Family affairs not to affect compensation**Business Standard

When compensation for a road death is computed, the court cannot take into account the arrangement of the shares of property within the family. The court must go by the law in the Motor Vehicles Act, the Supreme Court emphasised in its judgment in Renu Rani vs New India Assurance Co. In this case, a journalist died when his car was hit by a truck coming from the opposite side. The tribunal awarded Rs 13,725,000 to the victim’s wife, daughter and parents. The insurer appealed to the Supreme Court, arguing that the woman had relinquished her share in favour of the other claimants and consequently she was not entitled to compensation. Rejecting the contention, the court asserted that “it is in between the family members to make an arrangement with regard to the family affairs. The grant of compensation in respect of accidental death of a person will not be affected by the family arrangement inasmuch as the compensation as per law has to be awarded by the court in favour of the dependants.”

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