High Court of Karnataka Allows Insurer's Appeal in Motor Accident Claim — Tribunal Lacked Territorial Jurisdiction as Claimant and Respondents Did Not Reside in Belagavi. Award passed by Tribunal without territorial jurisdiction is void ab initio and non-est, quashed under Section 173(1) of Motor Vehicles Act, 1988.

High Court: Karnataka High Court Bench: DHARWAD In Favour of Accused
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Case Note & Summary

The appellant, Go Digit General Insurance Company Limited, filed a miscellaneous first appeal under Section 173(1) of the Motor Vehicles Act, 1988, challenging the judgment and award dated 18.02.2022 passed by the VIII Additional District and Sessions Judge, Belagavi (the Tribunal) in MVC No.1471/2020. The Tribunal had awarded compensation of Rs.1,78,020/- with interest at 6% per annum to the claimant for injuries sustained in an alleged road traffic accident. The claimant alleged that on 04.04.2020, while preparing cow dung cakes by the side of Hingangaon Kumbhoj road, a motorcycle bearing registration No.MH-09/FK-5268, driven rashly and negligently, dashed against her, causing grievous injuries. She filed a claim petition before the Belagavi Tribunal. The insurer contested the claim on multiple grounds, including lack of territorial jurisdiction and false implication of the vehicle after a 24-day delay in complaint. The High Court framed two issues: whether the Belagavi court lacked territorial jurisdiction, and whether the insurer proved false implication. The insurer argued that the accident occurred in Kolhapur, Maharashtra; the claimant's residence was Kumbhoj, Kolhapur; the owner resided in Kumbhoj; and the insurer had its office only in Bengaluru, with no branch in Belagavi. Thus, none of the three conditions under Section 166(2) of the Motor Vehicles Act for filing the petition in Belagavi were satisfied. The claimant contended that the jurisdictional objection was not raised in the appeal memo and that the delay in complaint was due to police inaction. The High Court examined Section 166(2) and the evidence: the claimant's Aadhaar card showed her address at Kumbhoj, and she admitted in cross-examination that her residence was in Kumbhoj. No evidence established that she resided or carried on business in Belagavi. The owner was from Hatkanangale, Kolhapur, and the insurer had no business presence in Belagavi. The court held that without territorial jurisdiction, the Tribunal's award was void ab initio and non-est. The objection to jurisdiction had been raised in the insurer's written statement and cross-examination existed, so the claimant's argument was rejected. The court allowed the appeal, set aside the Tribunal's award, and dismissed the claim petition for want of territorial jurisdiction. The second issue regarding false implication was not addressed as it became academic. The decision reinforces the strict territorial jurisdictional requirements under Section 166(2) of the Motor Vehicles Act, 1988.

Headnote

A) Motor Vehicles Act, 1988 - Territorial Jurisdiction - Section 166(2) - Claim petition must be filed where accident occurred, claimant resides, or defendant resides - Accident occurred in Kolhapur, Maharashtra; claimant's residence in Kumbhoj, Kolhapur; owner in Kumbhoj, Kolhapur; insurer's office in Bengaluru - No party had residence or business in Belagavi - Tribunal Belagavi lacked territorial jurisdiction, award void ab initio - Held that appeal allowed and award set aside. (Paras 15-25).

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Issue of Consideration

1. Whether the Court at Belagavi has no territorial jurisdiction to entertain the petition? 2. Whether the appellant-insurer establishes that the offending vehicle is falsely implicated in the case?

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Final Decision

Appeal allowed. The judgment and award dated 18.02.2022 in MVC No.1471/2020 passed by VIII Additional District and Sessions Judge, Belagavi is set aside. Claim petition dismissed for want of territorial jurisdiction.

Law Points

  • Territorial jurisdiction of Motor Accident Claims Tribunal determined by Section 166(2) of Motor Vehicles Act
  • 1988
  • Claim petition must be filed at option of claimant in place of accident
  • claimant's residence
  • or defendant's residence
  • Non-compliance renders judgment void ab initio.
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Case Details

2026 LawText (KAR) (07) 83

MFA No. 101680 of 2022 (MV-I)

2026-07-24

Geetha K.B.

S.K. Kayakmath (appellant), Santosh S. Hattikatgi (respondent No.1)

The Manager, Go Digit General Insurance Company Limited

Smt. Shobha W/o. Nivrutti Koli and Sri Sangram Subhash Chavan

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Nature of Litigation

Appeal by insurer against award of compensation by Motor Accident Claims Tribunal.

Remedy Sought

Appellant-insurer sought to set aside the Tribunal's award, challenging territorial jurisdiction and false implication of vehicle.

Filing Reason

Insurer contended that the claimant and respondents were not residents of Belagavi, and the accident occurred in Kolhapur, so Belagavi court lacked territorial jurisdiction, and the vehicle was falsely implicated after 24 days.

Previous Decisions

Tribunal awarded Rs.1,78,020/- with 6% interest per annum, holding insurer liable.

Issues

Whether the Court at Belagavi has no territorial jurisdiction to entertain the petition? Whether the appellant-insurer establishes that the offending vehicle is falsely implicated in the case?

Submissions/Arguments

Appellant argued that accident occurred in Kolhapur, claimant resides in Kolhapur, owner resides in Kolhapur, insurer's office in Bengaluru, so no cause of action arose in Belagavi; complaint lodged 24 days late; vehicle falsely implicated; claim petition not maintainable. Respondent argued that MLC report was given on the day of accident but police delayed recording statement, so delay not their fault; jurisdiction point not raised in appeal memo, so cannot be argued now.

Ratio Decidendi

For a claim petition under Section 166 of the Motor Vehicles Act, territorial jurisdiction is strictly governed by Section 166(2): the petition must be filed where the accident occurred, or where the claimant resides or carries on business, or where the defendant resides. If none of these conditions are met, the Tribunal lacks jurisdiction, and any award passed is void ab initio and non-est.

Judgment Excerpts

Without the jurisdiction, the judgment and award passed by the Tribunal is void-ab-initio and non-est in the eye of law. As per Section 166(2) of the M.V. Act, the claim petition can be filed at the option of claimant in any one of the following places: i) within the jurisdiction of the Tribunal in which the accident happened; ii) within the local limits of whose jurisdiction, the claimants reside or carries on business; or iii) within the local limits of whose jurisdiction the defendant resides.

Procedural History

Claimant filed MVC No.1471/2020 before VIII Additional District and Sessions Judge, Belagavi. Tribunal awarded compensation of Rs.1,78,020/-. Insurer filed appeal under Section 173(1) of Motor Vehicles Act before High Court of Karnataka at Dharwad. High Court heard and reserved judgment on 16.07.2026, pronounced on 24.07.2026.

Acts & Sections

  • Motor Vehicles Act, 1988: 173(1), 166(2)
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