ORIENTAL INSURANCE COMPANY LTD Vs. CHUKI DEVI

JUDGEMENT

(1.) VIDE judgment dated 16.4.2004, the Hon'ble Division Bench had remanded these appeals back to the Single Bench to decide a particular legal issue. Since these appeals raise the same legal issue, they are being decided by this common judgment.

(2.) THE legal issue which arises for consideration, what is the extent of liability of the Insurance Company, vis a vis, a concerned party, when the accident had occurred prior to come into force of the Motor Vehicle Act, 1988 ('the Act of 1988', for short). THE said issue was framed by the learned Tribunal as issue No.3. However, while deciding the said issue, the learned Tribunal was of the opinion that the extent of liability of the Insurance Company is an unlimited one. It is this aspect which has been challenged by the Insurance Company in the appeals filed by them. However, the learned Single Judge, vide judgment dated 26.04.1997, had dismissed the appeals. THErefore, the Insurance Company had filed special appeals before the learned Division Bench. As mentioned above vide judgment dated 16.04.2004, the learned Division Bench has not only remanded the case back, but has also directed the Single Bench to decide the legal issue mentioned above. Hence, these appeals before this Court.

(3.) THEREFORE, the Insurance Company is entitled to recover the amount of 38000/- (Rs.1,88,000-Rs.1,50,000) in the case No.173/1997, the amount of 63000/- (Rs.2,13,000-Rs.1,50,000) in the case No.171/1997, the amount of Rs.2,81,000/- (Rs.4,31,000-Rs.1,50,000) in the case No.174/1997 along with an interest @ 6% per annum from the owners of the offending vehicle.