{"id":257040,"date":"2021-11-13T10:00:37","date_gmt":"2021-11-13T04:30:37","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=257040"},"modified":"2021-11-19T18:30:46","modified_gmt":"2021-11-19T13:00:46","slug":"she-might-not-be-a-legal-heir-of-the-deceased-but-she-certainly-suffered-on-account-of-his-death-mother-in-law-can-claim-compensation-as-a-dependant-under-mv-act-sc","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2021\/11\/13\/she-might-not-be-a-legal-heir-of-the-deceased-but-she-certainly-suffered-on-account-of-his-death-mother-in-law-can-claim-compensation-as-a-dependant-under-mv-act-sc\/","title":{"rendered":"\u201cShe might not be a legal heir of the deceased, but she certainly suffered on account of his death\u201d; Mother-in-law can claim compensation as a dependant under MV Act: SC"},"content":{"rendered":"

Supreme Court: <\/strong>The Division Bench of S. Abdul Nazeer* and Krishna Murari, JJ., held that neither the percentage of deduction for personal expenses be governed by a rigid rule or formula of universal application nor does it depends upon the basis of relationship of the claimant with the deceased.<\/p>\n

Passing a landmark decision, the Bench granted compensation to mother-in-law of the deceased considering her to be of the dependents of the deceased. The Bench remarked,<\/p>\n

\n

\u201cIt is not uncommon in Indian Society for the mother-in-law to live with her daughter and son-in-law during her old age and be dependent upon her son-in-law for her maintenance.\u201d<\/em><\/strong><\/p>\n<\/blockquote>\n

Through the impugned judgment, the High Court of Kerala had scaled down the amount of compensation payable to the appellants and thereby modified the award passed by the Motor Accident Claims Tribunal.<\/p>\n

Factual Matrix<\/strong><\/span><\/h4>\n

The appellants had filed the claim petition before the Tribunal seeking compensation on account of the death of one N. Venugopalan Nair in a motor vehicle accident. Noticing that the deceased had four dependants, the Tribunal awarded a total sum of Rs.73,18,971 towards loss of dependency making the total sum Rs.74,50,971 towards compensation with interest at 7.5 per cent per annum.<\/p>\n

In appeal the High Court held that the appellant 4, i. e. mother-in-law of the deceased was not a legal representative of the deceased. Similarly, without denying the fact that the deceased was a meritorious person who possessed the qualification of M.Sc. M.Phil and was availing the monthly salary of Rs.83,831, the High Court took the monthly income of the deceased as Rs.40,000\/for the purpose of calculation of loss of dependency opining that the deceased was aged 52 years at the time of the accident, hence he would not have earned the same monthly income after his retirement.<\/p>\n

Accordingly, the High Court awarded compensation of Rs.23,65,728 towards loss of dependency for preretiral period and a sum of Rs.22,40,000 towards loss of dependency for postretiral period. In total, a sum of Rs.48,39,728 was awarded as compensation by the High Court.<\/p>\n

Observation and Analysis<\/strong><\/span><\/h4>\n

Whether the High Court was justified in precluding the mother-in-law of the deceased as his legal representative? <\/em><\/strong><\/span><\/p>\n

The MV Act does not define the term \u2018legal representative\u2019. Generally, \u2018legal representative\u2019 means a person who in law represents the estate of the deceased person and includes any person or persons in whom legal right to receive compensatory benefit vests. A \u2018legal representative\u2019 may also include any person who intermeddles with the estate of the deceased; such person does not necessarily have to be a legal heir. Hence, the Bench observed,<\/p>\n

\n

\u201cIn our view, the term \u2018legal representative\u2019 should be given a wider interpretation for the purpose of Chapter XII of MV Act and it should not be confined only to mean the spouse, parents and children of the deceased<\/em><\/strong>.\u201d<\/p>\n<\/blockquote>\n

Opining that the As MV Act is a benevolent legislation, therefore, it calls for a liberal and wider interpretation to serve the real purpose underlying the enactment and fulfil its legislative intent, the Bench held that in order to maintain a claim petition, it is sufficient for the claimant to establish his loss of dependency.<\/strong><\/p>\n

Reliance was placed on Gujarat SRTC <\/em>v. Ramanbhai Prabhatbhai<\/em>, (1987) 3 SCC 234<\/a>, by the Bench, wherein it had been held that, \u201cWe should remember that in an Indian family brothers, sisters and brothers\u2019 children and sometimes foster children live together and they are dependent upon the breadwinner of the family and if the breadwinner is killed on account of a motor vehicle accident, there is no justification to deny them compensation relying upon the provisions of the Fatal Accidents Act, 1855<\/em>.\u201d<\/p>\n

