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IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI
V. R. K. KRUPA SAGAR
AP State Road Transport Corporation – Appellant
Versus
Pulavarthi Raghu Sai Lakshmana Venkata Subba Rao – Respondent
JUDGMENT:
1. This Miscellaneous Appeal under section 173 of the Motor Vehicles Act, 1988, APSRTC impugns the order dated 16.02.2010 of the learned Motor Vehicle Accidents Claims Tribunal - cum – III Additional District Court, Bhimavaram in MVOP.No.178 of 2007.
2. Respondent No.1 is the injured claimant. Respondent No.2 is the driver of the offending bus. Respondent No.3 is the owner of the offending bus. Respondent No.4 is the insurer of the offending bus.
3. Sri Vinod Kumar Tarlada, the learned standing counsel for the appellant/ APSRTC and Smt.S.A.V.Ratnam, the learned counsel for respondent No.4/Insurance Company and Sri A.Pavan Kumar, the learned counsel representing Sri K.Jyothi Prasad, the learned counsel for respondent No.1/claimant submitted their arguments.
4. On 02.01.2007, two persons were travelling on a motor cycle bearing registration No.AP 37 S 9538. APSRTC bus bearing registration No.AP 37 W 1939 was driven by its driver rashly or negligently and the bus dashed the motorcycle and as a consequence, the pillion rider on the bike suffered multiple fractures and he underwent surgeries. The injured was studying MBA and was also working as a sales representative in a company
The liability for compensation in an accident involving a hired vehicle lies with the insurer and owner, not the hirer, as established by the Motor Vehicles Act.
The insurance company and the owner of an insured vehicle are liable for compensation in accidents, while the hirer is not, as established by the Motor Vehicles Act and relevant case law.
The insurer is liable for compensation in cases involving hired vehicles, provided the insurance policy is valid and in force, irrespective of lease agreements.
The hirer of a vehicle is not liable for compensation claims if the insurance policy remains valid and subsisting, as established in the Motor Vehicles Act.
The hirer of a vehicle is not liable for compensation if the vehicle is insured and the agreement specifies that the owner is responsible for claims arising from accidents.
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