Miss Lucy
← All judgments

Thangavel and Others vs The Managing Director, Tamil Nadu State Transport Corporation Limited

Supreme Court8 August 2025

Ratio decidendi

The rule this decision rests on

Where a claim for compensation in a motor vehicle accident is made under Section 166 of the Motor Vehicles Act, 1988 (on the basis of negligence established against the defendant) rather than Section 163A (no-fault liability), the income of a child victim is not determined solely by reference to Schedule II of the Act, but may be assessed on the basis of evidence and comparable precedents, including Division Bench decisions adopting specific monthly income figures for children of similar age. In assessing compensation for loss of dependency where a child dies in a motor vehicle accident, no deduction for personal expenses of the child should be made from the multiplicand when calculating the dependency claim, even where the multiplier is adjusted downward to account for the contingencies of life and the age of the dependent. Where a tort-feasor's negligence is established and uncontested, heads of compensation such as transportation expenses and loss of dress, ornaments and chattels damaged in the accident should not be deleted merely because they are smaller in quantum; such losses must be compensated unless there is clear rationale for their exclusion. The compensation for loss of filial consortium (loss of love and affection) payable to parents following the death of a child in a motor vehicle accident is governed by the principle in Pranay Sethi, and is limited to Rs.40,000/- per parent, totalling Rs.80,000/- for both parents together.

Written by Miss Lucy from the judgment below, not taken from a headnote.

Judgment

As delivered

2025 INSC 949

Non-Reportable

IN THE SUPREME COURT OF INDIA CIVIL APPELLATE JURISDICTION

Civil Appeal No. 3595 of 2024

Thangavel & Ors. …Appellants Versus

The Managing Director, Tamil Nadu State Transport Corporation Limited …Respondent

JUDGMENT

K. VINOD CHANDRAN, J.

1. The appellants are the parents aggrieved with the

reduction of compensation awarded for the death of

their son in a motor accident, by the impugned

judgment of the Madurai Bench of Madras High Court.

2. A 10-year old boy while cycling to school was hit

by a bus of the respondent-Corporation. The appeal is

Signature Not Verified only on the quantum and there is no dispute raised by Digitally signed by NARENDRA PRASAD Date: 2025.08.08 18:52:03 IST Reason: Page 1 of 6 Civil Appeal No. 3595/2024 the Corporation as to the negligence found on their

driver.

3. The Tribunal awarded an amount of Rs.8,55,000/-

reckoning the income of the child at Rs.5,000/- per

month and determining the compensation for loss of

dependency adopting the multiplier of 18 and

deducting 2/3rd for personal expenses. An amount of

Rs.1,00,000/- was granted for the loss of love and

affection along with funeral expenses of Rs.25,000 and

Rs.5,000/- each for transportation and loss of dress,

ornaments and cycle.

4. The High Court reduced the income by

Rs.2,70,000/- finding that Rs.30,000/- per year as per the

Schedule II of the Motor Vehicles Act, 19881 was to be

adopted as the income and the multiplier applicable is

only 15 considering the age of the mother. While the

amount for loss of love and affection was confirmed,

1 “the Act”

Page 2 of 6 Civil Appeal No. 3595/2024 funeral expenses was reduced to Rs.15,000/- and the

amounts granted for transportation and damage to

clothes and cycle were deleted. A further amount of

Rs.15,000/- was granted as loss of estate, thus reducing

the total award amounts to Rs.5,80,000/-.

5. There is no straight jacket formula as to the

income to be adopted in the case of children when they

suffer injuries or succumb to death, in a motor vehicle

accident. In fact, the Tribunal had considered a Division

Bench decision which adopted the income of Rs.5,000/-

per month for a 9-year old. The High Court does not give

any reasoning to deviate from the said monthly income

adopted by a Division Bench and merely adopts the

income as per Schedule II. Schedule II is applied in

cases where the claim is made under Section 163A of the

Act, which proceeds on a ‘no fault liability’. In the

present case a claim under Section 166 of the Act was

preferred and there was negligence found on the driver

of the offending vehicle.

Page 3 of 6 Civil Appeal No. 3595/2024

6. We are of the opinion that the monthly income of

Rs.5,000/- as adopted for the child by the Tribunal is

perfectly in order. There is no question of any deduction

for personal expenses and hence even if the multiplier

adopted is 15, considering the mother’s age of 36, the

total compensation for loss of dependency would be

Rs.7,50,000/-, Rs.30,000 more than that awarded by the

Tribunal. Insofar as the loss of love and affection is

concerned, the Constitution Bench in Pranay Sethi2

permits only Rs.40,000/- each and funeral expenses as

rightly reduced by the High Court has to be Rs.15,000/.

We find no rationale for the High Court to have deleted

the transportation expenses and loss of dress,

ornaments and cycle. As rightly awarded by the High

Court, loss of estate has to be compensated with

Rs.15000/-. Hence, even if just compensation of

Rs.80,000 is fixed as loss of filial consortium as

applicable to both the parents and the funeral expenses

2 (2017) 16 SCC 680

Page 4 of 6 Civil Appeal No. 3595/2024 is reduced to Rs.15,000/-, the total compensation would

be Rs.8,70,000/- as below:

Sr. No. Particulars Amount

1. Loss of dependency (Rs.5,000/- x 15) Rs.7,50,000/-

2. Compensation for filial consortium @ Rs. 80,000/- Rs.40,000/- each

3. Funeral expenses Rs.15,000/-

4. Loss of Estate Rs.15,000/-

5. Transportation Rs.5,000/- expenses

6. Loss of dress, Rs.5,000/- ornaments and cycle

Total Rs.8,70,000/-

7. However, there is no appeal from the quantum

filed by the claimants. Hence the order of the Tribunal

is restored and the appeal is allowed setting aside the

order of the High Court. The claimants shall be paid the

amounts as awarded by the Tribunal after deducting the

amounts already paid or deposited, within a period of

Page 5 of 6 Civil Appeal No. 3595/2024 one month from today with interest as directed by the

Tribunal or the High Court.

8. Pending application(s), if any, shall stand

disposed of.

………….……………………. J.

(K. VINOD CHANDRAN)

…………………………………J. (N.V. ANJARIA)

NEW DELHI;

AUGUST 08, 2025.

Page 6 of 6 Civil Appeal No. 3595/2024

This page reproduces a public judgment and a summary of it. It is research material, not legal advice, and it is no substitute for advice from an advocate on your own facts.

Research this judgment with Miss Lucy

Ask what it holds, what has followed it, and what it means for your matter — in plain English, with the citations.

Try Miss Lucy free