SC: MACT can’t award compensation under separate head ‘loss of love and affection’

The Hon’ble Supreme Court, on 7th September 2020, in the matter of The Oriental Insurance Company Limited v. Smt. Rinku Devi And Others pronounced that there is no justification for award of compensation under separate head ‘loss of love and affection’ in a claim for award of compensation under Section 166 of Motor Vehicles Act, 1988.

The Hon’ble Supreme Court observed that:

The expression ‘compensation’ is a comprehensive term which includes a claim for the damages. Compensation is by way of atonement for the injury caused. (Para 22)

The claimant in a claim for award of compensation under Section 166 of Motor Vehicles Act, 1988, is entitled for just compensation. The just compensation has to be equitable and fair. The loss of life and limb can never be compensated in an equal measure but the statutory provisions under Motor Vehicles Act is a social piece of legislation which has been enacted with intent and object to facilitate the claimants to get redress for the loss of the member of family, compensate the loss in some measure and to compensate the claimant to a reasonable extent. (Para 23)

There is no justification for award of compensation under separate head ‘loss of love and affection’. (Para 40)

Copy of judgement: Judgement_07-Sep-2020

-Adv. Tushar Kaushik

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