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IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI
Sri Justice V Srinivas, J
APSRTC, Rpe.by Its Md, Mushirabad, Hyd. – Appellant
Versus
Singiri Madhusudhan Varun – Respondent
JUDGMENT:
This appeal is directed against the order of the Chairman, Motor Vehicle Accident Claims Tribunal-cum-VI Additional District Judge at Kadapa (hereinafter called as ‘the Tribunal’) in M.V.O.P.No.644 of 2006 dated 03.06.2011.
2. The appellant is the APSRTC/hirer of the Bus bearing No.AP 04 T 9494 (hereinafter referred to as “crime bus”). The respondent No.1 is the claimant before the Tribunal. The respondent Nos.2 and 3 are the owner and insurer of the said crime bus respectively.
3. The appeal against the 1st respondent/claimant was dismissed for default vide proceedings dated 17.03.2015. Thereby, the present appeal is contested against respondent Nos.2 and 3/owner and insurer of the crime bus only.
4. For the sake of convenience, the parties hereinafter referred to as they arrayed before the tribunal.
5. The case of the claimant, in the petition before the Tribunal is that:
i). On 25.02.2006 afternoon, while the claimant along with his friend Vibhakar Reddy proceeding on Yamaha Motorcycle bearing No.AP 04 C 9322, when they reached Parameswara School board, near Lohia Nagar, the crime bus driven by its driver in a rash and negligent manner, hit the motorcycle of the claimant in
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.
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 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 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 insurer is liable for compensation in cases involving hired vehicles, provided the insurance policy is valid and in force, irrespective of lease agreements.
The court upheld that hiring does not absolve the insurer's liability and awarded enhanced compensation for the dependents based on just principles.
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