High Court Of Madhya Pradesh
R. C. LAHOTI, K. M. PANDEY
NEW INDIA ASSURANCE CO.LTD., GWALIOR - Appellant
Versus
P.N.VIJAYWARGIYA - Respondents
M. A. 135 Of 1983
Decided On : 10/18/1991
MOTOR VEHICLES ACT - SECTION 110 - COMPENSATION FOR DAMAGE TO PROPERTY - CLAIM BY THIRD PARTY - MAINTAINABILITY BEFORE CLAIMS TRIBUNAL - AMENDMENT OF 1969 - EFFECT.
Fact of the Case:
A car met with an accident and was damaged. The owner, a third party, filed a claim for compensation for the damage to the car before the Motor Accidents Claims Tribunal. The Tribunal awarded compensation. A question of law was referred to the Division Bench as to whether a claim for compensation simpliciter for damage caused to property, preferred by a third party, in all circumstances, can be tried by a Motor Accidents Claims Tribunal in respect of an accident where a claim is preferred or preferable also for bodily injury suffered or for death.
Finding of the Court:
The Division Bench held that with effect from 2/03/1970, the date of coming into force of the Motor Vehicles (Amendment) Act, 1969 (Act No. 56 of 1969), a claim for compensation suffered for damage caused to property preferred by a third party in all circumstances can be tried by Motor Accidents Claims Tribunal in respect of accident where claim is preferred or preferable also for bodily injury suffered or death caused.
Issues: Whether a claim for compensation simpliciter for damage caused to property, preferred by a third party, in all circumstances, can be tried by a Motor Accidents Claims Tribunal in respect of an accident where a claim is preferred or preferable also for bodily injury suffered or for death?
Ratio Decidendi: The Motor Vehicles (Amendment) Act, 1969 amended Section 110 of the Motor Vehicles Act, 1939 to provide for claims for compensation for damages to any property of a third party to be entertained by the Claims Tribunal. The proviso to Section 110 (1) provides an option to the claimant to have the claim adjudicated upon by the Tribunal or a civil court where the claim for compensation in respect of damage to property exceeds rupees two thousand. However, where the claim does not exceed rupees two thousand or where it is in respect of damage to property alone preferred by a third party, the Tribunal has jurisdiction to entertain the claim.
Final Decision: The Division Bench answered the reference in the following terms: "with effect from 2/03/1970, the date of coming into force of the Motor Vehicles (Amendment) Act, 1969 (Act No. 56 of 1969), a claim for compensation suffered for damage caused to property preferred by a third party in all circumstances can be tried by Motor Accidents Claims Tribunal in respect of accident where claim is preferred or preferable also for bodily injury suffered or death caused."
( 1 ) A learned Single Judge of this Court while hearing an appeal under S. 110-D of the Motor Vehicles Act, 1939 has framed the following question of law and referred the same for the opinion of the Division Bench :"whether a claim for compensation simpliciter for damage caused to property, preferred by a third party, in all circumstances, can be tried by a Motor Accidents Claims Tribunal in respect of an accident where claim is preferred or preferable also for bodily injury suffered or for death ?"
( 2 ) A car No. CPH 87 met with an accident on 7-7-81 having been hit by another car registered as MPW 9669 approaching from the other side. The occupants of the car got injured. The car was also damaged on 20-8-81 claim petition was preferred which included the claim for compensation for bodily injuries sustained by the occupants of the car as also for damages to the car. However, as a measure of abundant caution, to avoid any legal objection in future, a separate claim was preferred by the owner-claimant P. N. Vijaywarigya claiming compensation for damages suffered only by the car in the accident to the tune of Rs. 16,000/ -. This P. N. Vijaywarigya is undisputedly a third party.
( 3 ) THE Tribunal has awarded an amount of Rs. 11,508. 50 p. on account of damages to the car.
( 4 ) THE learned Single Judge entertained a doubt as to the maintainability of the claim petition only for compensation for damages suffered by the car and noticed two divergent lines of decision : Banwarilal v. Vishnunarayan, 1975 ACJ 40 MP (DB); Manoharsingh v. Canara Motor General Insurance Co. , 1977 ACJ 280 MP (DB); Hari Industries v. Roshanlal Kothari, 1987 ACJ 20 Rajasthan (SB) taking the view that such a claim was maintainable; Yeshwantraj v. Mohanlal, 1985 ACJ 23 (SB) and R. Vanamaraju v. A. P. S. R. T. C. , 1984 ACJ 336, taking the view that such a claim was not maintainable.
( 5 ) THE correctness of the views taken by the two Division Benches of this Court has been doubted on the ground that they based their decision only on the construction of the notification establishing the Motor Accidents Claims Tribunal as contemplated under Section 110 of the Act, but failed to take into consideration the effect of the Proviso to Section 110 (1 ).
( 6 ) SECTION 110 (1) of the Motor Vehicles Act, 1939 (hereinafter referred to as 'the Act' for short), reads as under :-"110. Claims Tribunals.- (1) A State Government may, by notification in the official Gazette, constitute one or more Motor Accidents Claims Tribunals (hereinafter referred to as Claims Tribunals) for such area as may be specified in the notification for the purpose of adjudicating upon claims for compensation in respect of accidents involving the death of, or bodily injury to, persons arising out of the use of motor vehicles, or damages to any property of a third party so arising, or both : provided that where such claim includes a claim for compensation in respect of damage to property exceeding rupees two thousand, the claimant may, at his option, refer the claim to a civil court for adjudication, and where a reference is so made, the Claims Tribunal shall have no jurisdiction to entertain any question relating to such claim. "
( 7 ) IT is interesting to note that in the text of 110 (1), as it originally stood, the provision terminated with the words 'motor vehicles'. Material changes were effected by the Motor Vehicles (Amendment) Act, 1969 (Act No. 56 of 1969) not only in S. 110 but in various related provisions. Section 57 of the Amendment Act substituted the following words in place of the words "motor vehicle in subsection (1) and also added the proviso thereafter. "motor vehicles, or damages to any property of a third party so arising or both. " section 95 of the Act, as it originally stood, was also suitably amended and clause (b) as occurring in sub-section (1) of Section 95 as it originally stood use deleted and substituted by a fresh provision as to read as under :-"95
Disented from : R. Vanamaraju v. A.P.S.R.T.C.
Referred to : R.C. Mathew v. K.M. Jose
Dr. Om Prakash Mishra v. National Fire and General Insurance Co. Ltd.
Central Road Transport Corporation Ltd. v. Orissa State Commercial Transport Corporation
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