Professional Documents
Culture Documents
LEGAL METHODS
FINAL SUBMISSION
Semester 1 (July-December)
INTRODUCTION 3
CHAPTER I 4
CHAPTER II 4
History
CHAPTER III 7
CONCLUSION 14
BIBLIOGRAPHY 15
INTRODUTION
This Paper is based on study of Motor Vehicle Tribunal. Courts are the sole
institutions fordproviding justice to the citizens of the country. Due to certain
limitations in providing proper justice has resulted in creating a huge backlog for
the judiciary, to tackle this problem, newlinstitutions for providing justice
aretbeing set up because of different types of claims. In today’s world we can see
existence of different types of claims e.g., matrimonialaclaims, personal claims,
health claims, equity claims, insurance claims etc. And between these claims we
have accidentalaclaims which have increased in present time with the
development of civilization. A newaforum, i.e. Motor Accidents Claims
Tribunal, which substitutes Civil Court, has been created by the Motor Vehicles
Act, for cheaper and speedier remedy to thehvictims of accident of motor
vehicles. Prior to the Motor VehiclesaAct, a suit for damage had to be filed with
civil court, on payment equal to the court fee. But, under theaprovisions of this
Act, an application claimingacompensation can be made to the Claims Tribunal
without payment of fee1 . New provisions in Motor Vehicles Act, do not create
any new liability, and the liability is still based on law of tort anddenactments like
the Fatal Accidents Act
The Motor Vehicles Act, consolidatesgand amends the law relating to motor
vehicles. This has been amended several times to keep it up to date. kThe need
was, however, felt that this Act should, aalso take into account changes in the
road transporthtechnology, pattern of passenger and goods movements,
developments, of the road network in the country and particularly the improved
techniques in the motorgvehicles management2.
1
R.K.Bangia, Law of Torts including Compensation under the Motor Vehicles Act, 469 (23rd ed. 2011).
2
The Motor Vehicles Act,1988 (Aug. 6, 2016, 9:05 pm) URL: http://www.tn.gov.in/sta/Mvact1988.pdf
CHAPTER I
CHAPTER II (HISTORY)
Pre – 1988 Position Before the Motor Vehicle Act, 1988 came in to existence
The Motor Vehicles Act, 1939 was applicableytfor all type of Motor Accidents.
The Motor Vehicles Act, 1939, consolidates andiiamends the law relatingkto
motor vehicles. This has been amended several times to keep it up to date. The
need was, however, feltpthat this Act should, now with other things, take into
account also changes in the road transport, technology,pand freight movements,
3
http://www.tn.gov.in/sta/Mvact1988.pdf
4
Id.
5
Id.
developments, of the road network inrthe country and particularlbethe improved
techniques in the motor vehicles management.
c. The greater flow of passenger andofreight with the least impediments so that
islands of isolation are not created leadingoto regional or local imbalances.
6
The Motor Vehicle Act, 1988, Statement of Objects and Reasons
e. Simplification of procedurejand policy liberalization’s for private sector
. Operations in the road transport field.
The proposed legislation wasgprepared in the light of the above background. Some of
the important provisions of the Bill provide for the following matters:-
b. Stricter procedures relating to the grantoof driving licences and the period of validity.
c. Laying down the ofjstandards for components and parts of motor vehicles.
h. Provision for enhanced compensation in cases of “no fault liability” and in hit and
run cases.
7
Id.
8
M. K. Kunhimohammed v. P. A. Ahmedkutty, (4 SCC 284,1987) (Aug. 17, 2016 , 9:00pm)
URL:https://indiankanoon.org/doc/1406160/
i. Provisions for the payment of compensation by the insurer to the extent of actual
liability to the victims of motor accidents.
The Bill also seeks to provide for more deterrent punishment in the cases of certain
offences. The above suggestions whichowere incorporated in the Motor Vehicles Bill
receiveduthe assent of the President on 14th October, 1988 and cameion the Statute
Book as Motor Vehicles Act, 1988. The Act came intogforce with effect from 1st July,
1989 replacing the Motor Vehicles Act, 193910 . The previous Motor Vehicles Act,
1939 was repealed byssection 217 of the Motor Vehicles Act, 1988. Said section 217
also repealed all laws corresponding to the Motor VehiclesfAct, 1939, then being in
force in any State immediately beforetthe commencement of the Act of 1988 in the
respective states11.
