High Court of KeralaSingle JudgeAppeals allowed; the insurer’s right to recover...

MACA No. 3836/23 & Conns.

Case / Petition Number:MACA No. 3836/23

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • ZIYAD RAHMAN A.A.
Judgment Date
2024-02-01
Court Decision / Holding
Appeals allowed; the common award in O.P.(MV) Nos.1011/2010 and 1026/2010 is set aside to the extent of permitting recovery of compensation by the 3rd respondent insurer from the 1st and 2nd respondents (driver and owner).
Final Disposition
Appeals allowed; the insurer’s right to recover from the driver and owner is restricted; the Tribunal’s recovery order is set aside in respect of the appellants.

Parties to the Case

Appellants / Petitioners

  • JOSE PHILLIP
  • RAVEENDRAN

Respondents

  • RAVEENDRAN
  • BALU MOHAN
  • JOSE PHILLIP
  • THE NATIONAL INSURANCE CO.LTD.
  • RAHUL

Legal Representation & Advocates

Counsels for Petitioners

  • • Mathew John (K)
  • • Aby J Augustine

Counsels for Respondents

  • • JOSEPH T.JOHN
  • • GEORGE A.CHERIAN, SC
  • • ARATHI PRABHAKARAN
  • • MV THAMBAN
  • • THARA THAMBAN
  • • R.REJI THARA THAMBAN
  • • B Bipin
  • • ARUN BOSE
  • • ALEXY AUGUSTINE

Case Synopsis & Summary

These are Motor Accident Claims Appeals arising from awards of the Motor Accidents Claims Tribunal, Pala, in O.P.(MV) Nos. 1011 and 1026 of 2010, concerning compensation for injuries in a motor accident that occurred on 07.10.2010. The common challenge is the insurer’s right to recover from the owner and driver where the vehicle involved is categorized as a transport vehicle but the driver held a license for a non-transport, light motor vehicle. The Tribunal found a breach of policy conditions due to lack of a badge authorizing driving of a transport vehicle and accordingly permitted recovery from the driver and owner. In the appeals, the appellants argued that Mukund Dewangan v. Oriental Insurance Co. Ltd. (2017) 3 KLT 1000 governs such recoveries and that for vehicles with unladen weight under 7500 kg, lack of authorization to drive a transport vehicle cannot be treated as a policy violation enabling insurer to recover compensation. The Court observed that the driver had Ext. B2, a valid license to drive a light motor vehicle, and the jeep involved is a light motor vehicle, even though it is used in transport. Consequently, lack of authorization cannot ground recovery, and the insurer’s recovery rights should not extend to the driver/owner. All appeals are allowed, setting aside the recovery to the 3rd respondent insurer against the 1st and 2nd respondents.

Legal Doctrines & Maxims

  • Mukund Dewangan v. Oriental Insurance Company Ltd [2017(3) KLT 1000]

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellants contend that Mukund Dewangan v. Oriental Insurance Co. Ltd. governs recoveries when the vehicle has an unladen weight under 7500 kg and the driver possesses a license only for a non-transport category. They emphasize that in the present matter the Ext. B2 licence shows the 1st respondent had a valid license to drive a light motor vehicle; the vehicle involved was a jeep (a light motor vehicle) even though used as a transport vehicle. Therefore, absence of a transport-vehicle driving authorization cannot be a ground to compel the insurer to reimburse or recover compensation from the driver/owner. The court should follow the Mukund Dewangan precedent to limit the insurer's right of recovery.

Contentions of Respondents

The respondents submit that the Tribunal correctly held a policy-violation ground for recovery due to the driver lacking a badge authorizing transport-vehicle operation. They rely on policy terms and the vehicle’s transport characterization to justify the insurer’s right to recover against the driver and owner. They argue that the evidence, including the driving licence status, must be interpreted in light of the policy conditions and the Motor Vehicles Act to allow recovery. They contend the Supreme Court decision should be reconciled with the facts, and that the insurer’s right to recover cannot be lightly curtailed absent clear statutory support.

