High Court of Gujarat Dismisses Insurance Company's Appeal in Motor Accident Claim — No Contributory Negligence Found. Tribunal's Award of Rs.39,80,000/- Upheld as Findings Were Based on Evidence and Not Perverse Under Section 173 of Motor Vehicles Act, 1988.

High Court: Gujarat High Court
  • 26
Judgement Image
Font size:
Print

Case Note & Summary

The present First Appeal under Section 173 of the Motor Vehicles Act, 1988 was filed by Reliance General Insurance Co. Ltd., the appellant, challenging the judgment and award dated 30.09.2021 passed by the Motor Accident Claims Tribunal (Auxi.), Dhoraji, District Rajkot in MACP No.33 of 2019. The Tribunal had awarded Rs.39,80,000/- with 9% interest per annum to the original claimants, legal heirs of deceased Rajeshbhai Chhaganbhai Thummar, who died in a motor vehicle accident on 02.07.2019. The accident occurred when a truck bearing registration No.GJ-25-U-9928, driven rashly and negligently, hit the deceased's motorcycle (GJ-03-ES-9647) from behind, causing fatal injuries. The claimants sought Rs.80 lakh compensation. The Tribunal held the truck driver solely negligent. The insurance company appealed on grounds that the Tribunal failed to consider contributory negligence of the deceased and awarded excessive compensation. The High Court examined the evidence, including FIR and panchnama, which indicated the truck hit the motorcycle from behind, and found no contributory negligence. On quantum, the Tribunal had considered the deceased's income as per salary certificate (Rs.18,000 per month), added 40% future prospects, applied multiplier of 16, deducted 1/4th for personal expenses, and added conventional heads. The High Court found no perversity in the Tribunal's findings and dismissed the appeal, upholding the award.

Headnote

A) Motor Accident Claims - Contributory Negligence - Section 173 Motor Vehicles Act, 1988 - Appeal against award - Insurance company contended that deceased motorcyclist was negligent - Court held that findings of fact by Tribunal based on evidence cannot be interfered with unless perverse - No contributory negligence established as truck hit motorcycle from behind - Appeal dismissed (Paras 5-7).

B) Motor Accident Claims - Quantum of Compensation - Section 173 Motor Vehicles Act, 1988 - Insurance company argued compensation was excessive - Court held that Tribunal considered income, age, multiplier, and deductions correctly - No error in computation - Appeal dismissed (Paras 8-10).

Subscribe to unlock Headnote Subscribe Now

Issue of Consideration

Whether the learned Tribunal erred in not considering contributory negligence of the deceased motorcyclist and in awarding compensation on higher side.

Subscribe to unlock Issue of Consideration Subscribe Now

Final Decision

The High Court dismissed the appeal, upholding the judgment and award dated 30.09.2021 passed by the Motor Accident Claims Tribunal (Auxi.), Dhoraji, District Rajkot in MACP No.33 of 2019. No order as to costs.

Law Points

  • Motor Vehicles Act
  • 1988
  • Section 173
  • contributory negligence
  • quantum of compensation
  • perversity
  • scope of appeal
Subscribe to unlock Law Points Subscribe Now

Case Details

2026 LawText (GUJ) (02) 227

R/FIRST APPEAL NO. 530 of 2022

2026-02-11

Hasmukh D. Suthar

Ms. Kirti S Pathak for Appellant, Mr. Zafrulla M Pathan for Defendant No.5, Mr. Nishit A Bhalodi for Defendant No.1,2,3,4

Reliance General Insurance Co Ltd

Kiranben Rajeshbhai Alias Rajubhai Thummar & Ors.

Subscribe to unlock Case Details (Citation, Judge, Date & more) Subscribe Now

Nature of Litigation

First Appeal under Section 173 of Motor Vehicles Act, 1988 against judgment and award of Motor Accident Claims Tribunal.

Remedy Sought

Insurance company sought reduction of compensation and finding of contributory negligence.

Filing Reason

Insurance company aggrieved by Tribunal's award holding truck driver solely negligent and awarding Rs.39,80,000/-.

Previous Decisions

Motor Accident Claims Tribunal (Auxi.), Dhoraji, District Rajkot partly allowed claim petition No.33 of 2019 on 30.09.2021.

Issues

Whether the learned Tribunal erred in not considering contributory negligence of the deceased motorcyclist? Whether the compensation awarded is excessive and requires reduction?

Submissions/Arguments

Appellant argued that deceased motorcyclist was negligent and Tribunal ignored evidence of contributory negligence. Appellant argued that compensation is on higher side and not based on evidence.

Ratio Decidendi

In an appeal under Section 173 of the Motor Vehicles Act, 1988, findings of fact recorded by the Tribunal based on evidence cannot be interfered with unless they are perverse or based on no evidence. The Tribunal's conclusion on negligence and quantum, being supported by evidence, does not warrant interference.

Judgment Excerpts

The learned Tribunal has rightly held that the truck driver was solely negligent for the accident. The compensation awarded is just and proper and does not call for any interference.

Procedural History

Claim petition filed by legal heirs of deceased before Motor Accident Claims Tribunal. Tribunal partly allowed claim on 30.09.2021. Insurance company filed First Appeal under Section 173 of MV Act on 11.02.2026.

Acts & Sections

  • Motor Vehicles Act, 1988: 173
Subscribe to unlock full Legal Analysis Subscribe Now
Related Judgement
High Court High Court of Gujarat Dismisses Insurance Company's Appeal in Motor Accident Claim — No Contributory Negligence Found. Tribunal's Award of Rs.39,80,000/- Upheld as Findings Were Based on Evidence and Not Perverse Under Section 173 of Motor Vehicles...
Related Judgement
High Court Bombay High Court Allows Tenants' Petition Against Demolition of Cessed Building Without Compliance with Section 354 of Mumbai Municipal Corporation Act, 1888. Court holds that prior permission of the Competent Authority under the Maharashtra Slum Ar...