SANJAY GUPTA Vs. ORIENTAL INSURANCE CO LTD

JUDGEMENT

(1.) In view of the difference of opinion between the Hon'ble Judges, the Division Bench passed the following order referring three questions mentioned therein for being decided by a third Judge: Since we are divided in opinion, we refer the following points of difference for being decided by a third Judge in accordance with Chapter VII, Rule 3 of the Rules of the Court:

(2.) Chapter XI consisting of Sections 145 to 164 of the Motor Vehicles Act, 1988, (hereinafter referred to as 'the Act') deals with the insurance of the motor vehicles. Section 146 prohibits the use of a motor vehicle in a public place by any person except as a passenger, unless there is in force in relation to the use of the vehicle by that person, a policy of insurance complying with the requirements of the aforesaid Chapter. Section 147 has laid down the requirements of the insurance policy and limit of the liability of the insurance company. Relevant part of Sub-section

(3.) Section 149 places an obligation on the insurer to satisfy judgment and award against the person insured in respect of third party risks. Sub-section (1) of Section 149 is as under: