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[Cites 9, Cited by 0]

Gujarat High Court

Patel Kailasben Upendrabhai vs Natubhai Madhabhai Solanki on 13 July, 2018

Author: R.M.Chhaya

Bench: R.M.Chhaya

          C/FA/2852/2017                                       JUDGMENT



            IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

                           R/FIRST APPEAL NO. 2852 of 2017


FOR APPROVAL AND SIGNATURE:


HONOURABLE MR.JUSTICE R.M.CHHAYA

==========================================================
1     Whether Reporters of Local Papers may be allowed to
      see the judgment ?

2     To be referred to the Reporter or not ?

3     Whether their Lordships wish to see the fair copy of the
      judgment ?

4     Whether this case involves a substantial question of law
      as to the interpretation of the Constitution of India or any
      order made thereunder ?

==========================================================
                           PATEL KAILASBEN UPENDRABHAI
                                       Versus
                           NATUBHAI MADHABHAI SOLANKI
==========================================================
Appearance:
MR J N BAROT(7730) for the PETITIONER(s) No. 1,2,3,4
MR UMANG H OZA(2440) for the PETITIONER(s) No. 1,2,3,4
MR SUNIL B PARIKH(582) for the RESPONDENT(s) No. 2
RULE SERVED(64) for the RESPONDENT(s) No. 1
==========================================================
    CORAM: HONOURABLE MR.JUSTICE R.M.CHHAYA
                       Date : 18/07/2018
                       ORAL JUDGMENT

1. By this appeal under Section 173 of the Motor  Vehicles Act, 1988 (hereinafter referred to as  "the Act"), the appellants have challenged the  judgment and award dated 25.10.2016 passed by  the   MACT   (Aux.),   Mehsana   at   Visnagar   in   MACP  no.474 of 2012.

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C/FA/2852/2017 JUDGMENT

2. The   facts   as   per   the   record   of   the   appeal  reveal   that   one   Upendra   Nanalal   Patel   was  travelling   in   a   tempo   bearing   registration  no.GJ­2   Y­4629   loaded   with   grapes   to   be  delivered   at   Nadiad   with   his   driver   and   when  the tempo reached Saputara­Shamgaman road, Nr.  Ghat of Malegaon Toll, the break of the tempo  failed and the steering got jammed as a result  of   which,   the   tempo   turned   turtle.   The  deceased   fell   down   and   received   serious  injuries   and   ultimately,   succumbed.   Record  indicates   that   the   deceased   was   the   owner   of  the   tempo   and   was   aged   about   55   years.   A  complaint came to be filed with the police at  Exh.24. Inquest Panchnama was also prepared at  Exh.26 and Panchnama of the accident was also  prepared   at   Exh.25.   The   appellants   are   the  original claimants i.e. heirs of the deceased.  The   original   claimants   filed   the   claim  petition   under   Section   166   of   the   Act   and  claimed compensation of Rs.6 lacs. 

3. The   original   claimants   adduced   oral   evidence  at Exh.21 and also produced the aforementioned  documentary   evidence   as   well   as   other  evidence,   such   as,   R.C.   book   of   the   tempo,  driving   licence   Exh.28,   R.C.   Book   at   Exh.29,  income­tax returns of 4 years being Exhs.39 to  44 and claimed that the deceased was hale and  Page 2 of 10 C/FA/2852/2017 JUDGMENT hearty   and   was   earning   Rs.7,000/­   per   month  and thus, claimed the compensation. On notice  being   issued,   the   insurance   Company   appeared  before   the   Tribunal   and   filed   a   written  statement   at   Exh.17   and   contended   that   the  respondent ­ insurance Company cannot be held  liable   and   that   the   Tribunal   cannot   pass   an  order   of   compensation   and   contended   that   the  deceased was owner of the tempo and he is not  included   in   the   insurance   policy   and  therefore,  the  respondent  ­ insurance  Company  is   not   liable   to   pay   compensation.   Relying  upon the decisions of the Hon'ble Apex Court,  it was contended by the insurance Company that  the deceased was not a third party and as per  the policy, only third party risk was covered.  It is contended that as provided under Section  147   of   the   Act,   the   respondent   ­   insurance  Company   does   not   owe   any   liability   towards  injuries suffered by the deceased who was the  owner   of   the   offending   vehicle.   It   is  contended   that   as   the   insurance   policy   was   a  statutory policy, it did not cover the risk of  death   or   bodily   injury   to   an   owner   and  therefore,   the   claim   petition   is   not  maintainable.   The   Tribunal,   by   the   impugned  judgment   and   award,   came   to   the   conclusion  that   the   accident   occurred   due   to   rash   and  negligent driving on the part of the driver of  the   offending   vehicle.   However,   considering  Page 3 of 10 C/FA/2852/2017 JUDGMENT the proposition that as a matter of fact, the  deceased   was   himself   owner   of   the   offending  vehicle, the risk of his death is not covered  by   the   policy   and   therefore,   was   pleased   to  reject the claim petition. Being aggrieved by  the   said   judgment   and   award,   the   original  claimants have preferred this appeal. 

