Authority: Supreme Court of India

Order Date: 02-09-2026

Case Overview

  • Petition: Special Leave Petition (Civil) Diary No. 48326/2026, arising from the impugned final judgment and order dated 06-04-2026 in MAC APP. No. 10/2025 of the High Court of Sikkim at Gangtok.
  • Parties: Petitioner – The Branch Manager, Cholamandalam MS, General Insurance Company Ltd; Respondents – Dal Bahadur Thapa & Ors.
  • Applications: IA No. 257577/2026 – Condonation of delay in filing IA No. 257573/2026; exemption from filing C/C of the impugned judgment.
  • Bench: Hon'ble Mr. Justice Prashant Kumar Mishra and Hon'ble Mr. Justice Shree Chandrashekhar.
  • Counsel: For petitioner – Mr. Abhishek Gola, Adv. (through VC) and Mr. Viresh B. Saharya, AOR. Counsel for respondents not listed.

Observations & Directions

1. Condonation of Delay – The Court condoned the delay in filing the interlocutory application.

2. Notice to Respondents – The Court directed that a notice be issued to the respondents to examine whether the deduction for personal expenses at one‑fourth of the annual income (instead of the usual one‑third) is lawful, especially considering that the deceased was a bachelor. The Court referenced the judgment in National Insurance Co. Ltd vs Pranay Sethi (2017 (16) SCC), which held that for an unmarried deceased, only a one‑third deduction is permissible.

3. Compensation Deposit – The petitioner is ordered to deposit the amount of compensation granted by the Motor Accidents Claims Tribunal within four weeks from the date of this order.

4. Stay of Impugned Order – A stay is imposed on the operation of the High Court’s impugned order to the extent that it concerns the enhanced amount of compensation, pending the resolution of the above issues.

Final Outcome

  • Delay in filing is condoned; a notice will be issued to scrutinise the personal‑expense deduction methodology; the petitioner must deposit the tribunal‑awarded compensation within four weeks; and the High Court’s order on enhanced compensation is stayed until further determination.

Topics: Insurance Compensation, Court Order