Cited Precedents (1)

Case NameCitationTreatmentExplanation
Mukund Dewangan v. Oriental Insurance Company Ltd2017(3) KLT 1000PositiveCited to support the proposition that lack of authorization to drive a transport vehicle cannot be treated as a policy violation for recovery when the vehicle weight is under 7500 kg and the driver holds a license for a non-transport category; the court adopts this principle to limit insurer’s recovery rights.

Diagnostic Tool

Beta

Does this judgment govern your specific facts?

Don't risk relying on a distinguishable precedent. Enter your facts or proposition below. We will test it against MACA No. 3836/23 & Conns. and instantly map out authorities that support, challenge, or govern your position.

Extracted Judgment Text

Exact text extracted from official judgment records.

MACA.No.3836/23 & Conns. 1 # `IN THE HIGH COURT OF KERALA AT ERNAKULAM` ## `PRESENT` ``` THE HONOURABLE MR.JUSTICE ZIYAD RAHMAN A.A. ``` ``` THURSDAY, THE 1[ST] DAY OF FEBRUARY 2024 / 12TH MAGHA, 1945 ``` ## `MACA NO. 3836 OF 2023` ``` AGAINST THE ORDER/JUDGMENT OPMV 1011/2010 OF MOTOR ACCIDENT ``` ``` CLAIMS TRIBUNAL PALA ``` ## `APPELLANTS/2ND RESPONDENTS:` ``` JOSE PHILLIP, AGED 75 YEARS, S/O.PHILLIP, KAVUNNUKATTIL HOUSE, KIDANGOOR SOUTH P.O, KOTTAYAM, PIN – 686 583. BY ADVS. MATHEW JOHN (K) ABY J AUGUSTINE ``` ## `RESPONDENTS / RESPONDENTS/1ST AND 3RD RESPONDENTS:` ``` 1RAVEENDRAN, S/O.GOPALAN, VALLOPPALLIL, ASHA BHAVAN HOUSE, KADAPPOOR KARA, KANAKKARY VILLAGE, KOTTAYAM, PIN – 686 631. 2THE NATIONAL INSURANCE CO.LTD., REPRESENTED BY ITS DIVISIONAL MANGER, KOTTAYAM, PIN – 686 001. BY ADVS.GEORGE A.CHERIAN, SC ARATHI PRABHAKARAN(K/001158/2022) ``` ``` THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING COME UP FOR ADMISSION ON 01.02.2024, ALONG WITH MACA Nos.3568/2020, 495/2023 AND 3864/2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: ``` MACA.No.3836/23 & Conns. 2 # `IN THE HIGH COURT OF KERALA AT ERNAKULAM` # `PRESENT` ``` THE HONOURABLE MR.JUSTICE ZIYAD RAHMAN A.A. ``` ``` THURSDAY, THE 1[ST] DAY OF FEBRUARY 2024 / 12TH MAGHA, 1945 ``` ``` MACA NO. 3568 OF 2020 ``` ``` AGAINST THE ORDER/JUDGMENT OPMV 1026/2010 OF MOTOR ACCIDENT ``` ## `CLAIMS TRIBUNAL PALA` ## `APPELLANT/1ST RESPONDENT.:` ``` RAVEENDRAN, AGED 52 YEARS, S/O.GOPALAN, VALLOPALLIL (ASHA BHAVAN) HOUSE, KADAPPOOR P.O., KANAKKARY VILLAGE, KOTTAYAM DIST. - 686 631. BY ADV.JOSEPH T.JOHN ``` ``` RESPONDENTS / PETITIONER AND RESPONDENTS 2 AND 3: 1BALU MOHAN,S/O.MOHANAN NAIR, SREE SAILAM HOUSE, SH MOUNT P.O., KOTTAYAM - 686 006. 2JOSE PHILIP, S/O.PHILIP, KAVUNNUKATTIL HOUSE, KIDANGOOR SOUTH P.O., KOTTAYAM DISTRICT - 686 583. 3THE NATIONAL INSURANCE CO.LTD., REPRESENTED BY ITS DIVISIONAL MANAGER, KOTTAYAM, KOTTAYAM DISTRICT - 686 002. BY MVTHAMBAN(T-12)BY ADVS.R.REJI THARA THAMBAN(T-209) B.BIPIN(K/297/2007) ARUN BOSE(K/140/2013) R3 BY SRI.GEORGE A.CHERIAN, SC SRI.ALEXY AUGUSTINE ``` ``` THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING COME UP FOR ADMISSION ON 01.02.2024, ALONG WITH MACA Nos.3836/2023, 495/2023 AND 3864/2023,THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: ``` MACA.No.3836/23 & Conns. 