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1995 Supreme(Ker) 12

N.DHINAKAR, K.T.THOMAS
New India Assurance Co. Ltd. – Appellant
Versus
Thankam – Respondent


Judgment :-

Thomas, J.

The only question raised in these appeals is, whether the amount of Rs. 25,000/- fixed under S.140 of the Motor Vehicles Act, 1988 (for short 'the new act) as "no fault liability" (in case of death resulting in a motor accident) should be paid in respect of a motor accident which took place before the enforcement of the new Act? A Division Bench of this Court has answered that question in the affirmative in United India Insurance Co.Ltd., v. Padmavathy (1990(1) KLT 750 - it will be referred to hereinafter as Padmavathy's case).But learned counsel for the appellant - insurance company - made an endeavour to have the said answer reconsidered. Learned counsel invited our attention to the decision of a Division Bench of the Bombay High Court in Prakash Chandumal Khatri v. Suresh Pahilajrai Makhija (1992 A.C.J. 369) in which the decision in Padmavathy's case was considered and dissented from.

2. In this batch of cases the accident occurred on 4-5-1988. The new Act came into force only on 1-7-89. Compensation under "no fault liability" was directed to be paid after the new Act came into force at the rate mentioned in S.140 of the new Act. On the date of accident the












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