Case Note & Summary
The New India Assurance Co. Ltd. appealed against the judgment of the Motor Accidents Claims Tribunal (MACT) which had fastened liability on it to pay compensation to the claimant, Smt. Antoneta Milagrosa Agust Pereira, for injuries sustained in a motor vehicle accident. The appellant insurance company argued that the driver of the vehicle involved did not hold a valid driving licence to drive a transport vehicle, as the licence was only for a 'light motor vehicle'. The High Court of Bombay at Goa heard the appeal. During arguments, the Court noted the Supreme Court's decision in Mukund Dewangan v. Oriental Insurance Company Limited [(2017) 14 SCC 663], which clearly held that a 'light motor vehicle' includes a transport vehicle as per the weight prescribed in Section 2(21) read with Sections 2(15) and 2(48) of the Motor Vehicles Act, 1988. The Supreme Court further held that a holder of a driving licence for 'light motor vehicle' under Section 10(2)(d) is competent to drive a transport vehicle or omnibus whose gross vehicle weight does not exceed 7500 kg. In the present case, the vehicle in question was a transport vehicle with a laden weight of about 5300 kg, which is below the 7500 kg threshold. Therefore, the driver's licence was valid, and the insurance company's contention that it was not liable to pay compensation did not survive. The Court dismissed the appeal, upholding the MACT's decision to fasten liability on the appellant.
Headnote
A) Motor Vehicles Act - Insurance - Liability - Light Motor Vehicle Licence - Transport Vehicle - The issue was whether a driver holding a licence for 'light motor vehicle' is competent to drive a transport vehicle with gross vehicle weight not exceeding 7500 kg. The Court, following Mukund Dewangan v. Oriental Insurance Co. Ltd., held that a light motor vehicle includes a transport vehicle as per weight prescribed in Section 2(21) read with Sections 2(15) and 2(48) of the Motor Vehicles Act, 1988, and the holder of a driving licence for light motor vehicle is competent to drive a transport vehicle or omnibus with gross vehicle weight not exceeding 7500 kg. In the present case, the vehicle's laden weight was about 5300 kg, thus the insurance company's plea of no liability failed. (Paras 2-3)
Issue of Consideration
Whether the insurance company is liable to pay compensation when the driver held a licence for 'light motor vehicle' but was driving a transport vehicle with laden weight below 7500 kg.
Final Decision
Appeal dismissed. The insurance company's liability to pay compensation upheld.
Law Points
- Light motor vehicle includes transport vehicle up to 7500 kg gross vehicle weight
- Driving licence for light motor vehicle valid for transport vehicle under 7500 kg
- Section 2(21) read with Sections 2(15) and 2(48) of Motor Vehicles Act
- 1988