CHAPTER III
Jurisdiction of tribunal depends crucially on the fact that whether there had been any
use of motor vehicle and once it has been established, tribunal’s jurisdiction cannot be
held forced out on findingsathat it is negligence of other joint tortfeasor and not of the
motor vehiclekin question. A victim of an accident arising out oftuse of motor vehicles
may file their claimaapplication to the Claims Tribunal withintlocal limits of whose
jurisdiction the claimant resides or carries on business.
I. Pecuniary Jurisdiction
The pecuniaryjjurisdiction of the Claims Tribunal has a doubleiinference
i.e. compensation in case of death or bodily injurymand in respect of
damage caused to any property. Section 165 of the Act empowers the
tribunal to award compensation notlonly for death and bodily injury but also
for damage to property. As regards the former, there are three different
provisionspin the Motor Vehicles Act, 1988, namely:
9
Supra n.6
10
Supra n.6
11
Supra n.6
2. Compensation on organised formulasbasis, under section 163-A of the Act
12
Dr. R.G.Chaturvedi, “Law of Motor Accident Claims and Compensation” (2010) p.537
13
Dhulabhai v. State of Madhya Pradesh, AIR 1969 SC 78 (Aug. 17, 2016 , 9:00pm)
URL:http://jajharkhand.in/judg/sc/pdf/CIVIL%20LAW/CIVIL%20PROCEDURE%20CODE/Section%209%20
of%20CPC/Dhulabai%20vs%20state%20of%20MP%20AIR1969SC78.pdf
theatribunal so constituted, and whether remedies normally associated with
actions in civil courts are prescribed bytthe said statute or not.
3. Challenge to the provisions of the particular Act as ultra vies cannot be
brought before tribunal constituted under that Act. Even thelHigh Court
cannot go into the questionlon a revision or reference from the decision of
the tribunal.
4. When a provision is already declared unconstitutional or the
constitutionality of any provision is toobe challenged, a suit is open. A writ
of certiorari may include a direction for refund if the claim is clearly within
the timeeprescribed by the Limitation Act but it is not ajcompulsory remedy
to replace a suit.
5. Where theqparticular Act contains no machinery for refund of tax
collected in excess of constitutional limits or illegallykcollected, a suit lies.
6. Question of the correctnessoof the assessment apart from its
constitutionality are for the decision of the authoritiesaand a civil suit does
not lie if the orders of the authorities are declared to be final or there is an
express prohibition inothe particular Act. In either case the scheme of the
particular Act must be examined becauseiit is a relevant inquiry. An
exclusion of the jurisdiction of the Civil Court is not to be readily inferred
unless the conditionaabove set down apply”.
III. Jurisdiction in Respect of Cases Where Accidents Occurred Prior to
Establishment of Tribunal
The existence of a claims tribunal on the date of accident is not a condition
precedent for entertaining a claim for compensation. A claim for
compensation can be entertainedlby a Tribunal even in respect of an
accident which occurred at a time when there was no claims tribunal for that
areaIn New India Assurance Co. v. Rukiyabai14 a motor accident took place
within the jurisdiction of the civil court at Nasik. There was no claims
tribunal on the date when the accident hadooccurred or on the date when the
suit for compensation wasiinstituted in the Nasik. After the institution of the
suit, the claims tribunal came to be established, butneven then the tribunal
set up atlNasik had no jurisdiction to entertain claim for compensation in
respect of accidents which occurred at a placenwithin the territorial
jurisdiction of thenNasik court. It was, therefore, held that the notification
establishing a tribunal at Indore could nottcome in the way of the civil court
14
New India Assurance Co. v. Rukiyabai, (ACC 499, 1985) (Aug. 17, 2016 , 9:00pm) URL:
https://indiankanoon.org/doc/1744744/
at Nasik to proceed with the claim instituted therein when no tribunal for
that area was then in existence .
IV. Bar on jurisdiction of Civil Courts
Section 175 bars the jurisdiction of Civil Courts where any Claims Tribunal
has been constituted. Where anynClaims Tribunal has been constituted for
any area, no Civil Court shall have jurisdiction to entertain any question
relating to any claim forlcompensation which may be adjudicated upon by
the Claims tribunal for that area, and nokinjunction in respect of any action
taken or to beotaken by or before the Claims Tribunal in respect of the claim
for compensation shall be granted by the Civil Court15 .
