Gujarat High Court Allows Appeal in Motor Accident Claim Case Due to Non-Service of Notice on One Respondent — Remands Matter for Fresh Adjudication on Merits. The court held that the Motor Vehicles Act, 1988 is a benevolent legislation and the claim petition should not be rejected solely because one respondent was not served, especially when the insurance company was contesting the claim.

High Court: Gujarat High Court In Favour of Accused
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Case Note & Summary

The case arises from a motor accident claim petition filed by Narshibhai Naranbhai Chamundiya (since deceased, represented by his heirs) seeking compensation of Rs.3,00,000/- for injuries sustained in a Chhakda Rickshaw accident on 03.09.1999. The claimant alleged that the rickshaw driver lost control due to an uneven road surface, causing him to be thrown out and grievously injured. He was treated at Bhavsingji Hospital and later at Gokul Hospital, Rajkot, and claimed to be earning Rs.4,000/- per month as a helper in Porbandar Municipality. The Motor Accident Claims Tribunal (Main), Porbandar, rejected the claim petition on 16.03.2009 solely on the ground that respondent no.4 (Vejabhai Aavdabhai Rabari) could not be served with notice. The claimants appealed to the High Court of Gujarat. The High Court heard arguments from both sides. The appellant's counsel argued that the Motor Vehicles Act, 1988 is benevolent legislation and the Tribunal should have allowed the claim since the insurance company was contesting. The insurance company's counsel argued that the claim was filed in 1999 and the Tribunal's decision was correct. The High Court found that the rejection was improper and that the claim should be decided on merits. The court set aside the impugned judgment and remanded the matter to the Tribunal for fresh adjudication, directing the claimants to take steps to serve respondent no.4 or delete his name, and the Tribunal to decide the claim within six months.

Headnote

A) Motor Accident Claims - Rejection of Claim Petition - Non-service of Notice - The Tribunal rejected the claim petition because respondent no.4 could not be served. The High Court held that the Motor Vehicles Act, 1988 is a benevolent legislation and the claim should not be rejected solely on that ground, especially when the insurance company was contesting the claim. The matter was remanded for fresh adjudication on merits. (Paras 7-10)

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Issue of Consideration

Whether the Motor Accident Claims Tribunal was justified in rejecting the claim petition solely on the ground that one of the respondents could not be served with notice, despite the insurance company contesting the claim.

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Final Decision

The appeal is allowed. The impugned judgment and award dated 16.03.2009 passed by the Motor Accident Claims Tribunal (Main), Porbandar in MACP No.259/1999 is set aside. The matter is remanded back to the Tribunal for fresh adjudication on merits. The claimants are directed to take steps to serve respondent no.4 or delete his name. The Tribunal shall decide the claim petition within six months from the date of receipt of the order.

Law Points

  • Motor Vehicles Act
  • 1988 is a benevolent legislation
  • Non-service of notice on one respondent does not warrant rejection of claim petition
  • Claim petition should be decided on merits even if some respondents are not served
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Case Details

2026 LawText (GUJ) (03) 849

R/First Appeal No. 96 of 2010

2026-03-25

Mool Chand Tyagi

2026:GUJHC:23500

Mr. Premal S. Rachh for the Appellants, Mr. Vibhuti Nanavati for Respondent No. 3

Narshibhai Naranbhai Chamundiya Since Deceased Through Heirs & Ors.

Devshibhai Boghabhai Sadiya & Ors.

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Nature of Litigation

First appeal against rejection of motor accident claim petition

Remedy Sought

Setting aside of the impugned judgment and award and allowance of the claim petition

Filing Reason

The claim petition was rejected by the Tribunal on the ground that respondent no.4 could not be served with notice

Previous Decisions

The Motor Accident Claims Tribunal (Main), Porbandar rejected the claim petition in MACP No.259/1999 on 16.03.2009

Issues

Whether the Tribunal was justified in rejecting the claim petition solely because one respondent was not served with notice, despite the insurance company contesting the claim.

Submissions/Arguments

Appellant's counsel submitted that the Motor Vehicles Act, 1988 is a benevolent legislation and the Tribunal ought to have allowed the claim petition as the insurance company was contesting. Respondent no.3/insurance company's counsel submitted that the claim petition was filed in 1999 and the Tribunal's decision was correct.

Ratio Decidendi

The Motor Vehicles Act, 1988 is a benevolent legislation and a claim petition should not be rejected solely on the ground of non-service of notice on one respondent, especially when the insurance company is contesting the claim. The claim must be decided on merits.

Judgment Excerpts

the Motor Vehicles Act, 1988 is the benevolent piece of legislation, therefore, the learned Tribunal, considering the fact that the claim was being contested by the insurance company, ought to have allowed the claim petition. the claim petition came to be rejected owing to the reason that the respondent no.4, namely Vejabhai Aavdabhai Rabari, could not be served with the notices of the claim petition.

Procedural History

The claim petition (MACP No.259/1999) was filed in 1999 before the Motor Accident Claims Tribunal (Main), Porbandar. The Tribunal rejected the claim on 16.03.2009. The claimants filed First Appeal No.96/2010 before the High Court of Gujarat, which was heard and decided on 25.03.2026.

Acts & Sections

  • Motor Vehicles Act, 1988:
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