Accident Claim Cases Digest

Motor Vehicles Act, 1988 (59 of 1988)

Section 166, 167 -- Employees’ Compensation Act, 1923 (8 of 1923), Section 51E, 53, 61 – Compensation in motor vehicle accident case -- Claim petition by employee/dependents – Maintainability of – These would be two different and independent remedies available to a person -- Whatever the dependents are getting is partly a product of the contribution made by the employee himself during his life time and partly the contribution of employer -- Employer of the deceased employee may be absolved of any liability of making any payment under any other law relating to the employment injury; qua to the entitlement of the deceased as an employee, however, such periodic payment, which is in the nature of family pension, would not absolve a stranger to the employment from discharging its independent liability created under any other statute -- No provision has been made by the legislature in the Motor Vehicle Act to specifically exclude the liability of the insurer of the offending vehicle; in case of motor vehicle accident; if the dependents of the employee are getting compensation or benefits under ESI Act (unlike compensation under Workmen Compensation Act) in the capacity of the deceased being an employee -- Despite the fact that the dependents of the employee may be having some benefits under the ESI Act in the capacity of the deceased being an employee would not debar them from claiming compensation under the Motor Vehicles Act for the said accident.

(P&H HC) Decided on : 13.12.2017

Section 163, 166 – Compensation in Motor vehicle accident case – Deduction for personal and living expenses -- For determination of the multiplicand, the deduction for personal and living expenses, the tribunals and the courts shall be guided by paragraphs 30 to 32 of Sarla Verma, (2009) 6 SCC 121 = (2009) Law Today Live Doc. Id. 12247, “30. Though in some cases the deduction to be made towards personal and living expenses is calculated on the basis of units indicated in Trilok Chandra4, the general practice is to apply standardised deductions. Having considered several subsequent decisions of this Court, we are of the view that where the deceased was married, the deduction towards personal and living expenses of the deceased, should be one-third (1/3rd) where the number of dependent family members is 2 to 3, one-fourth (1/4th) where the number of dependent family members is 4 to 6, and one-fifth (1/5th) where the number of dependent family members exceeds six. -- 31. Where the deceased was a bachelor and the claimants are the parents, the deduction follows a different principle. In regard to bachelors, normally, 50% is deducted as personal and living expenses, because it is assumed that a bachelor would tend to spend more on himself. Even otherwise, there is also the possibility of his getting married in a short time, in which event the contribution to the parent(s) and siblings is likely to be cut drastically. Further, subject to evidence to the contrary, the father is likely to have his own income and will not be considered as a dependant and the mother alone will be considered as a dependant. In the absence of evidence to the contrary, brothers and sisters will not be considered as dependants, because they will either be independent and earning, or married, or be dependent on the father. -- 32. Thus even if the deceased is survived by parents and siblings, only the mother would be considered to be a dependant, and 50% would be treated as the personal and living expenses of the bachelor and 50% as the contribution to the family. However, where the family of the bachelor is large and dependent on the income of the deceased, as in a case where he has a widowed mother and large number of younger nonearning sisters or brothers, his personal and living expenses may be restricted to one-third and contribution to the family will be taken as two-third.”

(SC) Decided on: 31.10.2017

Section 140, 166, 173 – Code of Civil Procedure, 1908 (V of 1908), Order 20 Rule 4(2), Order 41, Rule 31, Section 96 – Compensation in motor vehicle accident case -- Award of Tribunal – First Appeal – Duty of First Appellate Court/ High Court – An appeal u/s 173 of the M.V. Act is essentially in the nature of first appeal alike Section 96 of the Code and, therefore, the High Court is equally under legal obligation to decide all issues arising in the case both on facts and law after appreciating the entire evidence -- High Court neither set out the facts of the case of the parties, nor dealt with any of the submissions urged, nor took note of the grounds raised by the appellant and nor made any attempt to appreciate the evidence in the light of the settled legal principles applicable to the issues arising in the case to find out as to whether the award of the Tribunal is legally sustainable or not and if so, how, and if not, why? -- As a first appellate Court, it was the duty of the High Court to have decided the appeal keeping in view the powers conferred on it by the statute -- Impugned judgment also does not, satisfy the requirements of Order XX Rule 4 (2) read with Order XLI Rule 31 of the Code which requires that judgment shall contain a concise statement of the case, points for determination, decisions thereon and the reasons -- Impugned judgment of the High Court is not sustainable – Matter remanded to the High Court for deciding the appeal afresh on merits.

