December 20, 2024
MP High Court Upholds Motor Accident Compensation, Recognizes Future Prospects Beyond Government Jobs
High Court Judiciary

MP High Court Upholds Motor Accident Compensation, Recognizes Future Prospects Beyond Government Jobs

Jul 27, 2024

Last Updated on July 27, 2024 by News Desk

The Madhya Pradesh High Court has ruled that only government servants qualify as “permanent jobs” for future prospects in motor accident compensation claims. Bench of Justice Achal Kumar Paliwal ruled that a person in a job with periodic salary increments or annual increments is considered a “permanent job.”

The claimant, an Assistant Professor at Corporate Institute of Science and Technology in Bhopal, argued that 15% should have been added as future prospects, and consortium compensation should have been awarded to all appellants. The respondents, represented by the insurance company’s counsel, argued that the deceased’s position in a private college did not qualify as a permanent job and that only government employees should be treated as holding permanent jobs for future prospects.

Justice Paliwal emphasized the Supreme Court’s precedent in the landmark case of National Insurance Company Ltd. vs. Pranay Sethi (2017), which held that future prospects should be considered for both self-employed individuals and those with fixed salaries.

The court partially allowed the appeal, enhancing the total compensation by Rs. 2,72,260, bringing the total compensation to Rs. 36,95,260.

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