In Vatticherukuru Village Panchayat v. Nori Venkataraman Deehsithulu43it
was held by the apex court thatkthe procedure before the tribunal is simple
and not provincial by intricate procedure of pleadings and trial, admissibility
of the evidence andhproof of facts according to law. Therefore, there is
abundant flexibility in the discharge of the functions with greatereexpedition
and in expensiveness.
In Gurbax Singh v. Financial Commissioner16it was held by the Supreme
Court that despite the bar on civil courts jurisdiction under a statute, if the
specialttribunal or authority acts ultralvires or illegally, the civil court has
power by virtue of section 9 of thelC.P.C.to interfereeand set matters right.
If the provisions of the statute have not been complied with or the statutory
tribunalshas not acted in conformity with theofundamental principles of
judicial procedure, the civil courts have jurisdiction to examine such cases.
15
The Motor Vehicles Act, 1988, Section 175
16
Gurbax Singh v. Financial Commissioner, (SC 435,1990) (Aug. 17, 2016 , 9:00pm) URL: http://www.the-
laws.com/Encyclopedia/Browse/Case?CaseId=000991745000
17
Chairman Thiruvallurar Transport Corporation v. Consumer Protection Council, (SC 1384,1995) (Aug. 17,
2016 , 9:00pm) URL: https://indiankanoon.org/doc/855077/
was thrown in the front and hit against the iron side bar, sustaining a serious
head injury. Subsequentlyohe succumbed to the injury.
The Consumer Protection Council, Tamil Nadu on behalf of the legal
representative of thegdeceased, lodged a complaint before the National
Commission under the 1986 Act claiming compensation. Theaappellant
contested the claim contending thatmthe claimant i.e. the Council, had no
locus standi to maintain the action and in any case the National Commission
had no jurisdictionyto entertain a petition since exclusive jurisdiction was
conferred by the 1988 Act on the Claims Tribunal constituted thereunder.
The National Commissiondcontended the appellant, side stepped the
question regarding jurisdiction and without answering the same awarded Rs.
5.10 Lacs by way of compensation withainterest at 18% per annum with
costs of Rs. 10,000/-. An appeal against the judgement was preferred to the
Supreme Court. The question thatlarose for consideration was whether the
National Commission had jurisdiction to entertain the claim application and
awardscompensation in respect of an accidentfinvolving death of the
deceased caused by the use of Motor Vehicle. The Supreme Court without
going in to depth of awarding of compensationuby National Commission to
the victim, onlyaanswer the question of law as to whether National
Commission can entertainnsuch case held that National Commission has no
jurisdiction whatsoever and was entirely wrong in exercising jurisdiction
and awardingacompensation. However, in the facts and circumstances of
this case, the judgment pronounced by NationalkCommission was reversed
and appellant were not entitled to recover the compensation money already
paid to the victim under theoorder’s of National Commission. Hence, claims
for compensation arising out offuse of motor vehicles cannot be adjudicated
by any of the Consumer Disputes Redressal Forums contemplated and
created underfConsumer Protection Act, 1986. The complaint in the case of
motor accident cannot be said to be innrelation to any service hired or
availed of by the consumer because the injury sustained by the consumer
has nothing to do with theeservice provided or availed of by him if the
injury is the direct result of the accident.
VI. Jurisdiction of Tribunal, Where Collision Between Trains And Motor
Vehicle Occurred
In Union of India v. Satish Kumar Patel18 where there is negligence only of
the driver of the motor vehicle or where there isanegligence both of the
18
Union of India v. Satish Kumar Patel, AIR 2001 MP 41 (Aug. 17, 2016 , 9:20pm) URL:
http://judis.nic.in/supremecourt/imgs1.aspx?filename=39010
driver of the motor vehicle andoof the railway, a claim is entertainable by
the motor accidents claims tribunal. In Amritlal v.Union of India19where the
truck driverawas warned by inmatessof truck about approaching railway
engine and there was consequentncollision between truck and the engine on
unmanned railway level crossing and resultantkdeath of some of the
passengers in the truck and injuries to other inmates ofatruck, award of
compensation by the tribunal was held justified and the railways was held
not liable since it is no duty of railways to man all level crossings.
