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Andhra High Court · body

2006 DIGILAW 1077 (AP)

SHERIFA BEEVI v. KOMU

2006-09-06

KURIAN JOSEPH

body2006
KURIAN JOSEPH, J. ( 1 ) WHETHER a petition filed under section 163-A of the Motor Vehicles Act can be permitted to be amended to be one under sections 140 and 166 is the question to be considered in this writ petition. There are related issues as well. Petitioners are the claimants in O. P. (M. V.) No. 2006/1995 on the file of the Motor Accidents Claims tribunal, Kozhikode and the respondents herein are the respondents therein. The claim petition was filed for compensation on account of the death of the elder son of the first petitioner and brother of petitioners 2 to 7. The accident took place on 13th May, 1995. The claim petition was filed, according to the averments in the writ petition, under Section 163-A of the Motor Vehicles act, 1988. It is the contention of the petitioners that proceedings were thus instituted hoping to have expeditious disposal of the case. Finding that even after four years the matter could not be disposed off, they filed an interlocutory application for amending the petition to one under Section 166 of the act -. A. No. 1633/1998. A prayer under section 140 was also sought to be added in the process. By the impugned order dated 10th September, 1999 the Tribunal dismissed the application holding that once having exercised an option to file a petition under section 163-A of the Act a further option under Section 140 cannot be made. It was also held that if such an attempt is allowed, a clever claimant may first file a petition under Section 140, get the compensation and then switch over to Section 163-A and thus avail the benefit of both the provisions, which is against the spirit of Section 163-B. It is the contention of the petitioners that in view of Section 395 of the Act whereby rules 16 to 18 of Order VI having been made applicable to the proceedings before the tribunal, the application should have been allowed. ( 2 ) IN order to appreciate the contentions taken by the parties, it is necessary to advert to the relevant statutory provisions. Rules 16 to 18 of Order VI of the Civil procedure Code read as follows: "16. ( 2 ) IN order to appreciate the contentions taken by the parties, it is necessary to advert to the relevant statutory provisions. Rules 16 to 18 of Order VI of the Civil procedure Code read as follows: "16. Striking out pleadings:- The Court may at any stage of the proceedings order to be struck out or amended any matter in any pleading- (a) which may be unnecessary, scandalous, frivolous or vexatious, or (b) which may tend to prejudice, embarrass or delay the fair trial of the suit, or (c) which is otherwise an abuse of the process of the Court. " "17. Amendment of pleadings:- The Court may at any stage of the proceedings allow either party to alter or amend his pleadings in such manner and on such terms as may be just, and all such amendments shall be made as may be necessary for the purpose of determining the real question in controversy between the parties. Provided that no application for amendment shall be allowed after the trial has commenced unless the Court comes to the conclusion that in spite of due diligence, the party could not have raised the matter before the commencement of trial. " "18. Failure to amend after order:- If a party who has obtained an order for leave to amend does not amend accordingly within the time limited for that purpose by the order, or if no time is thereby limited then within fourteen days from the date of the order, he shall not be permitted to amend after the expiration of such limited time as aforesaid or of such fourteen days, as the case may be, unless the time is extended by the court. " Section 140 of the Motor Vehicles Act read as follows: "140. Liability to pay compensation in certain case on the principle of no fault: - (1) where death or permanent disablement of any person has resulted from an accident arising out of the use of a motor vehicle or motor vehicles, the owner of the vehicle shall, or, as the case may be, the owners of the vehicles shall, jointly and severally, be liable to pay compensation in respect of such death or disablement in accordance with the provisions of this section. " (2) The amount of compensation which shall be payable under sub-section (1) in respect of the death of any person shall be a fixed sum of fifty thousand rupees and the amount of compensation payable under that sub-section in respect of the permanent disablement of any person shall be a fixed sum of twenty five thousand rupees. (3) In any claim for compensation under sub-section (1), the claimant shall not be required to plead and establish that the death or permanent disablement in respect of which the claim has been made was due to any wrongful Act, neglect or default of the owner or owners of the vehicle or vehicles concerned or of any other person. (4) A claim for compensation under sub-section (1) shall not be defeated by reason of any wrongful act, neglect or default of the person in respect of whose death or permanent disablement the claim has been made nor shall the quantum of compensation recoverable in respect of such death or permanent disablement be reduced on the basis of the share of such person in the responsibility for such death or permanent disablement. " (5) Notwithstanding anything contained in sub-section (2) regarding death or bodily injury to any person, for which the owner of the vehicle is liable to give compensation for relief, he is also liable to pay compensation under any other law for the time being in force: provided that the amount of such compensation to be given under any other law shall be reduced from the amount of compensation payable under this Section or under Section 163-A. " Section 141 reads as follows: 141. Provisions as to other right to claim compensation for death or permanent disablement: (1) The right to claim compensation under section 140 in respect of death or permanent disablement of any person shall be in addition to any other right, except the right to claim under the scheme referred to Section 163-A (Such other right hereafter) (in this section referred to as the right on the principle of fault) to claim compensation in respect thereof under any other provision of this Act or of any other law for the time being in