IN THE HIGH COURT OF JAMMU & KASHMIR AND LADAKH AT SRINAGAR
M.A. CHOWDHARY, J.
Mushtaq Ahmad Sofi & Anr. – Appellants
Versus
Noor Hussain Dar & Ors. - Respondents
CMAM No. 156 of 2012
Decided on : 02-08-2023
Motor Vehicles Act - Compensation - Section 173 - The judgment discusses the issue of whether a driver holding a 'Heavy Goods Vehicle' (HGV) license is competent to drive a passenger carrying vehicle without 'Public Service Vehicle' (PSV) endorsement. The court held that the driver was competent to drive the offending vehicle, a passenger bus, with his HGV license, and modified the award to absolve the owner and driver from liability, holding the insurance company liable to pay the compensation awarded by the Tribunal.
Fact of the Case:
The claimant filed a petition seeking compensation for injuries sustained in a road accident involving a bus and an auto-rickshaw. The Tribunal allowed the claim and awarded compensation to the claimant, holding the insurance company liable to pay. The owner and driver of the bus appealed against the direction to recover the awarded amount from the owner.
Finding of the Court:
The court found that the driver, holding an HGV license, was competent to drive the bus, a passenger carrying vehicle, without PSV endorsement. It modified the award to absolve the owner and driver from liability, holding the insurance company liable to pay the compensation.
Issues: The issues included whether the driver was holding a valid and effective driving license on the date of the accident, and whether the insurance company was liable to indemnify the owner of the vehicle.
Ratio Decidendi: The court held that a driver holding an HGV license was competent to drive a passenger carrying vehicle without PSV endorsement, based on the definitions of vehicle classes and the requirement of driving licenses under the Motor Vehicles Act. It found that the insurance company was liable to pay the compensation awarded by the Tribunal.
Final Decision: The appeal was allowed, and the award was modified to set aside the portion directing the insurance company to recover the awarded amount from the owner. The insurance company was held liable to pay the compensation. The statutory amount deposited by the appellants was directed to be returned to them.
JUDGMENT :
1. This appeal, under Section 173 of the Motor Vehicles Act, 1988 (for short “the Act of 1988”) is directed against the award dated 19th of May, 2012 (hereinafter referred to as “the impugned award”) passed by the learned Motor Accident Claims Tribunal, Srinagar (for brevity “the Tribunal”) in a claim Petition titled ‘Noor Hussain Dar v. Mushtaq Ahmad Sofi & Ors.’, whereby the claim Petition stands allowed and the claimant/Respondent No.1 herein held entitled to the compensation worked out at Rs.1,90,000/-, inclusive of interim relief, if any, granted, along with interest @ 6 % per annum from the date of filing of the claim Petition, till final realization of the awarded amount.
2. The brief facts of the case, as come to the fore from the perusal of the pleadings on record, are that a claim Petition came to be filed before the learned Tribunal by the claimant/Respondent No.1 herein, asserting therein that on 24th of January, 2004, while he was going in his Auto Rickshaw (Load Carrier) bearing registration No. JK01G/3421 and when he reached Khona Khan, Dalgate, he was hit by a bus bearing registration No. JKE-2373 driven very rashly and negligently by the Respondent No.2/Appellant No.2 herein, causing grievous injuries to the claimant, including privation of his eye sight. On the basis of the aforesaid facts and with the support of the relevant documents, the claimant/Respondent No.1 herein prayed for grant of compensation in his favour to the tune of Rs.19, 28,000/-, along with interest.
3. It appears that the Appellants, Respondents 1 and 2 therein, filed the Objections before the Tribunal, wherein it was specifically pleaded that the Respondent No.1/Appellant No.1 herein, i.e., the owner of the vehicle, was under a bonafide belief that the driver of the vehicle viz. Respondent No.2/Appellant No.2 herein was holding a valid license and, as such, the owner of the vehicle engaged the said Respondent No.2 as driver of the vehicle. It was also stated that the driver of the vehicle was holding a valid and effective driving license and, by virtue of the said driving license, he was authorized to drive LMV, Medium Goods Vehicle and HMV, however, the license was without having ‘Public Service Vehicle’ (PSV) endorsement. Subsequently, since the Respondents 1 and 2/Appellants herein did not turn up before the Tribunal and, as such, they, vide Order dated 21st of December, 2004, were proceeded ex-parte.
4. The Respondent-Insurance Company is also stated to have filed the Response before the Tribunal, wherein it was pleaded that the driver of the offending vehicle was not having a valid and effective driving license on the material date of accident and, thus, the insured/owner has committed breach of policy condition on the date of accident, which exonerates the Insurance Company from any liability. It was further stated that the claim Petition of the Petitioner was vague, misconceived and did not disclose any cause of action as against the Insurance Company and, therefore, same is liable to be dismissed.
5. After conclusion of the proceedings and hearing both the sides, the learned Tribunal, in terms of the impugned award dated 19th of May, 2012, allowed the claim Petition, thereby holding the claimant/Respondent No.1 herein entitled to compensation to the tune of Rs. 1,90,000/-, inclusive of interim relief, if any, granted, along with interest @ 6 % per annum from the date of filing of the claim Petition till final realization of the awarded amount. The Tribunal, however, directed the Insurance Company to deposit the awarded amount in the first instance with the Tribunal with a right to recover the same from the owner of the vehicle/Appellant No.1 herein.
6. The award impugned has been assailed by the Appellants- owner and driver of the offending vehicle, insofar as it directs the Insurance Company to recover the awarded amount from the owner of the vehicle/Appellant No.1 herein by filing simple recovery application. The main grou
AI
A driver holding a 'Heavy Goods Vehicle' (HGV) license is competent to drive a passenger carrying vehicle without 'Public Service Vehicle' (PSV) endorsement.
The main legal point established in the given judgment is the validity of the driving license and the liability of the Insurance Company under the Motor Vehicle Act.
The court ruled that a driving license for a 'transport vehicle' includes authorization to drive a 'heavy goods vehicle', making the insurer liable for compensation.
A driver authorized to drive a transport vehicle is also authorized to drive a heavy goods vehicle as per recent amendments in the Motor Vehicles Act.
An insurer is liable for compensation when the driver possesses a valid driving license for a light motor vehicle, overriding the lower tribunal's erroneous liability assessment on the vehicle owner.
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