3 # `IN THE HIGH COURT OF KERALA AT ERNAKULAM` ## `PRESENT` ``` THE HONOURABLE MR.JUSTICE ZIYAD RAHMAN A.A. ``` ``` THURSDAY, THE 1[ST] DAY OF FEBRUARY 2024 / 12TH MAGHA, 1945 ``` ``` MACA NO. 495 OF 2023 ``` ``` AGAINST THE ORDER OPMV 1011/2010 OF MOTOR ACCIDENT CLAIMS ``` ``` TRIBUNAL PALA ``` ## `APPELLANT/1ST RESPONDENT:` ``` RAVEENDRAN,AGED 52 YEARS, S/O.GOPALAN, VALLOPALLIL ( ASHA BHAVAN) HOUSE, KADAPPOOR P.O., KANAKKARY VILLAGE, KOTTAYAM DIST-686 631. ``` ``` BY ADV.JOSEPH T.JOHN ``` ## `RESPONDENTS / PETITIONER AND RESPONDENTS 2 AND 3:` ``` 1RAHUL, S/O.VIJAYAN, PERUMBALLIL HOUSE, MANTHADY KAVALA BHAGAM, KIDANGOOR SOUTH KARA, KIDANGOOR SOUTH VILLAGE, KOTTAYAM-686 583. 2JOSE PHILIP,S/O.PHILIP, KAVUNNUKATTIL HOUSE, KIDANGOOR SOUTH P.O., KOTTAYAM DISTRICT-686 583. 3THE NATIONAL INSURANCE CO.LTD.,REPRESENTED BY ITS DIVISIONAL MANAGER, KOTTAYAM, KOTTAYAM DISTRICT- 686 002. ``` ``` BY ADVS.R.REJI M.V.THAMBAN(T-12) THARA THAMBAN(T-209) B.BIPIN(K/297/2007) ARUN BOSE(K/140/2013) R3 BY ADV. GEORGE A.CHERIYAN, SC ``` ``` THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING COME UP FOR ADMISSION ON 01.02.2024, ALONG WITH MACA Nos.3836/2023,3568/2020 and 3864/2023,THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: ``` MACA.No.3836/23 & Conns. 4 # `IN THE HIGH COURT OF KERALA AT ERNAKULAM` ``` PRESENT ``` ``` THE HONOURABLE MR.JUSTICE ZIYAD RAHMAN A.A. ``` ``` THURSDAY, THE 1[ST] DAY OF FEBRUARY 2024 / 12TH MAGHA, 1945 ``` ``` MACA NO. 3864 OF 2023 ``` ``` AGAINST THE ORDER/JUDGMENT OPMV 1026/2010 OF MOTOR ACCIDENT ``` ## `CLAIMS TRIBUNAL PALA` ``` APPELLANT/2ND RESPONDENT: ``` ``` JOSE PHILLIP,AGED 75 YEARS, S/O.PHILLIP, KAVUNNUKATTIL HOUSE, KIDANGOOR SOUTH P.O, KOTTAYAM – 686 583. ``` ``` BY ADVS.MATHEW JOHN (K) ABY J AUGUSTINE ``` ``` RESPONDENT/1ST RESPONDENT: 1RAVEENDRAN,S/O.GOPALAN, VALLOPPALLIL, ASHA BHAVAN HOUSE, KADAPPOOR KARA, KANAKKARY VILLAGE, KOTTAYAM, PIN – 686 631. ``` ``` 2NATIONAL INSURANCE CO.LTD., REPRESENTED BY ITS DIVISIONAL MANAGER, KOTTAYAM, PIN – 686 001. ``` ``` BY ADVS.GEORGE A.CHERIAN, SC ARATHI PRABHAKARAN(K/001158/2022) ``` ``` THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING COME UP FOR ADMISSION ON 01.02.2024, ALONG WITH MACA Nos.3836/2023, 3568/2020 and 495/2023,THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: ``` MACA.No.3836/23 & Conns. 5 ## **JUDGMENT** [MACA Nos.3836/2023, 3568/2020, 495/2023, 3864/2023] ... All these appeals arise from a common award passed in O.P.(MV).Nos.1026 of 2010 and 1011 of 2010 by the Motor Accidents Claims Tribunal, Pala. M.A.C.A.No.3568 of 2020 and M.A.C.A.No.495 of 2023 were filed by the 1[st] respondent, the driver of the vehicle involved in the accident, whereas M.A.C.A.No.3836 of 2023 and M.A.C.A.No.3864 of 2023 were filed by the 2[nd] respondent, the registered owner of the said vehicle. 