The Karnataka High Court has significantly enhanced compensation awarded in a fatal motor accident case, ruling that a second wife and a minor daughter who were dependent on the deceased must be considered while calculating loss of dependency under the Motor Vehicles Act.
A Division Bench of Justice Jayant Banerji and Justice Tara Vitasta Ganju increased the compensation from ₹15.10 lakh to ₹30.12 lakh, observing that the concept of a “legal representative” under motor accident law is broad and not restricted to only legally recognized heirs.
Background of the Case
The case arose from a road accident that occurred on March 9, 2019, near Karur Cross on National Highway-4 in Karnataka.
According to the claim petition, Pandurangappa was travelling as a pillion rider on a motorcycle when a Maruti Alto car allegedly attempted to overtake another vehicle. During the manoeuvre, the car collided with an Innova, which then struck the motorcycle. Pandurangappa suffered fatal injuries and died at the spot.
His first wife and mother approached the Motor Accident Claims Tribunal seeking compensation. During the proceedings, another woman and her minor daughter also claimed to be the deceased's second wife and child, leading to a dispute over dependency and entitlement to compensation.
Tribunal's Award
The Tribunal held that the accident occurred due to rash and negligent driving of the offending car and awarded ₹15.10 lakh with 9% annual interest.
However, while acknowledging the existence of the competing claims regarding marital status, the Tribunal declined to decide that issue and refrained from apportioning the compensation among the claimants.
High Court's Observations
Before the High Court, the claimants argued that the Tribunal had wrongly assessed the deceased's income at ₹10,000 per month. They pointed out that the notional income fixed for the year 2019 under the Karnataka State Legal Services Authority guidelines was ₹14,000 per month.
The Bench accepted this contention.
The Court also examined whether the second wife and minor daughter could be treated as dependents for calculating compensation.
Referring to several Supreme Court judgments, the Bench observed that the term
“legal representative”
under the Motor Vehicles Act must receive a liberal interpretation.
The Court noted,
“Every legal representative who suffers on account of the death of a person in a motor vehicle accident should have a remedy for realisation of compensation.”
It further held that dependency, rather than strict legal status, is the key consideration while determining entitlement under the Act.
Recalculation of Compensation
Taking the deceased's monthly income at ₹14,000 and adding 40% towards future prospects, the Court recalculated the compensation.
The Bench determined the loss of dependency at ₹28.22 lakh and awarded additional amounts under consortium, loss of estate and funeral expenses. The total compensation was assessed at ₹30.12 lakh.
Decision
Allowing the appeal in part, the Karnataka High Court enhanced the compensation by ₹15.02 lakh over and above the Tribunal's award.
The Court directed the insurance company to deposit the enhanced amount with 9% annual interest within eight weeks. The modified compensation was ordered to be released to the claimants in accordance with law upon deposit.
Case Details:
Case Title: Asha & Anr. v. Ramakrishna S. Ghatge & Ors.
Case Number: MFA No. 4119 of 2021
Judges: Justice Jayant Banerji and Justice Tara Vitasta Ganju
Decision Date: June 16, 2026
