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Iffco Tokio General Insurance Co Ltd vs Legal Heirs Of Deceased Sandipkumar Rameshbhai

High Court Of Gujarat|15 March, 2012
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JUDGMENT / ORDER

1.0 This appeal is directed against the judgment and award dated 23.03.2011 passed by learned Motor Accident Claims Tribunal ( Auxi) and Additional District Judge, District Court, Jitodiya at Anand in Motor Accident Claim Petition No. 391 of 2006, wherein the Tribunal has awarded a sum of Rs. 432500/­ along with interest at the rate of 7.5% per annum from the date of application till realization and with proportionate costs. 3.0 On 23.08.2006 Sandipkumar Rameshbhai Prajapati was returning to his house from Baroda on his Hero Honda Motor Cycle bearing No. GJ­23 E 6048. All of a sudden one ditch came on the road. Hence he lost control over the vehicle and fell down and sustained severe injuries. He died during the treatment. The original claimants therefore, filed application under Section 163­A of the Motor Vehicles Act, 1988 ( for short “the Act”) on structured formula basis on the principle of No Fault Liability and claimed compensation in sum of Rs. 509700/­. The Tribunal has passed the aforesaid award in claim petition filed under Section 163A of the Act, which is challenged in this appeal.
3.0 The contention raised by learned Advocate for the appellant is that the deceased was the driver of the insured vehicle of the appellant and therefore, he could not get compensation from his own insurance company as insured vehicle driven by the deceased himself. That the deceased himself was the negligent. He therefore, submitted that inspite of the aforesaid fact, the defense raised by the appellant before the Tribunal was not considered. He placed reliance on the decision of the Hon'ble Apex Court in case of Ningamma and another versus United India Insurance Company Ltd. reported in (2009) 13 SCC 710 wherein in para 20 it is held as under:
“20. It was held in Oriental Insurance Co. Ltd vase that Section 163­A of the MVA cannot be said to have any application in respect of an accident wherein the owner of the motor vehicle himself is involved. The decision further held that the question is no longer res integra. The liability under Section 163­A of the MVA is on the owner of the vehicle. So a person cannot be both, a claimant as also a recipient, with respect to claim. Therefore, the heirs of the deceased could not have maintained a claim in terms of Section 163­A of the MVA.
4.0 He further submitted that it is open to the owner or insurance company, as the case may be, to defeat a claim under Section 163A of the Act by pleading and establishing a 'fault' ground.
5.0 It is by now well settled law that application under Section 163­A of the Motor Vehicles Act cannot be treated at par with an application under section 140 of the Act. Under section 140 of the Act only fixed compensation is payable whereas it is not the case in an application under Section 163­A of the Act. As per the law laid down by the Apex Court, award under Section 163A is an alternative to an award under Section 166 of the Act and therefore application under Section 163­A cannot be disposed of in a summary manner without considering the issue of liability of the Insurance Company and also other issues.
6.0 In the case of National Insurance Company Ltd. Vs. Sinitha and Others, reported in 2011(13) SCALE 84 (= 2012 (2) SCC 356), it is held that it is open to the owner or insurance company, as the case may be, to defeat a claim under Section 163A of the Act by pleading and establishing a 'fault' ground.
7.0 I have gone through the judgement of the Tribunal. The Tribunal has proceeded on the basis that under Section 163­A of the Act involvement of particular identified vehicle is only required to be proved. It appears that the Tribunal has not considered the facts and law mentioned hereinabove.. Resultantly, the Tribunal is required to reconsider the matter in view of the aforesaid facts and ratio laid down by the Apex Court.
8.0 In the premises aforesaid, the appeal is allowed and the following order is passed:
(i) The impugned judgment and award is quashed and set aside.
(ii) The matter is remanded to the concerned Motor Accident Claims Tribunal for adjudication afresh.
(iii) This Court has passed the aforesaid order in view of the fact that the Tribunal has not followed the procedure established by law and therefore the Tribunal may not be influenced by the order of this Court.
(iv) The amount invested in Fixed Deposit, as directed by this Court, shall be continued in Fixed Deposit and the claimants shall be entitled for the periodical interest on the said Deposit only up to the date of this judgment and award.
(v) It is, however, made clear that interest accruing on the said Fixed Deposit shall be accumulated and will be adjusted at the time of the final award.
(vi) The amount awarded and if already withdrawn by the claimant, pursuant to the impugned award, will be adjusted at the time of the final award.
(vii) Since the matter is pending since long, the Tribunal is directed to dispose of the case as expeditiously as possible and in any case not later than two years from the date of receipt of the writ of this Court.
(viii) It is observed that this Court has not entered into the merits of the matter and the Tribunal shall consider the same afresh, without being influenced by the fact that this Court has quashed its earlier judgment and award.
(ix) R & P, if lying with this court, to be sent to the Tribunal forthwith.
(K.S.JHAVERI, J.) niru*
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Title

Iffco Tokio General Insurance Co Ltd vs Legal Heirs Of Deceased Sandipkumar Rameshbhai

Court

High Court Of Gujarat

JudgmentDate
15 March, 2012
Judges
  • Ks Jhaveri
Advocates
  • Mr Sunil Parikh
  • Mr Ajay R Mehta