LexA. SRIDHAR versus UNITED INDIA INSURANCE CO. LTD. & ANR.
Open in Lexace · Ask the AI about this caseJudgment (excerpt)
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[2011] 11 S.C.R. 386
A. SRIDHAR
v.
UNITED INDIA INSURANCE CO. LTD. & ANR.
(Civil Appeal No. 7823 of 2011)
SEPTEMBER 13, 2011
[G.S. SINGHVI AND H.L. DATIU, JJ.]
Motor Vehicles Act, 1988 - ss.166 and 140 - No fault
liability - Appellant while riding the motor cycle met with an
C accident due to oil spill on road and suffered grievous injuries
- Claim petition - Award of compensation of Rs. 1,60,0001-
with 6% interest p.a. under the Insurance Policy by the
Tribunal, reduced by High Courl to Rs. 25,0001- u/s. 140 of
the Act - Justification of - Held: Justified - The tribunal held
D that the appellant, while driving the motor vehicle on the fateful
day, met with an accident not because of the fault of the owner
of the vehicle or because of the fault of the other vehicle, but
because of the oil spill on the road - Thus, negligence can
be attributable only on the person who was driving the vehicle
E and thus, is not entitled to compensation under the Insurance
Policy - High· Courl was justified in invoking the beneficial
legislation and in directing the Insurance Company to pay
limited amount by way of compensation to the injured person
of an accident arising out of the use of a motor cycle on the
F basis of no fault liability - Legislation - Beneficial Legislation.
The appellant filed a petition under Section 166 of the
Motor Vehicles Act, 1988 claiming Rs. 6,00,000/- as
general carnages/compensation since he suffered
grievous injuries when the motor cycle he was riding
G along with a pillion rider met with an accident due to oil
spill on the road. The Tribunal awarded compensation of
Rs. 1,60,000/- together with interest at 6% per annum
under the Insurance Policy. The High Court reduced the
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386
A. SRIDHAR v. UNITED INDIA INSURANCE CO. LTD. 387
&ANR.
compensation awarded to Rs.25,000/- under Section 140
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of the Act. Thus, the appellant filed the instant appeal.
Dismissing the appeal, the Court
HELD: From the evidence on record, the Tribunal
held that the appellant, while driving the motor vehicle on
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the fateful day, met with an accident not because of the
fault of the owner of the vehicle or because of the fault
of the other vehicle, but because of the oil spill on the
road. Therefore, the negligence can be attributable only
on the person who was driving the vehicle and thus, is C
not entitled to compensation under the Insurance Policy.
Therefore, the High Court was justified in invoking the
beneficial legislation and in directing the Insurance
Company to pay limited amount by way of compensation
to the injured person of an accident arising out of the use
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of a motor cycle on the basis of "no fault liability," since
the accident has arisen out of use of motor vehicle and
has resulted in grievous injuries to the claimant. Thus,
there is no legal infirmity in the judgment and order
passed by the High Court. [Paras 7 and 8] [389-A-D]
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CIVIL APPELLATE JURISDICTION : Civil Appeal No.
7823 of 2011 etc.
Vivek Sharma, P.B. Suresh, Temple Law Firm for the
Appellant.
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K.L. Nandwani for the Respondents.
The Judgment of the Court was delivered by
H.L. DATTU, J. 1. Leave granted.
2. This appeal is directed against the Judgment and Order
passed by the High Court of Madras, Chennai in Civil
Miscellaneous Appeal No. 1779 of 2002, wherein, the Court
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388
SUPREME COURT REPORTS
[2011) 11 S.C.R.
A has allowed the appeal of the Insurance Company and reduced
the compensation awarded by the Motor Accident Claims
Tribunal, Chennai {for short, "the Tribunal") from Rs.1,60,000/-
to Rs.25,000/- under Section 140 of the Motor Vehicles Act,
1988 {hereinafter referred to as, "the Act").
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3. In the Claim Petition filed under Section 166 of the Act,
the appellant has stated that on 14.01.1998, at about 7.10 PM,
while he was riding the motor cycle along with a pillion rider,
the vehicle met with an accident due to oil spill on the road and
suffered grievous injuries. Since the vehicle is insured with the
C respondent-Insurance Company, he is entitled for
compensation of Rs. 6,00,000/- (Rupees Six Lakhs) as general
damages/compensation.
4. The Insurance Company has denied its liabilify. The
D Tribunal, while considering the claim of the appellant, has come
to the conclusion that the accident did not take place due to
rash and negligence driving of the claimant but due to oil spilling
on the road. Accordingly, the Tribunal has assessed the
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