Accident--Income--Last Drawn Salary Of Deceased Governs Compensation Multiplicand Regardless Of Remaining Period of Service Period
Deduction from the salary of a deceased motor accident victim on grounds unrelated to the accident is impermissible in law. Under the principles settled in Sarla Verma v. Delhi Transport Corporation, the multiplicand for computing compensation must be based on the annual income of the deceased, derived from the last drawn monthly salary. Remaining service period is irrelevant to this calculation. Future prospects are to be added at 15% where the deceased was above 50 years, as per National Insurance Co. Ltd. v. Pranay Sethi.
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