CMA(MD)/667/2023 of THE BRANCH MANAGER Vs STALIN on 2 November 2026

J U D G M E N T

The second respondent/Insurance company in M.C.O.P. No. 117 of 2020, on the file of the Motor Accident Claims Tribunal-cum-III Additional District Court, Thanjavur at Pattukkottai, has filed the present C.M.A.(MD).No. 667 of 2023, challenging the quantum of compensation awarded by the Tribunal by its judgment dated 29.03.2023.

2. Facts of the case:

2.1. The claimants in M.C.O.P. No. 117 of 2020 are the parents and sister of the deceased Sanjai Kumar, a 11-year-old school-going boy. On 14.04.2019, at about 12.30 p.m., the deceased was travelling along with his aunt (அத்தை ), and daughter of the said aunt namely Maunika, in a two-wheeler bearing Registration No. TN-49-BU-7563, ridden by Maunika. When the two-wheeler was proceeding from Avanam to Seruvaviduthi in the Main Road, the offending vehicle, namely, the mini-lorry bearing Registration No. TN-55-BB-5073, came in a rash and negligent manner and dashed against the two-wheeler. In the accident, all three

occupants of the two-wheeler died. Consequently, an FIR was registered against the driver of the mini-lorry.

2.1. In respect of the deaths arising out of the same accident, three separate claim petitions were filed before the Tribunal in M.C.O.P. Nos. 117 of 2020, 118 of 2020 and 122 of 2020 respectively. The insurance company contested the claims by disputing the manner of the accident, the negligence attributed to the driver of the insured vehicle and the quantum of compensation claimed.

3. Findings of the Tribunal:

3.1. Upon consideration of the evidence adduced by the claimants, including the oral evidence of P.W.1 to P.W.4 and the documentary evidence marked as Exs.P1 to P14 and Ex.P42, the Tribunal fixed negligence on the driver of the mini- lorry and awarded compensation in the respective claim petitions. In M.C.O.P. No. 117 of 2020, concerning the death of the 11-year-old child, the Tribunal awarded compensation of Rs.13,23,720/-. Sl.No. Heads Amounts in Rs.

Loss of dependency 13,60,800/-

Loss of Estate 15,000/-

Funeral Expenses 15,000/-

Loss of Consortium 80,000/- Total Compensation Awarded Rs.14,70,800/-

3.2. Aggrieved by the quantum of compensation, the insurance company has preferred the present appeal.

4. Submissions of the learned counsel appearing for the appellant / Insurance company:

4.1. The learned counsel appearing for the appellant / Insurance company would submit that the Tribunal erred in fixing the monthly income of the deceased child at Rs.9,000/- and consequently awarding compensation of Rs.13,23,720/-. Placing reliance upon the judgments of the Hon'ble Supreme Court Kurvan Ansari Alias Kurvan Ali & Anr. v. Shyam Kishore Murmu & Anr reported in (2022) 1 SCC 317 and Meena Devi vs Nunu Chand Mahto @ Nemchand Mahto reported in (2023) 1 SCC 204, the learned counsel would contend that the compensation awarded in cases involving the death of children has been assessed at substantially lower amounts in the said decisions relied upon. According to him, the adoption of a notional monthly income of Rs.9,000/- for a 11-year-old child is not justified, and the compensation requires substantial reduction.

5. Though notice has been served on the respondents/claimants, there is no representation on their behalf respondents 1 to 4.

6. Point for consideration:

6.1. In view of the rival submissions, the following point arises for consideration:

(i) Whether the compensation of Rs.13,23,720/- awarded by the Tribunal for the death of the 11-year-old child requires modification in the light of the principles laid down by the Hon'ble Supreme Court governing the assessment of compensation in cases involving the death of children?

7. Discussion and findings:

7.1. This Court considered the rival submissions and perused the materials available on record. The challenge in the present appeal is confined to the quantum of compensation awarded for the death of a 11-year-old child. The finding of the Tribunal fixing negligence on the driver of the offending mini-lorry is not required to be decided in this appeal as the same has not been challenged in this appeal.

7.2. The learned counsel for the insurance company has relied upon earlier decisions of the Hon'ble Supreme Court to contend that the award of Rs.13,23,720/- is excessive. However, the assessment of compensation must be made in accordance with the principles applicable to the death of a minor in the back drop of the subsequent development of law.