(SC) Decided on: 12.02.2016

Section 2(10), 2(21), 2(41), 2(47), 3, 9, 10(2) – Motor Vehicle Rules, 1989, Rule 8, 31, 34, Form 4 -- Driving license for Light Motor Vehicle – Transport vehicle – Requirement of endorsement on Licence -- Whether for the drivers having licence to drive light motor vehicles there is a necessity of obtaining endorsement to drive the transport vehicle when the transport vehicle is of class of light motor vehicle – In view of conflicting view : Matter referred to larger Bench to answer following questions: 1 What is the meaning to be given to the definition of “light motor vehicle” as defined in section 2(21) of the MV Act ? Whether transport vehicles are excluded from it? 2 Whether ‘transport vehicle’ and ‘omnibus’ the “gross vehicle weight” of either of which does not exceed 7500 kgs. would be a “light motor vehicle” and also motor-car or tractor or a road roller, “unladen weight” of which does not exceed 7500 kgs. and holder of licence to drive class of “light motor vehicle” as provided in section 10(2)(d) would be competent to drive a transport vehicle or omnibus, the “gross vehicle weight” of which does not exceed 7500 kgs. or a motor-car or tractor or road roller, the “unladen weight” of which does not exceed 7500 kgs.? 3 What is the effect of the amendment made by virtue of Act No.54 of 1994 w.e.f. 14.11.1994 while substituting clauses (e) to (h) of section 10(2) which contained “medium goods vehicle”, “medium passenger motor vehicle”, “heavy goods vehicle” and “heavy passenger motor vehicle” by “transport vehicle”? Whether insertion of expression ‘transport vehicle’ under section 10(2)(e) is related to said substituted classes only or it also excluded transport vehicle of light motor vehicle class from purview of Sections 10(2)(d) and 2(41) of the Act? 4 What is the effect of amendment of the Form 4 as to operation of the provisions contained in section 10 as amended in the year 1994 and whether procedure to obtain driving licence for transport vehicle of class of “Light Motor Vehicle” has been changed ?

(SC) Decided on: 11.02.2016

Section 166 -- Compensation in motor vehicle accident case -- Composite negligence – Claimant’s right to recover compensation – (i) In the case of composite negligence, plaintiff/claimant is entitled to sue both or any one of the joint tort feasors and to recover the entire compensation as liability of joint tort feasors is joint and several. (ii) In the case of composite negligence, apportionment of compensation between two tort feasors vis-à-vis the plaintiff/claimant is not permissible. He can recover at his option whole damages from any of them. (iii) In case all the joint tort feasors have been impleaded and evidence is sufficient, it is open to the court/tribunal to determine inter se extent of composite negligence of the drivers. However, determination of the extent of negligence between the joint tort feasors is only for the purpose of their inter se liability so that one may recover the sum from the other after making whole of payment to the plaintiff/claimant to the extent it has satisfied the liability of the other. In case both of them have been impleaded and the apportionment/ extent of their negligence has been determined by the court/tribunal, in main case one joint tort feasor can recover the amount from the other in the execution proceedings. (iv) It would not be appropriate for the court/tribunal to determine the extent of composite negligence of the drivers of two vehicles in the absence of impleadment of other joint tort feasors. In such a case, impleaded joint tort feasor should be left, in case he so desires, to sue the other joint tort feasor in independent proceedings after passing of the decree or award.

(SC) Decided on: 07.05.2015