Legal Representatives Entitled To Motor Accident Claim: Delhi HC Upholds Compensation Given To Children From Deceased's First Marriage

Reiterating that legal representatives of a person are entitled to motor accident claim, the Delhi High Court has upheld the compensation given to two children from the deceased's first marriage.

Justice Sanjeev Sachdeva was dealing with a plea impugning the award dated 22.03.2021 whereby the detailed accident report was disposed of and compensation was awarded to the children.

It was the case of the appellant, Insurance company, that the tribunal had erred in awarding compensation to two children of the deceased from his first marriage. It was submitted that they cannot be treated as dependent family members of the deceased.

It was also argued that the tribunal had erred in taking the monthly salary of the deceased at Rs. 41,807 whereas as per the claim of the wife of the deceased the salary was only Rs. 35,000 per month.

On the other hand, it was submitted by the respondents that the two children were living with the deceased and as such would be treated to be dependent upon him.

"In so far as the grant of compensation under non pecuniary head is concerned, reference may be had to the judgment of the Supreme Court in Gujarat State Road Transport Corporation Vs. Ramanbhai Prabhatbhai & Another, (1987) SCC (3) 234 where by the Supreme Court has held that having regard to the condition of the Indian society, every legal representative who suffers on account of the death of a person due to a motor vehicle accident should have a remedy for realisation of compensation," the Court said.

In the said judgment, the Apex Court also held that in an Indian family brothers, sisters and brothers' children and sometimes foster children live together and they are dependent upon the bread-winner of the family and if the bread-winner is killed on account of a motor vehicle accident, there is no justification to deny them compensation.

Furthermore, the Court also relied on the decision Of N. Jayasree & Ors. Vs. Cholamandalam MS General Insurance Company Ltd wherein the Supreme Court had held that the term 'legal representative' should be given a wider interpretation for the purpose of Chapter XII of Motor Vehicle Act and it should not be confined only to mean the spouse, parents and children of the deceased.

"The Supreme Court held that the Motor Vehicle Act is a benevolent legislation enacted for the object of providing monetary relief to the victims or their families. Therefore, theMotor Vehicle Actcalls for a liberal and wider interpretation to serve the real purpose underlying the enactment and fulfil its legislative intent," the Court said.

S far as the quantum of salary is concerned, the Court noted that the same was determined based on a statement made by the employer of the deceased.

Accordingly, the Court upheld the impugned award and the computation of compensation by the tribunal.

Case Title: UNITED INDIA INSURANCE CO.LTD v. FARIDA SAROSH POONAWALA AND ORS

Citation: 2022 LiveLaw (Del) 100

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