SC raises compensation for blind accident victim from ₹2.94 cr to ₹3.77 cr

The Supreme Court has enhanced the compensation awarded to a woman who was rendered completely blind and suffered severe pelvic injuries in a 2011 road accident from ₹2.94 crore to ₹3.77 crore, holding that her continued employment could not be treated as proof that her earning capacity remained unaffected.The Supreme Court treated the woman’s functional disability as 100% after finding she needed extensive workplace support and lost opportunities for career growth.In a judgment passed on Thursday, a bench of Justices SVN Bhatti and NV Anjaria held that assessment of functional disability in motor accident compensation cases must focus on a victim’s ability to earn in the “open, competitive labour market,” rather than merely on the fact that the person continues to retain a job in a “highly accommodated” workplace.Applying this principle, the Court enhanced the compensation payable to a woman who was rendered completely blind and suffered severe pelvic injuries and a permanent colostomy in a road accident in 2011, raising the amount from ₹2.94 crore awarded by the Punjab and Haryana High Court to ₹3.77 crore.Also read: ‘Order can’t be without reasoning’: Supreme Court sets aside Allahabad HC rulingThe woman, who was 35 at the time of the accident, was working as a deputy group manager with IBM Daksh in Gurugram. Although she returned to work after the accident and her annual cost to company subsequently rose from ₹16 lakh to ₹19 lakh, as per the company records, she could perform her duties only with “specially created assistive software, flexible working hours” and other extensive accommodations provided by her employer. She had also remained on leave without pay for 19 months after the accident.The Supreme Court noted this and said that her return to work after her accident, thus, could not by itself be taken to mean that her earning capacity had remained unaffected.The Court took into account the effect of the injuries on her future career progression. A career-growth letter issued by her employer showed that she had lost out on opportunities to progress to higher positions, including general manager, director and vice-president.The Supreme Court accordingly treated her functional disability as 100%, rather than the 80% assessed by the High Court, after taking into account the Medical Board’s finding of 100% permanent physical impairment of the whole body.“The calculation of functional disability depends on assessing the victim’s earning capacity in the open, competitive market, rather than on retention in a specific, highly accommodated role. Evidence before the High Court, specifically the Career Growth Letter dated 06.02.2018 from her employer, confirmed that the Claimant lost out on her normal career growth and promotional progression, including advancement to the positions of General Manager, Director, or Vice President, as a result of the accident. The record further indicates that she is able to perform her current duties only through specially created software, flexible working hours, and extreme accommodations provided by her employer as an act of corporate compassion,” SC said.It recalculated her loss of future earning capacity by applying 50 percent towards future prospects and a multiplier of 16, resulting in an award of ₹2.42 crore under this head alone.The bench also enhanced amounts awarded under several other heads, including attendant charges, future medical expenses and pain and suffering. The final compensation was fixed at ₹3,77,84,297, with interest at 7.5 percent per annum from the date of the claim petition.The Apex Court also dealt with the claim arising from the death of Sushant Prabhakaran, who was riding the motorcycle that the woman, Priyanka Das, was riding pillion on, when the truck hit it. Prabhakaran, 33, died on the spot.Das claimed that she was his legally wedded wife. The Motor Accident Claims Tribunal and the High Court, however, found that she had failed to establish the marriage through documentary or other sufficient evidence. The Supreme Court declined to interfere with those concurrent findings.However, while determining compensation for her injuries, the Apex Court took into consideration the loss of marriage prospects caused by the accident. It awarded ₹20 lakh under this head, while making it clear that the amount was being granted on the peculiar facts of the case and “shall not be treated as a precedent”.The Court thus partly allowed Das’s appeal seeking enhancement of compensation, while dismissing the insurer’s appeal against the award.