LAWS(DLH)-1991-3-59

ORIENT INSURANCE COMPANY LIMITED Vs. RAM CHANDER DWIEVEDI

Decided On March 08, 1991
ORIENTAL INSURANCE COMPANY LIMITED Appellant
V/S
RAM CHANDER DWIEVEDI Respondents

JUDGEMENT

(1.) This appeal is directed against an order dated 21.8.1989 of the learned Motor Accidents Claims Tribunal by which it awarded an interim- amount of Rs. 25,000.00 on the basis of no fault liability to the claimants recoverable from the appellant.

(2.) I have heard learned counsel for the appellant as well as the claimants. The principle for recovering compensation on account of no fault liability is contained in Chapter X of the Motor Vehicles Act, 1988. It came into force with effect from 1.7.1989. This section increases the no fault liability to Rs. 25,000.00 from Rs. 15,000.00 as provided in the previous Act. There is no dispute in the present case that the accident pertains to period prior to the coming into force of the present Act. However, we are to see the effect of the new Act in case of no fault liability. Section 144 gives an overriding effect to the provisions of Chapter X in the following words:

(3.) Therefore, this section goes to show that there is no saving of any of the clauses of the previous Act regarding the no fault liability. Since section 144 of the new Act has overriding effect over any other provisions contained in this Act, I am of the view thai even in cases of accidents in which death has resulted prior to the coming into force of the new Act, amount payable on account of no fault liability will be Rs. 25,000.00 only as covered by Chapter X of the present Act.