Citation : 2024 Latest Caselaw 16283 P&H
Judgement Date : 5 September, 2024
Neutral Citation No:=2024:PHHC:115814
FAO-2779-2021 (O&M)
IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
Reserved on: September 04, 2024
Date of Decision: September 05, 2024
FAO-2779-2021 (O&M)
Baljinder Singh ... Appellant
Versus
Jaswinder Kaur and others ...Respondents
CORAM: HON'BLE MR. JUSTICE DEEPAK GUPTA
Present:- Mr. Ashok Giri, Mr. Mohit Giri and
Mr. Ravi Rana, Advocate for the appellant.
Ms. Kamlesh, Advocate for respondent Nos.1 to 4/claimants
Mr. Sunil Agnihotri, Advocate for respondent No.6.
DEEPAK GUPTA, J.
Whether a person recorded as registered owner of the offending vehicle in the Cer)ficate of Registra)on, remains liable to pay the compensa)on amount to a third party, i.e. legal representa)ves of the deceased or the injured claimant, as the case may be, despite sale of the offending vehicle to some other person, is the precise ques)on involved in the present appeal.
2. Facts, in brief, are that on 28.04.2016, a motor vehicular accident took place due to rash and negligent driving of Alto Car bearing registra)on No.PB-08BP-3054, resul)ng in the death of one Fateh Singh. The offending car was being driven at the relevant )me by Baljinder Singh S/o Bikram Singh (respondent No.5 herein). The registered owner of the car, as per the cer)ficate of registra)on, was Baljinder Singh S/o Sardool Singh (appellant herein). The owner in possession of the car was Bikram Singh (respondent No.6 herein) and the car was insured by ICICI Lombard General Insurance Company Limited (not impleaded as party to
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FAO-2779-2021 (O&M)
this appeal). The legal representa)ves (respondents N: 1 to 4 herein) of deceased - Fateh Singh filed claim pe))on before Motor Accident Claims Tribunal, Hoshiarpur (hereina>er referred as 'the Tribunal'). Vide Award dated 25.02.2021, compensa)on of ₹66,94,736/- alongwith interest was awarded to claimants payable jointly and severally by the driver, registered owner and owner in possession of the offending vehicle. It was also held by the Tribunal that registered owner Baljinder Singh S/o Sardool Singh (appellant herein) will be at liberty to take appropriate proceedings as per law against the driver and owner in possessions of the offending vehicle for recovery of compensa)on amount as paid to the claimants.
3. The conten)on of learned counsel for the appellant is that he had sold the offending vehicle to Bhandari Car Bhandar on 14.11.2014, i.e. much prior to the date of accident. On the same day, the car was sold by Bhandari Car Bhandar to Indian Car Bhandar, which further sold it on 14.01.2016 to Bikram Singh S/o Gurdit Singh (respondent No.6 herein), who even applied for change of ownership in his name to the concerned authority. Learned counsel contends that in these circumstances, the appellant is not liable to pay the compensa)on.
4. It is not in dispute that though the appellant had sold the vehicle on 14.11.2014, but on the date of accident, it is the appellant, who was recorded to be the registered owner of the offending vehicle in the cer)ficate of registra)on.
5. The issue as involved in the present appeal was discussed at length by this Court in FAO No.3242 of 2024 )tled as "Savinder Singh v. Binder Singh and others", decided on 15.07.2024 and it was held as under:-
"5. The issue involved in this appeal was considered by Hon'ble Supreme Court in Dr. T. V. Jose v/s Chacko P. M. Alias
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FAO-2779-2021 (O&M)
Thankachan AIR 2001 SC 3939 and it was held as under:-
"Mr. Iyer appearing for the Appellant submiHed that the High Court was wrong in ignoring the oral evidence on record. He submiHed that the oral evidence clearly showed that the Appellant was not the owner of the car on the date of the accident. Mr. Iyer submiHed that merely because the name had not been changed in the records of the R.T.O. did not mean that the ownership of the vehicle had not been transferred. Mr. Iyer submiHed that the real owner of the car was Mr. Roy Thomas. Mr. Iyer submiHed that Mr. Roy Thomas had been made party Respondent No.9 to these Appeals. He pointed out that an Advocate had filed appearance on behalf of Mr. Roy Thomas but had then applied for and was permiHed to withdraw the appearance. He pointed out that Mr. Roy Thomas had been duly served and a public no)ce had also been issued. He pointed out that Mr. Roy Thomas had chosen not to appear in these Appeals. He submiHed that the liability, if any, was of Mr. Roy Thomas.
We agree with Mr. Iyer that the High Court was not right in holding that the Appellant con)nued to be the owner as the name had not been changed in the records of R.T.O. There can be transfer of )tle by payment of considera)on and delivery of the car. The evidence on record shows that ownership of the car had been transferred. However, the Appellant s)ll con)nued to remain liable to third par)es as his name con)nued in the records of R.T.O. as owner. The Appellant could not escape that liability by merely joining Mr. Roy Thomas in these Appeals. Mr. Roy Thomas was not a party either before MACT or the High Court. In these Appeals we cannot and will not go into the ques)on of inter se liability between the Appellant and Mr. Roy Thomas. It will be for the Appellant to adopt appropriate proceedings against Mr. Roy Thomas if, in law, he is en)tled to do so."
