The requirement for a driver’s badge in transport vehicles is contingent upon the vehicle's gross weight exceeding a specified limit, impacting insurance liability.

JUDGMENT

Dated, this the 25th day of January, 2021 The judgment in this case was passed along with MACA No.2232/2017, which was an appeal by the claimant seeking enhancement. The present appeal was one in which the Insurance Company denied its liability. The appeal of the Insurance Company was rejected and the appeal for enhancement was allowed. Later, the Insurance Company filed a review on the ground that there is an error apparent on the face of the record. Being convinced of the error, this Court reviewed the judgment in MACA No.2751/2017, but not interfering with the judgment in the appeal for enhancement. The order in review was dated 25.01.2021 itself. The counsel for the respondent owner of the vehicle appeared and no notice was issued against the claimant respondent since the neither the review nor the result of the present appeal would prejudice the claimant for reason of the Insurance Company having already paid up the money due to the claimant. The learned Standing Counsel for the Insurance Company and learned Counsel for the respondents 1 and 2, driver and owner of the vehicle were heard.

2. The Insurance Company had filed the appeal [MACA No.2751 of 2017] on the ground that the driver of the goods vehicle, which was involved in the accident, did not have a badge and he did not have a licence to drive a transport vehicle. The respondent owner of the vehicle argued that Mukund Dewangan v. Oriental Insurance Company Limited [2017 (3) KLT 1000 (SC) categorically held that there is no requirement for a badge and the type of the vehicle does not absolve the Insurance Company, insofar as it is a vehicle with less than unladen weight of 7500 Kg; which is an LMV. The goods lorry though a Medium Goods Vehicle [MGV] had unladen weight below that prescribed and the driver had an LMV licence.

3. The claimant's appeal is already allowed by a common judgment dated 17.08.2020 awarding a total compensation of Rs.12,43,260/- along with interest @9% as awarded by the Tribunal. The Insurance Company assails indemnification insofar as driver of the vehicle having no badge. This Court had earlier relying on Mukund Dewangan [supra], found that there is no requirement for badge, since the unladen weight of the offending vehicle was less than 7500 Kgms. On a review filed by the Insurance Company, the said finding was reviewed and the MACA left open for consideration only to the extent of liability of the Insurance Company.

4. Mukund Dewangan found that there was no requirement of a badge only insofar as a motor car, tractor or road roller coming under the definition of “Light Motor Vehicle”, the unladen weight of which does not exceed 7500Kgms. However, going by the definition of “Light Motor Vehicle” as available in Section 2 (21) of the Motor Vehicles Act, 1988 [for brevity, 'the Act of 1988'), a transport vehicle or an omnibus, the gross weight of which exceeds 7500Kgms. cannot be driven without a badge. The transport vehicle or omnibus can be driven by a person having 'LMV' license only if the gross weight of that vehicle is below 7500Kgms. The distinction is insofar as the gross vehicle weight and the unladen weight of the vehicle. As is seen from the definition clause itself, gross vehicle weight reckons the possibility of a transport vehicle or omnibus being loaded when put on road. The definition of gross vehicle weight at (15) of the Act of 1988 means the total weight of the vehicle and load certified and registered by the registering authority whereas unladen weight as available in (48) of the Act of 1988 means the weight of a vehicle or a trailer including all equipment ordinarily used with the vehicle or trailer when working, but excluding the weight of a driver or attendant. The present vehicle, an Acer lorry, though coming within the definition of “Light Motor Vehicle” as per the amended Act, would still qualify to be a transport vehicle since it has gross vehicle weight above 7500Kgms.

5. In the above circumstances, abse