The interpretation of the definition of 'owner' under Section 2(30) of the Motor Vehicles Act, 1988 is crucial in determining liability and entitlement to compensation in motor accident cases.

JUDGMENT :

A.K. Rath, J.

This appeal by the claimants assails the nil award passed by the 1st Motor Accident Claims Tribunal, Keonjhar in M.A.C.Case No.130 of 2010.

2. One Parameswar Khaitan borrowed an Indica Car bearing registration no.OR-05-R-7739 on 27.11.2007 from his friend Aurobinda Mohanty and his wife, Bijay Laxmi Bhanja, the owner of the car. He was driving the vehicle and travelling with his relatives from Jharsuguda to Sundargarh. At about 4.30 P.M., near village Masnikani on SH-10, due to failure of break, he could not control the vehicle, as a result of which, the vehicle dashed against a road side tree. He along with the occupants sustained grievous injuries. He succumbed to the said injuries on the spot. With this factual scenario, the claimants, who are widow and minor son of the deceased, filed an application under Section 166 of the Motor Vehicles Act, 1988 ('M.V. Act') before the 1st Motor Accident Claims Tribunal, Keonjhar for compensation, which was registered as M.A.C. Case No.130 of 2010. According to the claimants, the deceased had a transport business. He was the proprietor of M/s. Friends Carrier and also owner of Truck and earning Rs.45,000/- per month. He was 38 years of age at the time of accident. Due to his sudden demise, the family received a sudden setback.

3. Opposite party no.1, owner of the vehicle, filed written statement admitting the claim. It was stated that the vehicle was insured with opposite party no.2. Opposite party no.2, owner of the vehicle, filed written statement denying its liability.

4. Stemming on the pleadings of the parties, learned Tribunal struck two issues. Parties led evidence, oral and documentary. On an analysis of the evidence on record, learned Tribunal came to hold that the accident occurred due to rash and negligent driving of the driver i.e. Parameswar Khaitan. The deceased stepped into the shoes of the owner and, as such, the claimants are not entitled to compensation.

5. Criticizing the award, Mr.Biranchi Narayan Rath, learned counsel for the appellants submits that the deceased was not the owner of the vehicle. He had borrowed the vehicle from his friend. He can be termed as a passenger of the vehicle. He further submits that finding of the learned Tribunal that the deceased was negligent in driving the vehicle is perverse. The wife of the deceased was travelling in the said vehicle. She was an eyewitness to the occurrence. She was examined as P.W.1. She stated that due to failure of break, the vehicle dashed against a roadside tree. He further submits that the insurer has taken extra premium to cover the risk of unknown passenger. In view of the same, the learned Tribunal fell into patent error in not awarding any amount towards compensation. The Tribunal could have awarded an amount of Rs.50,000/- towards no fault liability. He places reliance on a decision of the apex Court in the case of Naveen Kumar v. Vijay Kumar and others, (2018) AIR SC 983.

6. Countering the submissions, Mr.Goutam Mishra, learned counsel for the insurer submits that by no stretch of imagination, the deceased can be termed as a passenger of the vehicle. Evidence on record reveals that the deceased was negligent in driving the vehicle. In view of the same, learned Tribunal is justified in passing nil award. The insurer had not taken any premium to cover the risk of the owner. To buttress the submissions, he places reliance on the decisions of the apex Court in the case of Oriental Insurance Co. Ltd. v. Sunita Rathi and others, (1998) 1 SCC 365, New India Assurance Company Limited v. Sadanand Mukhi and others, (2009) 2 SCC 417 and Ningamma and another v. United India Insurance Company Limited, (2009) 13 SCC 710.

7. Before adverting to the contentions raised by the parties, it is apt to refer the relevant provision of M.V.Act. Section 2(30) of the M.V.Act reads thus:

"2(30) "owner" means a person in whose name a motor vehicle stands registered, and where such person is a minor, the guardian of s