Case Note & Summary
The appellants, Ashabai, Seema, and Umesh, are the legal representatives of the deceased Kalyan Kothi. They filed a claim petition under Section 163A of the Motor Vehicles Act, 1988, seeking compensation for the death of Kalyan Kothi in a vehicular accident that occurred on 9-9-2004 involving a truck owned by respondent no.1, insured with respondent no.2, and driven by respondent no.3. The Tribunal initially allowed the claim and awarded Rs. 3,91,000/- on 30-3-2007. However, on appeal by the insurance company, this Court set aside the award and remanded the matter for fresh consideration. On remand, the Tribunal rejected the claim petition on the ground that the deceased was guilty of contributory negligence. The claimants appealed against this rejection. The High Court held that Section 163A is a social security provision based on no-fault liability, and the Tribunal erred in rejecting the claim on the ground of contributory negligence. The Court set aside the impugned award and directed the Tribunal to compute compensation as per the structured formula under the Second Schedule, considering the income of the deceased as Rs. 4,000/- per month and applying the appropriate multiplier. The appeal was allowed.
Headnote
A) Motor Vehicles Act - Section 163A - Social Security Provision - No-Fault Liability - The claim under Section 163A is a social security provision and is based on no-fault liability. The Tribunal cannot reject the claim on the ground of contributory negligence of the deceased. The claimants are entitled to compensation as per the structured formula. (Paras 1-10) B) Motor Vehicles Act - Section 163A - Structured Formula - Computation of Compensation - The Tribunal must compute compensation strictly in accordance with the structured formula under the Second Schedule to the MV Act. The income of the deceased and the multiplier must be applied as per the formula. (Paras 10-12) C) Motor Vehicles Act - Section 173(1) - Appeal - Maintainability - An appeal lies against an award under Section 163A. The High Court can interfere if the Tribunal has erred in law or fact. (Para 1)
Issue of Consideration
Whether the Motor Accident Claims Tribunal was justified in rejecting the claim petition under Section 163A of the Motor Vehicles Act, 1988 on the ground of contributory negligence of the deceased?
Final Decision
The appeal is allowed. The impugned judgment and award dated 3-11-2009 is set aside. The matter is remitted to the Motor Accident Claims Tribunal, Beed, to compute compensation as per the structured formula under Section 163A of the MV Act, considering the income of the deceased as Rs. 4,000/- per month and applying the appropriate multiplier. The Tribunal shall pass fresh award within three months.
Law Points
- Section 163A of Motor Vehicles Act
- 1988 is a social security provision
- no-fault liability
- structured formula compensation
- contributory negligence not a defence under Section 163A
- appeal under Section 173(1) MV Act
