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Rajasthan High Court: Compensation Under MV Act Payable to Siblings Along with Parents

22 Mar 2025 11:33 AM - By Court Book

Rajasthan High Court: Compensation Under MV Act Payable to Siblings Along with Parents

The Rajasthan High Court has reaffirmed that in the event of a fatal accident, compensation awarded under the Motor Vehicles Act, 1988, under the category of consortium is not limited to the deceased’s parents but also extends to their siblings. The judgment emphasized the need for just compensation to alleviate the emotional distress suffered by both parents and siblings.

The case involved the tragic death of a 1.5-year-old girl, Sakshi, who was run over by a school bus due to the rash and negligent driving of the bus driver. The Motor Accidents Claim Tribunal initially awarded a compensation of Rs. 1,75,000 along with 9% interest per annum. However, the claimants filed a cross-objection, seeking enhanced compensation, arguing that the tribunal failed to grant compensation under non-pecuniary heads, including consortium for siblings and funeral expenses.

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Referring to previous judgments, Justice Dr. Nupur Bhati observed:

“This Court is also of the view that losing a child in an accident is an unfathomable tragedy for the parents as well as his/her siblings. The anguish and grief that accompany such a loss are profound and enduring, leaving the parents and the siblings grappling with emotions that often defy description. In a case of death of a child, no amount of money can compensate the parents as well as siblings of the deceased child; however, it is the duty of the Court to award just compensation.”

The Court, citing the ruling in Shriram General Insurance Co. Ltd. v. Jethmal & Ors., emphasized that consortium, being a non-pecuniary head, is not dependent on financial dependency. Instead, it recognizes the loss of love, care, and affection suffered by the deceased's family members. Therefore, compensation was deemed appropriate for the deceased's sibling as well.

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Furthermore, the Court referenced the Supreme Court’s decision in Sadhna Tomar & Ors. v. Ashok Kushwaha & Ors., where compensation was also awarded to the sister of the deceased apart from parents, wife, and daughter.

Enhanced Compensation Awarded

Taking into account precedents and the circumstances of the case, the High Court enhanced the compensation to Rs. 2,13,350 along with an interest of 9% per annum from the date of filing the claim petition. The breakdown included: consortium of Rs. 1,45,200 along with funeral expenses of Rs. 18,150.

Liability of Insurance Company

The insurance company initially contested the compensation under the head of consortium, arguing that it should be limited to parents. However, the Court rejected this argument and cited the Supreme Court’s ruling in Bajaj Alliance General Insurance Company Ltd. v. Rambha Devi & Ors., which clarified that a driver holding a Light Motor Vehicle (LMV) license was legally permitted to operate a transport vehicle without additional authorization.

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“A driver holding a license for Light Motor Vehicle (LMV) class, under Section 10(2)(d), is permitted to operate a ‘Transport Vehicle’ without needing additional authorization under Section 10(2)(e) of the MV Act.”

As a result, the High Court set aside the Tribunal’s order exonerating the insurance company and held that all non-applicants, including the owner and driver, were jointly and severally liable to pay the compensation.

Case Title: Maa Sai School v Shanti Lal & Ors, and other connected Cross Objection