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BIMLESH & ORS. versus NEW INDIA ASSURANCE CO. LTD.

Citation: [2010] 9 S.C.R. 605 · Decided: 03-08-2010 · Supreme Court of India · Bench: AFTAB ALAM · Disposal: Case Partly allowed

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Judgment (excerpt)

[2010] 9 S.C.R. 605 
BIMLESH & ORS. 
1~ 
v. 
NEW INDIA ASSURANCE CO. LTD. 
(Civil Appeal No. 2164 of 2004) 
AUGUST 3, 2010 
[AFTAB ALAM AND R.M. LODHA, JJ.] 
Motor Vehicles Act, 1988 - ss. 163A, 166, 168 and 169 
- Motor accident - Claim for compensation u/s. 163-A - For 
A 
B 
the death of owner of the vehicle - Maintainability of the 
C 
petition questioned -
Tribunal holding that petition was 
maintainable -
High Court holding the same as not 
maintainable - On appeal, held: The claims tribunal in a 
claim petition, is required to decide all the issues in one go 
and not in piecemeal - The question of maintainability is o 
connected with the liability of the Insurance Company -
Therefore, the matter is sent back to claims tribunal to decide 
all the issues together. 
Owner of the insured vehicle died in a road accident 
while he was driving the vehicle. His dependants filed 
E 
petition u/s. 163-A of Motor Vehicles Act, 1988 claiming 
compensation. The Insurance Company questioned the 
maintainability of the petition stating that it was liable to 
compensation only for third party and not to the owner. 
The tribunal held that the petition was maintainable. High 
F 
Court, in revision, held that it was not maintainable. 
In the instant appeal, appellants contended that 
additional premium was paid to cover the risk of the 
driver of the vehicle and in the policy, persons or classes 
G 
of persons entitled to drive included the insured and thus 
tt)e insurance company was liable. 
Partly allowing the appeal, the Court 
605 
H 
606 
SUPREME COURT REPORTS 
[2010] 9 S.C.R. 
A 
HELD: 1.1 The whole object of summary procedure 
required to be followed by the Claims Tribunal, is to 
ensure that claim application is heard and decided by the 
Claims Tribunal expeditiously. The inquiry u/s. 168 and 
the summary procedure do not contemplate the 
B controversy arising out of claim application being 
decided in piecemeal. The Claims Tribunal is required to 
dispose of all issues one way or the other in one go while 
deciding the claim application. (Para 5] (608-D-F] 
1.2 The objection raised by the Insurance Company 
C about maintainability of claim petition is intricately 
connected with its liability which in the facts and 
circumstances of the case, is dependent on 
determination of the effect of the additional premium paid 
by the insured to cover the risk of the driver and other 
D terms of the policy including terms of the policy. Since 
all the issues (points for determination) are required to be 
considered by the Claims Tribunal together in the light of 
the evidence that may be led in by the parties and not in 
piecemeal, it is not proper to consider the rival 
E contentions on merits at this stage. The matter is sent 
back to the Claims Tribunal. [Para 5] [608-F-H] 
F 
G 
H 
CIVIL APPELLATE JURISDICTION : Civil Appeal No. 
2164 of 2004. 
From the Judgment & Order dated 01.10.2002 of the High 
Court of Punjab & Haryana at Chandigarh in Civil Revision No. 
5952 of 2001. 
B.K. Satija for the Appellants. 
Manish Singhvi, P.V. Yogeswaran, Jaswant Perraya for the 
Respondent. 
The Judgment of the Court was delivered by 
/ 
BIMLESH & ORS. v. NEW INDIA ASSURANCE CO. 
607 
LTD. 
Β· Β·Β· , Β· R:M. LODHA, J. 1. The claimants are in appeal by special 
A 
leave aggrieved by the judgment and order dated October 1, 
2002 of the High Court for the States of Punjab and Haryana 
atChandigarh. The High Court by the said order, set aside the 
order dated August 7, 2001 of the Motor Accident Claims 
Tribunal, Gurgaon, (for short, 'the Claims Tribunal') and held that 
B 
claim petition filed by the claimants under Section 163-A of the 
Motor Vehicles Act, 1988 (for short, 'Act, 1988') was not 
maintainable against the respondent-New India Assurance 
Company Ltd. (for short, 'the Insurance Company'). 
Β· 2. Hiri Bhagwan was the registered owner of a Jeep 
C 
bearing No. HR-26-G-0179 which was being used as a 
Maxicab. The said vehicle was insured with the Insurance 
Company for the period from August 30, 1999 to August 29, 
2000. He himself used to drive that vehicle. An accident 
occurred on August 15, 2000; Siri Bhagwan while driving the 
D 
said vehicle on Rewari-Pataudi Road, to save a dog, hit a tree 
Β·and died. His wife and children-the appellants herein filed a 
claim petition under Section 163-A of the Act, 1988 before the 
Claims Tribunal against the Insurance Company claiming 
compensation in the sum of Rs. 10 lakhs. The Insurance 
E 

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