2. The claim petition was filed by the respective claimants, seeking compensation for the injuries sustained to them in a motor accident that occurred on 07.10.2010. The vehicle was insured with the 3[rd] respondent in the claim petition. The grievance of the appellants is confined to the right of the recovery granted to the 3[rd] respondent in the award passed by the Tribunal, on the ground that the 1[st] respondent was driving the vehicle, which was a jeep bearing registration No.KL-35-A- MACA.No.3836/23 & Conns. 6 2857, without valid driving licence. 3. The Tribunal found that, as the 1[st] respondent was not having a badge authorizing him to drive the the transport vehicle and therefore, there was violation of conditions. The right of recovery was granted to the 3[rd] respondent in the claim petition in such circumstances. 4. In compliance of the award, the 3[rd] respondent/insurer deposited the compensation awarded by the Tribunal in both the claim petitions and revenue recovery proceedings were initiated against the appellants in these appeals. These appeals were submitted in such circumstances. 5. Heard Sri.Joseph T.John, learned counsel for the appellant in M.A.C.A.No.495 of 2023 and M.A.C.A.No.3568 of 2020, Sri.Mathew John K., learned counsel for the appellants in M.A.C.A.No.3836 of 2023 and 3864 of 2023 and Sri.George A.Cherian, learned counsel for the insurer of the said vehicle. 6. The only contention raised by the learned counsel appearing for the appellants is to the effect that, the issue raised by them is covered in their favour as per the principles laid down MACA.No.3836/23 & Conns. 7 by the Honourable Supreme Court in **Mukund Dewangan v. Oriental Insurance Company Ltd [2017(3) KLT 1000]** . It is to be noted that in the said decision, the Honourable Supreme Court held that in respect of vehicles with unladen weight less than 7500 kilo grams, lack of authorization to drive the transport vehicle cannot be treated as violation of the policy conditions enabling the insurer to get reimbursement of the compensation. 7. In these cases, the driving licence of the 1[st] respondent in the claim petitions, the driver of the vehicle, is already produced and marked as Ext.B2. On perusal of the same, it is seen that, the 1[st] respondent in the claim petition was having a valid licence to drive any light motor vehicle in the non-transport category and the vehicle involved in these cases was a jeep, a light motor vehicle, even though it was a transport vehicle. Therefore, in the light of the observations made by the Honourable Supreme Court in **Mukund Dewangan (supra)** lack of authorization to drive the transport vehicle cannot be treated as a ground to permit the insurer to recover the compensation from the driver and the owner. Accordingly, the MACA.No.3836/23 & Conns. 8 contentions raised by the appellants are to be accepted. In the result, all these appeals are allowed. The common award passed by the Motor Accidents Claims Tribunal, Pala in O.P.(MV).Nos.1011 of 2010 and 1026 of 2010 are hereby set aside to the extent it permitted the 3[rd] respondent in the claim petition to recover the amount of compensation from the 1[st] and 2[nd] respondents in the claim petition who are the appellants in these appeals. **Sd/ZIYAD RAHMAN A.A. JUDGE** DG/1.2.24