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Savita v. Bindar Singh and Others

Civil Appeal · Neutral citation not assigned (Civil Appeal No. 4001 of 2014)Decided 25 Mar 2014
Civil Appeal No. 4001 of 2014
Justice Gyan Sudha Misra · Justice Pinaki Chandra Ghose

Background

Sandeep Chauhan, aged 26, died when a truck hit his motorcycle in November 2010. His wife and parents sought compensation, but his claimed monthly earnings of ₹7,000 were not established by the salary certificate produced. The tribunal instead used a monthly income of ₹3,000 and awarded ₹4,28,000, prompting an appeal for a higher award.

Decision Breakdown

The Court retained the assessed monthly income of ₹3,000, the deduction of one third for personal expenses, and the multiplier of 17. It added 30 percent for future prospects, resulting in dependency compensation of ₹5,30,400. With ₹1,00,000 for loss of consortium and ₹25,000 for funeral expenses, the total award became ₹6,55,400. The Court awarded interest at eight percent a year from the date of the claim until payment and directed payment of the balance, after crediting amounts already paid, within four weeks.

Lesson Learnt

Even when a deceased person's claimed salary is not proved, compensation must fairly account for dependency and the other losses recognised in the case. The figures and calculation used in this 2014 judgment should be read in their historical setting, rather than treated as a universal present-day formula.

Official source (sci.gov.in)View Judgment (PDF)

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