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2010 Supreme(J&K) 512

HIGH COURT OF JAMMU AND KASHMIR AT JAMMU
Mansoor Ahmad Mir, J.
National Insurance Co. Ltd. -Appellant
Versus
Nasib Chand & Ors. -Resopndent
CIMA No. 100-2008
Decided On : 05-10-2010

Advocates Appeared:
Baldev Singh, R.K. Bhatia.

The court established that the defense under Section 149 of the Act cannot be used to challenge the interim award under Section 140, emphasizing the expeditious nature of providing relief under Chapter X of the Act.

Headnote:

Motor Vehicles Act - Interim Award - Section 140 - Summary

Fact of the Case:

The appeal is against an interim award passed by the Motor Accidents Claims Tribunal under Section 140 of the Motor Vehicles Act, 1988. The appellant-insurer challenged the award on the ground that the driver of the offending vehicle did not have a valid driving license at the time of the accident.

Finding of the Court:

The court held that the defense projected by the appellant-insurer in terms of Section 149 of the Act cannot be used at the time of determining the application under Section 140 for grant of interim award on no-fault liability.

Issues: The main issue was whether the defense under Section 149 of the Act can be used to challenge the interim award under Section 140.

Ratio Decidendi: The court emphasized that liability without fault in certain cases is covered by Chapter X of the Act, and the purpose of granting interim award/compensation is to provide relief as early as possible without succumbing to procedural wrangles. The court also highlighted the provisions of Rules 311, 315, 316, 329, and 330 of the J&K Motor Vehicles Rules, 1991, which provide for expeditious disposal of claims under Section 140.

Final Decision: The court dismissed the appeal and upheld the interim award in favor of the claimant-respondent no.1.

1. This Civil 1st Miscellaneous Appeal is directed against the interim award dated 19.2.2008 passed by the Motor Accidents Claims Tribunal, Jammu under Section 140 of the Motor Vehicles Act, 1988 in favour of claimant-respondent no.1 (hereinafter impugned award).

2. The impugned award is challenged mainly on the ground that the driver of the offending vehicle was not having valid driving licence at the time of accident, thus the appellant-insurer cannot be saddled with the liability in terms of the mandate of Section 149 of the Motor Vehicles Act, 1988 (for short, hereinafter the Act).

3. The crux of the matter is whether the defence projected and taken by the appellant-insurer in terms of Section 149 of the Act can be pressed into service at the time of determination of application under Section 140 of the Act for grant of interim award on no fault liability. The answer is negative for the following reasons:

4. Liability without fault in certain cases is covered by Chapter X of the Act. It is apt to reproduce Section 140(1) of the Act herein:

"140. Liability to pay compensation in certain cases on the principle of no fault. -- (1) Where death or permanent disablement of any person has resulted from an accident arising out of the use of a motor vehicle or motor vehicles, the owner of the vehicle shall, or, as the case may be, the owners of the vehicles shall, jointly and severally, be liable to pay compensation in respect of such death or disablement in accordance with the provisions of this section.

5. The purpose of granting interim award/compensation is just to save the victims of vehicular accident from social evils, starvation and to provide the relief as early as possible and the object of this provision of law is to be achieved without succumbing to the niceties of law, mystic may bees and procedural wrangles and tangles.

6. Claim under Section 140 of the Act cannot be defeated on the ground that the owner has committed the breach or the insurer has a defence in terms of Section 149 of the Act, which requires determination after leading evidence.

7. Section 141(2) of the Act provides that a claim for compensation under section 140 of the Act in respect of death or permanent disablement of any person shall be disposed of as expeditiously as possible. It is apt to reproduce the said provision herein :

"141. Provisions as to other right to claim compensation for death or permanent disablement -

(2) A claim for compensation under section 140 in respect of death or permanent disablement of any person shall be disposed of as expeditiously as possible and where compensation is claimed in respect of such death or permanent disablement under section 140 and also in pursuance of any right on the principle of fault, the claim for compensation under section 140 shall be disposed of as aforesaid in the first place."

8. Keeping in view the mandate of Chapter X of the Act, the interim award is to be granted at the first instance. The object would be defeated if the Claims Tribunal is required to hold regular trial in the same manner as is required for adjudicating the claim under Section 166 of the Act.

9. Rules 311, 315, 316, 329 and 330 of J&K Motor Vehicles Rules, 1991 (for short, hereinafter the Rules) provide how to determine the application under section 140 of the Act as early as possible. It is apt to reproduce rules 311, 316, 329, and 330 herein.

"311. Application for compensation under Section 140.

(1) Notwithstanding anything contained in Rule 310 every application for a claim under Section 140 shall be filed before the Claims Tribunal in triplicate, and shall be signed by the applicant and the following documents shall be appended to every such application namely:-

(i) Panchnama of the accident;

(ii) First Information Report;

(iii) Medical Certificate in Form COMP. B of the First Schedule or in case of death, post-mortem report or death certificate; and

(iv) a certificate regarding ownership and insurance particulars of vehicle involved in






































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