Citation : 2025 Latest Caselaw 2962 Guj
Judgement Date : 12 February, 2025
NEUTRAL CITATION
C/FA/3177/2012 ORDER DATED: 12/02/2025
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IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
R/FIRST APPEAL NO. 3177 of 2012
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KAUSHALBHAI ASHOKBHAI PATEL (MINOR) THRO' GUARDIAN & ORS.
Versus
UTTAMBHAI GELABHAI PARMAR & ORS.
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Appearance:
MR.HIREN M MODI(3732) for the Appellant(s) No. 1,2,3
MR BT VYAS(5540) for the Defendant(s) No. 4
MR CHIRAYU A MEHTA(3256) for the Defendant(s) No. 3
MR GAJENDRA P BAGHEL(2968) for the Defendant(s) No. 4
RULE SERVED for the Defendant(s) No. 1,2
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CORAM:HONOURABLE MR. JUSTICE J. C. DOSHI
Date : 12/02/2025
ORAL ORDER
1. The present First Appeal, under Section 173 of Motor Vehicles Act, 1988, is preferred by the appellants - original claimants being aggrieved and dissatisfied with the judgment and award dated 14.9.2011 passed by the Motor Accident Claims Tribunal, Ahmedabad in Motor Accident Claim Petition No.103 of 2003.
2. The brief fact of the present appeal is such that on 20/07/2003 husband of respondent no. 2 namely Ashokbhai was going on scooty bearing no. GJ-1-DC-1862 carefully and in moderate speed and at that time, Driver of Tempo i.e. respondent no.4 came driving his Tempo Bearing no. GJ-4-D- 8808 rashely and negligently, against the traffic rules and dashed the front portion of his tempo with the front portion of
NEUTRAL CITATION
C/FA/3177/2012 ORDER DATED: 12/02/2025
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the Scooty. It is submitted that due to the accident the deceased sustained serious bodily injuries and he died. Therefore the appellants have prayed the compensation for unnatural death and untimely death against the present respondent by way of filing a petition before the Motor Accident Claim Tribunal, Ahmedabad and prayed Rs. 7,29,000/- and held these respondents jointly and severally liable to pay the amount of compensation.
3. Learned advocate for the appellants would sbmit that the learned Tribunal in a claim petition filed u/s 163A of the MV Act erroneously decided the issue of negligency inter se between the drivers of the two vehicles involved in the road accident. He would further submit that deciding the issue of negligency in a claim petition u/s 163A of the MV Act is in violation of provisions of law. In view of above, learned advocate Mr. Modi would submit that the insurance company is therefore, liable to pay the compensation jointly and severally along with other opponents. Upon such submission, he prays to allow this First Appeal.
4. On the other hand, learned advocate Mr. Chirayu Patel having referred to the impugned judgment and award would submit that the accident took place due to sole negligency of the driver of the tempo and the deceased was driving the scooty. Considering this aspect, the learned Tribunal passed the order exonerating the insurance company of the scooty.
5. Having heard learned advocates for both the sides, what could be noticed that the on the fateful day of the incident, the
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C/FA/3177/2012 ORDER DATED: 12/02/2025
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deceased was driving the scooty dashed with the tempo and died. The legal heirs of the deceased moved claim petition u/s 163A of the MV Act against the owner and driver of the tempo as well as insurer and owner of the scooty for getting compensation of Rs.7,29,000/-. The learned Tribunal granted compensation in tune of Rs.4,98,000/- with 9% interest from the date of filing the claim petition till realization, however exonerated the insurance company of the scooty on the belief that the accident took place due to sole negligency of the driver of the tempo.
6. At this juncture, let refer section 163A of the MV Act.
"(1) Notwithstanding anything contained in this Act or in any other law for the time being in force or instrument having the force of law, the owner of the motor vehicle or the authorised insurer shall be liable to pay in the case of death or permanent disablement due to accident arising out of the use of motor vehicle, compensation, as indicated in the Second Schedule, to the legal heirs or the victim, as the case may be.
Explanation For the purposes of this sub-section, "permanent disability" shall have the same meaning and extent as in the Workmen's Compensation Act, 1923 (8 of 1923). (2) In any claim for compensation under sub-section (1), the claimant shall not be required to plead or establish that the death or permanent disablement in respect of which the claim has been made was due to any wrongful act or neglect or default of the owner of the vehicle or vehicles concerned or of any other person. (3) The Central Government may, keeping in view the cost of living by notification in the Official Gazette, from time to time amend the Second Schedule."
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C/FA/3177/2012 ORDER DATED: 12/02/2025
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7. The Hon'ble Apex Court in case of Shivaji Versus Divisional Manager, United India Insurance Co.Ltd., the Hon'ble Apex Court in para 5 held as under:-
"5. The issue which arises before us is no longer res integra and is covered by a recent judgment of three judges of this Court in United India Insurance Co. Ltd. v. Sunil Kumar & Anr., AIR 2017 SC 5710.,wherein it was held that to permit a defence of negligence of the claimant by the insurer and/or to understand Section 163A of the Act as contemplating such a situation, would be inconsistent with the legislative object behind introduction of this provision, which is "final compensation within a limited time frame on the basis of the structured formula to overcome situations where the claims of compensation on the basis of fault liability was taking an unduly long time". The Court observed that if an insurer was permitted to raise a defence of negligence under Section 163A of the Act, it would "bring a proceeding under Section 163A of the Act at par with the proceeding under Section 166 of the Act which would not only be self contradictory but also defeat the very legislative intention". Consequently, it was held that in a proceeding under Section 163A of the Act, the insurer cannot raise any defence of negligence on the part of the victim to counter a claim for compensation."
8. The Coordinate Bench of this Court of this Court in case of United India Insurance Company Limited Versus Kasubhai Desabhai Vala Legal Heirs Of Decd, 2022 (0) JX(Guj) 293 held that in a claim petition filed u/s163A of the MV Act, negligence is not required to be proved. In view of above, findings of the learned Tribunal assessing inter se negligency between the drivers of the two vehicles involved in the road accident is impermissible, as such finding is permissible only if claim petition is filed u/s 166 of the MV Act and therefore, such
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C/FA/3177/2012 ORDER DATED: 12/02/2025
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finding is required to be interfered with.
9. For the foregoing reasons, present First Appeal is allowed. The impugned judgment and award is hereby quashed and set aside. All the opponents of the claim petition are jointly and severally held liable to pay the compensation.
9.1 The insurance company is directed to deposit the decretal amount including interest and cost with the learned Tribunal within a period of six weeks from the date of receipt of this order.
9.2 The Tribunal shall disburse the entire awarded amount lying in the FDR and/or with the Tribunal, with accrued interest thereon, if any, to the claimants, by account payee cheque / NEFT / RTGS, after proper verification and after following due procedure.
9.3 While making the payment, the Tribunal shall deduct the courts fees, if not paid, in accordance with rules/law.
9.4 Rest of the direction(s) of the Tribunal remain same.
9.5 Record and proceedings be sent back to the concerned Tribunal, forthwith.
(J. C. DOSHI,J) SHEKHAR P. BARVE
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