F.A.O.NO. 3504 OF 1999 and Cross Objection No.36-CII of 2000 1 IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH F.A.O.NO. 3504 OF 1999 and Cross Objection No.36-CII of 2000 Date of decision:22nd July, 2010 New India Assurance Company Ltd. .......Appellant Versus Paramjit Kaur and others ........Respondents BEFORE: HON'BLE MR. JUSTICE K.KANNAN Present: Mr. Neeraj Khanna, Advocate, for the appellant. Mr. Vinod Kumar Kataria, Advocate, for the respsondents. 1. Whether Reporters of local papers may be allowed to see the judgment? Yes/No 2. To be referred to the Reporters or not?Yes/No 3. Whether the judgment should be reported in the Digest? Yes/No K.Kannan, J.(Oral) 1. The Insurance Company is in appeal challenging the liability cast on it on the ground that the driving licence was not valid. In this case, it is an admitted fact that the Insurance Company has admitted non damage claim for the vehicle and has also compensated the owner of the vehicle. Having admitted F.A.O.NO. 3504 OF 1999 and Cross Objection No.36-CII of 2000 2 liability in one aspect for an accident arising out of the same cause of action there cannot be a plea that the insurer is not liable for injuries or death arising out of this accident. The award of the Tribunal is confirmed and the appeal is dismissed. 2. There is a cross objection for enhancement by the claimants where the deceased was a teacher in a government school and drawing a salary at the time of his death and amount of Rs.7,910/-. The salary certificate itself reveals that he was on scale of 5480-10640. He certainly had a regular job. The Hon'ble Supreme Court lays down homogeneous formula to be adopted for persons who have security of job with definite prospects of increase in income. For a person who is aged 39 years with still 19 years of service left, the increase shall be taken as 50%. So reckoned the amount shall be Rs. 11,250/-. If the deduction is made to 1/3rd for personal expenses, the contribution to the family per month will be taken as Rs. 7,834/-. The choice of multiplier by the Tribunal is to be corrected and 15 multiplier is adopted. The amount payable shall be Rs, 11,28,096/-. The conventional heads of claim shall be Rs. 10,000/- for loss of consortium for the wife, Rs. 5,000, for love and affection of child, Rs.2500/- shall be the funeral expenses and so too, another Rs. 2500/- for the loss to estate. In all the total sum payable will be Rs. 11,48,096/-. The Tribunal has already awarded Rs. 9,50,000/-. Therefore, I will provide as additional amount Rs. 1,98,096/-. In this enhanced amount the fourth respondent in the claim petition the father of the deceased shall F.A.O.NO. 3504 OF 1999 and Cross Objection No.36-CII of 2000 3 be paid Rs. 20,000/- if he is still alive. If he is not alive the entire amount shall be given to the widow and the child equally. As far as the share of the minor child is concerned the amount shall stay in deposit in a nationalised branch during the minority. The enhanced amount will bear the interest @7.5% from the date of the award of the Tribunal till the date of the payment. The cross objection is allowed to the above extent. [K.KANNAN] JUDGE 22nd July, 2010 Shivani Kaushik