It all started with a road accident in Indian state of Punjab on 25th November 2001 which killed home maker Reshma - a mother of three children. Incidentally, 25th November is also observed globally as the International Day for the Elimination of Violence Against Women.
Following her death, her legal heirs - husband and children - filed a compensation claim before the Motor Accident Claims Tribunal (MACT). The Tribunal awarded a compensation of INR 2,42,000 (~US$ 2500) in December 2003. Not satisfied by this meagre amount the claimants filed an appeal in the High Court in 2004. The case was decided twenty years later at the f*g-end of 2024 and a Single Judge enhanced the compensation to INR 8,43,400 (~US$ 8850) vide order dated 11th December 2024, along with 7.5% interest from the date of filing of the claim petition. It was further clarified that should the said payment be not made within three months, the rate of interest would be enhanced to 9% per annum and further if the amount is not paid within six months, enhancement shall be with interest at 12% per annum.
Still dissatisfied, the claimants approached the Supreme Court, contending that the lower courts had grossly undervalued the loss, and failed to adequately account for the full value of Reshma's domestic and caregiving contributions among other things.
In its landmark judgement delivered on 11th June 2026, the Court enhanced the compensation to INR 62,77,900 (~US$ 66,000), payable to the complainant by the respondent - insurance company.
The Supreme Court has earned laurels and accolades on two accounts for delivering this landmark judgement.
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