable, taking B
                  into account the possibility of increase in minimum wages, due
    \             to loss of love and affection of the child and pain and sufferings
    >             which the parents would live all their life. The High Court passed
                  the order accordingly.
                        3. Learned counsel appearing on behalf of the appellant c
                  very fairly does not argue the question of the age of the father
                  and accepted the findings that the father was 55 years at the
                  time of the accident and not 41 years as claimed by him in the
                  appeal filed before the High Court. However, as regards the
                  application of the multiplier, the learned counsel heavily relied D
    "   ')
                  on the Second Schedule and contends that this was the case
                  under Section 163A of the Motor Vehicles Act and since the
                  age of the deceased was only 22 years, the multiplier of 16 was
                  liable to be made applicable. Alternatively, the counsel submits
                  that atleast the multiplier of 11 ought to have been made E
                  applicable considering the age of the Appellant No.2, the mother
                  of the deceased, to be 52 years.
                        4. We have given anxious consideration to these
                  contentions and are of the opinion that the same are devoid of
                  any merits. Considering the law laid down in New India F
        "')


                  Assurance Co. Ltd. v. Charlie [(2005) 10 SCC 720], it is clear
                  that the choice of multiplier is determined by the age of the
                  deceased or claimants whichever is higher. Admittedly, the age
                  of the father was 55 years. The question of mother's age never
                  cropped up because that was not the contention raised even G
    ~·
             ')   before the Trial Court or before us. Taking the age to be 55
                  years, in our opinion, the courts below have not committed any
                  illegality in applying the multiplier of 8 since the father was
                  running 55th year of his life.
                                                                                  H
    963       SUPREME COURT REPORTS                     [2008] 1 S.C.R.


A         5. The learned counsel relying on the 2nd Schedule of the
    Act contended that the deceased being about 16 or 17 years of
    age, a multiplier of 16 or 17 should have been granted. It is
    undoubtedly true that Section 163-A was brought on the Statute
    book to shorten the period of litigation. The burden to prove the
B   negligence or fault on the part of driver and other allied burdens
    u/s 140 or 166 were really cumbersome and time consuming.
    Therefore as a part of social justice, a system was introduced
    via Section 163-A wherein such burden was avoided and                       •
    thereby a speedy remedy was provided. The relief u/s 163-A
c   has been held not to be additional but alternate. The Schedule
    provided has been threadbare discussed in various
    pronouncements including Deepal Girishbhai Soni vs. United
    India Insurance Co. Ltd. [(2004) 5 SCC 385]. 2nd Schedule is
    to be used not only referring to age of victim but also other factors
    relevant therefor. Complicated questions of facts and law arising
0
    in accident cases cannot be answered all times by relying on
    mathematical equations. In fact in U.PState Road Transport
    Corporation vs. Trilok Chandra [(1996) 4 SCC 362], Ahmedi,
    J. (As the Chief Justice then was) has pointed out the
    shortcomings in the said Schedule and has held that the
E   Schedule can only be used as a guide. It was also held that the
    selection of multiplier cannot in all cases be solely dependent
    on the age of the deceased. If a youngman is killed in the
    accident leaving behind aged parents who may not survive long

F
    enough to match with a high multiplier provided by the 2nd
    Schedule, then the Court has to offset such high multiplier and
                                                                            (   .   ,
    balance the same with the short life expectancy of the claimants.
    That precisely has happened in this case. Age of the parents
    was held as a relevant factor in case of minor's death in recent
    decision in Oriental Insurance Co. Ltd. vs. Syed Ibrahim & Ors.
G   [JT 2007(11)SC 113). In our considered opinion, the Courts
    below rightly struck the said balance.
         6. With this, we dispose of these appeals. There will be no
    order as to costs.
H R.P.                                            Appeals dismissed.


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