Can a High Court under Section 173 MVA enhance compensation for 100% functional disability post-amputation?

High Court of Chhattisgarh reaffirms standard compensation computation methodology, upholds its jurisdiction to enhance awards under Section 173, binding on Motor Accident Claims Tribunals

 

Summary

Category Data
Case Name MAC/268/2022 of SMT. CHERGIBAI NETAM Vs PRATAP SIKDAR
CNR CGHC010055072022
Date of Registration 17-02-2022
Decision Date 02-09-2025
Disposal Nature PARTLY ALLOWED
Judgment Author Hon’ble Shri Justice Sanjay K. Agrawal
Court High Court of Chhattisgarh at Bilaspur
Bench Single Judge Bench
Overrules / Affirms Affirms existing legal principles
Type of Law Motor Vehicles Act, 1988 ‑ Section 173
Questions of Law Whether High Court under Section 173 can re-compute and enhance compensation for 100% functional disability?
Ratio Decidendi
  • The High Court has jurisdiction under Section 173 to reassess and enhance compensation awarded by the Claims Tribunal in injury cases.
  • It held that for 100% functional disability of a female maid-servant, annual income is calculated at ₹8,320×12, loss of income 100%, future prospects at +10%, and multiplier 11.
  • Conventional heads (medical, attendant, nutrition, transport, pain & suffering) totaling ₹3,35,193 are added.
  • No deduction is applicable in injury cases.
  • The Tribunal’s award of ₹9,70,840 is enhanced to ₹15,43,257 with 9% interest from 04-12-2020.
Logic / Jurisprudence / Authorities Relied Upon by the Court Assessed functional disability; applied multiplier method; apportioned heads of damage per established compensatory principles.
Facts as Summarised by the Court Appellant maid-servant suffered right-leg amputation in a road accident, leading to 100% functional disability. Claims Tribunal awarded ₹9,70,840. Appellant appealed under Section 173 seeking enhancement.
Citations 2025:CGHC:44738; MAC No. 268 of 2022

What’s New / What Lawyers Should Note

  • High Court’s power under Section 173 to enhance compensation for injury cases reaffirmed.
  • Clarifies calculation: annual income × 12; 100% loss; 10% future prospect; multiplier based on age.
  • No deduction in injury cases when computing loss of earnings.
  • Conventional heads include medical, attendant, nutrition, transport, pain & suffering.
  • Interest @ 9% p.a. from date of filing claim until realization is chargeable on additional award.

Summary of Legal Reasoning

  1. Court noted 100% functional disability post-amputation of right leg of a female maid-servant.
  2. Determined monthly income at ₹8,320; annualized to ₹99,840.
  3. Applied 100% loss of income and added 10% for future prospects (₹9,984).
  4. Chose multiplier 11 (age-based) to calculate loss of earning capacity: ₹1,09,824 × 11 = ₹12,08,064.
  5. Added conventional heads totalling ₹3,35,193.
  6. Compared with Tribunal’s award of ₹9,70,840 and enhanced compensation to ₹15,43,257.
  7. Directed deposit of additional ₹5,72,417 with 9% interest from 04-12-2020.

Arguments by the Parties

Petitioner (Appellant):

  • Award of ₹9,70,840 is inadequate for 100% disability.
  • As a maid-servant, appellant can no longer earn post-amputation.
  • Enhancement warranted under Section 173.

Respondent No. 3 (Insurer):

  • Opposed enhancement of compensation.

Factual Background

Appellant, a 45-year-old maid-servant, suffered an accident resulting in right-leg amputation. She filed Claim Case No. 89/2021 under the Motor Vehicles Act, seeking compensation. The Claims Tribunal awarded ₹9,70,840. Appellant appealed under Section 173 in MAC No. 268/2022. The High Court heard rival submissions and conducted re-computation of damages.

Statutory Analysis

  • Section 173, Motor Vehicles Act, 1988: empowers High Court to exercise jurisdiction over appeals against Claims Tribunal awards, including enhancement of compensation.
  • No other statutory provisions were invoked or interpreted.

Alert Indicators

  • ✔ Precedent Followed

Citations

  • 2025:CGHC:44738 (High Court of Chhattisgarh)
  • MAC No. 268 of 2022
  • Judgment dated 02-09-2025, para. 5–6.

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