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2003 DIGILAW 953 (RAJ)

New India Assurance Company Ltd. , Jodhpur v. LR’S of Shankar Lal

2003-07-14

O.P.BISHNOI, RAJESH BALIA

body2003
JUDGMENT 1. - Mr. Kawadiya appears for respondent No. 1/4. Service is complete. 2. Heard learned counsel for the parties. 3. The question raised in this appeal is about the liability of the Insurance company to indemnify the insurer in respect of gratuitous passenger travelling in goods vehicle. The Motor Accident Claims Tribunal passed the award in respect of such gratuitous passenger only against owner and the driver of the vehicle but did not pass any order holding the Insurance Company liable for making the payment to the claimants. 4. Aggrieved with the order of the Motor Accident Claims Tribunal the owner of the vehicle the respondent No. 1 since deceased and respondent is No. 2 preferred the appeal before this Court against the said award dated 16.1.1998 as S.B. Civil Misc. Appeal No. 317/1998. 5. The learned Single Judge vide its judgment dated 11.7.2001 allowed the appeal following the decision of the Supreme Court in New India Insurance Company v. Satpal & Ors., 2000 WLC (SC) (Civil) 40 and held the Insurance company liable to indemnify the insured even in case of compensation payable to gratuitous passenger travelling in the truck. 6. It is now common ground between the learned counsel for the parties that since the Satpal Singh's case (supra) has been over-ruled by the Supreme Court in New India Assurance Company Ltd. v. Asha Rani, AIR 2003 SC 607 expressly, the judgment under appeal cannot be sustained. 7. In view of the aforesaid decision of the Hon'ble Supreme Court that insurer would not be liable to pay compensation for gratuitous passengers travelling in truck and would not be liable even for payment of compensation to owner of the goods or his authorised representatives carrying goods vehicle prior to amendment in 1994, this appeal must succeed. 8. Accordingly, the appeal is allowed. The judgment under appeal is set aside. The award passed by the Tribunal is restored.No order as to costs.Appeal Allowed. *******