Oriental Insurance Co Ltd, ... vs Chimanbhai Gopalbhai Dafda
2023 Latest Caselaw 7367 Guj

                                                                                        NEUTRAL CITATION




        C/FA/3740/2010                                  ORDER DATED: 05/10/2023

                                                                                         undefined




              IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
                      R/FIRST APPEAL NO. 3740 of 2010
                                   With
                      R/FIRST APPEAL NO. 3739 of 2010
                                   With
                      R/FIRST APPEAL NO. 3741 of 2010
==========================================================
     ORIENTAL INSURANCE CO LTD, REGISTERED OFFICE AT ORIENTAL
                              Versus
               CHIMANBHAI GOPALBHAI DAFDA & 2 other(s)
==========================================================
Appearance:
MS KARUNA V RAHEVAR(3818) for the Appellant(s) No. 1
MR SANDEEP R LIMBANI(5977) for the Defendant(s) No. 2,3
RULE SERVED for the Defendant(s) No. 1
==========================================================
     CORAM:HONOURABLE MR. JUSTICE ILESH J. VORA
                      Date : 05/10/2023
                   COMMON ORAL ORDER

1. Since the above appeals arise out of the common judgment and award dated 12.07.2010, they are being disposed of by this common judgment and order.

2. Facts giving rise to file present appeals are that the respondents being original claimants sustained accident injuries on 12.03.2008, when the truck in which they were traveling along with their goods overturned, on account of careless driving of its driver. The injured had filed four claim cases viz. 318/2008, 225/2008, 226/2008 and 227/2008 before the Tribunal, Gondal, at Upleta, Dist.:Rajkot. The claim Tribunal, vide its common judgment and award dated 12.07.2010, by allowing partly claim petitions, awarded the compensation, fastening the liability of the insurance company - appellant herein. The appellant - Oriental Insurance Company Limited has preferred present appeals inter alia contending that the driver of the truck was not duly licenced to drive the

NEUTRAL CITATION

C/FA/3740/2010 ORDER DATED: 05/10/2023

undefined

vehicle as his licence expired before the accident and it was not renewed. In such circumstances, the issue raised by the insurance company that there was clear breach of terms and conditions of the insurance policy.

3. This Court has heard Ms.Karuna Rahevar and Mr.Sandeep Limbani, learned advocates for the respective parties.

4. Ms.Karuna Rahevar, learned counsel appearing for the appellant insurance company, referring the copy of the licence, contended that the incident took place on 12.03.2008 and the licence to driver the vehicle issued for a period commencing from 28.02.2005 to 27.02.2008. So on the date of accident, the licence was expired and the same was not renewed. In such circumstances, she submitted that when the driver did not possess the valid licence, then the insurance company cannot be held liable to pay the amount of compensation as there is breach of terms and conditions of the policy.

5. On the other hand, learned counsel Mr.Limbani submitted that as per the statutory provisions of the Motor Vehicle Act and Rules thereunder, the licence though expired, remains valid for 30 days from the date of expiry and therefore, in the facts of present case, it cannot be said that the driver was not holding or possessed valid and effective driving licence to drive the vehicle.

6. Having heard learned advocates for the respective parties and on perusal of the material placed on record, the point arose for consideration is to whether in the facts of present case, the Tribunal was justified in fastening liability of the insurance company for the ground raised hereinabove.

NEUTRAL CITATION

C/FA/3740/2010 ORDER DATED: 05/10/2023

undefined

7. In the facts of present case, it is not in dispute that the disputed licence was issued for a period commencing from 28.02.2005 to 27.02.2005. The accident took place on 12.03.2005. In the facts of present case, Section 14 of the Motor Vehicle Act, 1988 is applicable and according to the said provisions, the driving licence remains valid for a period of 30 days from the date of expiry. In these circumstances, this Court is of the considered view that the plea raised by the insurance company is not tenable as within 30 days after the expiry of the licence the accident in question has occurred and in that view of the matter, the licence cannot be said to be expired on the day of accident.

8. For the reasons recorded above, considering the statutory provisions and peculiar facts and circumstances of present case, the insurance company measurably failed to prove that the driver of the offending vehicle did not have valid and effective licence at the time of accident.

9. Accordingly, present appeals are dismissed, being devoid of any merit. Registry shall transmit the R & P, if any, to the learned Tribunal concerned. The Tribunal shall disburse the entire amount in favour of the claimants. Registry shall transmit the amount to the Tribunal, deposited by the insurance company at the time of admission of the appeal. Decree be drawn accordingly.

(ILESH J. VORA,J) Rakesh