K.KANNAN
United India Insurance Company – Appellant
Versus
Usha Goyal – Respondent
Mr. K. Kannan, J. (Oral):- The Insurance Company is in appeal seeking for restriction of liability to Rs.1,50,000/-, contending that the accident had taken place on 24.10.1989, which was still within the period of four months from the date when the new Act of 1989 came into force which was on 01.07.1989. The policy had been taken under Motor Vehicles Act of 1939 and, therefore, the limitation of liability for Rs.1,50,000/- was pleaded by the insurer.
2. There was no limitation of liability under the old Act also for claims for third parties. The restriction of liability under Section 95 Cross Objection No.16-CII of 1992 in/and of the MV Act of 1939 was only in relation to a claim in respect of anyone accident in a goods carriage or a vehicle in which passengers were being taken. This Section 95(2) did not operate to create any restriction of liability for a claim by a third party against an insurer’s vehicle. A reliance placed by the learned counsel on a decision of the Hon’ble Supreme Court in National Insurance Company Limited Versus Puja Roller Flour Mills (P) Limited and others-2006 ACJ 721 does not therefore apply.
3. As regards the compensation, there is a claim for
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.