IMPORTANT POINT
Insurance companies must pay compensation to claimants before recovering from vehicle owners when the driver holds a fake license, as established by Supreme Court precedents.

JUDGMENT :

MAULIK J.SHELAT, J.

1. The present appeal is filed by the Insurance Company under Section 173 of the Motor Vehicle Act (herein after referred to as ‘the M.V. Act’) and Cross-Objection filed by original claimants under Order XLI Rule 22 of Civil Procedure Code (herein after referred as CPC) challenging judgment and award dated 18.04.2022 passed by the Motor Accident Claim Tribunal (Aux.), Bhavnagar in Motor Accident Claim Petition No.409 of 2015.

2. The parties will be referred as their original position before the tribunal.

3. Short facts of the case appear to be as under;

3.1 That on 10.10.2015 between 8:00 P.M. to 8:30 P.M, the deceased was returning from Ahmedabad to Bhavnagar in the motorcar no. GJ-4-AP-4150, which is of his ownership and he was driving his car slowly and on correct side of the road. When he reached near the place of accident, the opponent no.1 came by driving Truck no. GJ-4-AT-9911 from opposite direction in a rash and negligent manner and in full speed and dashed with the car of the deceased. As a result of this accident, the deceased sustained serious injuries and succumbed to the same.

3.2 As the death of the deceased was due to rash and negligent driving on the part of the truck involved in the accident, so the claimants have filed claim petition under Section 166 of the Act claiming compensation of Rs.1,20,00,000/- from driver, owner and insurance company of truck.

3.3 It appears that opponent no.1 & 2 though served but neither appeared nor filed any written statement. Whereas, opponent no.3-insurance company had contested the petition on all counts by filing its written statement.

3.4 After appreciating evidence on record, the Tribunal has found driver of the truck solely negligent for causing accident and held that deceased died due to vehicular accident due to sole negligence of the driver of the truck.

3.5 Thereafter, the Tribunal has decided the quantum of compensation and taking into account, salary of the deceased as Rs.30,000/- per months and considering 40% future rise of income, in all awarded Rs.57,40,000/- towards loss of dependency with 8% interest.

3.6 It has been alleged by the opponent No.3 – Insurance Company that driver of truck was holding fake driving licence, then considering various case laws cited before it, the Tribunal has directed the insurance Company to first pay entire compensation to the claimants then recover the same from the owner of the truck i.e., opponent no.2.

3.7 Being aggrieved and dissatisfied with the impugned judgment and award, opponent no.3 – insurance company as well as original claimants have preferred first appeal and cross- objection respectively.

3.8 The respective parties before the Tribunal have submitted following oral and documentary evidence, which are as under:-

Oral Evidence of Claimants

Documentary Evidence of Claimants

Oral Evidence of Opponents

Documentary E