Case Note & Summary
The present appeal arises from a judgment and award dated 28.06.2017 passed by the Motor Accident Claims Tribunal (Main), Aravalli at Modasa in MACP No.883 of 2015. The appellants, being the widow and other legal heirs of the deceased Vinodbhai Sanjabhai Bhagora, filed a claim petition under Section 163A of the Motor Vehicles Act, 1988 seeking compensation for the death of the deceased in a motor vehicle accident. The Tribunal awarded compensation but apportioned 50% negligence on the deceased and deducted the compensation accordingly. The appellants challenged this deduction, contending that under Section 163A, which is a no-fault liability provision, the Tribunal cannot assess or apportion negligence. They also argued that an additional premium beyond statutory coverage under IMT 17 for legal liability had been paid, entitling them to full compensation. The respondent insurance company opposed the appeal, submitting that the Tribunal had rightly awarded just compensation based on evidence. The High Court, after hearing the parties and examining the record, held that the claim petition was filed under Section 163A, which is a structured formula based on no-fault liability. Relying on the Supreme Court decision in United India Insurance Company v. Sunil Kumar, (2014) 1 SCC 580, the Court held that apportionment of liability and assessment of negligence are not permissible under Section 163A. Consequently, the deduction of 50% on account of contributory negligence was set aside. The Court further noted that additional premium under IMT 17 had been paid, which also entitled the claimants to full compensation. The appeal was allowed, and the Tribunal's award was modified to grant the full compensation amount without any deduction.
Headnote
A) Motor Accident Claims - Section 163A Motor Vehicles Act, 1988 - No-Fault Liability - Negligence Apportionment - The Tribunal erred in assessing 50% negligence on the deceased and deducting compensation in a claim under Section 163A, which is a no-fault liability provision. Held that apportionment of liability and assessment of negligence are not permissible under Section 163A, following the Supreme Court decision in United India Insurance Company v. Sunil Kumar, (2014) 1 SCC 580 (Paras 3, 5-6). B) Motor Accident Claims - Additional Premium - IMT 17 - Legal Liability - The claimants had paid additional premium beyond statutory coverage under IMT 17 for legal liability. Held that even on that count, the claimants are entitled to receive compensation without deduction (Para 3).
Issue of Consideration
Whether the Motor Accident Claims Tribunal erred in apportioning 50% negligence on the deceased and deducting compensation in a claim petition filed under Section 163A of the Motor Vehicles Act, 1988, and whether the claimants are entitled to full compensation without deduction.
Final Decision
Appeal allowed. The judgment and award dated 28.06.2017 passed by the Motor Accident Claims Tribunal (Main), Aravalli at Modasa in MACP No.883 of 2015 is modified. The deduction of 50% on account of contributory negligence is set aside. The claimants are entitled to full compensation as per the structured formula under Section 163A of the Motor Vehicles Act, 1988.
Law Points
- Section 163A Motor Vehicles Act
- 1988 is a no-fault liability provision
- negligence apportionment not permissible
- additional premium under IMT 17 covers legal liability
- compensation cannot be reduced on ground of contributory negligence
