NATIONAL INSURANCE CO LTD Vs. JAGMINDER SINGH

JUDGEMENT

(1.) G. P. MITTAL, J. The Appellant National Insurance Company Limited takes exception to a judgment dated 09.12.2010 passed by the Motor Accident Claims Tribunal (the Claims Tribunal) whereby while awarding a compensation of Rs.13,93,210/- for the death of Sukhjinder Singh in a motor vehicle accident, which occurred on 01.06.2006, the Claims Tribunal held that the vehicle was being driven without a valid permit in the National Capital Territory (NCT) of Delhi and made the Appellant liable to pay the compensation with a right to recover the same from the Respondents No.1 and 2.

(2.) THE finding on negligence is not challenged by the Appellant, the driver and the owner of the vehicle. The driver and owner (Respondents No.1 and 2) have also not challenged the finding that the vehicle was being driven without a valid permit in the NCT of Delhi and thus there was breach of the condition of the policy under Section 149(2)(a)(i)(c) of the Motor Vehicles Act, 1988 (the Act).

(3.) FOLLOWING Swaran Singh, (Supra) this Court in National Insurance Company Limited v. Sanjay Kumar, ILR, 2007 (2), Delhi, 733 held that even when breach of the terms and conditions of policy of insurance in terms of Section 149(2)(a) of the Motor Vehicle Act, 1988 is proved, the Insurance Company would still be required to pay the sum awarded to the Claimant, but would be entitled to the recovery rights against the insured.