This decision was later on followed in Anamika Vs. Jaipal Singh's case (supra), which has also been referred by the Ld. Tribunal.
6. Apart from above, in Naveen Kumar vs Vijay Kumar AIR 2018 SC 983, the issue was considered at length by Hon'ble Supreme Court. A>er ci)ng a catena of authori)es, it was held by the Apex Court
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FAO-2779-2021 (O&M)
as under:-
"12 The consistent thread of reasoning which emerges from the above decisions is that in view of the defini)on of the expression 'owner' in Sec)on 2(30), it is the person in whose name the motor vehicle stands registered who, for the purposes of the Act, would be treated as the 'owner'. However, where a person is a minor, the guardian of the minor would be treated as the owner. Where a motor vehicle is subject to an agreement of hire purchase, lease or hypotheca)on, the person in possession of the vehicle under that agreement is treated as the owner. In a situa)on such as the present where the registered owner has purported to transfer the vehicle but con)nues to be reflected in the records of the registering authority as the owner of the vehicle, he would not stand absolved of liability. Parliament has consciously introduced the defini)on of the expression 'owner' in Sec)on 2(30), making a departure from the provisions of Sec)on 2(19) in the earlier Act of 1939. The principle underlying the provisions of Sec)on 2(30) is that the vic)m of a motor accident or, in the case of a death, the legal heirs of the deceased vic)m should not be le> in a state of uncertainty. A claimant for compensa)on ought not to be burdened with following a trail of successive transfers, which are not registered with the registering authority. To hold otherwise would be to defeat the salutary object and purpose of the Act.
Hence, the interpreta)on to be placed must facilitate the fulfilment of the object of the law. In the present case, the First respondent was the 'owner' of the vehicle involved in the accident within the meaning of Sec)on 2(30). The liability to pay compensa)on stands fastened upon him. AdmiHedly, the vehicle was uninsured. The High Court has proceeded upon a misconstruc)on of the judgments of this Court in Reshma and Purnya Kala Devi.
13. The submission of the Pe))oner is that a failure to in)mate the transfer will only result in a fine under Sec)on 50(3) but will not invalidate the transfer of the vehicle. In Dr T V Jose, this Court observed that there can be transfer of )tle by payment of considera)on and delivery of the car. But for the purposes of the Act, the person whose name is reflected in the records of the registering authority is the owner. The owner within the meaning of Sec)on 2(30) is liable to compensate. The mandate of the law must be fulfilled."
[underlined por)on emphasised by this court]
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6. Thus, the consistent view taken by Hon'ble Supreme Court right from TV Jose's case (supra) )ll Naveen Kumar's case (supra) and Anamika's case (supra), is that the registered owner is responsible for paying the compensa)on and he cannot escape from his liability merely by sale of the vehicle prior to accident.
7. Learned counsel for the appellant contends that in "Pushpa @ Leela and others v. Shakuntala and others", 2011(2) RCR(Civil) 616, it was observed by Hon'ble Supreme Court that notwithstanding sale of the vehicle, neither the transferor nor the transferee had taken any step for the change of the name of the owner in the cer)ficate or registra)on of the vehicle and in view of the submission, the registered owner was held to be deemed to con)nue as owner of the vehicle. Learned counsel contends that in the present case, the transferee of the vehicle had already applied for transfer of the vehicle in his name and therefore, the appellant cannot be held liable to pay compensa)on amount.
8. I am afraid that the aforesaid conten)on is devoid of any merits, as even in Pushpa @ Leela's case (supra) cited by learned counsel for the appellant, the registered owner of the vehicle was held to be liable to pay the compensa)on. It is immaterial as to whether the transferor/transferee had taken any steps for transferring the vehicle in the name of the transferee or not before the concerned authority. The material is that on the date of accident, who is the registered owner of the vehicle. In case, the transferor is s)ll the registered owner of the vehicle, he shall be liable to pay compensa)on amount to the claimants.
9. Learned counsel for the appellant has also referred to "Purnya Kala Devi v. State of Assam and another", Law Finder Doc Id # 540454, in which case, a fatal road accident was caused by a bus, which was not insured and was under requisi)on of the State Government. It was held by Hon'ble Supreme Court that Government will be considered
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FAO-2779-2021 (O&M)
as owner of the vehicle and liable to pay compensa)on, as it is the Government, which was in control and possession of the vehicle.
10. This authority as cited by learned counsel for the appellant was also considered by Hon'ble Supreme Court in "Naveen Kumar's case (supra) and was dis)nguishable on the facts by holding that in that case, vehicle had been requisi)oned by the State Government on the date of accident, which in its very nature was involuntary, in so far as the person whose property is requisi)oned, is concerned. As such, it is held that said authority of Purnya Kala Devi's case (supra) does not advance the case of the appellant.
11. In view of the aforesaid discussion, finding no merit in the present appeal, the same is hereby dismissed.
September 05, 2024 (DEEPAK GUPTA)
Sarita JUDGE
Whether reasoned/speaking: Yes/No
Whether reportable: Yes/No
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