Case Note & Summary
The Gujarat State Road Transport Corporation (appellant) filed a First Appeal under Section 173 of the Motor Vehicles Act, 1988, challenging the judgment and award dated 08.07.2022 passed by the Motor Accident Claims Tribunal (Main), Mahisagar @ Lunawada in Motor Accident Claim Petition No.45 of 2020, whereby compensation of Rs.2,88,320/- was awarded to the victim of a road accident. The appellant-insurance company contended that the award was excessive and raised legal questions. However, the High Court, after hearing the learned advocates for both sides, observed that the amount involved in the appeal was small. The Court held that the compensation appeared just and reasonable and no interference was called for. The Court clarified that the appeal was disposed of solely on the ground of the smallness of the amount and that it had not expressed any opinion on the merits or the questions of law raised, which were kept open to be urged in other proceedings arising from the same road accident or the same judgment and award. The Court further directed that the principle of res judicata shall not apply to any other proceedings. Consequently, the First Appeal was dismissed, pending civil applications were disposed of as infructuous, and no order as to costs was made. The record and proceedings, along with any amount lying before the Court, were ordered to be transmitted to the Tribunal, and the entire awarded amount was to be disbursed to the claimants after verification via RTGS or NEFT. Additionally, a Cross Objection No.133 of 2024 filed by the claimant was also disposed of in light of the dismissal of the appeal.
Headnote
A) Motor Vehicles Act - Compensation - Smallness of Amount - Section 173 Motor Vehicles Act, 1988 - Insurance Company challenged compensation award of Rs.2,88,320/- - Court held that due to smallness of amount, no interference is warranted and appeal dismissed without expressing opinion on merits or question of law - Held that principle of res judicata shall not apply to other proceedings arising from same accident (Paras 4-5).
Issue of Consideration
Whether the First Appeal challenging the compensation award of Rs.2,88,320/- should be entertained given the smallness of the amount.
Final Decision
First Appeal dismissed. Cross Objection disposed of. No order as to costs. Amount to be disbursed to claimants.
Law Points
- Smallness of amount
- Disposal without merits
- Res judicata not applicable



