06 March 2018
Supreme Court
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JAGDISH KUMAR SOOD Vs UNITED INDIA INSURANCE CO.LTD.

Bench: HON'BLE THE CHIEF JUSTICE, HON'BLE MR. JUSTICE A.M. KHANWILKAR, HON'BLE DR. JUSTICE D.Y. CHANDRACHUD
Judgment by: HON'BLE DR. JUSTICE D.Y. CHANDRACHUD
Case number: C.A. No.-000240-000240 / 2017
Diary number: 33351 / 2015
Advocates: ANIS AHMED KHAN Vs DEBASIS MISRA


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IN THE SUPREME COURT OF INDIA  CIVIL APPELLATE JURISDICTION  

 CIVIL APPEAL NO   240    OF 2017   

 

JAGDISH KUMAR SOOD              ..Appellant   

 

VERSUS  

 

UNITED INDIA INSURANCE CO. LTD.   AND ORS             ..Respondents  

 

 

J U D G M E N T  

 

Dr D Y CHANDRACHUD, J  

 

1 The Motor Accident Claims Tribunal allowed a claim for compensation  

filed by the third respondent. The claim arose from the death of the husband of  

the claimant on 4 January 2009 as a result of an accident caused by a collision  

with an offending truck.  The Tribunal awarded an amount of Rs 4,08,000  

together with interest at 6 per cent per annum.  In an appeal filed by the third  

respondent the High Court enhanced the compensation to Rs 8,04,000.   

Interest @ 7.5 per cent per annum was awarded on the enhanced  

compensation.    

REPORTABLE

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2 The Tribunal absolved the insurer on the ground that the vehicle involved  

in the accident was a Light Goods Vehicle.  The driver had a licence to drive  

the Light Motor Vehicle.  The Tribunal held that in the absence of a specific  

authorization to drive a transport vehicle, the liability could not be fastened on  

the insurer.  The Tribunal directed the insurer to pay in the first instance and  

allowed it to recover the compensation from the driver and the owner.  The  

present appeal has been filed by the owner.   

 

3 The High Court, while enhancing the compensation did not interfere with  

the order of the Tribunal absolving the insurer.   

 

4 The issue which arises before the Court is not res integra and is covered  

by a judgment of a three Judges of this Court in Mukund Dewangan v Oriental  

Insurance Company Limited1  in which it has been inter alia held as follows:  

“60.1. “Light motor vehicle” as defined in Section 2(21) of  

the Act would include a transport vehicle as per the weight  

prescribed in Section 2(21) read with Sections 2(15) and  

2(48). Such transport vehicles are not excluded from the  

definition of the light motor vehicle by virtue of Amendment  

Act 54 of 1994.” (Id at page 709)  

 

“60.2. A transport vehicle and omnibus, the gross vehicle  

weight of either of which does not exceed 7500 kg would be  

a light motor vehicle and also motor car or tractor or a  

roadroller, “unladen weight” of which does not exceed 7500  

kg and holder of a driving licence to drive class of “light  

motor vehicle” as provided in Section 10(2)(d) is competent  

to drive a transport vehicle or omnibus, the gross vehicle  

                                                           1 (2017) 14 SCC 663

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weight of which does not exceed 7500 kg or a motor car or  

tractor or roadroller, the “unladen weight” of which does not  

exceed 7500 kg. That is to say, no separate endorsement  

on the licence is required to drive a transport vehicle of light  

motor vehicle class as enumerated above. A licence issued  

under Section 10(2)(d) continues to be valid after  

Amendment Act 54 of 1994 and 28-3-2001 in the form.” (Id  

at page 710)  

 

5 Having regard to the above position, the Civil Appeal will have to be  

allowed.   

 

6 The appeal is allowed, the order of the Tribunal absolving the insurer  

shall accordingly stand set aside. The liability shall jointly and severally be  

fastened on the insurer, in addition to the owner and driver.  There shall be no  

order as to costs.   

 ...........................................CJI  

               [DIPAK MISRA]        

                                                    ...........................................J                  [A M KHANWILKAR]        

                                                    ...........................................J                  [Dr D Y CHANDRACHUD]    New Delhi;  March 06, 2018