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Supreme Court of India 2020-07-27 allowed

Erudhaya Priya vs State Express Transport Corporation Ltd

Bench: 3 — <UNKNOWN>, <UNKNOWN>, <UNKNOWN>

In Brief

In this motor accident compensation case, the appellant, a software engineer, claimed damages for injuries caused by a bus driver's negligent driving. The High Court had confirmed negligence but reduced compensation, finding that the multiplier method for calculating loss of earning capacity was incorrectly applied as there was insufficient evidence showing how the injuries affected her earning ability. The Supreme Court allowed the appeal, holding that compensation requires a clear nexus between injuries and lost earning capacity. The Court also awarded simple interest at 9% per annum—a rate the appellant accepted and the respondent did not contest—from the application date till payment.

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Motor Vehicles Act Tort Law Compensation Personal Injury Negligence Loss of Earning Capacity

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