SUPREME COURT OF INDIA
A.C. GUPTA AND P.S. KAILASAM JJ.
Bishan Devi and others, Appellants
Versus
Sirbaksh Singh and another, Respondents.
Civil Appeal No. 1455 of 1969,
D/- 20-8-1979.
Advocates appeared
M/s. Hardev Singh and R. S. Sodhi, Advocates, for Appellants; Mr. R. A. Gupta Advocate, (for No. 1) and Mr. V. C. Mahajan Sr. Advocate (M/s. Naunit Lal and Kailash Vasdev, Advocates with him) (for No. 2), for Respondents.
Motor Vehicle Act – Accidents – Compensation – Appeal is by special leave granted by this Court to Bishan Devi widow of late Bhagwan Das and her four children against the judgment and order of the High Court of Punjab & Haryana dismissing the Claimants F. A. O. the award of Punjab Motor Accidents Claims Tribunal, Chandigarh, dismissing their claim – Appellants filed a petition before the Chairman, Motor Accidents Claims Tribunal Punjab, Chandigarh, alleging that the husband of the first appellant died by having been run over by a lorry at mid-night between the 8th and 9th July, 1961, at about a distance of 60 feet from the road – It was alleged that the truck was coming from Jullundur and it took a sudden turn and ran over the first appellants husband, Shri Bhagwan Das, and that it was being driven in a rash and negligent manner – Appellants 2 to 5 were the minor children of the first appellant, all of them being below 11 years of age on the date of the filling of the petition – It was alleged that the monthly income of the deceased was Rs. 109/- per month and a claim was made for Rs. 50,000 as compensation. – Held, It is for the legislature to make provisions for immediate and adequate relief to the defendants in motor accident cases – Legislature may consider making the liability to pay minimum compensation absolute as it provided for to the dependants of victims in rail and air accidents – When a person dies in a motor accident, the number of his dependants and the period of their dependency may be ascertained – Minimum compensation may be paid every month to the dependants according to their share for the period to which they are entitled. – Insurance companies are now nationalised and the necessity for awarding lump sum payment to secure the interest of the dependants is no longer there – Regular monthly payments could be made through one of the nationalised banks nearest to the place of residence of the dependants – Payment of monthly instalments and avoidance of lump sum payment would reduce substantially the burden on the insurer and consequently of the insured – Ordinarily in arriving at the lump sum payable, the Court takes the figure at about 12 years payment – Thus in the case of monthly compensation of Rs. 250 payable, the lump sum arrived at would be between 30,000 and 35,000 – Regular monthly payment of Rs. 250 can be made from the interest of the lump sum alone and the payment will be restricted only for the period of dependency of the several dependants – In most cases it is seen that a lump sum payment is not to the advantage of the dependants as large part of it is frittered away during litigation and by payment to persons assisting in the litigation – It may also be provided that if the dependants are not satisfied with the minimum compensation payable they will be at liberty to pursue their remedies before the Motor Accidents Claims Tribunal. – Appeal Allowed
Judgment
P. S. KAILASAM J.:- This appeal is by special leave granted by this Court to Bishan Devi widow of late Bhagwan Das and her four children against the judgment and order dated 7th Dec. 1967 of the High Court of Punjab & Haryana dismissing the Claimants F. A. O. No. 10 of 1962 against the award of Punjab Motor Accidents Claims Tribunal, Chandigarh, dismissing their claim.
2. The appellants filed a petition on 4th September, 1961 before the Chairman, Motor Accidents Claims Tribunal Punjab, Chandigarh, alleging that the husband of the first appellant died by having been run over by a lorry at mid-night between the 8th and 9th July, 1961, at about a distance of 60 feet from the road. It was alleged that the truck was coming from Jullundur and it took a sudden turn and ran over the first appellants husband, Shri Bhagwan Das, and that it was being driven in a rash and negligent manner. The appellants 2 to 5 were the minor children of the first appellant, all of them being below 11 years of age on the date of the filling of the petition. It was alleged that the monthly income of the deceased was Rs. 109/- per month and a claim was made for Rs. 50,000 as compensation.
3. The respondents to the petition were (1) Sirbaksh Singh and (2) The Motor Owners Mutual Insurance Co. Ltd., Belgaum the insurer. The written plea was filed by the second respondent, the insurer, on 10th Oct. 1961. Some of the pleas are noteworthy and it is necessary to set them out in some detail. In para 4 the insurer pleaded that the "truck was stolen by somebody while it was standing. A report to the police was made to this effect. Whoever made this accident, if any, drove the truck without the consent of the owner, and, therefore, the respondents are not liable."
In its reply parawise in paragraph 1 it reiterated "This truck did not meet with any accident nor was any intimation sent to the replying respondent." In paragraph 2 it was again reiterated "No accident took place as alleged. Somebody stole away the truck without the knowledge of the owner or driver. The respondents are not liable to pay any compensation. The person liable is the person who was driving the truck at the relevant time and not the owner." In paragraph 11 it was pleaded "that the replying respondent is, in any case, absolved from any possible liability in connection with the alleged accident under the provisions of Ss. 95 and 96 (2) of the Motor Vehicles Act. 1939." In paragraph 12 it was stated that the "offending vehicle was being driven at the relevant time by a driver who had no driving licence and was not even an authorised driver of respondent No. 1, as he had stolen the truck and the owner is therefore not liable." Again in paragraph 13 the insurer pleaded that the "truck at the time of the accident was being unauthorisedly used and driven without the permission or authority of the owner. As the truck was being used without the authority of the owner therefore, the owner is not vicariously liable for the tort. The replying respondent is, therefore, also not liable."
4. The first respondent, the owner of the vehicle filed his written statement on 16th Nov. 1961. In his statement he stated while dealing with the merits in paragraph 1 that "this truck did not meet with any accident nor was any intimation sent to the replying respondent." In paragraph 2 he stated that "No such accident occurred as alleged in which the husband of the applicant may have been killed due to the negligence of the driver of respondent No. 1. Allegation of negligence on the part of the driver is denied as incorrect."
5. On these pleadings parties went to trial. The claimants examined 5 witnesses AWs 1 to AWs 5. AW. 1 is Bachan Singh. He was sleeping on the night of occurrence on the roof of the Trade Union Office. The witness and others heard hue and cry at night when the offending truck ran over the deceased. Bachan Singh and others came down and extracted the deceased and two other persons from underneath the
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