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2026 Supreme(Gau) 1181

THE GAUHATI HIGH COURT (HIGH COURT OF ASSAM, NAGALAND, MIZORAM AND ARUNACHAL PRADESH)
Yarenjungla Longkumer, J.
United India Insurance Co Ltd. – Petitioner
Versus
Smti Binita Devi Wife Of Late Subhash Nath And Ors. – Respondents
MACApp. 537 of 2019
Decided On : 11-06-2026

Advocates Appeared:
For the Petitioner: Mr. K K Bhatra, Mr J John,Mr. A Talukdar,Ms. R Devi
For the Respondent: D Baruah, Mr H Das

Compensation claims are maintainable by legal representatives regardless of dependency status, and an insurer is liable for damages arising from vehicles parked negligently on public roads without illumination, provided the insurer fails to prove the absence of a valid driving permit.

Headnote:(A) Motor Vehicles Act, 1988 - Sections 166 and 173 - Claim of compensation - Liability for negligently parked vehicle - Determining negligence involves assessing the placement of a vehicle on a public thoroughfare without appropriate illumination during low-visibility conditions such as night or fog. (Para 7 and 14)

(B) Legal Representatives - Right to claim - The ability to pursue compensation is not restricted solely to those demonstrating direct economic dependency, as legal representatives possess the status to maintain a claim following the demise of original claimants. (Para 10)

(C) Evidence - Burden of Proof - The onus remains on the insurer to demonstrate that the operator of the insured vehicle lacked a valid permit; failing such proof, the liability for compensation remains with the insurer. (Para 11)

Facts of the case:
Two individuals riding a two-wheeler were involved in a fatal collision with a heavy transport vehicle parked on the street. The original claim was filed by surviving kin. Due to the subsequent demise of the original claimants, the legal representatives, including a sibling and a spouse of a predeceased relative, were substituted. The insurer contested liability, alleging self-negligence by the deceased and the absence of a valid permit, but the tribunal found the heavy transport vehicle was parked in a negligent manner without warning signs. Findings of the Court: The tribunal determined that the offending vehicle was parked without proper illumination on a dark road, which directly caused the fatal collision. It further ruled that the insurer failed to substantiate allegations regarding the invalidity of the driving permit.

Issues: Whether legal representatives have the standing to claim compensation and whether the insurer is liable for damages resulting from an accident involving an insured vehicle parked negligently on a public road.

Ratio Decidendi: An appellate court should not interfere with factual findings established by a tribunal when evidence supports the conclusion of negligence by the insured party's vehicle and the insurer fails to discharge the burden of proof regarding the lack of valid authorization for the operator.

Result: Appeal dismissed.

JUDGMENT :

YARENJUNGLA LONGKUMER, J.

The instant appeal under Section 173 of the M.V Act 1988, has been preferred by the UnitedInsurance Company Ltd assailing the judgment and award dated 07.05.2019 passed by the MACT Goalparain MAC Case No.156/2008.

Heard Mr. Kamal Kr. Bhatra, learned counsel for the appellant.Also heard Mr. H. Das, learned counsel for the claimant/respondent Nos. 1 & 2.

2. The facts leading to the filing of the instant appeal is that on 22.11.2007at about 10: 30 PM the two deceased persons Pankaj Nath and Fakruddin Ahmed were coming home from Darangiririding on a motor cycle bearing Registration No. ML-07-8457.When they reached near Amjanga Bazar they met with an accident involving vehicle No.AS-01/G-7379 (Bus). Both the riders of the motor cycle suffered fatal injuries and died on the spot.Soon after the accident the O.C of Dudhnoi Police Station Registered U/D Case No.15/07 and started investigation.

3. HirenNath, the mother of the deceased and Subhash Nath the brother of the deceased PankajNathjointly filed a claim petition under Section 166 of the MV Act which was registered as MAC Case No.156/2008. During the pendency of the claim case the claimant No.1/Hiren Nath died on 09.11.2008 and the claimant No.2/Subhash Nath also died on 12.11.2012. Subsequently, the two original claimants were substituted by Binita Devi, the wife of late Subhash Nath and Ganga Nath the married sister of the deceased.

4. The appellant herein entered appearance and filed their written statement contending that the alleged accident occurred when the deceased Pankaj Nath was driving the motor cycle which went and dashed against the parked vehicle(Bus) and died on the spot and so there was no fault on the part of the parked vehicle(Bus). As such no police case was registered against the vehicle No. AS-01/G-7379(Bus). The Appellant in the written statement also stated that as per the accident information report, the driving licences of the deceasedPankaj Nath as well as the driving licence of the driver of the bus was not valid at the time of the accident and therefore the insurance company denied their liability. It was further submitted that the deceased Pankaj Nath was a tortfeasor who met with the accident because of his own negligence and could not be equated with a victim of the accident and since the deceased drove the motor cycle himself, he cannot be treated as a third party. Accordingly, the Insurance Company contended that theywere not liable to pay the compensation.

5. After hearing the parties, the learned Tribunal disposed of the MAC Case No.156/2008 by Judgment dated 07.05.2019 by holding that the appellants are the legal heirs of the deceased and therefore, entitled to compensation. It was also held that there was no evidence available on record that the bus was in standing condition with the parking lights on. The Tribunal also held that the motor cycle was driven by Fakaruddin Ahmed. Basing on the available evidence, the Tribunal held that the bus No.AS-01/G-7379 was parked on the street without parking lights and it was a dark and foggy night and therefore the motor cycle dashed against the bus which was parked carelessly and in a negligent manner. The negligence of the driver of the bus, by not taking proper care and caution for the safety of passers by resulted in the occurrence of the accident on 22.11.2007. The learned Tribunal therefore allowed the claim application and awarded Rs.4,73,400/- (four lakh seventy three thousand four hundred) as compensation to be paid by the United India Insurance Company Limited/Appellant.

6. Being aggrieved by the Judgment and award dated 07.05.2019 in MAC Case 156/2008, the appellant/Insurance Company is before this Court on the following grounds

i) The learned Tribunal erred in law by awarding compensation under the head of loss of dependency in as much as the claimants are the sister-in-law and the married sister of the deceased and they are not dependent upon the income of the dece

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