JAKIR HUSSEIN versus SABIR & ORS.

JAKIR HUSSEIN versus SABIR & ORS.

Where a claimant-driver suffers permanent disabling injury to the limb essential for his skilled occupation, loss of earning capacity may be treated as 100%. Just and reasonable compensation for pecuniary and non-pecuniary damages must be calculated, including future medical expenses, applying a suitable multiplier, and allowing interest at 9% p.a. due to prolonged litigation. The Insurance Company is liable, and alternative employment is not sufficient to reduce compensation.

Parties
Appellant: Jakir Hussein; Respondent: Sabir; Respondents: Others (Insurance Company & Ors.)
Jurisdiction
India
Judgment Date
18 February 2015
Procedural Posture
Civil Appeal / Final Disposition by Supreme Court
Outcome
Appeal allowed; compensation enhanced.
Legal Topics
Compensation Assessment, Permanent Disability, Interest on Compensation, Multiplier Method

Case Brief

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Parties

Jakir Hussein

Appellant

Sabir

Respondent

Others (Insurance Company & Ors.)

Respondents

Procedural Posture

Civil Appeal / Final Disposition by Supreme Court

  1. 1 What is the just and reasonable compensation for a claimant driver permanently disabled?
  2. 2 Should the loss of earning capacity due to permanent disability be treated as 100% for a driver whose working limb is destroyed?
  3. 3 What is the proper interest rate to award on compensation under Section 166 of Motor Vehicles Act, 1988?

Ratio Decidendi

Where a claimant-driver suffers permanent disabling injury to the limb essential for his skilled occupation, loss of earning capacity may be treated as 100%. Just and reasonable compensation for pecuniary and non-pecuniary damages must be calculated, including future medical expenses, applying a suitable multiplier, and allowing interest at 9% p.a. due to prolonged litigation. The Insurance Company is liable, and alternative employment is not sufficient to reduce compensation.

Court Disposition

Appeal allowed; compensation enhanced.

Orders

  • Respondent Insurance Company to pay Rs. 17,60,500/- to appellant with 9% p.a. interest from date of claim petition till payment.
  • Payment or deposit to be made before MACT within four weeks from receipt of judgment.