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Madhya Pradesh High Court · body

2000 DIGILAW 924 (MP)

Oriental Insurance Co. Ltd. v. Vimla Barole

2000-08-29

V.K.AGARWAL

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JUDGMENT This appeal is directed against the award under section 110 A of the Motor Vehicles Act, 1939 (hereinafter referred to as the Act for short) dated 19.9.1994 in MCC No. 125 of 1984 by VIth Additional, Motor Accidents Claim Tribunal, Bhopal granting compensation of Rs. 65,000/in favour of respondents-claimants 1 to 4. Indisputably, deceased Dayaram Barola died in a motor accident on 13.7.1984. At the time of the accident, the deceased was traveling by Tempo No. MPD 7590 The said Tempo collided with Tempo No. MBC 7826 The learned Tribunal, after assessment and scrutiny of evidence, held that the accident occurred on account of rash and negligent driving of tempo No. MBC 7826 by its driver Rashid, respondent No.6 herein. The said tempo was admittedly owned by respondent No.5 Ashok Kumar and insured by the appellant, Oriental Insurance Company. The claimants-respondents 1 to 4 are 'indisputably the legal representatives of deceased Dayaram Barole. They had claimed compensation on account of the death of deceased Dayaram Barole in the accident as above. The learned Tribunal, after assessment of the evidence, awarded an amount of Rs. 65,000/- as compensation in favour of the claimants respondents 1 to 4. Respondents No.5 & 6 and the appellant, i.e. driver, owner and the insurer of the offending vehicle MBC 7826 were held to be jointly and severally liable for payment of the amount of award as above. The learned counsel for the appellant-insurer has only urged that in view of section 95(2) (b) (i) of the Act, the liability of the appellant shall be limited to Rs. 50,000/- and, therefore, the direction of the learned Tribunal for payment of the whole of the amount of award of Rs. 65,000/by the appellant deserves modification to the above extent. The contention as above appears to be justified in view of the limit of liability placed by the Act on the insurer. In view of the above, the appeal is partly allowed. The impugned award is modified and though the amount of compensation as awarded by the Tribunal and also the direction for payment of interest are maintained, but it is directed that the appellant shall only be liable jointly and severally with respondents No. 5 & 6 to pay the amount of Rs. 50,000/- from out of the awarded amount. The liability of payment of the remaining amount of Rs. 50,000/- from out of the awarded amount. The liability of payment of the remaining amount of Rs. 15,000/- shall be jointly and severally, of respondents No.5 & 6. The other terms of the impugned award shall remain undisturbed.