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COMPENSATION UNDER MOTOR VEHICLES ACT 1988 SOME ISSUES

Other Topics - By: - Mr.M. GOVINDARAJAN - Dated:- 30-8-2016 - Introduction The Motor Vehicles Act, 1988 is an Act of the Parliament of India which regulates all aspects of road transport vehicles. The Act came into force from 1 July 1989. It replaced Motor Vehicles Act, 1939 which earlier replaced the first such enactment Motor Vehicles Act, 1914. The Act provides in detail the legislative provisions regarding licensing of drivers/conductors, registration of motor vehicles, control of motor veh .....

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with the nature of the disability caused. The following factors have to be considered by the Tribunal while awarding compensation, in case of the death of the victim- The income of the deceased per annum should be ascertained. Out of the said income a deduction is to be made with regard to the amount which the deceased would have spent on him by way of personal and living expenses. The balance which is to be considered to be the contribution to the dependent family constitutes the multiplicant; .....

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on should not be assessed in so liberal fashion as to make it a bounty for the claimant. There must be an endeavor to secure some uniformity and consistency. It is desirable that so far as possible comparable injuries should be compensated by comparable awards. Damages have to be assessed under two heads, viz; Pecuniary Damages and Special or General Damages. Pecuniary Damages may include expenses incurred by the claimant on medical treatment, attendance, transportation, special diet etc., Non p .....

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risdiction the claimant resides or carries on business or within the local limits of whose jurisdiction the defendant resides, and shall be in such forms and contains such particulars as may be prescribed. In Malati Sardar V. National Insurance Company Limited and Others - 2016 (8) TMI 917 - SUPREME COURT, the deceased Diganta Sardar, aged 26 years, a school teacher, unmarried son of the appellant was hit by bus insured with the respondent company at Hoogly in the State of West Bengal and died. .....

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ction of the Tribunal. The objection of the respondent was that the accident took place at Hoogly and the claimant resided at Hoogly. The office of the respondent being at Kolkata did not attract territorial jurisdiction of Kolkata Tribunal. The High Court upheld the objections of the respondent and allowed the appeal. The Supreme Court, in appeal, filed by the appellant, held that the provision of Section 166 is a benevolent provision for the victims of accidents of negligent driving. The provi .....

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the High Court and restored the award of the Tribunal. Breach of the conditions of insurance policy In United India Insurance Company Limited V. K.M. Poonam and others - 2011 (2) TMI 1475 - SUPREME COURT the insurance policy of owner of vehicle covered six occupants of vehicle in question, including the driver. Therefore the liability of the insurer would be confined to six persons only, notwithstanding larger number of persons carried in vehicle. Such excess number of persons would have to be t .....

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amount paid by it over and above the compensation is payable in respect of the persons covered by the insurance policy from the owner of the vehicle by putting the decree into execution. Composite Negligence In the case of composite negligence, the claimant is entitled to sue both or any of the joint tortfeasors and to recover the entire compensation as liability of tortfeasers is joint and several. In Kamalesh and others V. Attar Singh and others - 2015 (10) TMI 2528 - SUPREME COURT the Suprem .....

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joint tortfeasers, thus liable to make payment of compensation. Fatal accident - computation of compensation In Pushkar Mehra V. Brij Mohan Kushwaha and others - (2016) 1 SCC (Crl) 320 the appellant widow is the wife of the deceased along with the mother and the children of the deceased. The appellant claimed compensation amounting to ₹ 25 lakhs due to death of her husband in a motor accident when he was crossing the road, dashed by vehicle dumper loaded with concrete. The annual income o .....

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e, on account of love and affection and funeral expenses. The Tribunal also directed to pay interest @ 7.5% per annum on the award amount from, the date of filing the petition till the notice of the deposit of the award. The judgment was challenged by the appellant in the High Court seeking enhancement of compensation granted by the Tribunal questioning the correctness of the compensation awarded. The High Court held that the compensation awarded by the Tribunal was more than adequate and dismis .....

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skilled worker. In the case of self employed or on fixed wages, where there is no age of superannuation, the supreme Court was of the view that it would be just and equitable to provide an addition of 15% of the case where the victim is between the age group of 50 to 60 years. The Supreme Court awarded ₹ 9,60,424/- as arrived at below- Income fixed for compensation= ₹ 7020 ADD 15% for future prospect = ₹ 1053 Total= ₹ 8073 LESS person expenses of the deceased = ₹ 2 .....

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