The main legal point established in the judgment is that an insurance company is not liable to compensate gratuitous passengers traveling in a vehicle not covered under the insurance policy, as per the provisions of Section 147 of the Motor Vehicles Act, 1988.

S. Manikumar, J.

Challenge in these appeals is with regard to liability of the appellant/Insurance Company to compensate the gratuitous passengers, who travelled in a Trailer bearing Registration No.TNZ5897. Out of 22 persons, who travelled in the Tractor to attend a funeral ceremony, 18 of them sustained injuries. They made separate claims. As the evidence let in was common, all the claim petitions were jointly tried and disposed of by a common judgment and decree dated 14.8.2007. Having regard to the nature of injuries sustained, 18 respondents/claimants were awarded Rs. 8,000/- each, in respect of four claim petitions, separate awards were made.

2. Assailing the common impugned judgment, Mr. B. Vijay Karthikeyan, learned Counsel for the appellant, relying on the judgments of the Supreme Court in Oriental Insurance Co. Ltd. Vs. Brij Mohan and Others, (2007) 7 SCC 56 ; National Insurance Company Limited v. Prema Devi and Ors. reported in 2008 (1) TN MAC 348; two unreported judgments of the Supreme Court, Civil Miscellaneous Appeal No. 7805 of 2002, National Insurance Company Limited v. Bhukya Tara and Ors., dated 8.5.2008, and National Insurance Company Limited v. Kaushalaya Devi and Ors. dated 13.5.20008, submitted that as all the passengers travelled in the Tractor cum Trailor, they were gratuitous passengers and therefore the appellant/Insurance Company is not liable to pay compensation. He further submitted that the extra ordinary jurisdiction conferred on the Supreme Court under Article 136 r/w. Article 142 cannot be exercised by Subordinate Judiciary, viz., the Tribunal and therefore in the absence of such jurisdiction fastening the liability on the Insurance Company to pay compensation to the gratuitous passengers and recover the same from the owner of the vehicle is in excess of jurisdiction and therefore, needs correction. In these circumstances, he prayed that the awards passed against the Insurance Company be set aside.

3. Per contra, Mr. V. Kalyana Sundaram, learned Counsel appearing for the owner of the vehicle/third respondent in all the Civil Miscellaneous Appeals, submitted that as per the decision of the Supreme Court in Brig Mohan's case, the appellant Insurance Company is liable to pay the compensation to the victim. He further submitted that since he was not heard before the Lower Court, the matter may be remitted for fresh consideration. Though the claimants were served through Court and their names were also shown in the cause list, there is no representation on their behalf. In these circumstances, this Court has decided to hear the appeals and pass orders. Heard the learned Counsel for the parties and perused the materials available on record.

4. Admittedly, the vehicle in which the respondents/claimants travelled was not intended for travelling of any kind of passengers. Travelling in tractor or trailer was against the provisions of the Motor Vehicles Act. The issue as to whether the Insurance Company is liable to pay compensation to the gratuitous passengers is no longer integra. Most of the decisions quoted hereunder relate to goods carriage vehicles. But the principles that passengers who travelled in the vehicles unauthorizedly not covered under the policy are not entitled to claim compensation from the insurance company is applicable to the facts of the present case, for the reasons all the claimants had admittedly travelled in a tractor, which is not meant for transporting passengers.

5. Before adverting the facts of the case, this Court deems it fit to extract the relevant provision of the Motor Vehicles Act 1988 which deals with the requirements of policies and limits of liability of insurance companies. Section 147 of the Motor Vehicles Act, 1988 (in short "the Act") reads as follows:

147. Requirements of policies and limits of liability: (1) In order to comply with the requirements of this Chapter, a policy of insurance must be a policy which -

(a)

(b) insures the person or classes of pers