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2015 Supreme(All) 827

D. Y. CHANDRACHUD, DILIP GUPTA, P. K. S. BAGHEL
UNITED INDIA INSURANCE CO. LTD. – Appellant
Versus
SHASHI PRABHA SHARMA – Respondent


Advocates:
Counsel :
Vishesh Kumar Gupta for the Appellant; S.D. Ojha for the Respondents.

JUDGMENT

Hon'ble Dr. Dhananjaya Yeshwant Chandrachud, C.J.—During the course of the hearing of a First Appeal From Order (FAFO) arising out of a decision of the Motor Accident Claims Tribunal at Saharanpur dated 6 May 2014, a Division Bench of this Court formulated the following questions for consideration by a Full Bench (The questions have been slightly reformulated to bring greater clarity to the issues involved) :

(i) Where on account of a breach of an insurance policy, the owner of an offending vehicle has been held liable to pay compensation (the insurer having been held not to be liable) but a direction is issued to the insurer to pay the compensation awarded to the claimant and to recover it from the owner of the offending vehicle, does the insurer have a right to appeal under Section 173 of the Motor Vehicles Act, 1988 (the Act)?

(ii) If question (i) above is answered in the affirmative, to what extent and on what grounds will the insurer have the right to challenge an order of the Tribunal?

(iii) In a situation where the Motor Accident Claims Tribunal (the Tribunal) has fastened the liability to pay compensation only on the owner of the offending vehicle but the insurer ha






























































































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