Case Note & Summary
The appeal was filed by New India Assurance Company Ltd. challenging the judgment and order dated 20/6/2001 in Claim Petition No. 37/1993 passed by the Motor Accident Claims Tribunal, Nagpur. The Tribunal had awarded compensation of Rs. 96,000/- to the claimants (respondents no. 1 to 3) for the death of Narayanrao Wanode in a motor vehicle accident. The accident occurred when the deceased, while driving a motorcycle, dashed against a stationary bus owned by Madhya Pradesh State Road Transport Corporation. The Tribunal held the appellant insurance company and other respondents jointly and severally liable to pay the compensation. The appellant contended that the deceased was negligent as he was driving without a helmet and without a valid driving license, and that the accident was solely due to his negligence. The court examined the evidence and found that the deceased was indeed negligent and contributed to the accident. The court held that the insurance company's liability should be reduced to 50% of the awarded amount, and the remaining 50% shall be paid by the other respondents. The appeal was partly allowed, modifying the award accordingly.
Headnote
A) Motor Accident Compensation - Contributory Negligence - Deceased Motorcyclist - The deceased was driving a motorcycle without a helmet and without a valid driving license, and dashed against a stationary bus. The court held that the deceased was negligent and contributed to the accident. The insurance company's liability was reduced to 50% of the awarded amount. (Paras 1-10) B) Motor Accident Compensation - Joint and Several Liability - Insurance Company - The Tribunal had held the appellant and other respondents jointly and severally liable. The High Court modified the award, holding that the insurance company is liable only to the extent of 50% due to contributory negligence of the deceased. (Paras 1-10)
Issue of Consideration
Whether the Tribunal erred in holding the appellant insurance company jointly and severally liable for the entire compensation despite contributory negligence of the deceased?
Final Decision
Appeal partly allowed. The award of Rs. 96,000/- is modified. The appellant insurance company is liable to pay 50% of the awarded amount, and the remaining 50% shall be paid by the other respondents jointly and severally.
Law Points
- Contributory negligence
- Motor accident compensation
- Joint and several liability
- Insurance company liability
- Negligence of deceased




