DEBARAJ PANDA Vs. NEW INDIA ASSURANCE CO LTD

JUDGEMENT

(1.) THE owner has filed this appeal against the award of the Claims Tribunal.

(2.) THE only question raised relates to inter se liability of the owner vis -a -vis that of the Insurance Company. The deceased was the owner of goods travelling in a goods vehicle. Accident occurred on 4.5.1992. The Claims Tribunal while awarding compensation to the legal representatives observed that the amount should be paid by the owner following the decision of this Court reported in 81 (1996) CLT 580 (The Divisional Manager, Oriental Insurance Co. Ltd., Cuttack Divisional Office v. Jasoda Mohanta and Ors.). In the aforesaid decision while interpreting the provisions contained in Section 95(1 )(b) of the Motor Vehicles Act, 1939, it had been opined that the Insurance Company is not required under the Act to cover the liability in respect of owner of goods accompanying his goods in a goods vehicle. In fact, while interpreting the provisions of the old Act similar view has been subsequently expressed by the Supreme Court in the decision reported in 1999 (1) TAC 202 (SC) (Smt. Mallawa and Ors. v. Oriental Insurance Co. Ltd. and Ors.). There is no doubt that if the old provisions would have been applicable, the direction of the Tribunal regarding liability of the owner could not have been found fault with.

(3.) THE learned counsel appearing for the Insurance Company submitted that the Insurance Companies had been acting on the basis of decisions earlier reported under the old Act and as such even though the liability is now to be fixed in accordance with the subsequent decision of the Supreme Court, the Insurance Company should not be asked to pay the interest.