Liability Without Fault Under Motor Vehicles Act

CHAPTER X OF MOTOR VEHICLES (AMENDMENT) ACT, 2019 DEALS WITH LIABILITY WITHOUT FAULT

CHAPTER X - LIABILITY WITHOUT FAULT IN CERTAIN CASES ( SECTION 140-144 )

( this chapter has been omitted by the Motor vehicles (amendment) act, 2019 )

Ordinarily, one cannot be saddled with any liability unless there is any wrong or negligence on his part. The Supreme Court felt the necessity of changing the law in this regard. In a number of cases, the Supreme Court highlighted the need for legislation providing for no-fault liability in motor accident claims. the supreme court observed that the principle of no-fault liability should become national policy. the victims are mainly below the poverty line and litigation is compounded misery. The horrendous increase in highway casualties and the chronic neglect of road safety constraints recommend that parliament sensitize this tragic area of test law.

For FAULT LIABILITY, the law required that the claimant should prove that the driver of the vehicle was guilty of rash and negligent driving. the burden thus placed is very heavy and difficult to discharge the claimant. the supreme court also recommended making payment of minimum compensation absolute Hence by Amendment, the provision regarding the " no-fault liability " were introduced in the 1988 ACT.

SECTION 140 :- LIABILITY TO PAY COMPENSATION IN CERTAIN CASES ON THE PRINCIPLE OF NO FAULT

The main principle underlying this section is that no matter whether there is any fault /not if the victim dies or is permanently disabled. The plea of contributory negligence cannot be raised in a claim under SECTION 140.

There is also no scope to reduce the compensation. the liability as fixed and quantified in the statute is final.

SECTION 140 modifies the substantive law of our country and dispenses with the common law requirement of proving negligence.

It is a social welfare legislation . the underlying object of this provision is to provide with immediate benefit to the relations of the victim in case of his death and the disabled victim of the accident in case of permanent disability.

SECTION 140 is in the nature of beneficial legislation enacted with a view to confer the benefit of expeditious payment of a limited amount by way of compensation to the victims of an accident arising out of the use of a motor vehicle on the basis of no-fault liability.

STATUTORY PROVISIONS

SECTION 140 (1) Where death or Permanent has been caused of any person because of accident by a motor vehicle,the owner of the vehicle shall or the owners of the vehicles shall be jointly and severally liable to pay compensation.

SECTION 140 (2) The amount of compensation payable shall be --

in case of death --- > fixed sum of fifty thousand rupees (Rs. 50,000/- )

in case of permanent disablement --- > fixed sum of twenty-five thousand rupees ( Rs. 25,000 /-)

SECTION 140 (3) In any claim under this section , the claimant shall not be required to plead and establish that the death or permanent disablement was due to any wrongful act, neglect or default of the owner or owners of the vehicle.

SECTION 140 (4) :- PLEA OF CONTRIBUTORY NEGLIGENCE NOT AVAILABLE.

A claim under this section shall not be defeated by reason of any wrongful act, neglect or default of the person in respect of whose death or permanent disablement the claim has been made,

nor shall the quantum of compensation be reduced on the basis of the share of such person in the responsibility for such death or permanent disablement.

SECTION 140 ( 5 ) In Addition to compensation under SECTION 140 (2) , the owner of the vehicle is also liable to pay compensation under any other law for the time being in force.

Provided that the amount of such compensation to be given under any other law shall be reduced from the amount of compensation payable under this section.

SECTION 141 :- PROVISIONS AS TO OTHER RIGHT TO CLAIM COMPENSATION FOR DEATH OR PERMANENT DISABLEMENT

SECTION 141 (1) Right to claim compensation under SECTION 140 shall be in addition to any other right, except the right to claim under the scheme referred to in SECTION 163 to claim compensation in respect thereof under any other provision of this Act or of any other law for the time being in force.

SECTION 141 (2) claim under SECTION 140 shall be disposed of as expeditiously as possible and where compensation is claimed in respect of such death or permanent disablement under SECTION 140 and also in pursuance of any right on the principle of fault, the claim under SECTION 140 shall be disposed of in the first place.

SECTION 141 (3) the person is liable to pay compensation under SECTION 140 is also liable to pay compensation in accordance with the right on the principle of fault, the person so liable shall pay the first-mentioned compensation and ,

  • if compensation under SECTION 140 is less than compensation on principle of fault as is equal to the amount by which it exceeds the compensation under SECTION 140 . this compensation is in addition to compensation under SECTION 140 .
  • if compensation under SECTION 140 is equal to or more than the amount of compensation in case of fault liability , he shall not be liable to pay compensation of fault liability.

SECTION 142 :- PERMANENT DISABLEMENT

It means , if a person has suffered by reason of the accident, any injury or injuries

involving :-

  1. permanent privation of the sight of either eye or the hearing of either ear, or privation of any member or joint; or
  2. destruction or permanent impairing of the powers of any members or joint; or
  3. permanent disfiguration of the head or face
SECTION 143 The provisions of this Chapter shall also apply in relation to any claim for compensation in respect of death or permanent disablement under the WORKMEN’S COMPENSATION ACT, 1923.
SECTION 144 OVERRIDING EFFECT

The provisions of this Chapter shall have effect notwithstanding anything contained in any other provision of this Act or of any other law.

CASE LAW

  • ESHWARAPPA V. C.S. GURUSHANTHAPPA AIR 2010 SC 2967

To attract the liability under SECTION 140, all that is required is an accident arising out of use of a motor vehicle leading to death / permanent disability of any person.

  • SAURABH KUMAR SHUKLA VS HUKUM CHAND AND ORS AIR 1998 MP 144

To award compensation UNDER SECTION 140 , the resultant effect of the fracture should be permanent disablement which is the sine qua non for award of compensation. If the injury is simple fracture only without anything more as contemplated in SECTION 142 of the Act, person receiving such injury would not be entitled to compensation.