4. Heard   Mr.   Umang   H.   Oza,   learned   advocate   for  the   appellants   and   Mr.   Sunil   Parikh,   learned  advocate   for   respondent   no.2.   Though   served,  no one appears for respondent no.1. 

5. Considering the issue involved in this appeal  and   with   consent   of   the   learned   advocates  appearing   for   the   respective   parties,   this  appeal   is   taken   up   for   final   disposal  forthwith. 

6. The   learned   advocates   appearing   for   the  respective   parties   have   also   produced  photocopies   of   the   relevant   evidence   which  were   adduced   before   the   Tribunal   for   perusal  of this Court. 

7. Mr.   Umang   Oza,   learned   advocate   for   the  appellants   contended   that   the   Tribunal   has  wrongly came to the conclusion that the policy  is   an   affected   policy   and   that   the   insurance  Company   owes   no   liability   towards   injuries  Page 4 of 10 C/FA/2852/2017 JUDGMENT suffered   by   the   deceased   only   because   he   was  the owner of the vehicle. It is contended that  the Tribunal has seriously erred in rejecting  the   claim   petition   without   assigning   any  reasons. It is also contended that the policy  also   covered   the   legal   liability   of   the  passengers   other   than   the   driver   (8   persons)  and   therefore,   the   respondent   ­   insurance  Company   has   also   charged   special   premium   for  the   same.   It   is   contended   that   thus,   by   not  appreciating   the   aforesaid   facts,   gross  injustice has been meted out to the claimants  by   not   believing   the   said   policy.   On   the  aforesaid   grounds,   it   is   contended   that   the  appeal   deserves   to   be   allowed   as   prayed   for  and   the   appropriate   compensation   needs   to   be  awarded   to   the   appellants   ­   original  claimants. 

8. Per contra, Mr. Sunil Parikh, learned advocate  for respondent no.2 has supported the impugned  judgment   and   award.   It   is   contended   that   the  Tribunal has committed no error much less any  error   on   facts   of   the   case   and   has   rightly  appreciated   the   evidence   on   record   and   has  rightly interpreted the policy. It is further  contended that it is an admitted position that  the   deceased   was   the   owner   of   the   offending  vehicle   and   the   Tribunal   has   rightly   came   to  the conclusion that the insurance policy was a  Page 5 of 10 C/FA/2852/2017 JUDGMENT statutory   policy   and   hence,   it   did   not   cover  the   risk   of   death   or   bodily   injury   of   an  owner.   It   is   further   contended   that   the  deceased   cannot   be   termed   as   third   party   and  considering   the   provisions   of   the   Act,   the  Tribunal   has   rightly   rejected   the   claim  petition as the respondent ­ insurance Company  is   not   liable   to   indemnify   the   owner   of   the  offending vehicle. Mr. Parikh relied upon the  judgments   of   the   Hon'ble   Apex   Court   reported  in  (2004)   8   SCC   553,   2007   ACJ   818,   2007   ACJ  721, (2013) 14 SCC 719, 2017 ACJ 1800 and 2017  (2)   GLR   1100  to   buttress   his   argument.   Mr.  Parikh, on the aforesaid basis, contended that  the appeal is meritless and the same deserves  to be dismissed. 

9. No   other   or   further   contentions   and/or  submissions are made by the learned advocates  appearing for the respective parties. 

10. Upon   considering   the   submissions   made   and   on  considering   the   reasonings   given   by   the  Tribunal   and   on   perusal   of   the   relevant  evidence, it is an admitted position that the  deceased   was   the   owner   of   the   offending  vehicle   i.e.   tempo   bearing   registration   no.  GJ­2   Y­4629.   It   is   evident   from   the   impugned  judgment   and   award   that   the   Tribunal   has  threadbare considered the aforesaid aspect and  Page 6 of 10 C/FA/2852/2017 JUDGMENT the   reasonings   of   the   Tribunal   are   based   on  binding decisions of the judgments rendered by  the   Hon'ble   Apex   Court   in   view   of   the   fact  that   the   deceased   was   the   owner   of   the  offending vehicle the insurance policy did not  cover liability towards personal injury to the  insured   and   as   provided   under   Section   147   of  the   Act,   risk   for   death   or   bodily   injury   to  the   owner   of  the   vehicle   is  not   covered.   The  Hon'ble Apex Court in the case of Dhanraj Vs.  New India Assurance Co. Ltd. & Anr., (2004) 8  SCC 553 has observed thus:­  "8. Thus, an insurance policy covers  the   liability   incurred   by   the  insured   in   respect   of   death   of   or  bodily   injury   to   any   person  (including   an owner  of the  goods  or  his   authorized   representative)  carried  in the  vehicle  or damage   to  any property of a third party caused  by or arising out of the use of the  vehicle.   Section   147   does   not  require   an   Insurance   Company   to  assume   risk   for   death   or   bodily  injury to the owner of the vehicle.

