JUDGMENT
P.S. Patankar, J.
1. The judgment and order passed by the Motor Accidents Claims Tribunal, Ratnagiri is under challenge in these Appeals. First Appeal No. 890 of 1984 has been filed by the original claimants challenging dismissal of their claim against original Opponent Nos. 1 to 3 and claiming enhancement of compensation. first Appeal No. 147 of 1985 has been filed by the original Opponent No. 4 holding him liable for payment of compensation. Both these appeals involve common questions of law and facts and, therefore, can be conveniently decided by this common judgment. The reference to parties hereafter shall be made with reference to First Appeal No. 890 of 1984.
2. The Civil Application No. 1935 of 1987 dated 3-1-1985 has been filed for bringing on record the judgment and order passed by the Additional Sessions Judge, Ratnagiri in Criminal Appeal No. 126 of 1981 by which the respondent No. 4 (original Opponent No. 4) came to be acquitted of charges under section 279, 304-A of IPC and section 116 of Motor Vehicles Act. By consent of the parties the Civil Application is granted.
3. These appeals arise out of the claim Application filed by the Appellants under section 110-A of the Motor Vehicles Act, 1939(hereafter’ Motor Vehicles Act) claiming compensation of Rs. 4,00,000/- for the death of Vijaysing, who was the husband of Appellant No. 1 and father of Appellant Nos. 2 and 3. On 31-3-1980 at about 10-00 p.m. opposite S.T. Divisional Office, Ratnagiri, fatal accident took place in which the said Vijaysing died. At that time Vijaysing was driving the scooter and the jeep came from opposite direction. Jeep dashed against him and due to its impact, he was thrown on the road and sustained serious injuries. He was moved to the hospital but succumbed to the injuries. The jeep was owned by the respondent No. 1 (original opponent No. 1) and at the relevant time it was allotted for use to respondent No. 2 (original opponent No. 2) as an Officer of respondent No. 1. The respondent No. 3 (original opponent No. 3) was the authorised driver of the said jeep and respondent No. 4 (original opponent No. 4) was serving as a clerk in the office of the respondent No. 2 and was driving the jeep at the time of the accident, though he had disputed this fact.
4. The Appellants in their application alleged that the respondent No. 4 was driving the motor vehicle i.e. jeep and was rash and negligent in driving. He was under the influence of liquor and could not control the jeep and dashed against the scooter driver by Vijaysing. He was driving the jeep without licence and was driving it with the knowledge or consent of the respondent Nos. 1, 2 and 3. therefore, they were jointly and severally responsible. The deceased was 35 years of age and was earning Rs. 1400/- to Rs. 2000/- per month.
5. Written Statement Exh. 23 came to be filed on behalf of the respondent Nos. 1 and 2. It was admitted that the respondent No. 4 was driving the jeep and was having no licence to drive it. It was admitted that he was under the influence of the liquor. However, it was contended that the respondent No. 4 snatched away the keys of the jeep from the respondent No. 3 inspite of his resistence. The respondent No. 4 drove the jeep from office premises for his own personal purpose and his act amounted to theft of the vehicle. The act committed by the respondent No. 4 was not within the ordinary course of his duty. It was also denied that the respondent No. 4 was not was driving the vehicle rashly and negligently. Therefore it was contended that the respondent Nos. 1 and 2 were not liable.
6. The respondent No. 3 filed written statements Exh. 24. It was contended that he was not at all aware about driving of the jeep by respondent No. 4 at the relevant time and he was not in charge of the same and therefore not liable.
