Compensation under M V Act after death of son

My son died on 12 April 2015. Me, my wife and one daughter are dependent. My son was self-employed but unmarried. He was 29 years old at the time of death. I have filed a petition under section 166 M V Act for compensation and claim about 98 lakh. He declared 30 k per month income in his ITR and pay income tax also. Can I get 98 lakh as compensation?

by Shivendra Pratap Singh | Oct 26, 2015 | Civil Matters

My son died on 12 April 2015. Me, my wife and one daughter are dependent. My son was self-employed but unmarried. He was 29 years old at the time of death. I have filed a petition under section 166 M V Act for compensation and claim about 98 lakh. He declared 30 k per month income in his ITR and pay income tax also. Can I get 98 lakh as compensation?

You may claim any amount as for compensation but must bear in mind that the court will decide the actual compensation under the M V Act on the guidelines fixed by the supreme court in its catena of judgments. Self-employed and even unemployed person is entitled to get compensation under the M V Act ( Motor Vehicle Act).

A standard deduction shall be applied in case of death because dependents are entitled to get compensation to the extent which deceased might spent upon them which remained after his personal needs.

In Reshma Kumari vs Madan Mohan [2013] 9 SCC;  it is held the supreme court that bachelor person would tend to spend more on his personal needs and living lifestyle so 50% shall be justified deduction in case of death of bachelor person. In Santosh Devi vs National insurance Co. ltd [2012] 6 SCC held by the supreme court that multiplier should be applied after deciding compensation on monthly basis, age of deceased is the sole parameter in deciding multiplier. It can not be possible to fix multiplier on every case, so one common formula should be devised for it.

In Reshma Kumari case, the supreme court has fixed formula for the multiplier. A multiplier of 17 has been fixed by the court if the age of the deceased was between 26 to 30 years. In your case 17 multiplier shall be applied.

Prospect is also a ground for calculating calculation. In Rajesh vs Rajveer Singh [2013] 9 SCC; held by the court that if the deceased is below 40 years of age there must be the addition of 50% to the actual income of the deceased.

According to above discussion you may get monthly income = monthly income of deceased + addition of 50% as future prospect (30000 + 15000) = 45000; and subtraction of standard deduction of 50% ( 50% of 45000) = 22500 per month. Monthly income 22500 shall be multiplied by 12 to get annual income i.e. 270000.

Annual income shall be multiplied by multiplier 17 to get net compensation i.e. Rs. 4590000. You may get Rs. 4590000 as compensation.

Author's Profile

Tags: Motor Accident

Shivendra Pratap Singh

Shivendra Pratap Singh

Advocate

Advocate Shivendra, practicing law since 2005, specializes in criminal and matrimonial cases, extensive litigatin experience before the High Court, Sessions court & Family Court. He established kanoonirai.com in 2014 to provide dependable and pragmatic legal support. Over the years, he has successfully assisted thousands of clients, making the platform a trusted resource for criminal and matrimonial dispute resolution in India.

Consult Online

Related Matters

Bank refused to obey the order of Lok Adalat

Mar 9, 2025 |

This legal guidance explains the remedies available when a bank fails to comply with a compromise order passed by the Lok Adalat despite receiving the settled amount. It discusses enforcement of the award, execution proceedings, contempt-related remedies, and the legal course available against arbitrary action of the bank.

Subsequent proceedings in arbitration matter

Feb 7, 2025 |

This legal guidance explains the legal consequences and subsequent proceedings arising after an arbitration award or order in an arbitration matter. It discusses enforcement of the award, challenge proceedings under Section 34 of the Arbitration and Conciliation Act, execution remedies, limitation periods, and the jurisdiction of courts in post-award disputes.

Civil court dismissed suit for want of jurisdiction

Jan 11, 2025 |

This legal guidance explains the remedies available when a civil court dismisses a suit on the ground of lack of jurisdiction. It discusses return of plaint under the Civil Procedure Code, refiling before the competent court, limitation protection, and the legal consequences arising from adjudication by a court lacking jurisdiction.

Admission in NRI quota can be changed afterwards

Dec 25, 2024 |

This legal guidance explains whether admission obtained under the NRI quota can subsequently be altered, cancelled, or converted to another category. It discusses eligibility conditions, consequences of misrepresentation, university regulations, refund issues, and the legal remedies available against arbitrary cancellation or change of admission status.

Claim related to motor accident in consumer forum

Dec 2, 2024 |

This article discusses whether a claim arising out of a motor accident can be pursued before a Consumer Forum in addition to or instead of proceedings before the Motor Accident Claims Tribunal (MACT). It examines the maintainability of such claims under consumer protection law, the liability of insurance companies, and the distinction between deficiency in service and statutory compensation under the Motor Vehicles Act.