Motor Accident - Legal representatives of a deceased cane claim for compensation for personal injury, even if the claimant dies

Supreme Court Upholds Right of Legal Heirs to Pursue Injury Claims After Claimant's Death. Landmark Judgment Enhances Compensation and Clarifies Legal Representatives' Rights Under Amended Motor Vehicles Act
In a pivotal judgment, the Supreme Court of India ruled that legal representatives of a deceased claimant can continue pursuing claims for compensation for personal injury under the Motor Vehicles Act, 1988, even if the claimant dies during the pendency of the proceedings. The judgment was delivered in the case of Dhannalal Alias Dhanraj (deceased) versus Nasir Khan and others, where the court addressed the substitution of legal representatives for the deceased claimant.
The case arose from an appeal filed by Dhannalal, who was rendered 100% disabled due to a motor accident. Unfortunately, Dhannalal passed away during the proceedings. His legal representatives stepped in to continue the claim for enhanced compensation.
The Supreme Court, presided over by Justices K. Vinod Chandran and N.V. Anjaria, addressed the preliminary objection raised by the insurance company regarding the continuation of the appeal by legal representatives, citing Section 306 of the Indian Succession Act, 1925. The court referenced the amendment to Section 166 of the Motor Vehicles Act by Act 32 of 2019, which explicitly allows legal representatives to pursue claims irrespective of whether the cause of death is related to the injury.
The judgment also enhanced the compensation awarded to the deceased's estate. The monthly income of the injured was determined at Rs. 9,000, considering incremental increases and evidence of skilled work. The court reduced the multiplier to 11, aligning with the actual lifespan of the deceased, and thereby enhanced the total compensation to Rs. 20,37,095.
Additionally, the court ruled that interest on the total award amount at a rate of 9% per annum is payable from the date of the filing of the claim petition until the payment is made, with deductions for amounts already paid.
The judgment is seen as a significant clarification of the rights of legal representatives in injury claims under the Motor Vehicles Act and sets a precedent for similar cases in the future.
Bottom Line:
Legal representatives of a deceased claimant can pursue claims for compensation for personal injury under Section 166(5) of the Act, even if the claimant dies during the pendency of the proceedings, irrespective of whether the cause of death is related to the injury.
Statutory provision(s): Motor Vehicles Act, 1988 - Section 166(5), Indian Succession Act, 1925 - Section 306
Dhannalal Alias Dhanraj (Dead) v. Nasir Khan, (SC) : Law Finder Doc id # 2784601