7. The respondent No. 4 filed Written Statement at Exh. 25 inter-alia contending the allegation that he was driving the vehicle at the time of the accident was not true and correct. He was not driving the same and did not know the driving. The respondent No. 3 was during the vehicle at that time. They were returning from the house of one head-clerk by name Julbatte and were proceedings to the office. He was merely sitting by the side of the driver-respondent No. 3. It was contended that he and other members of the staff were required to attend the office for urgent work during the night time as it was year ending. The respondent No. 3 was on duty and taking the staff members to the office from their houses in the jeep. The jeep was having wobbling defect and when the respondent No. 3 was over-taking city bus, deceased came to the spot on the scooter. He got panicky due to the wobbling of the jeep and jumped leaving the scooter. The scooter dashed against the jeep. the deceased received injuries due to jump. It was denied that there was any rashness or negligence in driving the jeep.
8. The learned Judge took the view that the respondent No. 4 was driving the vehicle at the relevant time and was rash and negligent in driving the same. He was not having licence to drive. He was responsible for the accident. It was held that the respondent No. 4 alone was liable to pay compensation and the respondent Nos. 1 to 3 were not liable. It was held that the respondent No. 4 snatched away the keys of the jeep from the respondent No. 3 and was driving the vehicle unauthorisedly. He was not acting in the course of his duty. Therefore, it was held that there was no vicarious liability of the respondent Nos. 1 to 3. The learned Judge further held that considering the age and income of the deceased, the Appellants were entitled to get compensation of Rs. 1,50,000/- from respondent No. 4.
9. The learned Advocate for the Appellants submitted that it was an error to hold that there was no vicarious liability of respondents 1 to 3 and particularly of the respondent No. 1. It was an error to accept the case that the respondent No. 4 snatched away the keys of the jeep. He further contended that considering the age and income of the deceased, the Appellants were entitled to get compensation atleast of Rs. 3,00,000/- with 12% per annum interest. The learned Advocate for the respondent No. 1 to 3 contended that the Court below was right in holding that the respondent No. 4 was alone liable for the accident and had snatched away the keys from the respondent No. 3 and drove the vehicle unauthorisedly. He further contended that the respondent No. 4 used the vehicle for his own private purpose and not in the course of the employment and therefore cannot be said to be acting in the course of the employment and there can not be vicarious liability of the respondent Nos. 1 to 3. the learned Advocate for the respondent no. 4 contended that respondent No. 4 was not driving the vehicle at the relevant time and the respondent No. 3 was the driver and responsible for the accident. Therefore, he submitted that it was an error to hold him liable for payment of compensation.
10. In view of the contentions raised, the following points arise for our consideration:
POINTS FINDINGS
1. Who was the driver of the motor vehicle Respondent No. 4
at the time of the accident? was the driver.
2. Whether respondent No. 4 used the vehicle No.
for his private purpose?
3. Whether respondent No. 3 acting in the Yes
course of employment?
4. Whether all the respondents are liable to Respondent No. 1,
pay the compensation to the Appellants? 3 and 4 are liable.
5. Are the Claimants entitled to get Yes, see the
enhanced amount? order.
6. Are the claimants are entitled to get Yes.
interest at 12% per annum.
