Permit renewals under Section 81 of the Motor Vehicles Act are retroactively effective, impacting liability determinations in accident claims.

Judgment :

Rakesh Mohan Pandey, J.

1. The appellants/driver and owner of the offending vehicle have filed this appeal challenging the liability part against the award passed the Motor Accidents Claims Tribunal, District Bemetara in Claim Case No. 59/2024 dated 16.01.2025, whereby the learned Claims Tribunal passed an award to the tune of Rs. 16,31,456/- with interest @ 9% per annum on account of death of Bhagirathi Koshle.

2. The facts, in brief, are that on 25.02.2024 deceased Bhagirathi Koshle was going towards Village Pathrra from Bemetara on his motorcycle Honda Shine bearing registration No. CG-25/K-9145 and when he reached Sri Shankara Hospital, driver of offending vehicle Swaraj Majda bearing registration No. CG-04/JD-5635 by driving it rashly and negligently, dashed the motorcycle, resultantly Bhagirathi Koshle sustained serious injuries and succumbed to death.

3. The claimants who are parents and siblings filed claim case under Section 166 of the Motor Vehicles Act, wherein they pleaded that on the date of accident, age of the deceased was 20 years and earning Rs.500/- per day as he was a Mason. They claimed a sum of Rs.01 crore.

4. The driver and owner filed their reply and denied the averments made in claim petition. They pleaded that at the time of accident, the offending vehicle was insured with the Insurance Company and the driver had valid and effective driving license.

5. The Insurance Company filed reply and took a plea that the driver of the offending vehicle did not have valid and effective driving license and the vehicle was being plied in absence of valid permit and fitness.

6. The learned Claims Tribunal framed issues, parties led evidence and thereafter award was passed.

7. Mr. Amiyakant Tiwari, learned counsel appearing for the appellants/driver and owner would submit that initially permit was issued for period from 15.11.2018 to 14.11.2023. An application for renewal of permit was moved on 26.02.2024 and it was renewed for period from 26.02.2024 to 25.02.2029. Mr. Tiwari would submit that on the date of accident i.e. 25.02.2024, there was no permit, but the appellants herein would get benefit of provisions under Section 81 (3) and (5) of the Motor Vehicles Act, 1988. He would submit that the learned Claims Tribunal committed error of law while fastening liability with the driver and owner of the offending vehicle only on the ground that on the date of accident, there was no valid permit with the offending vehicle. He would pray to modify the award accordingly.

8. On the other hand, Mr. B.N. Nande, learned counsel appearing for respondent No. 6/Insurance Company would submit that the permit issued in favour of the offending vehicle by the Regional Transport Authority got expired on 14.11.2023 and on the date of accident, there was no valid permit. He would submit that application for renewal of the permit was moved on 26.02.2024 and therefore, the learned Claims Tribunal rightly recorded a finding that on the date of accident, there was no valid permit and fastened liability with the driver and owner of the offending vehicle. He would further submit that it is not a case where application for renewal of permit was moved before expiry of validity of permit or immediately after expiry of validity of permit, rather application was moved on 26.02.2024 after the date of accident. He would contend that the appellants herein would not get benefit of Section 81 (3) and (5) of the Motor Vehicles Act, 1988. He would submit that the appeal filed by the appellants/driver and owner deserves to be dismissed.

9. Mr. Arivind Kumar Dubey, learned