SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2022 Supreme(AP) 880

IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI
B.V.L.N. CHAKRAVARTHI, J.
The Oriental Insurance Company Limited - Appellant
Versus
Pamarthi Gangadhara Rao, S/o. Saibabu & Ors. - Respondents
M.A.C.M.A. No. 114 of 2021
Decided On : 27-09-2022

Advocates Appeared:
For the Appellant : Smt. A. Jayanthi.
For the Respondents: Sri K. Venkatesh.

The Court held that the Tribunal did not err in awarding compensation of Rs. 20,32,800/- with interest at 9% per annum from the date of the petition, as the amount awarded was reasonable and in line with the prevailing rates of compensation for similar injuries, and the interest rate was justified considering the delay in settling the claim and the prevailing interest rates.

Headnote:

MOTOR VEHICLE ACCIDENT - COMPENSATION - INJURIES - AMPUTATION OF RIGHT LEG - DISABILITY - LOSS OF INCOME - PAIN AND SUFFERING - INTEREST - INSURANCE - LIABILITY - DRIVER'S LICENSE - VIOLATION OF POLICY TERMS - MOTOR VEHICLES ACT, 1988 - SECTION 171 - INTERPRETATION.

Fact of the Case:

The petitioner, a 27-year-old system administrator, was riding his motorcycle to work when he was hit by an Innova car driven by the 1st respondent. The petitioner sustained severe injuries, including the amputation of his right leg. He filed a claim for compensation under Section 166 of the Motor Vehicles Act, 1988, seeking Rs. 30,00,000/-. The Tribunal awarded compensation of Rs. 20,32,800/- with interest at 9% per annum from the date of the petition. The 3rd respondent/Insurance Company challenged the award, contending that the driver of the Innova car did not have a valid driving license and that the Tribunal erred in awarding excessive compensation and interest.

Finding of the Court:

The Court held that the Tribunal did not err in finding that the accident was caused by the rash and negligent driving of the 1st respondent. The Court also upheld the Tribunal's findings on the petitioner's injuries, disability, and loss of income. The Court further held that the Tribunal did not err in awarding interest at 9% per annum, considering the delay in settling the claim and the prevailing interest rates.

Issues: 1. Whether the accident was caused by the rash and negligent driving of the 1st respondent? 2. Whether the Tribunal erred in awarding excessive compensation? 3. Whether the Tribunal erred in awarding interest at 9% per annum? 4. Whether the driver of the Innova car had a valid driving license? 5. Whether the Insurance Company is liable to indemnify the owner of the Innova car?

Ratio Decidendi: 1. The Court held that the Tribunal did not err in finding that the accident was caused by the rash and negligent driving of the 1st respondent, as there was sufficient evidence to support this finding. 2. The Court held that the Tribunal did not err in awarding excessive compensation, as the amount awarded was reasonable and in line with the prevailing rates of compensation for similar injuries. 3. The Court held that the Tribunal did not err in awarding interest at 9% per annum, as this rate was justified considering the delay in settling the claim and the prevailing interest rates. 4. The Court held that the Insurance Company did not provide any evidence to support its contention that the driver of the Innova car did not have a valid driving license. 5. The Court held that the Insurance Company is liable to indemnify the owner of the Innova car, as there was no evidence to suggest that the owner violated the terms and conditions of the insurance policy.

Final Decision: The Court dismissed the appeal and upheld the award of the Tribunal.

JUDGMENT :

This appeal is preferred by the 3rd respondent/Oriental Insurance Company, challenging the award dated 23.04.2020 passed in M.V.O.P.No.194/2016 on the file of Motor Accidents Claims Tribunal-cum-I Addl. District Judge, Machilipatnam, wherein the Tribunal while partly allowing the petition, awarded compensation of Rs.20,32,800/- with interest @ 9% P.A. from the date of petition, till the date of realisation to the petitioner, for the injuries sustained by the petitioner.

2. For the sake of convenience, the parties are arrayed as parties in the lower Court.

3. As seen from the record, originally the petitioner filed an application U/s.166 of Motor Vehicles Act, 1988 (for brevity “the Act”) claiming compensation of Rs.30,00,000/- on account of the injuries and disability sustained by the petitioner in a road accident occurred on 02.12.2015 while the petitioner was going on motor cycle bearing No.AP 16 CN 8646 to attend his duty and at about 09.45 a.m. when he reached Chitti Guduru village cross road on Machilipatnam- Vijayawada High Way, at that time, the 1st respondent being the driver of Innova car bearing No.AP16 CN 2525 came in his opposite direction in a rash and negligent manner and dashed the motor cycle of the petitioner, as a result of which, the right leg of the petitioner was cut off and the petitioner received other multiple injuries over his body.

4. The facts show that 02.12.2015 while the petitioner was going on motor cycle bearing No.AP 16 CN 8646 to attend his duty and at about 09.45 a.m. when he reached Chitti Guduru village cross road on Machilipatnam-Vijayawada High Way, at that time, the 1st respondent being the driver of Innova car bearing No.AP16 CN 2525 came in his opposite direction in a rash and negligent manner and dashed the motor cycle of the petitioner. On account of the said accident, the petitioner was shifted to Government General Hospital, Machilipatnam in 108 ambulance, where he was given first aid. On receipt of hospital intimation, the Out Post Police recorded the statement of the petitioner and the same was registered as FIR in Cr.No.118/2015 of Gudur P.S. for the offence punishable U/s.338 of Indian Penal Code. Subsequently, the petitioner was referred to Time Hospital, Vijayawada, for expert treatment, where a team of doctors treated the petitioner and amputated his right leg. He took treatment for a period of 10 days and spent Rs.3,00,000/- towards medical expenses. After discharged from the said hospital, the petitioner took treatment as outpatient. Subsequently, the petitioner again took treatment as inpatient in the same hospital for a period of one week. The petitioner spent a sum of Rs.1,00,000/- towards travelling expenses and Rs.1,00,000/- towards extra nourishment. In view of the injuries sustained by the petitioner, he is unable to walk, unable to attend nature calls and depending on his family members. He appointed an attendant to render assistance to him and has been paying Rs.9,000/- per month. The motor cycle of the petitioner was badly damaged. The petitioner suffered mentally, physically and psychologically. He has completed M.C.A. and has bright future. He was unmarried and due to amputation of his right leg, he is unable to attend his job and he lost marriage opportunities.

5. Before the Tribunal, the 1st respondent/driver of the Innova car filed counter, denying the petition averments and contended that the bills filed by the petitioner are all fabricated and obtained for the purpose of false claim. The 2nd respondent i.e., owner of the said Innova car remained exparte.

6. The 3rd respondent/Insurance Company, who is the Appellant in the petition, filed counter resisting while traversing the material averments with regard to proof of age, avocation, monthly earnings of the petitioner, manner of accident, rash and negligence on the part of the driver of the Innova

          Click Here to Read the rest of this document
          1
          2
          3
          4
          5
          6
          7
          8
          9
          10
          11
          SupremeToday Portrait Ad
          supreme today icon
          logo-black

          An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

          Please visit our Training & Support
          Center or Contact Us for assistance

          qr

          Scan Me!

          India’s Legal research and Law Firm App, Download now!

          For Daily Legal Updates, Join us on :

          whatsapp-icon Back to top