Hence, considering that the mother-in-law of the deceased was staying with the deceased and his family members since a long time and was dependent on him for her shelter and maintenance, the Bench held that she might not be a legal heir of the deceased, but she certainly suffered on account of his death<\/strong>. Therefore, the Bench declared that she was a \u201clegal representative\u201d under Section 166 of the MV Act and was entitled to maintain a claim petition.<\/p>\n

Whether the High Court was justified in applying a split multiplier? <\/em><\/strong><\/span><\/p>\n

The deceased was aged 52 years at the time of the accident and was working as an Assistant Professor on a monthly salary of Rs.83,831. Considering that the deceased was a Selection Grade Lecturer in Mathematics and was a subject expert, the Bench stated that evidence on record also shows that there is acute shortage of lecturers in Mathematics for appointment in colleges and retired Mathematics Professors are\u00a0 appointed in so many colleges.<\/p>\n

\n

\u201cIt is common knowledge that the teachers, especially Mathematics teachers, are employed even after their retirement in coaching centers. They may also hold private tuition classes. This would increase their income manifold after retirement.\u201d<\/em><\/strong><\/p>\n<\/blockquote>\n

In the above backdrop, the Bench rejected the findings of High Court that the deceased\u2019s income would necessarily reduce after his retirement, the Bench held that at the time of calculation of the income, the Court has to consider the actual income of the deceased and addition should be made to take into account future prospects.<\/strong> Accordingly, it was held that the High Court was not justified in applying split multiplier in the instant case by bifurcating the deceased\u2019s income as pre- retirement and post-retirement.<\/p>\n

What is the amount of compensation that should be awarded to the appellants? <\/em><\/strong><\/span><\/p>\n

The deceased was aged 52 years at the time of his death and had a permanent job. The annual income of the deceased was Rs.10,00,572, which after income tax deduction came to Rs.8,87,148.<\/p>\n

Relying on the decision in National Insurance Company Limited v. Pranay Sethi<\/em>, (2017) 16 SCC 680<\/a>, the Bench added additional 15% of his actual salary towards future prospectus, which made the actual salary of the deceased as Rs.1,33,072.<\/p>\n

Since the deceased was 52 years at the time of his death, the applicable multiplier was \u201811\u2019. \u00a0Similarly, considering that he had four dependants, following compensation was granted to the dependants: (i) Towards Loss of dependency Rs.84,16,815 ( ii) Loss of Estate Rs.16,500 iii) Funeral Expenses Rs.16,500 (iv) Spousal Consortium Rs.44,000 ( v) Parental Consortium Rs.88,000. Total Rs.85,81,815 was granted as compensation along with interest at the rate of 7.5% per annum.<\/p>\n

[N. Jayasree v. Cholamandalam Ms General Insurance Company Ltd., 2021 SCC OnLine SC 967<\/a>, <\/b>decided on 25-10-2021]<\/p>\n

\n

Kamini Sharma, Editorial Assistant has put this report together<\/strong><\/span><\/p>\n

\n

Appearance by:<\/strong><\/p>\n

For the Appellants: Adv. Seshatalpa Sai Bandaru<\/p>\n

For the Respondents: Adv.\u00a0\u00a0Chander Shekhar Ashri<\/p>\n

\n

*Judgment by: Justice S. Abdul Nazeer\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0<\/strong><\/p>\n

\n","protected":false},"excerpt":{"rendered":"

