Case Note & Summary
The appeal arises from a judgment and award dated 20.08.2008 passed by the Motor Accident Claims Tribunal, Amravati, in Claim Petition No. 131/2006. The appellant, Oriental Insurance Co. Ltd., challenged the award on the ground that the Tribunal erred in holding that the deceased was not negligent and in awarding compensation under no-fault liability. The respondents (claimants) are the legal heirs of the deceased, Santoshkumar Parmanand Akhar (Kapur), who died in a motor vehicle accident on 24.12.2005. The deceased was riding a motorcycle (MH-30/K 9277) when he collided with a stationary truck (MH-27/AA 9277) parked on the road without any indicator or parking light. The Tribunal held the truck driver negligent and awarded compensation of Rs.3,42,500/- with interest at 6% per annum, including Rs.50,000/- under no-fault liability. The High Court found that the deceased was equally negligent as he was not wearing a helmet and did not possess a valid driving license, and the accident occurred at night. The Court held that the deceased contributed 50% to the accident. Consequently, the compensation was reduced to 50% of the computed amount (Rs.2,92,500/- after deducting 1/3rd for personal expenses and applying multiplier 13 on income of Rs.3,000 per month), i.e., Rs.1,46,250/-. The award under Section 140 (no-fault liability) was set aside. The insurer was directed to pay the reduced amount with interest at 6% per annum from the date of petition till realization, with liberty to recover from the owner and driver.
Headnote
A) Motor Accident Claims - Contributory Negligence - Apportionment of Liability - Deceased motorcyclist, without helmet and valid license, collided with a stationary truck - Held that the deceased was equally negligent, contributing 50% to the accident - Tribunal's finding of no contributory negligence set aside - Compensation reduced proportionately (Paras 4-6). B) Motor Accident Claims - No-Fault Liability - Section 140 Motor Vehicles Act, 1988 - Insurer's liability under no-fault provision - Held that where the deceased himself is negligent, the insurer is not liable to pay compensation under Section 140 - Award under Section 140 set aside (Para 7). C) Motor Accident Claims - Quantum of Compensation - Assessment of Income and Multiplier - Deceased aged 45 years, earning Rs.3,000 per month as a driver - Tribunal applied multiplier of 13 and deducted 1/3rd for personal expenses - Held that the computation was correct, but due to contributory negligence, claimants entitled to 50% of the computed amount (Paras 5-6).
Issue of Consideration
Whether the Motor Accident Claims Tribunal erred in awarding compensation without considering contributory negligence of the deceased motorcyclist who was not wearing a helmet and did not possess a valid driving license, and whether the insurer is liable to pay compensation under no-fault liability despite such negligence.
Final Decision
The appeal is partly allowed. The judgment and award dated 20.08.2008 is modified. The compensation is reduced to Rs.1,46,250/- (50% of Rs.2,92,500/-) with interest at 6% per annum from the date of petition till realization. The award under Section 140 (no-fault liability) is set aside. The appellant is directed to pay the amount within six weeks, with liberty to recover from the owner and driver.
Law Points
- Contributory negligence
- No-fault liability
- Section 140 Motor Vehicles Act
- 1988
- Section 163A Motor Vehicles Act
- Apportionment of liability
- Negligence of deceased
- Absence of driving license
- Non-use of helmet



