Rani @ Raj Kumari & Ors. vs. Kamlakat Gupta & Ors.
Background
Sobran Singh, a 33-year-old man riding his motorcycle home in Uttar Pradesh, was struck head-on by a rashly driven jeep on 2 September 2009 and died of his injuries eight days later. His widow, four children, and parents (seven claimants in all) sought Rs. 26,10,000 in compensation, claiming he earned Rs. 6,000 a month from a stone-crusher job plus Rs. 10,000 a month from farming on family land. The Tribunal awarded Rs. 7,28,500, and the Allahabad High Court raised it to Rs. 9,20,500; the family appealed to the Supreme Court for further enhancement.
Decision Breakdown
The Supreme Court accepted the deceased's stone-crusher salary of Rs. 6,000 based on an employer certificate and revenue records, and additionally allowed Rs. 2,000 a month for unproved-but-plausible farming income, arriving at a total monthly income of Rs. 8,000. Applying the standard framework from National Insurance Co. Ltd. v. Pranay Sethi, it used a multiplier of 16 (correcting both the Tribunal's 17 and the High Court's 15), added 40% for future prospects, and deducted one-fifth for personal expenses (since there were seven dependents). It also corrected the consortium award, noting both lower courts had erred, granting Rs. 40,000 each for spousal, parental, and filial consortium to the appropriate family members. Total compensation was raised to Rs. 20,55,320, an increase of Rs. 11,34,820 over the High Court's award, payable with 7% interest within 8 weeks, to be disbursed 75% to the widow and children and 25% to the parents (plus separate consortium amounts).
Lesson Learnt
In fatal accident compensation claims, courts apply a structured formula (income plus future prospects, a fixed multiplier tied to age, and standardized deductions and consortium amounts) rather than an intuitive lump sum, and even unproven secondary income (like informal farm work) can be given reasonable weight if plausible and uncontroverted.