Point No. 1 :
11. The first point for our consideration is who was driving the vehicle at the relevant time? The Appellants have alleged that the respondent No. 4 was driving the same. This was not denied on behalf of respondent Nos. 1, 2 and 3. The respondent No. 4 disputed this position. In this connection, the deposition of Mr. D.L. Runkar, who was examined on behalf of the Appellants, shows that he reached the spot of the accident shortly thereafter. Both the respondent Nos. 3 and 4 were present and he was informed by the respondent No. 3 that the respondent No. 4 was driving the jeep. Though it is true that in the cross-examination he has stated that this fact was not disclosed by him before the Police or Magistrate, still this can be accepted. He has stated that the respondent No. 4 travelled in the jeep to the hospital and also gave information to the Police about the accident. The F.I.R. was recorded and also the statement of respondent No. 4. The AddI. PSI A.G. Tamble Exh. 58 has proved the recording the statement of Exh. 59 and the F.I.R. Ex. 60. Shri Tambe in the cross-examination made on behalf of the respondent No. 4 stated that it transpired in the investigation that the respondent No. 4 was driving the vehicle and the keys were handed over to him by the respondent No. 3. He has deposed that it did not transpire that the respondent No. 4 forcibly took the keys from the respondent No. 3. In the F.I.R, it has been mentioned that the respondent No. 3 handed over the jeep to the respondent No. 4 for driving and the respondent no. 4 was driving the same rashly and negligently and was responsible for the death of the deceased. In the statement Exh. 59, the respondent No. 4 has stated that he drove the vehicle. The respondent No. 2 examined himself at Exh. 63 and has stated that on enquiry he learnt that the respondent No. 4 was driving the vehicle. However there is no cross-examination on behalf of the respondent No. 4 in this respect. He has also deposed that he had received a report from the respondent No. 3 in this respect and forwarded the same to the superior officers along with his recommendations to suspend the respondent No. 4 and to hold Departmental Enquiry against him. This was also not challenged on behalf of the respondent No. 4. Further the respondent No. 4 himself in his evidence has deposed that there was another clerk by name Chavan, who was travelling in the jeep. However, the said Chavan was not examined as a witness by the respondent No. 4. In the ordinary course, he would have examined the said Chavan to prove his case. Further in the cross-examination, the respondent No. 4 has stated that immediately after the accident he did not go to the Police Station for lodging complaint but had gone to see the respondent No. 3. If the respondent No. 3 was the driver of the jeep then there was no reason for him to go and search for the respondent No. 3. All this evidence clearly established that the respondent No. 4 was the driver of the jeep at the relevant time and he has denied the same just to save his own skin and liability. The learned Advocate for the respondent No. 4 submitted that in the Criminal Appeal filed by the respondent No. 4, he came to be acquitted by the Sessions Court, Ratnagiri. He has further invited our attention to the fact that the log book of the jeep was not produced by the respondent No. 2 even though he had deposed that it was written at 11-30 p.m. on that day. He submitted that if the respondent No. 4 was driving, then this fact would have been mentioned in the log book and as it was not produced, adverse inference may be drawn. In the first place, acquittal in the criminal case can be at the most a circumstance in favour of the respondent No. 4. We have gone through the judgment in Criminal Appeal which shows that the respondent No. 4 was only given benefit of doubt by the Sessions Judge. Further non production of log book cannot lead to the conclusion that the respondent No. 4 was not driving the vehicle. Therefore, in our view, there is no substance whatsoever in the case put forward by the respondent No. 4 and the Court below was right in holding that the respondent No. 4 was the driver of the vehicle.
Point Nos. 2 to 4 :
12. These points relate to the vicarious liability of respondent 1 to 3 and particularly of respondent No. 1. In other words, these require us to consider whether respondent No. 3 was acting in the course of employment or not. No doubt this is an extremely vexed question and depends upon the facts of such case. however, certain general principles are settled in this respect and we would like to point out those principles of law first. Winfield and Jolowicz on Tort, 13th Edition, page 568 have to say as follows in respect of ‘what is the course of employment’ ‘A wrong falls within the scope of employment if it is expressly or impledly authorised by the master or is an unauthorised manner of doing something which is authorised, is necessarily incidental to something which the servant is employed to do.’ Similarly Salmond and Heuston on the Law of Torts, 19th Edition, have to say the following :
“Master is not responsible for a wrongful act done by his servant unless it is done in the course of his employment. It is deemed to be so done if it is either (1) a wrongful act authorised by the master, or (2) a wrongful and unauthorised mode of doing some act authorised by the master …….
