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SC enhances road accident compensation from Rs 17.66 lakh to Rs 25.20 lakh to family of deceased farmer [Read Judgment]

By LawStreet News Network      20 December, 2022 09:07 PM      0 Comments
SC enhances road accident compensation from Rs 17.66 lakh to Rs 25.20 lakh to family of deceased farmer

NEW DELHI: The Supreme Court has enhanced compensation for death of a young farmer from Punjab in road accident from Rs 17.66 lakh to over Rs 25.20 lakh, after noting he was cultivating 66 acres, and was entitled to a third of the value of produce from income of those agricultural lands.

A bench of Justices Krishna Murari and S Ravindra Bhat allowed an appeal filed by Harvinder Kaur and other, family members of the deceased, 35-year-old Jagjit Singh against a decision by the Punjab and Haryana High Court.

Singh was returning from Chandigarh in a car with two other passengers, when a negligently driven truck collided with their car on September 29, 2004. Grievously injured, he was transferred to the hospital for medical attention, but succumbed to his injuries.

His family members approached the Motor Accident Claims Tribunal which awarded a sum of just Rs 6.60 lakh to the family members under the Motor Vehicle Act.

It was also submitted before the court that the deceased was the lambadaar of the village, and undertook various responsibilities related to this role. A man of enterprise, it was reiterated, that he was young, well educated, and progressive farmer who employed modern farming techniques, and was instrumental in increasing the income from the lands.

It was also argued that the deceased was central to the income generating activity, and the steady rise in his income was testimony to his dynamic approach. His death affected the income generating capacity, and therefore,the loss of dependency on that score was vital.

In its judgement, the bench noted that it is an uncontroverted fact that he was also a lambardar of the village, and a graduate.

The total extent of land he cultivated was 66 acres. He owned 12 acres. The tribunal arrived at a lump sum amount of Ra 95,000 per annum, and deducted 1/3 rd from that sum, on the ground that it constituted expenditure, and made a further deduction of 1/3rd amount towards the deceaseds living expenses.

The High Court arrived at the final figure of Rs 17.66 lakh with 7.5% interest per annum.

"This court is of the opinion that even while the High Court increased the level of income, it did not address the issue in the correct perspective," the bench said, adding appellants are entitled to Rs 25.20 lakh towards loss of dependency and the three appellants being the children and mother of the deceased, are entitled to Rs 40,000 each towards filial and parental consortium.

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