Latest Important Judgments

147. Compensation in motor vehicle accident case – No fault liability/ claim -- Whether claim u/s 163A MV Act restricted to third party? -- Supreme Court Refers the Issue to Larger Bench. -- A claim under Section 163A, as per the words employed in the provision, covers every claim and is not restricted to a third party claim; without any requirement of establishing the negligence, if death or permanent disability is caused by reason of the motor accident -- This would also take in the liability with respect to the death of an owner or a driver who stepped into the shoes of the owner, if the claim is made under Section 163A dehors the statutory liability under Section 147 or the contractual liability as reduced to writing in an insurance policy -- It would override the provisions under Sections 147 & 149 along with the other provisions of the M.V. Act and the law regulating insurance as also the terms of the policy confining the claim with respect to an owner-driver to a fixed sum. -- Dictum arising from the various decisions of different benches of two Judges is that the claim under Section 163A is restricted to third party risks – Section 163A, appears under the Chapter with the heading ‘Insurance of Vehicles Against Third Party Risks’ – But the non-obstante clause is in suppression of the entire Act, the other laws in force and any instrument valid in law – Court doubted, the decisions of co-ordinate Benches of two Judges which now will have to be placed before a larger Bench -- Registry directed to place the matter before the Hon’ble the Chief Justice of India for appropriate orders. (SC) Decided on: 01.08.2025