PUNJAB & HARYANA HIGH COURT
Amarjeet Chaudhary, J.
Kashmir Singh
Versus
State Of Punjab
First Appeal from the Order No. 1484 of 1992,
Decided On : JANUARY 18, 1995
Limitation Act - Motor Vehicles Act - The court allowed the appeal and awarded compensation for no fault liability, holding that there was no period of limitation for preferring an application for compensation on account of no fault liability.
Fact of the Case:
The claim petition and application were dismissed by the Motor Accident Claims Tribunal on the grounds of being barred by limitation. The claimants appealed and sought compensation for no fault liability.
Finding of the Court:
The court partly allowed the appeal, citing the absence of a period of limitation for claiming compensation on account of no fault liability, and awarded the claimants Rs. 25,000 along with 12% interest per annum.
Issues: The main issue was the entitlement of the claimants to compensation for no fault liability and the interpretation of the period of limitation under the Motor Vehicles Act.
Ratio Decidendi: The court relied on the precedent set in Ram Piyari v. Punjab State Co-op. Milk Federation, Bhatinda and Anr., (1992-2)102 P.L.R. 494, which established that there was no period of limitation for preferring an application for compensation on account of no fault liability.
Final Decision: The court disposed of the appeal by allowing it partly and awarded the claimants Rs. 25,000 along with 12% interest per annum, to be paid by the State of Punjab and Insurance Company in equal shares.
Amarjeet Chaudhary, J.
1. The claimants had filed claim petition under Section 166 of the Motor Vehicles Act alongwith an application under Section 5 of the Limitation Act. The Motor, Accident Claims Tribunal, Amritsar vide its order dated 4.9.1992 dismissed the claim petition as well as application after recording a finding that the claim petition as well as application after recording a finding that the claim petition was barred by one year and three months.
2. Dissatisfied with the award, the claimants have filed the appeal and also an application under Section 140 of the Motor Vehicles Act 1988 for rent of no fault compensation.
3. The challenge to the award is that the Tribunal ought to have awarded a sum of Rs. 25,000/- on account of no fault liability for which there is no period of limitation.
4. After hearing learned counsel for the parties, this appeal is partly allowed following the ratio of law laid down in Ram Piyari v. Punjab State Co-op. Milk Federation, Bhatinda and Anr., (1992-2)102 P.L.R. 494, wherein it was held that there was no period of limitation provided under the Act for preffering an application for compensation on account of no fault liability.
5. In this view of the matter, the claimants are held entitled to the compensation of Rs. 25,000/- alongwith 12% interest per annum for the date of filing of the claim petition. The compensation amount is to be paid by the State of Punjab and Insurance Company in equal shares.
6. The F.A.O. stands disposed of accordingly. However, there will be no order as to costs.
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