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2025 Supreme(Telangana) 2164

IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
NARSING RAO NANDIKONDA, J.
Smt. S. Laxmi & others – Appellants
Versus
Sri Sarabjeet Kushwaha & others – Respondents
M.A.C.M.A. No.724 Of 2020
Decided On : 01-12-2025

Advocates:
Advocate Appeared:
For the Appellant : T Viswarupa Chary

Section 163-A of the Motor Vehicles Act allows compensation without proving driver negligence, capping annual income at Rs.40,000, with emphasis on expeditious relief to claimants.

Headnote:(A) Motor Vehicles Act, 1988 - Sections 163 and 166 - Compensation claim - Appellants contested the Tribunal's order awarding Rs.4,89,500/- for wrongful death in an accident, asserting higher income of the deceased - Tribunal's ruling reflected maximum cap under Section 163-A for compensation, hence denied enhancement. (Paras 1, 6, 20)

(B) Claimant's burden - Under Section 163(A), claimants do not need to prove negligence to receive compensation, thus facilitating quicker relief. (Paras 14, 18)

Facts of the case:
The deceased was aged 25 years with a claimed income of Rs.9,000/- per month at the time of an accident on 02.01.2012 which resulted in his death after grievous injuries. The claimants sought Rs.9,00,000/- in compensation. The learned Tribunal awarded Rs.4,89,500/- based on the provisions. (Paras 3, 8)

Findings of Court:
The Tribunal's award complied with Section 163-A of the Act, promoting prompt relief without negligence proof. The annual income was rightly capped, considering this section's limitations. No errors for further compensation noted. (Paras 19, 20)

Issues: Primary concerns involved the appropriate income determination for claims under Section 163-A versus 166 of the M.V. Act and whether the compensation awarded was just. (Paras 10, 12)

Ratio Decidendi: The court reinforced that Section 163-A mandates defined caps for compensation without frustrating the expeditious relief intended by the Act, recognizing the unique characteristics of this provision, especially regarding income caps and necessity of expeditious compensation. (Paras 15, 18)

Result: Appeal dismissed.

Table of Content
1. factual context of the accident and its consequences (Para 1 , 2)
2. claims and defenses raised by appellants and respondents (Para 3 , 4 , 5)
3. issues framed for determination in the tribunal (Para 6 , 7 , 8)
4. court's reasoning on compensation claims under mv act (Para 12 , 13 , 14 , 18 , 19)
5. interpretation of section 163a of mv act and its implications (Para 15 , 17)
6. final decision on the appeal and dismissal (Para 20 , 21)

JUDGMENT :

NARSING RAO NANDIKONDA, J.

This M.A.C.M.A. is filed under Section 173 of M.V.Act, 1988 by the appellants/claimants against the order passed by the XXV Additional Chief Judge City Civil Court, Hyderabad, (hereinafter referred to ‘learned Tribunal’) in M.V.O.P.No.1100 of 2012, dated 22.07.2020, wherein the learned Tribunal granted compensation of Rs.4,89,500/- to claimants, wherein claimants had earlier filed claim petition under Section 166 -A, however, later the Section of Law was altered from 166 of Motor Vehicle Act to Section 163 -A of Motor Vehicle Act, vide orders in IA No.1883 of 2018 dated 07.02.2019.

2. The brief facts of the case are that on 02.01.2012, Sri S.Dinesh (herein after referred as ‘deceased’) and his friends were returning to Hyderabad in Innova Car bearing No.AP-11-AD-7785 and when they reached Addakal village, a lorry bearing No. NL-01/G0579, driven by driver rashly and negligently all of a sudden stopped the lorry without any precautions due to which the rear side of the lorry hit the car of the deceased. The inmates of the car sustained grievous injuries, the deceased had sustained fracture of both legs, grievous injuries on the vital parts of the body and was shifted to S.V.S. Hospital and subsequently to Osmania General Hospital, Hyderabad, however, the deceased succumbed to injuries on the same day at 4.15 p.m. The Police registered a case in Crime No.1 of 2012 under Section 304 -A of IPC against the driver of the Innova Car bearing No.AP-11-AD-7785.

3. The contention of the appellants before the Tribunal was that as on the date of accident, the deceased was aged about 25 years and he was hale and healthy and was earning Rs.9,000/- per month by working as private employee in M/s.Reliance Insurance. Due to the said accident, the appellants lost their dependency, hence, appellants claimed an amount of Rs.9,00,000/- under various heads as compensation for the death of the deceased.

4. Before the learned Tribunal, respondent Nos. 1 and 3 remained set ex-parte. Respondent No.2 – HDFC ERGO General Insurance Company Limited, filed a counter-affidavit, denying all the averments made in the claim petition, including the manner in which the accident took place, age, avocation and income of the deceased. Respondent No.2 further contended in the counter that petitioner are put to strict proof of all the happenings of the accident, involvement of the lorry NL-01/G0579, occupation and income of the deceased and the dependency of the petitioners on the income of the deceased. As per F.I.R and claim petition, the accident took place only due to the sole negligence on part of driver of Innova Car bearing No.AP-11-AD-7785 and the Police Addakal also registered a case in Cr.No.1/2012 U/sec. 304(A), 337 IPC only against the driver of said Innova car and there was no negligence on part of driver of the lorry which was proceeding ahead of the Innova car and further contended the driver of the lorry was not having effective driving license at the time of accident. The compensation and the interest claimed is exorbitant and prayed the learned Tribunal to dismiss the claim petition.

5. Respondent No.4 filed separate counter affidavit and reiterating the averments made by the respondent No.2 and further contended that respondent No.4 did not issue any insurance policy to the car in respect of the alleged cover note mentioned in the petition. The cover note bearing No. 209000076957 was issued against a new two wheeler vehicle bearing No.AP-29-N-6500 with engine No.06F08M585

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