Case Note & Summary
The appeal arises out of a judgment and award dated 06-08-2009 passed by the Additional MACT, Srirangapatna, in MVC No.848/2003, whereby the petition under Section 163A of the Motor Vehicles Act, 1988 was partly allowed granting compensation of Rs.4,09,000/- with interest at 6% p.a. from the date of petition till deposit. The insurance company, which was respondent No.2 before the Tribunal, appealed against the award. The brief facts are that on 05-07-1999 at about 2.00 p.m., the deceased Sri Ramesh was traveling in a Maruti Car bearing No.CKR 7777 along with his wife and relatives. The car met with an accident, resulting in the death of Sri Ramesh. The claimant, who is the son of the deceased, filed a claim petition under Section 163A of the MV Act. The Tribunal awarded compensation of Rs.4,09,000/-. The insurance company challenged the award on the ground that the deceased was driving without a valid driving license and that the accident occurred due to his own negligence, thus the claimant was not entitled to compensation under Section 163A. The High Court examined the evidence and found that the deceased was driving the car without a valid license and that the accident was caused due to his negligence. The Court held that under Section 163A, compensation is payable on a structured formula basis without proof of fault, but if the deceased himself was negligent, the compensation can be reduced proportionately. The Court apportioned the contributory negligence at 50% and reduced the compensation accordingly. The appeal was partly allowed, modifying the award to Rs.2,04,500/- with interest at 6% p.a. from the date of petition till deposit.
Headnote
A) Motor Vehicles Act - Section 163A - Compensation on Structured Formula Basis - Claim under Section 163A is not based on fault liability but on no-fault liability - However, if the deceased himself was negligent and contributed to the accident, the compensation can be reduced proportionately - The Tribunal erred in not considering the contributory negligence of the deceased who was driving without a valid license and was responsible for the accident (Paras 5-10). B) Motor Vehicles Act - Contributory Negligence - Apportionment of Liability - Where the deceased was driving a car without a valid license and the accident occurred due to his own negligence, the claimant is not entitled to full compensation under Section 163A - The High Court apportioned liability at 50% contributory negligence and reduced the compensation accordingly (Paras 8-10). C) Motor Vehicles Act - Invalid Driving License - Effect on Claim - Driving without a valid license is a violation of the Motor Vehicles Act and contributes to negligence - The insurer is not liable to pay the entire compensation if the deceased was driving without a license and was negligent (Paras 7-9).
Issue of Consideration
Whether the Tribunal was justified in awarding compensation under Section 163A of the Motor Vehicles Act, 1988 without considering the contributory negligence of the deceased and the fact that the deceased was driving without a valid driving license.
Final Decision
Appeal partly allowed. The award of Rs.4,09,000/- is modified to Rs.2,04,500/- with interest at 6% p.a. from the date of petition till deposit, considering 50% contributory negligence of the deceased.
Law Points
- Contributory negligence
- Invalid driving license
- Section 163A Motor Vehicles Act
- 1988
- Structured formula compensation
- Negligence of deceased
- Apportionment of liability