9. In   the   case   of   Oriental  Insurance   Co.   Ltd.   Vs.   Sunita   Rathi  &   Ors.   [1998   ACJ   121]   it   has   been  held   that   the   liability   of   an  Insurance   Company   is   only   for   the  purpose   of   indemnifying   the   insured  against liabilities incurred towards  third   person   or   in   respect   of  damages to property. Thus, where the  insured i.e. an owner of the vehicle  has   no   liability   to   a   third   party  Page 7 of 10 C/FA/2852/2017 JUDGMENT the   Insurance   Company   has   no  liability also.

10. In   this   case,   it   has   not   been  shown   that   the   policy   covered   any  risk   for   injury   to   the   owner  himself. We are unable to accept the  contention   that   the   premium   of  Rs.4,989/­   paid   under   the   heading  "Own   damage"   is   for   covering  liability   towards   personal   injury.  Under   the   heading   "Own   damage",   the  words   "premium   on   vehicle   and   non­ electrical   accessories"   appear.   It  is   thus   clear   that   this   premium   is  towards   damage   to   the   vehicle   and  not for injury to the person of the  owner.   An   owner   of   a   vehicle   can  only   claim   provided   a   personal  accident   insurance   has   been   taken  out. In this case, there is no such  insurance."

11. The Hon'ble Apex Court in the case of National  Insurance Co. Ltd. Vs. Laxmi Narain Dhut, 2007  ACJ 721 has taken a similar view.

12. At this juncture, it would also be appropriate  to   refer   to  the  judgment   of  the   Hon'ble  Apex  Court   in   National   India   Assurance   Company  Limited Vs. Prabha Devi & Ors., (2013) 14 SCC  719,   wherein   considering   the   judgment   of   the  Hon'ble   Apex   Court   in   the   case   of   Dhanraj  (supra), in similar facts and circumstances of  the   case,   has   held   that   since   the   deceased  himself   was   the   insurer   as   well   as   owner   of  the   vehicle,   no   amount   of   compensation   could  Page 8 of 10 C/FA/2852/2017 JUDGMENT have   been   awarded   to   the   original   claimants.  This Court in the case of Iffco Tokio General  Insurance   Company   Ltd.   Vs.   Deepakbhai  Bhikhabhai Patel, 2017 (2) GLR 1100 has, after  considering   the   plethora   of   judgments   of   the  Hon'ble Apex Court, observed thus:­  "8. Taking   into   consideration   the  rival   submissions   made   by   learned  advocates   for   both   the   sides,   ratio  laid   down   in   the   above   referred  decisions   by   the   Honourable   Apex  Court in light of the peculiar facts  and   circumstances   of   the   case,  indisputably,   the   claimant   himself  stands   as   registered   owner   and   he  himself   was   driving   the   offending  vehicle   as   well   as   he   himself   has  preferred  the claim petition  against  his   own   insurance   Company   claiming  compensation   for   injuries   sustained  by him and resultant damages suffered  by him. Indisputably, the claimant is  not   the   third   party.   He   is   insured  and the respondent  insurance  Company  is the insurer.

Chapter XI of the Act makes the  provision   for   insurance   of   the  motor   vehicle   against   the   third  party   risk   and   the   statute   has  made   it   compulsory   for   securing  the risk of the third party and  in   the   case   on   hand,   if   the  injury   or   damage   is   suffered   by  the   third   party,   then   the   third  party can claim and maintain the  claim   petition   before   the   Motor  Accident   Claims   Tribunal  constituted   under   the   said  Chapter."

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C/FA/2852/2017 JUDGMENT

13. In   the   case   on   hand   also,   it   is   an   admitted  position   that   the   deceased   was   the   owner   of  the   offending   vehicle   bearing   tempo   no.   GJ­2  Y­4629   and   therefore,   the   deceased   cannot   be  considered to be a third party. 

14. The contention raised by the learned advocate  for   the   appellant   that   the   personal   accident  coverage   was   also   there   in   the   policy   also;  however,   on   that   ground   also,   the   claim  petition   cannot   be   maintained   by   the  appellants   in   form   of   a   claim   petition   under  Section 166 of the Act. As held by this Court,  in Iffco Tokio General Insurance Company Ltd.  (supra),   such   liability,   if   any,   arises   by  virtue   of   the   terms   of   the   contract   and   in  case if there is any breach of the same, the  party   to   the   contract   can   avail   legal   remedy  either   before   the   competent   Civil   Court   or  before the Consumer Forum.

15. Consequently,   the   judgment   and   award   of   the  Tribunal   dated   25.10.2016   deserves   to   be  confirmed.   The   appeal   therefore   fails   and   is  hereby   dismissed.   However,   there   shall   be   no  order as to costs.

(R.M.CHHAYA, J) MAULIK R. PANDYA Page 10 of 10