Mazid Vs. Smt. Raj Kunwar & Ors.

Core ratio / Key holding

Headnote

Motor Vehicles Act, 1988 – S.147 – Insurance Liability – Goods Vehicle – Gratuitous Passenger – Non-Fare Passenger Premium

Ratio decidendi

• Where a deceased person in a goods vehicle was found to have hired the vehicle for carrying goods on hire and a premium for non-fare passengers was paid to the insurance company, the insurance company is fully liable to pay the entire compensation, and the deceased cannot be considered a gratuitous passenger or a pillion rider.

Important points

• Held: Where deceased hired goods vehicle and non-fare passenger premium was paid, insurer is fully liable for compensation.
• Declared: The finding that deceased hired the truck for carrying goods and non-fare passenger premium was paid is binding and not perverse.
• Set Aside: Tribunal's direction holding owner liable for part compensation was set aside.

Keywords