ORIENTAL INSURANCE CO. LTD. versus SYED IBRAHIM & ORS.

Citation: [2007] 9 S.C.R. 1052 · Decided: 17-09-2007 · Supreme Court of India · Bench: ARIJIT PASAYAT · Disposal: Case Partly allowed
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Judgment (excerpt)

' . 
A 
ORIENTAL INSURANCE CO. LTD. 
v. 
SYED IBRAHIM & ORS. 
SEPTEMBER 17, 2007 
B 
IDR.ARIJITPASAYAT ANDLOKESHWARSINGHPANTA,JJ.) 
Motor Vehicles Act, 1988: 
Motor accident-Death of a child-Driver not holding licence to drive 
C the vehicle which he was driving at the time of accident-Computation of 
compensation-Liability of owner-Held, in case where parents are claimants; 
relevant factor would be age of parents-Other relevant factors °explained-
Award of Tribunal upheld-Insurer not liable to indemnify the award-
Jnsurer may recover the amount from the owner. 
D 
In a claim petition under the Motor Vehicles Act, 1988, relating to an 
accident by a lorry wherein a child of seven years of age lost his life, the 
Tribunal awarded a sum of Rs. 51,500/- as compensation and directed the 
insurer to indemnify the award. On appeal by the insurer and the cross-
objection by the parents of the deceased child for enhancement of the 
E compensation, it was contended for the insurer that the person driving the 
lorry was not authorized to drive the said vehicle as he was only licenced to 
drive Light Motor Vehicles. The High Court, however, rejected the plea of the 
insurer and enhanced the compensation to Rs. 1,52,000/-. 
In the appeal filed by the insurer the appellant reiterating his stand that 
F the driver was not authorized to drive the lorry, submi(ted that the quantum 
fixed by the High Court was extremely high and without any basis. 
Allowing the appeal in part, the Court 
HELD:l.l. In cases of young children of tender age, in view of 
G uncertainties abound, neither their income at the time of death nor the 
prospects of the future increase in !heir income nor chances of advancement 
of their career are capable of proper determination on estimated basis. There 
are some aspects of human life which are capable of monetary measurement, 
but the totality of human life is beyond the reach of monetary tape--measure. 
H 
1052 
ORIENTALINSURANCECO.LTD.v.SYEDIBRAHIM[PASAYAT,J.] 1053 
In cases, where parents are claimants, relevant factor would be age of parents. A 
~-
(Para 6 and 9] (1055-E, F; 1056-D) 
State of Haryana and Anr. v. Jasbir Kaur and Ors., (2003) 7 SCC 484; 
TajJVale Rly. v. Jenkins, (1913) AC 1 and Lata Wadhwa and Ors. v. State of 
BiharandOrs., (2001) 8SCC197, referred to. 
B 
1.2. In view of the decision in Swaran Singh 's case, as the driver was 
not holding a licence to drive the vehicle which caused the accident, the 
appellant-insurer was not liable to indemnify the award. However, in view of 
). 
decision in Kusum Rani's case, the insurer may recover the amount from the 
owner. The quantum, as awarded by the Tribunal and deposited pursuant to 
the order of this Court dated 29.4.2005, is maintained. The claimants shall c 
be permitted to withdraw the amount so deposited along with accrued interest 
(Para 2 and 101 (1054-B; 1056-F, G) 
National Insurance Co. Ltd v. Swaran Singh, (2004) 1 SCR 180=(2004) 
3 SCC 297 and National Insurance Co. Ltd v. Kusum Rai and Ors., (2006) 3 
SCR 387 [2006) 4 SCC 250, relied on. 
D 
CIVIL APPELLATE JURISDICTION: Civil Appeal No. 4308 of2007. 
From the Judgment and Order dated 18.1.2005 of the High Court of· 
Kamataka at Bangalore in M.F.A. No. 2563 of2000 (MVC) and M.F.A. CROB 
No. 25 of 2002. 
E 
M.K. Dua and Kishore Rawat for the Appellant. 
K.K. Mani, R.S. Hegde, Chandra Prakash, Rahul Tyagi and P.P. Singh for 
the Respondents. 
The Judgment of the Court was delivered by 
F 
_ ... 
DR. ARIJIT PASA Y AT, J. l. Leave granted. 
2. Challenge in these appeals is to the order passed by a learned Single 
Judge of the Karnataka High Court. Appeal was preferred before the High 
Court questioning correctness of the judgment and Award dated 18.01.2000 G 
passed by the Motor Accidents Claims Tribunal, Shimoga (in short the 
'Tribunal'). The owner of lorry bearing registration No. MY J-6666 had filed an 
appeal questioning correctness of the order passed by the! Tribunal fixing the 
liability on him to pay compensation awarded. A cross-objection was filed by 
the complainants questioning the correctness of the compensation granted. 
The claim petition related to an accident which occurred on 20.11.1994 when H 
1054 
SUPREME COURT REPORTS 
[2007] 9 S.C.R. 
A a child aged seven years, who was the son of claimants, had lost his life. The 
claimants had filed the cross objections for enhancement of the compensation. 
Considering the materials on record, the Tribunal awarded a sum ofRs.
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