But a master, as opposed to the employer of an independent contractor, is liable even for acts which he has not authorised, provided they are so connected with acts which he has authorised that they may rightly be regarded as modes-although improper modes of doing them. In other words, as master is responsible not merely for what he authorises his servant to do, but also for the way in which he does it. If a servant does negligently that which he was authorised to do carefully, or if he does fraudulently that which he was authorised to do honestly, or if he does mistakenly that which he was authorised to do correctly, his master will answer for that negligence, fraud or mistake”…
13. Our Supreme Court was required to consider this aspect in Sitaram Motilal Kalal v. Santannuprasad Jaishanker Bhatt, In the said case owner of the vehicle entrusted it to A for plying it as a taxi. B used to clean the taxi. A trained B to assist him in driving the taxi. B took the taxi for obtaining a licence of driving for himself. While taking the test, B caused bodily injury to the respondent. At that time A was not present in the vehicle. The question arose, whether the owner was liable or not. The majority held that the owner was not liable as it was held that it was not proved that the act was impliedly authorised by the owner and it cannot come within the extended doctrine of ‘in the course of employment’. It was observed as follows :
“In other words, for the mater’s liability to arise, the act must be a wrongful act authorised by the master or a wrongful and unauthorised mode of doing some act authorised by the master.”
The Supreme Court further held that there is presumption that a vehicle is driven on the master’s business and by his authorised agent or servant but the presumption can be met. The Supreme Court however cautioned that the scope of employment of a servant need not of course be viewed narrowly, but the essential element that the wrong must be committed by the servant during the course of the employment i.e., in doing the master’s business ought always to be present. The next judgment of the Supreme Court on this point is Pushpabai Parshottam Udeshi and ors. v. M/s. Ranfit Ginning & Pressing Co. Pvt. Ltd. The test laid down by the Supreme Court in the judgment cited supra came to be affirmed. It was observed that the recent trend in law is to make the master liable for acts which do not strictly fall within the term ‘in the course of the employment’ as ordinarily understood. The owner is not only liable for the negligence of the driver if that driver is his servant acting in the course of his employment , but also when the driver is, with the owner’s consent, driving the car on the owner’s business or for the owner’s purpose. Our Division Bench in Inderjeet Singh & Co. v. Kamal Prakash Pawar and ors., was required to consider the phrase ‘in the course of the employment ‘ in similar circumstances. In the said case the driver of the truck handed over the ignition key to his brother and allowed him to drive the vehicle which met with an accident. It was held that the owner was vicariously liable since the driver by allowing his brother to drive the truck was acting negligently and it was in the course of his employment. The Division Bench has observed in para 13 as follows :
“In the present case, the evidence clearly establishes that the possession of the truck was allowed by the Appellant to remain with respondent No. 6. The possession of the truck by respondent No. 6 at the material time, therefore, was in the course of the employment. If that be so, the handing over of the ignition-key by respondent No. 6 to respondent No. 5 or respondent No. 6 allowing respondent No. 5 take charge of the truck amounted to negligent act on the part of respondent No. 6 in the course of employment…… Once it is found on the facts of the case that the wrongful act committed by respondent No. 6 was during the course of employment, then it follows that the Appellant cannot escape the vicarious liability.”
14. In the present case, the Appellants have clearly averred in the application that the respondent No. 4 was driving the vehicle and it was driven with the knowledge and consent of the respondent Nos. 1 to 3. In the Written Statement of the respondent Nos. 1 to 3 , it was contended that the respondent No. 4 snatched away the keys from the respondent No. 3 in spite of resistance. However, the respondent No. 3 in his written statement has not raised any such contention. He has straightway denied his presence at the time of accident or knowledge about driving of the vehicle by the respondent No. 4. Similarly the respondent No. 4 in his own written statement has also disputed the said claim or theory of snatching away the keys raised on behalf of the respondent Nos. 1 and 2. We find that no such case was stated in F.I.R. Exh. 60 or to be found in the statement of Exh. 59. On the contrary, it has been stated in the F.I.R. that on investigation it was found that the keys were handed over by the respondent No. 3 to the respondent No. 4. The Addl. P.S.I. Tambe in his deposition at Exh. 58 a deposed that it did not transpire in his investigation that the respondent No. 4 forcibly took the keys from the respondent No. 3. On behalf of the respondent Nos. 1 and 2, the respondent No. 2 entered the witness-box and deposed about taking away or snatching away the keys from the respondent No. 3 by respondent No. 4. However, he has admitted that he learnt the same from respondent No. 3 after the accident. It is very clear that the respondent No. 3 did not inform this fact to the respondent No. 2 immediately after taking the keys which would have normally happened and particularly when admittedly telephone facility was available. Further surprisingly the respondent No. 3 in his own evidence completely departed from his written statement and tried to put forward the case of snatching away the keys forcibly by the respondent No. 4. Even this case was not put to the respondent No. 4 when he was cross-examined. The cross-examination of the respondent No. 4 in that respect on behalf of the respondent Nos. 1 to 3 is totally silent.
