NATIONAL INSURANCE CO. LTD Vs. NAFEESUN NISHA

JUDGEMENT

(1.) Challenge in this appeal under Section 173 of the Motor Vehicles Act, 1988 (in short the 'Act') is an award made by the Motor Accidents Claims Tribunal, Additional District Judge Court No. 2 Barabanki (in short M.A.C.T.) in Claim Case No. 261 of 2004. By the said award, a sum of Rs. 5,78,000 was awarded to the claimants-respondents No. 1 and 3. In the appeal the dispute related to the rejection of appellant's claim for exoneration on the ground of violation of policy condition. It was pointed out that the driving licence of the driver of the offending vehicle was not in force on the date of accident. Factual position in detail need not be indicated because the issue relates to the liability of the insurance company as the driving licence was not valid on the date of the accident.

(2.) In the instant case, the date of accident was 30.5.2004. The driver's licence was initially valid for the period from 25.3.2000 to 24.3.2003 and thereafter from 4.6.2004 to 3.6.2007. The appellant filed its objections before M.A.C.T. taking the stand that since the driving licence was not valid on the date of accident it had no liability. The M.A.C.T. turned down the plea. According to it though on the date of accident the driving licence was not valid, since the driver's licence was renewed on 4.6.2004 for a further period of three years it cannot be said that during the intervening period the driver was incompetent or disqualified to drive the truck. It was held that merely there was a gap in the renewal of driving licence that cannot be a ground for exoneration. The relevant finding recorded by the Tribunal is reproduced herein below:

(3.) In support of the appeal, placing reliance on the decision of the Apex Court in National Insurance Co. Ltd. v. Swaran Singh, 2004 3 SCC 297 and Ishwar Chandra and others v. Oriental Insurance Co. Ltd. and others, 2007 10 SCC 650 it was contended that the Tribunals view is unsustainable.