The Oriental Insurance Co. Ltd., Thr Its Divisional… — Motor Accident Claims | Bombay HC (2025)

The Oriental Insurance Co. Ltd., Thr Its Divisional… — Motor Accident Claims | Bombay HC (2025)

What the court decided

AI extract

Outcome

49 days' delay in filing the appeal condoned; appeal admitted with R & P called and fresh notice to Respondent Nos.3 and 4; ad-interim stay on execution of the Tribunal's award confirmed till final disposal of the Appeal; Respondent Nos.1 and 2 permitted to withdraw 50% of the deposited compensation along with accrued interest on furnishing usual undertaking.

Issue for consideration

Whether the delay of 49 days in filing the First Appeal (under Section 173 of the Motor Vehicles Act, 1988) ought to be condoned (CAF No. 1955 of 2024). +2 more

Court's answer

The delay of 49 days in filing the First Appeal under Section 173 of the Motor Vehicles Act, 1988 is condoned in the interest of justice, for the reasons mentioned in the Application.

Ratio / Principle

Since the entire awarded amount is deposited as directed by the Court vide order dated 29/7/2024, the ad-interim stay on execution of the Tribunal's Judgment and Award dated 2/9/2023 is confirmed and shall operate till final disposal of the Appeal, without prejudice to the right of Respondent Nos.1 and 2 to seek withdrawal of the compensation amount.

Key takeaways

Having regard to the circumstances in which the accident occurred, the interest of justice will be subserved by permitting Respondent Nos.1 and 2 to withdraw 50% of the amount of compensation along with accrued interest.ratio¶32
Respondent Nos.1 and 2 are permitted to withdraw 50% of the amount of compensation along with accrued interest, on furnishing the usual undertaking.ratio¶33
On a prima facie view, the learned Tribunal's computation of compensation appears to be correct; the final assessment remains open pending disposal of the Appeal.

Detailed headnote1 paragraphs

Bombay High Court (Nagpur Bench), Rohit W. Joshi, J., 14 February 2025 - In CAF No. 1955 of 2024 in First Appeal (ST) No. 4173 of 2024 (The Oriental Insurance Company Ltd. v. Smt. Varsha Onkarrao Fating & Ors.), the 49-day delay in filing the appeal under Section 173 of the Motor Vehicles Act, 1988 against the Judgment and Award dated 2/9/2023 of the Motor Accident Claims Tribunal, Amravati in MACP No. 106/2020 was condoned in the interest of justice and the appeal admitted, with R & P called and fresh notice ordered to Respondent Nos.3 and 4. In CAF No. 1956 of 2024, since the entire awarded amount stood deposited pursuant to the Court's order dated 29/7/2024, the ad-interim stay of execution of the award was confirmed to operate till final disposal of the Appeal, without prejudice to the claimants' right to seek withdrawal. In CAF No. 531 of 2025, overruling the insurer's objection that the deceased was travelling seated on the tractor mudguard (impermissible) and noting counsel's submission that the pay and recover principle applies as the vehicle was insured, the Court found the Tribunal's computation prima facie correct and, having regard to the circumstances of the accident, permitted Respondent Nos.1 and 2 to withdraw 50% of the compensation with accrued interest on furnishing the usual undertaking.

1/3 19.caf.1955.2024 in fast.4173.2024.odt

IN THE HIGH COURT OF JUDICATURE AT BOMBAY NAGPUR BENCH : NAGPUR

CIVIL APPLICATION (CAF) NO. 1955 OF 2024 WITH CIVIL APPLICATION (CAF) NO. 1956 OF 2024 WITH CIVIL APPLICATION (CAF) NO. 531 OF 2025

IN

FIRST APPEAL (ST) NO. 4173 OF 2024

(The Oriental Insurance Company Ltd. V/s Smt. Varsha Onkarrao Fating & Ors.)

Office Notes, Office Memoranda of Coram, Appearances, court’s orders or directions and Registrar’s orders

Court’s or Judge’s orders

Ms. Anita Mategaonkar, Advocate for Appellant. Mr. S. S. Alaspurkar, Advocate for Respondent Nos.1 and 2.

CORAM : ROHIT W. JOSHI, J. DATE : FEBRUARY 14, 2025.

CIVIL APPLICATION (CAF) NO. 1955 OF 2024

. By this Application, the Appellant is seeking condonation of delay of 49 days in filing the First Appeal under Section 173 of the Motor Vehicles Act, 1988.

The delay is properly explained in paragraph Nos.2 and 3 of the Application. The Respondent Nos.1 and 2/Original Claimants have not filed reply opposing the present Application and none appeared on behalf of the Respondent Nos.3 and 4, though served.

In my considered opinion, delay deserves to be condoned in the interest of justice, for the reasons mentioned in the Application.

2/3 19.caf.1955.2024 in fast.4173.2024.odt

Civil Application stands disposed of accordingly.

Appeal be registered.

FIRST APPEAL (ST) NO. 4173 OF 2024

. Heard. Admit. Call R & P.

Mr. Alaspurkar, learned Counsel, waives service of notice on behalf of the Respondent Nos.1 and 2.

Issue fresh notice to the Respondent Nos.3 and 4.

The Appellant is permitted to serve the Respondent Nos.3 and 4 by all permissible modes, in addition to regular mode of service.

CIVIL APPLICATION (CAF) NO. 1956 OF 2024

. This application is filed for grant of stay to the execution of Judgment and Award dated 2/9/2023 passed by the Motor Accident Claims Tribunal, Amravati in MACP No. 106/2020.

In view of the fact that entire amount is deposited, as directed by this Court vide order dated 29/7/2024, ad-interim stay granted vide this order, is hereby confirmed and shall operate till final disposal of the Appeal, without prejudice to the right of the Respondent Nos.1 and 2 to seek withdrawal of amount of compensation.

Civil Application stands disposed of accordingly.

3/3 19.caf.1955.2024 in fast.4173.2024.odt

CIVIL APPLICATION (CAF) NO. 531 OF 2025

. By this Application, Respondents/Original Claimant Nos.1 and 2 are seeking permission to withdraw the amount of compensation deposited by the Appellant with this Court.

The learned Counsel for Appellant has a serious objection to this. She points out that deceased was travelling in the tractor by sitting on the mudguard, which is not permissible.

The learned Counsel for Respondent Nos.1 and 2 submits that in such cases pay and recover principle can be resorted to and since admittedly the vehicle was insured with the Appellant, permission to withdraw an amount should be granted.

I have perused the Judgment delivered by the learned Tribunal. Prima facie the computation of compensation appears to be correct, however, having regard to the circumstances in which the accident has occurred, in my considered opinion, interest of justice will be subserved by permitting the Respondent Nos.1 and 2 to withdraw 50% of the amount of compensation along with accrued interest.

In view of the aforesaid, the Respondent Nos.1 and 2 are permitted to withdraw 50% of the amount of compensation along with accrued interest, on furnishing usual undertaking.

Civil Application stands disposed of accordingly.

(ROHIT W. JOSHI, J.)

vijaya

Signed by: Mrs. V.G. Yadav Designation: PA To Honourable Judge Date: 21/02/2025 11:12:41