15. The watchman by name Y.G. gotad, Exh. 66, was examined to support the case of snatching away the keys. He has deposed that he tried to obstruct the respondent No. 4 when he was trying to snatch away the keys. However, the fact remained that he gave no information to the respondent No. 2 about it. He has candidly admitted in the cross-examination that he did not disclose about the incident except to the respondent No. 2 before his statement was recorded by the Police on 3-4-1980. He has also deposed that he has reported the incident to the respondent No. 2 on the next day. In fact there is discrepancy in the evidence of the respondent No. 2 and Mr. Gotad in this respect. The respondent No. 2 has deposed that Mr. Gotad informed him on the same day. Apart from this, we find it difficult to accept this case as there was not only failure on the part of the respondent No. 3 and Mr. Gotad to inform this incident immediately to the respondent No. 2, but ordinarily there would have been no difficulty for them to stop the respondent No. 4 because Mr. Gotad was the watchman and could have prevented respondent No. 4 from taking away forcibly the keys and the jeep. Further in our view it was necessary for the respondent No. 2 to produce on record the report submitted in respect of the incident and also log book of the jeep. The report would have indicated the facts. In the absence of these documents, it is not possible for us to accept the case put forward on behalf of the respondents Nos. 1 to 3 regarding snatching of keys forcibly by the respondent No. 4. In our view the respondents 1 to 3 thought over the matter after the written statements were filed and tried to put forward such a case in order to put the liability on the shoulder of respondent No. 4 alone.
16. The pleadings and evidence on record clearly indicated that it was year ending day i.e. 31-3-1980 and the clearks and officers were required to work during the night time. This was at the instance of respondent No. 2 who was in-charge of the office. The evidence further shows that after the normal working hours of the office, the employees had gone to their homes and were required to come back, may be after the dinner. The jeep was used for fetching those employees from their homes and for bringing them to the office. The presence of the employees in the jeep at the relevant time was also established. Respondent No. 2 and 3 has deposed about the urgency of work involved on that day and returning of colleagues to the office in the jeep. The learned advocate appearing on behalf of the respondents 1 to 3 submitted that the respondent No. 4 had taken the jeep for his own private purpose and therefore was not acting in the course of employment. He drew our attention to the depositions of respondent Nos. 2 and 3 and Mr. V.G. Gotad. Their evidence only shows that jeep was taken towards Maruti temple. Admittedly Maruti temple was on the way towards the office. The statement of the respondent No. 4 recorded at Exh. 59 further mentions that the jeep was taken towards Maruti temple for purchasing pan and cigrates and thereafter it started going back to the office. This statement only shows that the jeep was halted on the way for buying pan and cigrates. From this evidence it is not possible for us to conclude that the respondent No. 4 has taken the jeep for his own private purposes or he was on fralic of his own. Perhaps position would have been different if respondent No. 3 was expressly forbidden by respondent No. 2. Then it would have been said that the wilful wrong committed by respondent No. 3 related to the sphere of employment and not to the mode or performance and therefore, not in the course of employment. There was no such case pleaded and proved. Respondent No. 3 was totally negligent and his wrongful or unauthorised act was connected with his authorised act. Therefore, the vehicle to the respondent No. 3 for driving and the respondent No. 3 allowed respondent No. 4 to drive the same. The respondent No. 4 has taken charge of the said vehicle under the authority of the respondent No. 3. The respondent No. 3 was negligent in discharge of his official duty. The act of the respondent No. 3 was improper mode of