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2026 Supreme(Online)(P&H) 83370

IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
Sudeepti Sharma, J
United India Insurance Co. Ltd. – Appellant
Versus
Taraqqi Lal – Respondent
FAO-5140-2015



Advocates:
For the Appellants/Petitioners: Paul S. Saini
For the Respondents: Ashwani Arora, Manish Boora, Bharender, Jasvinder Rana, Arjun Sheoran

A driver with a valid light motor vehicle license is authorized to drive transport vehicles within that weight class without specific endorsement. Appellate courts must ensure just compensation under the Act, having the power to correct awards or enhance amounts even without a cross-appeal by the claimants.

Headnote:(A) Motor Vehicles Act, 1988 - Section 166 - Fatal accident - Compensation - Liability of insurance company - Driver holding Light Motor Vehicle license - Whether separate endorsement required for transport vehicle - Held, no such endorsement is required, provided vehicle weight is within prescribed limit - (Paras 14-17)

(B) Compensation - Conventional heads - Loss of love and affection - Whether maintainable as independent head - Held, such claim is subsumed within consortium and cannot be awarded separately - (Paras 20-21)

(C) Appellate jurisdiction - Powers of appellate court - Enhancement of compensation - Whether permissible without cross-appeal or cross-objection by claimants - Held, court has power under Section 107 of Code of Civil Procedure, 1908, and Order XLI Rule 33 to award just compensation to ensure ends of justice - (Paras 28-33)

(D) Compensation - Pain and suffering - Prolonged medical treatment - Court justified in awarding compensation for physical and mental agony during period from accident till demise - (Paras 23-26)

Facts of the case:
The deceased met with a road accident resulting in injuries that eventually led to death after a period of hospitalization. The Insurance Company challenged the liability based on the license held by the driver and the quantum of compensation awarded by the tribunal, which included separate amounts for love and affection but excluded compensation for pain and suffering.

Findings of Court:
The court affirmed the liability of the insurance company, finding that a valid light motor vehicle license suffices for driving a transport vehicle of that class. The court corrected the computation of compensation by subsuming 'loss of love and affection' into the 'consortium' head, adding 'loss of estate', and awarding compensation for 'pain and suffering' due to the deceased's prolonged trauma and medical treatment.

Issues: Whether an insurance company is liable for a transport vehicle driven by a person holding a light motor vehicle license without specific endorsement and whether the appellate court can enhance compensation in the absence of a cross-appeal.

Ratio Decidendi: A holder of a light motor vehicle license is authorized to drive a transport vehicle of the same class without a separate endorsement, and the appellate court, as a court of record, is duty-bound to award just and fair compensation, exercising its power to rectify errors in conventional heads and omissions in compensation, notwithstanding the absence of specific cross-challenges.

Result: Appeal dismissed; compensation enhanced.

Table of Content
1. factual foundation of the motor accident claim and tribunal's initial liability determination. (Para 1 , 2 , 3 , 4 , 5 , 6)
2. parties' contentions regarding liability, licence validity, and scope of appellate enhancement powers. (Para 7 , 8 , 9 , 10 , 11)
3. tribunal's findings on negligence and assessment of total compensation and liability. (Para 12)
4. validity of lmv driving licence for transport vehicles without specific endorsement. (Para 14 , 15 , 16 , 17)
5. re-evaluation of compensation heads, including exclusion of 'loss of love and affection' and inclusion of 'pain and suffering'. (Para 18 , 19 , 20 , 21 , 22 , 23 , 24 , 25 , 26 , 27)
6. appellate court's authority to grant enhanced compensation despite absence of a formal cross-appeal. (Para 28 , 29 , 30 , 31)
7. final order directing deposit of enhanced compensation and dismissal of the insurance company's appeal. (Para 32 , 33 , 34)

SUDEEPTI SHARMA, J. (Oral)

1. The present appeal has been filed by the appellant-Insurance company against the award dated 25.03.2015 passed in a claim petition filed under Section 166 of the Motor Vehicles Act, 1988 by the Motor Accident Claims Tribunal, Chandigarh (for short, 'the Tribunal'), wherein the appellant-Insurance company was fastened with the liability to pay the compensation of Rs.22,05,428/- to the claimants along with interest @ 7.5 % per annum from the date of filing of claim petition till realization of the amount.

BRIEF FACTS OF THE CASE

2. Brief facts of the case are that on 25.10.2013 at about 6.00 PM, deceased Taraqqi Lal Kundra was going from his house to park in Sector 5, Panchkula on foot for a walk. He was being followed by his wife Sudarshan Kundra and his daughter Seema. After crossing Inderdhanush Editorial, when they were walking on the left side of the road and reached opposite to entrance of Park Sector 5, Panchkula, at that time a Mahindra Pick-up bearing registration No. CH-01-TA-4971 came at fast speed, in rash and negligent manner from the side of Hafed Office and Nik Bakers, which was being driven by respondent No.1 and struck against the deceased. As a result of this accident, deceased fell on the road and was dragged to a long distance. After causing the accident, the driver of Mahindra Pick-up stopped for a while and wife of deceased Sudarshan Kundra inquired his name and noted the number of Mahindra Pick-up. Thereafter, said person sped away from the spot of occurrence along with his vehicle. The deceased was immediately taken to General Hospital, Sector 6, Panchkula, from where, he was taken to PGI, Chandigarh on the same day. He was further shifted to Fortis Hospital, Mohali on 30.10.2013. Thereafter, he remained under medical treatment of General Hospital, Sector 6, Panchkula. However, he succumbed to the injuries on 26.01.2014. It is specifically alleged that the accident took place due to the rash and negligent driving of the offending Mahindra Pick-up No. CH-01-TA-4971 driven by respondent No.1 Rajan Kumar.

3. Upon notice of the claim petition, respondents therein appeared and contested the claim petition by denying the factum of accident/compensation.

4. From the pleadings of the parties, the Tribunal framed the following issues:-

“1. Whether the accident dated 25.10.2013 resulting into the death of Taraqqi Lal Kundra had occurred on account of rash and negligent driving of vehicle bearing No. CH-01-TA-4971, if so, its effect ?OPP.

2. If issue No.1 is proved in favour of claimants, whether claimants are entitled for compensation, if so, how much and from whom ?OPP.

3. Whether the respondent No.1 was holding a valid and effective driving licence at the time of accident?OPR-2.

4. Whether there was valid and effective route permit of the vehicle in question at the time of accident ?OPR

5. Relief. ”

5. Thereafter, both the parties led their evidence in support of their respective pleadings.

6. After taking into consideration the pleadings and the evidence on record, the learned Trib

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