7.3. The Hon'ble Supreme Court issued following direction to follow while complying the compensation in the case of death of the child or child sustained

injuries. In the case of Devendra Kumar Tripathi vs. The Oriental Insurance Company Ltd., reported in 2025 INSC 1429, decided on 15.12.2025, the relevant paragraph reads as follows: “7. Be that as it may, we are of the opinion that the monthly notional income can be adopted as per the Minimum Wages Act, 1948, which both learned Counsel agree, for a Class B city is at Rs.5400/- per month. A 40% increase has to be adopted for future prospects and the multiplier is 15 as held in Reshma Kumari (supra) and one-half deduction for personal expenses. The provision of Rs.50,000/- as medical expenses is retained. The claimants are further entitled to loss of estate and funeral expenses at the rate of Rs.15,000/- each and loss of filial consortium at the rate of Rs.40,000/- each.”

7.4. The Hon'ble Supreme Court adopted the minimum wages applicable to the relevant class of city for assessing the notional income of a deceased child, added 40% towards future prospects, applied a multiplier of 15 and deducted 50% towards personal and living expenses. The Court also awarded compensation under the conventional heads, including filial consortium to the parents.

7.5. The aforesaid decision provides guidance for reassessing the compensation in the present case. The accident occurred on 14.04.2019. The

Tribunal fixed the monthly income of the deceased at Rs.9,000/-. Having regard to the applicable principles, the notional income must be assessed with reference to the relevant minimum-wage notification applicable to the place and period of the accident.

7.6. For the purpose of the present calculation, if the applicable minimum monthly wage is verified to be Rs.6,500/-, the addition of 40% towards future prospects would be Rs.2,600/-, resulting in a monthly income of Rs.9,100/-. After deducting 50% towards personal and living expenses and applying the multiplier of 15, the loss of dependency is calculated as follows: 9100 X 12 X 1/2 X 15 = Rs.8,19,000/-

7.7. Accordingly, the loss of dependency would be Rs.8,19,000/-, subject to verification of the applicable minimum-wage notification.

7.8. In the present case, the deceased died in a motor accident involving a mini-lorry and a two-wheeler. The claimants are his parents and sister. As regards the conventional heads, the parents and sister are entitled to compensation towards loss of filial consortium. In the case of Devendra Kumar Tripathi, the Hon'ble Supreme Court awarded Rs.40,000/- to each parent under this head, together with Rs.15,000/- towards loss of estate and Rs.15,000/- towards funeral expenses. The Court also awarded Rs.25,000/- towards the pain and suffering experienced by the

child before death in the circumstances of that case.

7.9. The compensation is therefore required to be recalculated on the above basis. However, the exact revised award cannot safely be stated until the applicable minimum-wage notification and the Tribunal's award under each conventional head are verified.

8. Conclusion:

8.1. For the foregoing reasons, the compensation awarded by the Tribunal to the claimants is re-determined as follows:- S. No Heads Amount awarded by the Tribunal (Rs.) Re-quantified amount by this Court (Rs.) Status

Loss

of dependency 13,60,800/- 8,19,000/- Reduced

Loss of estate 15,000/- 15,000/- Confirmed

Funeral expenses 15,000/- 15,000/- Confirmed

Loss of love and affection ( 4 X 40,000) 80,000/- 1,60,000/- Confirmed

Pains

and Sufferings ----- 25,000/- Awarded Total 14,70,800/- 10,34,000/- Reduced Less: 10% Contributory negligence of the deceased 14,70,800/- (-) 1,47,080/- = 13,23,720/- 10,34,000/- (-) 1,03,400/- = 9,30,600/- Reduced Total entitlement of this 13,23,720/- 9,30,600/-

claimant

9. Result:

9.1. In the result, this C.M.A.(MD).No.667 of 2023 is partly allowed, subject to the final recalculation of compensation in accordance with the principles discussed above.

9.2. The award dated 29.03.2023 in M.C.O.P.No.117 of 2020 on the file of Motor Accidents Claims Tribunal, III Additional District Court, Thanjavur at Pattukkottai is hereby modified and the compensation is reduced from Rs.13,23,720/- to Rs.9,30,600/- together with interest at the rate of 7.5% per annum from the date of the claim petition.

9.3. The insurance company shall deposit the modified compensation amount of Rs.9,30,600/-, together with interest at the rate applicable under law, after giving credit to the amount already deposited. The amount payable to the claimants shall be apportioned by the Tribunal in accordance with law.

9.4. On such deposit, the claimants are entitled to withdraw the compensation amount in accordance with the apportionment fixed by the Tribunal. No order as to costs.

02.11.2026

NCC :Yes/No Index :Yes/No Internet :Yes/No aas To

1. The Motor Accident Claims Tribunal, The III Additional District Court, Thanjavur at Pattukkottai.

2. The Section Officer, VR Section, Madurai Bench of Madras High Court, Madurai.

K.K.RAMAKRISHNAN,J. aas C.M.A.(MD).No.667 of 2023