PURPOSE OF COMPENSATION UNDER MV ACT IS TO FULLY AND ADEQUATELY RESTORE THE AGGRIEVED TO THE POSITION PRIOR TO THE ACCIDENT: SC

Enhancing the compensation to be awarded to a man who was grievously injured in an accident nine years ago, the Supreme Court in its judgment has tripled the amount to be paid by the Motor Accident Claims Tribunal.

Anant Durke was 29 years old when he was hit by a car, making him disabled for life. The injuries suffered by the Appellant resulted in permanent disability to an extent of 75%.

MACT granted him a compensation of 7,00,000 and on his appeal, later,  considering his monthly income to be not more than 5,000, doubled the amount to 14,65,000 using the multiplier method.

In his appeal before the apex court, the bench of Justice Rohinton Fali Nariman and Justice Indu Malhotra differed from the compensation provided to him, thereby, tripled the amount to 20,29,000.

It is in this context, Justice Malhotra said: “In cases of motor accidents leading to injuries and disablements, it is a well-settled principle that a person must not only be compensated for his physical injury, but also for the non-pecuniary losses which he has suffered due to the injury. The purpose of compensation under the Motor Vehicles Act is to fully and adequately restore the aggrieved to the position prior to the accident.”