Bombay High Court Dismisses Insurance Company's Appeal Against Rejection of Application to Set Aside Ex-Parte Award in Motor Accident Claim. Order 9 Rule 13 CPC Not Applicable to Motor Accidents Claims Tribunal Under Section 169 of Motor Vehicles Act, 1988.

High Court: Bombay High Court
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Case Note & Summary

The appellant, New India Assurance Co. Ltd., filed an appeal against an order of the Motor Accidents Claims Tribunal, Pune, dated 5th July 2004, which rejected its application for setting aside an ex-parte award dated 30th June 2003 and for restoration of the claim petition. The original award was passed on a claim petition under Section 166 of the Motor Vehicles Act, 1988. The insurance company had been set ex-parte in the claim proceedings. It filed an application under Order 9 Rule 13 of the Code of Civil Procedure, 1908 (CPC) read with Section 151 CPC to set aside the ex-parte award. The Tribunal rejected the application on the ground that Order 9 Rule 13 CPC is not applicable to proceedings before the Claims Tribunal. The insurance company appealed to the High Court. The legal issue was whether an application under Order 9 Rule 13 CPC is maintainable before a Motor Accidents Claims Tribunal. The appellant argued that the Tribunal has inherent powers to set aside an ex-parte award. The respondents supported the Tribunal's order. The Court analyzed the provisions of the Motor Vehicles Act, 1988, particularly Section 169 which deals with the procedure to be followed by the Claims Tribunal. It noted that Section 169(1) provides that the Tribunal shall follow such procedure as may be prescribed by the State Government, and in the absence of such procedure, the Tribunal may follow the summary procedure. The Court referred to the Bombay Motor Vehicles Rules, 1989, specifically Rule 211, which empowers the Tribunal to review its own orders in certain circumstances. The Court held that the CPC is not applicable to the Claims Tribunal except to the extent specifically provided. Since Order 9 Rule 13 is not made applicable, an application under that provision is not maintainable. The Court also held that the Tribunal does not have inherent powers under Section 151 CPC as that section applies only to civil courts. However, the Court observed that the Tribunal may have powers under Rule 211 of the Bombay Motor Vehicles Rules to review its order, but that was not invoked. The Court dismissed the appeal, upholding the Tribunal's order.

Headnote

A) Motor Vehicles Act - Claims Tribunal - Applicability of CPC - Order 9 Rule 13 - The issue was whether an application under Order 9 Rule 13 of the Code of Civil Procedure, 1908 is maintainable before a Motor Accidents Claims Tribunal. The Court held that the provisions of the Code of Civil Procedure are not applicable to the Claims Tribunal except to the extent provided under Section 169 of the Motor Vehicles Act, 1988 and the Rules framed thereunder. Since Order 9 Rule 13 is not specifically made applicable, such an application is not maintainable. (Paras 1-5)

B) Motor Vehicles Act - Claims Tribunal - Inherent Powers - Setting aside ex-parte award - The Court considered whether the Tribunal has inherent powers to set aside an ex-parte award. It held that the Tribunal does not have inherent powers akin to a civil court under Section 151 CPC, as the Tribunal is a creature of statute and its powers are limited to those conferred by the Act and Rules. However, the Tribunal may have powers under Rule 211 of the Bombay Motor Vehicles Rules, 1989 to review its own order in certain circumstances, but not to set aside an ex-parte award on grounds similar to Order 9 Rule 13. (Paras 6-8)

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Issue of Consideration

Whether an application under Order 9 Rule 13 of the Code of Civil Procedure, 1908 is maintainable before a Motor Accidents Claims Tribunal constituted under the Motor Vehicles Act, 1988.

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Final Decision

The appeal is dismissed. The order of the Motor Accidents Claims Tribunal, Pune dated 5th July 2004 rejecting the application for setting aside the ex-parte award is upheld.

Law Points

  • Order 9 Rule 13 CPC not applicable to Motor Accidents Claims Tribunal
  • Section 169 Motor Vehicles Act 1988
  • Rule 211 of the Bombay Motor Vehicles Rules 1989
  • inherent powers of Tribunal
  • ex-parte award
  • setting aside ex-parte decree
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Case Details

2005 LawText (BOM) (02) 139

A.O. NO.751 OF 2004

2005-02-08

A.S. Oka, J.

Miss Maya Sadhwani for appellants, Mr. Dilip Bodake for respondents No.1 and 2

The New India Assurance Co. Ltd.

Smt. Sitabai Sahadu Wadekar & Ors.

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Nature of Litigation

Appeal against order of Motor Accidents Claims Tribunal rejecting application to set aside ex-parte award and restore claim petition.

Remedy Sought

The appellant (Insurance Company) sought setting aside of the ex-parte award dated 30th June 2003 and restoration of the claim petition.

Filing Reason

The Insurance Company was set ex-parte in the claim proceedings and sought to set aside the ex-parte award.

Previous Decisions

The Motor Accidents Claims Tribunal, Pune, by order dated 5th July 2004, rejected the application for setting aside the award and restoration.

Issues

Whether an application under Order 9 Rule 13 of the Code of Civil Procedure, 1908 is maintainable before a Motor Accidents Claims Tribunal constituted under the Motor Vehicles Act, 1988.

Submissions/Arguments

The appellant argued that the Tribunal has inherent powers to set aside an ex-parte award. The respondents supported the Tribunal's order that Order 9 Rule 13 CPC is not applicable.

Ratio Decidendi

The provisions of the Code of Civil Procedure, 1908 are not applicable to the Motor Accidents Claims Tribunal except to the extent provided under Section 169 of the Motor Vehicles Act, 1988 and the Rules framed thereunder. Since Order 9 Rule 13 CPC is not specifically made applicable, an application under that provision is not maintainable before the Claims Tribunal. The Tribunal does not have inherent powers under Section 151 CPC as that section applies only to civil courts.

Judgment Excerpts

The provisions of Code of Civil Procedure,1908(hereinafter referred to as the said Code) are not applicable to Claims Tribunal establish under section 165 of the said Act 1908. Rule 211 of the Bombay Motor Vehicles Rules, 1989 empowers the Tribunal to review its own orders in certain circumstances.

Procedural History

The original claim petition under Section 166 of the Motor Vehicles Act, 1988 was filed before the Motor Accidents Claims Tribunal, Pune. The Insurance Company was set ex-parte and an award was passed on 30th June 2003. The Insurance Company filed an application under Order 9 Rule 13 CPC read with Section 151 CPC to set aside the ex-parte award. The Tribunal rejected the application on 5th July 2004. The Insurance Company appealed to the High Court of Bombay.

Acts & Sections

  • Motor Vehicles Act, 1988: Section 165, Section 166, Section 169
  • Code of Civil Procedure, 1908: Order 9 Rule 13, Section 151
  • Bombay Motor Vehicles Rules, 1989: Rule 211
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