PUNJAB & HARYANA HIGH COURT
S.S.Dulat and P.C.Pandit JJ.
Northern India Transporters Ins. Co. Ltd.
Versus
Amra Wati & Others
F.A.O. No. 145 of 1960,
Decided On : DECEMBER 15, 1965
MOTOR VEHICLES ACT - SECTION 96 - INSURANCE POLICY - LIABILITY OF INSURER - COMPENSATION - CALCULATION - FATAL ACCIDENTS ACT, 1855 - CLAIM BY HEIRS - TIME LIMITATION - ADMISSIBILITY OF LATE CLAIM - APPORTIONMENT OF COMPENSATION AMONG HEIRS.
Fact of the Case:
Two passengers, Bachan Singh and Narinder Nath, died in a bus accident due to the negligence of the driver. Their widows, Sham Kaur and Amra Wati, filed claims for compensation before the Tribunal appointed under the Motor Vehicles Act. The Tribunal found the transport company liable and awarded compensation of Rs. 18,000/- in each case, apportioning it among the claimants. The insurance company, Northern India Transporters Insurance Company, was directed to pay the entire compensation under section 96 of the Motor Vehicles Act.
Finding of the Court:
The court held that the insurance company was liable to contribute only Rs. 2,000/- in each case, as per the terms of the insurance policy and the Motor Vehicles Act. The court enhanced the compensation awarded to the claimants, considering the income and expenses of the deceased and their families. It also held that the claim on behalf of Bachan Singh's daughters, which was initially time-barred, could be admitted and allowed.
Issues: 1. Whether the insurance company's liability was limited to Rs. 2,000/- per passenger as per the terms of the insurance policy and the Motor Vehicles Act? 2. Whether the compensation awarded by the Tribunal was adequate? 3. Whether the claim on behalf of Bachan Singh's daughters, which was initially time-barred, could be admitted and allowed?
Ratio Decidendi: 1. The court relied on the Full Bench decision in 1966 ACJ 13, which held that the insurer's liability under the Motor Vehicles Act was limited to Rs. 2,000/- per injured passenger. 2. The court considered the income and expenses of the deceased and their families, and found that the compensation awarded by the Tribunal was inadequate. It enhanced the compensation to Rs. 36,000/- in each case. 3. The court held that a claim under the Fatal Accidents Act, 1855, was to be made on behalf of all the heirs mentioned in the Act, and that there was no justification for excluding the compensation payable to Bachan Singh's daughters merely because their names were brought into the proceedings at a later stage. It also found that even a late claim could be admitted by the Tribunal and should have been admitted in the present case.
Final Decision: The court allowed all four appeals and enhanced the compensation awarded to the claimants. It directed the insurance company to pay Rs. 2,000/- in each case, and the transport company to pay the balance of the compensation. The costs of the insurance company's appeals were to be borne by the parties themselves, while the costs of the claimants' appeals were to be paid by the transport company.
Dulat, J.
1. Round about 9-40 a.m. on the 11th February 1959 a passenger bus travelling on the main road between Ludhiana and Ferozepure got out of the drivers control and struck a tree on its off side. In the result, two passengers Bachan Singh and Narinder Nathdied on the spot, while some others received smaller injuries. Bachan Singhs widow (Sham Kaur) and Narinder Naths widow (Amra Wati) filed claims for compensation before the Tribunal appointed under the Motor Vehicles Act. Sham Kaur claimed on behalf of herself and her two daughters a sum of Rs. 3,24,000/-. The names of the two daughtersHarbans Kaur and Balbir Kaurwere not mentioned in the first application which was filed within time, that is, on the 6th April, 1959, but subsequently their names were sought to be introduced through an application dated the 2nd November 1959. Amra Wati claimed Rs. 85,000/- on behalf of herself and her minor children. The bus belonged to the Sheikhupura Transport Company Private Limited and it was insured with the Northern India Transporters Insurance Company, and both of them were joined in the claim as respondents. The Tribunal found that the accident was due to the negligence of the bus driver and the transport company was consequently liable. It held that proper compensation due on account of Bachan Singhs death would be Rs. 18,000/- and then apportioned it among the claimants as below : Bachan Singhs widow (Sham Kaur) Rs. 8,000/-. His daughter (Harbans Kaur)Rs. 4,000/-. His daughter (Balbir Kaur)Rs. 6,000/-. The Tribunal however, held that the claim of the two daughters was time-barred and nothing was payable to them and, in the result, it made a direction that the widow, Sham Kaur, be paid Rs. 8,000/- as compensation.
2. Regarding Narinder Naths death, the Tribunal held that proper compensation again was Rs. 18,000/- and directed it to be paid to the heirs in certain proportions. Further, the Tribunal in both these cases ordered that the entire compensation will be recovered from the insurance company under section 96 of the Motor Vehicles Act. Against the decision, two appeals have been filed by the insurance company one concerning Sham Kaurs claim (First Appeal from Order 155 of 1960) and the other concerning the claim of Amra Wati (First Appeal from Order 145 of I960)while two cross-appeals (First Appeal from Order 6 of 1961 and First Appeal from Order 7 of 1961) have been preferred on behalf of the claimants asking for enhancement of the compensation. All the four appeals can be conveniently disposed of together.
3. The transport company owning the bus has not filed any appeal, but Mr. Tirath Singh appearing for that company has sought to support the order of the Tribunal not only on the grounds taken by it but also on certain other grounds. One of his contentions, however, is that the Tribunals finding that the accident was due to the negligence of the bus driver, is not on the evidence correct and although he cannot of course in the absence of any appeal claim that no compensation should be granted, he is, according to his submission, entitled to urge that no enhancement in compensation should be allowed. I am not clear if Mr. Tirath Singh is in this manner entitled to have the question of negligence reopened but, since there is on the merits no particular substance in the contention, it is in the present case not necessary to go into that matter. The evidence is perfectly clear that on the road, along which the bus was travelling, there was at the time of this incident no particular traffic. It had started to drizzle a little at that time and in view of this some of the passengers pointed out to the driver that he was perhaps driving too fast. The driver, Jagdish Lal, paid no heed to this warning and in fact retorted that he was already late and could not therefore travel slowly. Soon after that the bus apparently skidded and got out of control and hit a tree not on its near side but also on the opposite side. Mr. Ti
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