performance of his own duty as a driver and was therefore unauthorised mode of acting within the course of his employment. There is no doubt that the vehicle was used for the official business of the respondent No. 1 and respondent No. 3 was a consenting party to it. Therefore, even though respondent No. 4 was an unauthorised person, respondent No. 1 cannot escape the liability. At the relevant time the staff members from the office were taken in the jeep for completing the work as it was an year ending. Therefore, the respondent No. 4 was acting for respondent No. 1. The evidence such as F.I.R. Ex. 60 and deposition of P.S.I. clearly established that respondent Nos. 3 and 4 had consumed liquor and perhaps respondent No. 3 has consumed more liquor on that day as even after 7 hours when he was examined, alcohol found in his blood was of same percentage as respondent No. 4, who was examined immediately. This in our view explains why respondent No. 3 permitted respondent No. 4 to drive the vehicle on that night. In the result, we hold that the respondent No. 1 was vicariously liable for the payment of compensation to the Appellants. however, in our view there was no negligence as such on the part of the respondent No. 2 personally though there was such negligent acting on the part of the respondent No. 3. Therefore, the respondent No. 2 cannot hold liable personally for the payment of compensation.
Point No. 5 :
17. The next question is the quantum of compensation payable. It ha been proved that deceased was earning about Rs. 1000/- to Rs. 1200/- per month. He was of 35 years of age. Considering his health etc. it can be safely taken that he would have survived and earned till the age of 65 years. It is not possible to accept that he would survived and earned upto the age of 70. further dependency of the Appellants can be taken at 2/3 of the income i.e. Rs. 700/- per month. The Appellants shall also be entitled to get Rs. 5,000/- for the loss of consortium/love and affection. The compensation, therefore, shall be payable as follows :
i) The compensation payable on the basis of dependency of (30x12x700) = 2,52,000-00 ii) Less deduct 20% for lum-sum payment and uncertainties of life 50,400-00 ---------------- 2,01,600-00 iii) Add Rs. 5,000/- towards loss of consortium/ love and affection 5,000-00 --------------- 2,06,600-00 Point No. 6 : 18. The Appellants shall also be entitled to receive the said amount with 12% per annum interest. Looking to the recent trend of the Supreme Court judgments in this respect, we grant 12% interest per annum (See ). The interest shall be payable from the date of application till the date of deposit/realisation.
19. The Appellants shall therefore be entitled to receive from the respondents 1, 3 and 4 Rs. 2,06,600/- with 12% interest per annum from the date of application till deposit/realisation. Respondents Nos. 1, 3 and 4 shall be jointly and severally liable to pay the same. First Appeal No. 890/84 is allowed with costs. First Appeal No. 147/1985 is dismissed with no order as to costs.
20. The respondent No. 1 is directed to deposit the said amount of compensation with interest and costs within 2 months from to-day. Upon deposit, the learned Judge of the trial Court is directed to deal with the same as follows :-
i) The Appellant No. 1-Kanchanmala shall be paid Rs. 86,600/- and the amount payable towards interest and costs in cash.
ii) Rs. 60,000/- shall be deposited in the name of minor Appellant No. 2-Satyaprabha under the guardianship of Appellant No. 1 for a period of 7 years in reinvestment scheme in the nationalised bank. on maturity the said deposit, the amount shall be paid to Appellant No. 2.
iii) The amount of Rs. 60,000/- shall be deposited in the nationalised bank under the guardianship of Appellant No. 1 for a period of 10 years in reinvestment scheme. on maturity, the amount shall be paid over the Appellant No. 3.
21. It is open to the parties to apply to the learned judge of the Claims Tribunal for further and other directions as regards the deposit and payment of money and the Judge concerned is at liberty to grant such directions as may be just and proper in the circumstances keeping in view the interest of the Appellants.