VII. Jurisdiction of Tribunal in India, where Accident occurred in Foreign
Country
A suit or proceeding can be filed inaa court or tribunal having jurisdiction in
relation with the place where the cause of action or partmthereof had arisen
and where a bus was booked atdDelhi, part of cause action had arisen in
India and the claimants can file a claim in the tribunalshaving jurisdiction
over place or residencekof claimant under section 166(2) of the Act20 . In
the above case, a bus forrpilgrimage from Delhi to Kathmandu was booked
at Delhi and vehicle wasjregistered in India. The bus fell into a river in the
territory of Nepal. It was held that a claimsunder section 163A of the Act
was maintainable in aatribunal within the State offPunjab. It was further
held that the Motor Vehicles Operations andaadjacent Rules, 1963 had no
application, since the rules could operate only if the claim was filed in
Nepal. Ultimately, the insurerkwas held as liable. In Savara Pydi Raju v. T.
Venkata Rao21 , it was held that as per amended provisions in section 166(2)
victims are entitled to make their claims in any court havingjjurisdiction
over place where accident occurred or over placeswhere they are residing.
VIII. Jurisdiction to Entertain Claim by Indigent Person
The tribunal has trapping of civil court for the purpose of taking evidence
on oath and of enforcingaattendance of witnesses and compelling the
discovery and production of documents andkmaterial objects and for such
other purposes as may belprescribed, as section 169(2) of the Motor vehicle
Act, 1988 has stated. There is no directrreference of Order 33 of Civil
Procedure Code which dealsywith suits by or on behalf of indigent persons.
19
Amritlal v.Union of India, 2004 ACJ 1976 (Raj.). (Aug. 17, 2016 , 9:30pm) URL:
https://indiankanoon.org/doc/620816/
20
Sarbati v. Anil Kumar, 2006 ACJ 2532 (Aug. 17, 2016 , 9:00pm) URL:
https://indiankanoon.org/doc/955251/
21
Savara Pydi Raju v. T. Venkata Rao, 2007 ACJ 2245 (AP). (Aug. 17, 2016 , 9:00pm) URL:
http://www.lawyerservices.in/Sarbati-Versus-Anil-Kumar-2006-01-04
In State of Haryanaav. Darshana Devi22 the Supreme Court of India
observed that the poorsshall not be forced outoof the justice market by
instance on court fee and refusal to apply therredemptive provisions of
Order XXXIII, Civil Procedure Code (CPC). Sonthe State of Haryana,
mindless of the mandate of equal justice to the indigent under the magna
carta of our Republic, expressed in article 14 and stressed in article 39A of
the Constitution,khas sought of leave to appeal againstythe order of the High
Court which has rightly extended thelprovisions to the auto accident claims.
The reasoning of the High Court in holding trail under Order XXXIII will
apply to tribunals whichthave the trappings of the civil court finds our
approval and hence upheld the decision of thekHigh Court. In Gulab Singh
Meruji v. Jayantilal Shankarlal Brahmin23 where a prayer was made for
filling the appeal as indigent person. The appellant was permitted to file the
claim before the tribunal asanindigent person, but the claim was dismissed.
Permitting the appeal to be filed as indigent person the courtiobserved that
in the legal aid programmes, whateverlamount is paid as legal assistance to
the litigation, that is not repayable by the litigant, in the case where a person
comes up with akprayer that he may be permitted to file appeal as an
indigent person, by permitting him to file appealaas indigent person,
payment of court fee islonly being deferred. So this court, while dealing
with such applications, should be more liberal whichtwill advance the cause
of justice to poor persons.
