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Supreme Court of India 2021-11-18 partly_allowed

Smt. Meena Pawaia & Ors vs Ashraf Ali & Ors

Bench: 2 — M. R. Shah, Sanjiv Khanna

In Brief

A 21-year-old civil engineering student studying in his third year died in a motor accident. Although he was not earning at the time of death, his legal heirs claimed compensation. The tribunal assessed his future income at Rs. 15,000/month and awarded Rs. 12,85,000, but the High Court reduced it to Rs. 6,10,000 by assessing his income at only Rs. 5,000/month. The Supreme Court held that this assessment was unreasonably low and unjust. Following established precedent, the Court determined the income at Rs. 10,000/month and added 40% for future prospects (Rs. 14,000/month total), applying a multiplier of 18 based on the deceased's age. The Court awarded enhanced compensation of Rs. 15,82,000 with 7% interest, holding that acceptance of the lesser amount did not bar the heirs' right to just compensation under the benevolent Motor Vehicles Act.

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Motor Vehicles Act Compensation Future Economic Loss Just Compensation Civil Procedure Quantum of Damages

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