NATIONAL INSURANCE COMPANY LTD Vs. SURESH KUMAR

JUDGEMENT

(1.) These two Appeals(FAO.775/2003 and MAC.APP.679/2011) arise out of a common judgment dated 12.09.2003 whereby a compensation of Rs. 5,25,000/- was awarded by the Motor Accident Claims Tribunal (Claims Tribunal) in favour of Mohd. Tahir (the Claimant) who suffered grievous injuries resulting in amputation of his left hand above elbow in a motor vehicle accident which occurred on 30.08.2001. By the impugned judgment while awarding the compensation, the Claims Tribunal held that the insured, that is, owner of the offending vehicle committed breach of the terms of the policy as the driver of the offending vehicle did not possess a valid and effective driving licence to drive the offending vehicle. Thus, the Insurance Company was made liable to pay the compensation, in the first instance, and was allowed to recover the aforesaid amount of compensation from the owner and driver of the offending vehicle.

(2.) FAO. 775/2003 is mainly on the ground that since the driver (Respondent No.1 Suresh Kumar) did not possess a valid driving licence to drive medium motor vehicle, the owner (Respondent No.2) Delhi Bisleri Co. Ltd. committed wilful breach of the terms of the policy and the Insurance Company should not have been made liable to pay the compensation at all. MAC. APP. 679/2011 which is by way of Cross-Objections is filed by Delhi Bisleri Co. Ltd. on the ground that as the driver possessed a valid driving licence to drive the offending vehicle, the Claims Tribunal, therefore, erred in making the owner liable to reimburse the amount of compensation paid by the Insurance Company. It is stated that the compensation awarded is also on the higher side.

(3.) For the sake of convenience, Appellant in FAO.775/2003 shall be referred to as the Insurance Company. Appellant in MAC.APP.679/2011 shall be referred to as the owner and the injured shall be referred to as the Claimant.