Section 7 in Tamil Nadu Requisitioning of Motor Vehicles Act, 1970
7. Principles and method of determining compensation.
(1)Where any motor vehicle is requisitioned under this Act, there shall be paid compensation the amount of which shall be determined in the manner and in accordance with the principles hereinafter set out, that is to say, -(a)where the amount of compensation can be fixed by agreement, it shall be paid in accordance with such agreement;(b)where no such agreement can be reached, the Government shall appoint as arbitrator a person who is, or has been or is qualified for appointment as, a Judge of a High Court;(c)the Government may, in any particular case, nominate a person having expert knowledge as to the nature of the motor vehicle requisitioned to assist the arbitrator and where such nomination is made, the person to be compensated may also nominate an assessor for the same purpose;(d)at the commencement of the proceedings before the arbitrator, the Government and the person to be compensated shall state what in their respective opinion is a fair amount of compensation;(e)the arbitrator shall, after hearing the dispute, make an award determining the amount of compensation which appears to him to be just and specifying the person or persons to whom such compensation shall be paid; and in making the award, he shall have regard to the circumstances of each case and the provisions of sub-section (2), so far as it is applicable;(f)where there is any dispute as to the person or persons who are entitled to the compensation, the arbitrator shall decide such dispute and if the arbitrator finds that more persons than one are entitled to compensation, he shall apportion the amount thereof amongst such persons;(g)nothing in the Arbitration Act, 1940 (Central Act X of 1940), shall apply to arbitration's under this section.(2)The amount of compensation payable for the requisitioning of any motor vehicle shall consist of, -(a)a recurring payment, in respect of the period of requisition, of a sum equal to the hire charges which would have been payable for the use of the motor vehicle if the motor vehicle had been given on hire for that period;(b)such sum or sums, if any, as may be found necessary to compensate the person interested for all or any of the following matters, namely:-(i)pecuniary loss due to requisitioning; and(ii)damages (other than normal wear and tear) caused to the motor vehicle during the period of requisition, including the expenses that may have to be incurred for restoring the motor vehicle to the condition in which it was at the time of requisition.
