Monday, September 22, 2025

Legal Principles of Compensation to Victims of Road Accidents under Motor Vehicles Act, 1988

Legal Principles of Compensation to Victims of Road Accidents under Motor Vehicles Act, 1988 

In case of Savita v. Bindar Singh [2014] GCtR 6429 (SC), while enhancing the compensation amount under MV Act, 1988, it was held that "it is the duty of the court to equate, as far as possible, the misery on account of the accident with the compensation so that the injured or the dependants should not face the vagaries of life on account of discontinuance of the income earned by the victim."

Ultimately, it was concluded that grant of less than 6% interest in addition to the principal amount of compensation will be too low. 

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