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Dias, J., held that a married daughter and parents of the deceased woman are legal representative under the MV Act and hence, are entitled to claim compensation as a dependant of the deceased. The Bench remarked, \u201cEven if dependency is a relevant criterion to claim compensation\u2026","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":242647,"url":"https:\/\/www.scconline.com\/blog\/post\/2021\/01\/23\/del-hc-whether-it-would-be-fair-to-deny-compensation-for-loss-of-dependency-to-a-parent-who-may-not-be-dependent-on-his-her-child-at-the-time-of-accident-per-se-but-would-become-dependent-at-his-he\/","url_meta":{"origin":257040,"position":1},"title":"Del HC | Whether it would be fair to deny compensation for loss of dependency to a parent, who may not be dependent on his\/her child at the time of accident per se but would become dependent at his\/her later age? HC explains","author":"Bhumika Indulia","date":"January 23, 2021","format":false,"excerpt":"Delhi High Court:\u00a0J.R. Midha, J., while addressing a motor accidents claim application decided on the issue whether it would be fair to deny compensation for loss of dependency to a parent, who may not be dependent on his\/her child at the time of accident per se but would become dependent\u2026","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":236154,"url":"https:\/\/www.scconline.com\/blog\/post\/2020\/09\/23\/bom-hc-if-there-is-breach-of-policy-condition-is-the-insurance-company-still-liable-to-pay-compensation-hc-explains-in-a-motor-accident-case\/","url_meta":{"origin":257040,"position":2},"title":"Bom HC | If there is breach of policy condition, is the Insurance company still liable to pay compensation? HC explains in a motor accident case","author":"Bhumika Indulia","date":"September 23, 2020","format":false,"excerpt":"Bombay High Court:\u00a0Anil S. Kilor, J., decided an appeal wherein the claim petition was rejected by the Motor Accident Tribunal on certain grounds. FACTS Deceased Baby was traveling in a jeep owned by respondent 1. It has been stated that the vehicles' driver was driving at a high speed and\u2026","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/09\/Bombay-HC.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/09\/Bombay-HC.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/09\/Bombay-HC.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/09\/Bombay-HC.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/09\/Bombay-HC.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":241154,"url":"https:\/\/www.scconline.com\/blog\/post\/2020\/12\/23\/bom-hc-whether-separate-earnings-of-a-widow-disentitle-her-from-claiming-compensation-in-a-case-of-vehicular-accident-read-the-interesting-aspects-of-whether-remarriage-number-of-dependents-etc\/","url_meta":{"origin":257040,"position":3},"title":"Bom HC | Whether separate earnings of a widow disentitle her from claiming compensation in a case of a vehicular accident? Read the interesting aspects: Whether remarriage, number of dependents, etc. will have an impact in claim petitions","author":"Bhumika Indulia","date":"December 23, 2020","format":false,"excerpt":"Bombay High Court: S.M. Modak, J., dealt with some significant issues in a claim petition wherein a widow is earning and has prospects of remarriage. The present matter dealt with a very interesting issue involving an appeal about the entitlement of widow to the compensation who got remarried during the\u2026","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/09\/Bombay-HC.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/09\/Bombay-HC.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/09\/Bombay-HC.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/09\/Bombay-HC.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/09\/Bombay-HC.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":243430,"url":"https:\/\/www.scconline.com\/blog\/post\/2021\/02\/05\/kar-hc-will-absence-of-any-specific-claim-under-s-166-mv-act-in-pleadings-deprive-a-claimants-of-getting-just-compensation-hc-answers\/","url_meta":{"origin":257040,"position":4},"title":"Kar HC | Will absence of any specific claim under S. 166 MV Act in pleadings deprive a claimant(s) of getting just compensation? HC answers","author":"Editor","date":"February 5, 2021","format":false,"excerpt":"Karnataka High Court: A Division Bench of S. Sujatha and Sachin Shankar Magadum JJ., allowed the appeal and set aside the impugned judgment. The facts of the case are such that the deceased, Chandrashekhar along with Kumar and other inmates were proceeding in a Maruthi Van from Kanipakam to Thimmasanapalli\u2026","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":44611,"url":"https:\/\/www.scconline.com\/blog\/post\/2016\/04\/22\/widow-of-the-deceased-employee-only-on-account-of-her-subsequent-remarriage-cannot-be-precluded-from-receiving-compensation-so-determined-by-the-commissioner\/","url_meta":{"origin":257040,"position":5},"title":"Widow of the deceased employee, only on account of her subsequent remarriage, cannot be precluded from receiving compensation so determined by the Commissioner","author":"Sucheta","date":"April 22, 2016","format":false,"excerpt":"Himachal Pradesh High Court:\u00a0Deciding on an appeal wherein the issue arose as to whether in the absence of lodging of any claim, a widow of the deceased employee, only on account of her subsequent remarriage, is precluded from receiving compensation so determined by the Commissioner under Workmen\u2019s Compensation Act, 1923\u2026","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2019\/11\/Himachal-HC_1.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2019\/11\/Himachal-HC_1.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2019\/11\/Himachal-HC_1.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2019\/11\/Himachal-HC_1.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2019\/11\/Himachal-HC_1.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]}],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts\/257040","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/users\/67011"}],"replies":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/comments?post=257040"}],"version-history":[{"count":0,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts\/257040\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/media\/243203"}],"wp:attachment":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/media?parent=257040"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/categories?post=257040"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/tags?post=257040"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}