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Synopsis

The Supreme Court recently modified a Kerala High Court's judgment to the extent of denying interest on enhanced compensation to the kin of a man who died in a road accident, because their counsel failed to serve the copy of the petition on the other side.

The bench of Justices J K Maheshwari and Rajesh Bindal held, "It cannot be said to be the fault on the part of the appellants-claimants, comparable to a fault in filing the appeal beyond the period of limitation".

The court noted that in the case in hand, the appeal was barred by 708 days.

T C John alias Yohannan (deceased) through her legal representatives challenged the order of September 7, 2023 by the High Court which had only partly allowed their plea for enhancing the compensation.

The grievance raised by the appellants-claimants was that the High Court had denied interest to them for the period between June 22, 2016 to July 13, 2023.

As per facts of the matter, the accident took place on August 07, 2006 when the deceased was travelling in his jeep along with his wife and children and a bus hit their jeep, resulting in the death of the deceased.

The appellants-claimants, consisting of the deceased’s widow and three daughters, filed a claim appeal before the Tribunal seeking compensation of Rs 15,00,000. The Tribunal passed an award of Rs 4,15,000 along with interest at the rate of 7.5% per annum in favour of the appellants-claimants, making the driver, owner and the insurance company of the bus liable to pay the same.

Aggrieved against the award of November 18, 2011 passed by the Tribunal, the appellants-claimants filed an appeal before the High Court. There was a delay of 708 days in filing the appeal.

This delay was condoned by the High Court with the condition that on the enhanced compensation, if allowed, the appellants-claimants will not be entitled to claim interest for the period of delay of 708 days.

The High Court partly accepted the appeal while enhancing the compensation further by an amount of Rs 9,84,500 along with interest at the rate of 8% per annum. It was directed that appellants-claimants shall not be entitled to the interest for the delay period of 708 days in filing the appeal. Further appellants-claimants were not allowed interest for the period between June 22, 2016 to July 13, 2023, which was the period of delay in supplying the copy of the paper book to the standing counsel for the insurance company.

The appellants-claimants' counsel said they were poor and illiterate persons. The deceased was the only bread earner for the family, working as driver, and died leaving behind his widow and three daughters as his dependents. The family was having a hard time to make both ends meet.

The amount of compensation as assessed is on lower side as the income of the deceased was not assessed properly and hence, appropriate compensation was not awarded, the counsel claimed.

It was further argued that the appeal having been filed before the High Court, there had been a delay in the process on account of the fault of the counsel of appellants-claimants, which should not be taken against the appellants-claimants as they were not at fault. Hence, the insurance company should be made liable to pay interest on the enhanced compensation.

The counsel on the opposite side said the High Court's order did not call for interference.

In the judgment, the bench said as far as assessment of compensation was concerned, it did not call for interference.

The accident took place on August 07, 2006. The income of the deceased, claimed to be working as a driver, has been properly assessed at Rs 8,750 per month by the High Court. Under other heads also, appropriate amount of compensation has been awarded. Hence, award to that extent does not call for interference, the bench said.

With regard to denial of interest on the ground that there was a delay on the part of the counsel for the appellants-claimants in not supplying the copy of the paper book to the insurance company's counsel, the bench said, "Once the matter was before the court, the appellants-claimants should not be deprived of the interest for the period between June 22, 2016 to July 13, 2023."

The bench said, after having filed the appeal and during the pendency, the appellants-claimants should not be made to suffer directing for non-payment of interest, because for such default claimants alone could not be held responsible.

"Consequently, denial of interest to the appellants for the period between 22.06.2016 to 13.07.2023 as directed is not justified," the bench held, partly allowing the appeal.

Case Title: T C John @ Yohannan (Deceased) Through LRs Vs V J Antony And Others