Deduction in mishap claims may vary as per dependents: SC
13 May 2013 7:34 AM IST
While determining road accident claims, the amount to be deducted on account of personal and living expenses of the victim may vary as per the number of the dependents, the Supreme Court has held.
The apex court also held that in such accident cases where deceased is aged below 40 and had a permanent job, an addition of 50 per cent of the actual salary should be made towards future prospects to the current income.
A three-judge bench headed by Justice R M Lodha observed that a proportion of a man's earning, which he saves or spends exclusively for maintenance of others, does not form a part of his ‘living expenses’.
‘One must bear in mind that the proportion of a man's net earnings that he saves or spends exclusively for maintenance of others does not form part of his living expenses but what he spends exclusively on himself does.
‘The percentage of deduction on account of personal and living expenses may vary with reference to the number of dependant members in the family...,’ the bench, also comprising Justices J Chelameswar and Madan B Lokur, said.
The apex court also held that in such accident cases where deceased is aged below 40 and had a permanent job, an addition of 50 per cent of the actual salary should be made towards future prospects to the current income.
A three-judge bench headed by Justice R M Lodha observed that a proportion of a man's earning, which he saves or spends exclusively for maintenance of others, does not form a part of his ‘living expenses’.
‘One must bear in mind that the proportion of a man's net earnings that he saves or spends exclusively for maintenance of others does not form part of his living expenses but what he spends exclusively on himself does.
‘The percentage of deduction on account of personal and living expenses may vary with reference to the number of dependant members in the family...,’ the bench, also comprising Justices J Chelameswar and Madan B Lokur, said.
Next Story
