Top Court considers future employment prospects of deceased MBA student, enhances compensation awarded to parents

Considering the young age and the future employment prospects of a qualified engineering graduate who was pursuing an MBA degree, the Supreme Court recently enhanced the compensation to be paid on account of his death.

"....the deceased S. Sathiyanarayan was twenty-three years of age at the time of the accident. He was a qualified engineering graduate and was pursuing an MBA degree at SRM University to further his professional capabilities. In view of the specific averments made in the affidavit as to the employment prospects of the classmates of the deceased S. Sathiyanarayan and also his young age at the time of the accident, we are of the considered view that the Tribunal and the High Court have erred in not giving due weightage to the same", the court held.

S. Sathiyanarayan was riding on a Bajaj Avenger motorcycle, when a bus being driven rashly and negligently, came from the same direction and dashed against his motorcycle from the backside, thus dragging him under the wheels of the bus. Sathiyanarayan perished on the spot.

Motor Accident Claims Tribunal, Poonamallee granted Rs. 7,48,052 as compensation while fixing the notional monthly income of the deceased at Rs. 7,000/ per month.

In appeal, the High Court enhanced the compensation while taking the deceased's notional monthly income to be Rs. 10,000/ per month.

This order was challenged by Sathiyanarayan's parents before Apex Court.

A bench of Justices BR Gavai and CT Ravikumar relied on an affidavit filed before the tribunal which revealed that two of the appellant's son's classmates were gainfully employed with well-known companies in India and were drawing monthly income of Rs. 39,869 and Rs. 44,588 respectively.

"Had the deceased S. Sathiyanarayan not met with the unfortunate accident, he would have surely drawn a salary equivalent to that of his classmates or at least an amount near the said amount", the division bench noted.

Court further opined that as the deceased was the only issue of the appellants, the monthly income as calculated by the High Court was inadequate.

"Thus, we find that the compensation to be paid on account of the death of deceased S. Sathiyanarayan ought to be worked out by enhancing his monthly income to Rs. 30,000", the bench ordered.

Case Title: S. VASANTHI & ANR. vs. M/S ADHIPARASAKTHI ENGG. COLLEGE AND ANOTHER