force. (2) A claim for compensation under section 140 in respect of death or permanent disablement of any person shall be disposed off as expeditiously as possible and where compensation is claimed in respect of such death or disablement under section 140 and also in pursuance of any right on the principle of fault, the claim for compensation under section 140 shall be disposed off as aforesaid in the first place. (3) Notwithstanding anything contained in sub-section (1) where in respect of the death or permanent disablement of any person, the person liable to pay compensation under Section 140 is also liable to pay compensation in accordance with the right on the principle of fault, the person so liable shall pay the first mentioned compensation; and: (a) if the amount of the first mentioned compensation is less than the amount of the second mentioned compensation, he shall be liable to pay (in addition to the first mentioned compensation) only so much of the second mentioned compensation as is equal to the amount by which it exceeds the first mentioned compensation; (b) if the amount of the first mentioned compensation is equal to or more than the amount of the second mentioned compensation, he shall not be liable to pay the second mentioned compensation. Section 163-A reads as follows: "163-A. Special provisions as to payment of compensation on Structured Formula basis:- (1) Notwithstanding anything contained in this Act or in any other law for the time being in force or instrument having the force of law, the owner of the motor vehicle or the authorised insurer shall be liable to pay in the case of death or permanent disablement due to accident arising out of the use of motor vehicle, compensation as indicated in the second Schedule, to the legal heirs or the victim, as the case may be. Explanation: For the purposes of this sub-section, "permanent disability" shall have the same meaning and extent as in the Workmen's Compensation act, 1923. (2) In any claim for compensation under sub-section (1), the claimant shall not be required to plead or establish that the death or permanent disablement in respect of which the claim has been made was due to any wrongful act or neglect or default of the owner of the vehicle or vehicles concerned or of any other person. (2) In any claim for compensation under sub-section (1), the claimant shall not be required to plead or establish that the death or permanent disablement in respect of which the claim has been made was due to any wrongful act or neglect or default of the owner of the vehicle or vehicles concerned or of any other person. (3) The Central Government may, keeping in view the cost of living by notification in the Official Gazette, from time to time amend the Second schedule. " Section 163-B reads as follows: "163-B. Option to file claim in certain cases:- When a person is entitled to claim compensation under Section 140 and section 163-A he shall file the claim under either of the said Sections and not under both. " Section 166 reads as follows: "166. Application for compensation:- (1) an application for compensation arising out of an accident of the nature specified in sub-section (1) of section 165 may be made - (a) by the person who has sustained the injury; or (b) by the owner of the property; or (c) where death has resulted from the accident, by all or any of legal representatives of the deceased ; or (d) by any agent duly authorised by the person injured or all or any or the legal representatives of the deceased, as the case may be: provided that where all the legal representatives of the deceased have not joined in any such application for compensation, the application shall be made on behalf of or for the benefit of all the legal representatives of the deceased and the legal representatives who have not so joined, shall be impleaded as respondents to the application. (2) Every application under sub-section (1) shall be made, at the option of the claimant, either to the claims Tribunal having jurisdiction over the area in which the accident occurred or to the Claims Tribunal within the local limits of whose jurisdiction the claimant resides or carries on business or within the local limits of whose jurisdiction the defendant resides, and shall be in such form and contain such particulars as may be prescribed: provided that where no claim for compensation under Section 140 is made in such application, the application shall contain a separate statement to that effect immediately before the signature of the applicant. (3) xxx xxx xxx (4) The Claims Tribunal shall treat any report of accidents forwarded to it under sub-section (6) of Section 158 as an application for compensation under this Act. " Section 167 reads as follows: "167. Option regarding claims for compensation in certain cases:- notwithstanding anything contained in the Workmen's Compensation act, 1923 (8 of 1923), where the death of, or bodily injury to, any person gives rise to claim for compensation under this Act and also under the Workmen's compensation Act, 1923, the person entitled to compensation may without prejudice to the provisions of Chapter X claim such compensation under either of those Acts but not under both. " ( 3 ) MANY of the questions with regard to the interpretation of Sections 140, 163-A, 166 and 167 have been dealt with recently by the supreme Court in Deepal Girishbhai Soni v. United India Insurance Co. Ltd. It has been held therein that payment of the amount of Rs. 50,000/- in the case of death and rs. 25,000/- in the case of permanent disability in terms of Section 140 of the Act is ad hoc in nature and that such compensation is without prejudice to and in addition to any other compensation under Section 166 of the act or any other law under which an applicant is entitled to compensation, Of course in view of the bar under Section 167, except to the extent of exclusion as above, a claimant is entitled to pursue the claim either under the Motor Vehicles Act or under the workmen's Compensation Act, but not under both. A claim under Section 140 in the case of death and perma'nent disability for compensation of Rs. 50,000/- or Rs. 25,000/- as the case may be and the claim under section 163-A for compensation under the structured formula will not go together. They are mutually exclusive in view of the specific bar under Section 163-B of the Act. Once a claim under Section 163-A