IX. Death Occurred Due To Heart Attack :
No Jurisdiction In National Insurance Co. Ltd v. Chandra Prava
Barman24where the insurer argued that admittedly the father of thelclaimant
died on account of heart attack and not due to vehicular accident, and that
Motor Accidents Claims Tribunal cannaward compensation only in
connection with the liability of the insurer on the insured which arises out of
vehicular accident and nothfor any remote cause. Holding this statementsas
well merited the High Court held thattthe claim for death of the father might
or could have been taken up under Law of Torts and not by Motor Accidents
Claims Tribunal, which has got limited jurisdiction to deal with claims
arising out of accident. Such a claimwwhich has been allowed by the
22
State of Haryana v. Darshana Devi, 1979 ACJ 205 (SC) (Aug. 17, 2016 , 9:10pm) URL:
http://www.rishabhdara.com/sc/view.php?case=24196
23
Gulab Singh Meruji v. Jayantilal Shankarlal Brahmin, 2001 ACJ 346 (Guj.) (Aug. 17, 2016 , 9:27pm) URL:
http://shodhganga.inflibnet.ac.in/bitstream/10603/7253/8/08_table%20of%20cases.pdf
24
National Insurance Co. Ltd v. Chandra Prava Barman, 2001(2) TAC 698 (Guj.) (Aug. 17, 2016 , 9:35pm)
URL: https://indiankanoon.org/doc/692552/
tribunal could only be within the competence of the civil court and not
within theccompetence of the Motor Accidents Claims Tribunal.
X. Tribunal Cannot Entertain Application for Claim in Case of Hit and
Run Accident
A plain reading of Rule 20 of the Solatium Scheme, 1989, makes it clear
that an application seeking compensation under the Scheme in case of hit
and run accidents is to belfiled in Form 1 before the Claims Enquiry Officer
of the Sub-Division in which the accident had takenaplace. Thus, under the
scheme, a particular forum has beensprovided for claiming compensation in
case of hit andRrun motor accidents. This being the position, claimants
claiming compensation in cases of death or grievous hurt arising under the
hit and run motor accidents cannot fileaapplication before the Claims
Tribunal, and the Claims Tribunal havingpno jurisdiction in the matter, the
order of the ClaimslTribunal rejecting the objectionstaken by the insurer as
regards the maintainability of the application cannot be allowed to stand . In
Oriental Insurance Co. Ltd. v. Rooplal Singh25 case it was held by theePatna
High Court that the Claims Tribunal must return such application to be filed
before the ClaimspEnquiry Officer of the concernedwSub-Division in which
the accident had taken place and such matter has to be agitated before the
collector.
CONCLUSION
25
Oriental Insurance Co. Ltd. v. Rooplal Singh, 2000 ACJ 502 (Pat.) (Aug. 17, 2016 , 9:40pm)
URL:https://indiankanoon.org/doc/7387/
One more importance about Motor Vehicle Tribunal besides that it has taken away
some amount of loadgfrom the courts (Civil as well as Criminal) , is that it has
increased the speed of disposaloof cases being in the limits of cases being heard
properly, one main reason for this is the proper functioning of the Tribunal , only
matter related to Motor Vehicle is beinghentertained here. This innovative idea of
opening specialised Tribunals is proving to be a boon for the Judiciary as it is
effectivelybcontinuing its job for which it was instituted.
BIBLIOGRPHY
WEB SOURCES
http://blog.ipleaders.in/how-and-when-to-file-claims-with-motor-accidents-
claim-tribunal/
http://www.punjabtransport.org/Central%20Motor%20Vehcile%20Act%20
1988.pdf
http://www.bimabazaar.com/learn-insurance-concepts/67-insurance-
concepts-general-insurance/1870-functioning-of-motor-accident-claims-
tribunalmact
http://shodhganga.inflibnet.ac.in/bitstream/10603/7253/11/11_chapter%203.
pdf
http://www.mahatranscom.in/pdf/CLAIMS_TRIBUNALS.pdf
http://www.bimabazaar.com/learn-insurance-concepts/67-insurance-
concepts-general-insurance/1912-procedure-of-filing-an-application-for-
compensation-in-motor-accident-claims-tribunal
http://www.vakilno1.com/legalviews/accident-claims-get-compensation-
motor-vehicles-act.html
http://www.morth.nic.in/writereaddata/mainlinkFile/File672.pdf
http://shodhganga.inflibnet.ac.in/bitstream/10603/7253/10/10_chapter%202.
pdf
ARTICLES
BOOKS
R.K.Bangia, Law of Torts including Compensation under the Motor Vehicles Act,
469 (23rd ed. 2011).
Claims Tribunal under Motor Vehicles Act, 1988 (http://docplayer.net/12448368-
Chapter-iii-claims-tribunal-under-motor-vehicles-act-1988.html)
Ram Singh, The Relationship between liability regimes and economic
development ,A Study of Motor Vehicle Accidents in India (2012)
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