has been made, there cannot be a claim under Section 166 of the Act or vice versa since the award under either Section is in full and final settlement of all the claims under the Act. They are mutually exclusive in view of the specific bar under Section 163-B of the Act. Once a claim under Section 163-A has been made, there cannot be a claim under Section 166 of the Act or vice versa since the award under either Section is in full and final settlement of all the claims under the Act. To quote from paragraph 51 of the judgment of the Supreme court referred to above: "the scheme envisaged under section 163-A, in our opinion, leaves no manner of doubt that by reason thereof the rights and obligations of the parties are to be determined finally. The amount of compensation payable under the aforementioned provisions is not to be altered or varied in any other proceedings. It does not contain any provision providing for set off against a higher compensation unlike section 140. " Again to quote from paragraph 57: "we therefore, are of the opinion that remedy for payment of compensation both under Sections 163-A and 166 being final and independent of each other a statutorily provided, a claimant cannot pursue his remedies thereunder simultaneously. One thus, must opt/elect to go either for a proceeding under section 163-A or under Section 166 of the Act, but not under both. " It has also been held that once a claim has been considered and compensation granted under Section 163-A of the Act, the Parliament has not intended to grant any additional compensation under the provisions of the motor Vehicles Act. ( 4 ) HOWEVER, there is still one grey area left. Can a claimant under Section 140 or section 163-A claim compensation under the provisions of any law other than the motor Vehicles Act? The indication in the proviso under Section 140 would give an answer in the affirmative. Under the said proviso, the amount of compensation to be given under any other law should be reduced from the amount of compensation payable either under Section 140 or under section 163-A. But in view of specific exclusion only of Chapter X under section 167, it is clear that once a claim has been granted under Section 163-A, there shall not be any further claim under the provisions of the Workmen's Compensation Act, 1923. The only possibility where the claim could be pursued under both Acts is under Chapter x comprising of Sections 140 to 144 and the workmen's Compensation Act. The only possibility where the claim could be pursued under both Acts is under Chapter x comprising of Sections 140 to 144 and the workmen's Compensation Act. In other words, after obtaining compensation either under Section 163-A or under Section 166 of the Motor Vehicles Act, there shall not be any further claim under the provisions of the workmen's Compensation Act. However, after receiving compensation under section 140 of the Motor Vehicle Act, a claim can be pursued under the provisions of the workmen's Compensation Act, 1923, in view of the saving clause under Section 141 readwith Section 167. That would also give a clear indication that independent of section 166 a claim under Section 140 is maintainable before the Motor Accidents claims Tfibunal. In other words, the claimant is entitled to file a petition under section 140 alone and thereafter either during the pendency thereof or after receipt of compensation, he is free to file a petition under Section 166 of the Act before the Tribunal or approach the Workmen's. Compensation Commissioner under the provisions of the Workmen Compensation act. But the amount received under section 140 would have to be duly adjusted against the compensation to be received under the latter situations. Same is the situation when compensation is received under Section 163-A of the Motor Vehicles act under any other law except the workmen's Compensation Act. ( 5 ) THE further question to be considered is regarding the possibility of an amendment of a petition filed under Section 163-A. The statutory bar is only in pursuing a claim under both provisions, Sections 140 and 163-A and of course under Sections 163-A and 166. As far as the former situation of sections 140 and 163-A is concerned, the same is to be excluded, apparently in view of the amount of compensation stipulated under both Sections. Under Section 140, in the case of death, the no-fault compensation payable is Rs. 50,000/ -. It has to be noted that both Sections 140 and 163-A deal with situations of death and permanent disablement only. Under the Structured formula as provided under Section 163-A in the case of death the stipulated amount under Note 2 to the Second Schedule as per section 163-A is minimum Rs. 50,000/- Note 2 reads as follows: "amount of compensation shall not be less than Rs. 50,000/ -. Under the Structured formula as provided under Section 163-A in the case of death the stipulated amount under Note 2 to the Second Schedule as per section 163-A is minimum Rs. 50,000/- Note 2 reads as follows: "amount of compensation shall not be less than Rs. 50,000/ -. " thus to have a purposive and meaningful interpretation of the provisions, the bar under section 163-B that claimant "shall file the claim either under Section 140 or under section 163-A" should be understood to mean that a claim for compensation that is pursued and maintained should be either under section 140 or Section 163-A in one situation and in the other situation under Section 163-A or Section 166. In that view of the matter, a claimant in an application under Sec. 163-A of the Motor Vehicles Act is certainly entitled to amend the claim to be one under sections 140 and 166. The bar is only that there cannot be simultaneous claim under sections 140 and 163-A or Section 163-A and 166. In the instant case the application for amendment is to amend a petition filed under section 163-A to one under Section 140 readwith Section 166. Under law, as already stated above, the claimants are certainly entitled to such an amendment since the same is permissible under Section 395 of the act read with Rule 17 of Order VIC. P. C. ,and readwith Sections 140, 163-A, 163-B and 166 of the Motor Vehicles Act. Accordingly the Original Petition is allowed. Ext. P-3 order is set aside. There will be a direction to the Motor Accidents Claims tribunal, Kozhikode to consider Ext. P-6 application afresh and pass a proper order. - .