Skip to main content

No claim if licence not renewed in time

A driving licence that stood expired on the date of a traffic accident cannot be considered to be legally valid unless it is renewed within the statutory period of 30 days, the Kerala high court has held. If the licence is not renewed so, the insurance company won't be liable to pay compensation, the court said.

A five-member bench led by acting Chief Justice Ashok Bhushan on Wednesday overruled a 2004 decision by a three-member bench on the issue. The three-member bench had held that driving licence would continue to exist in spite of its expiry unless the licensee is disqualified from holding a licence.

The 2004 decision does not lay down the correct law and, therefore, it is overruled, the judgment authored by Justice A V Ramakrishna Pillai for the full bench said.

In addition to Justice Bhushan and Justice Pillai, the full bench comprised Justice A M Shaffique, Justice A Hariprasad, and Justice A K Jayasankaran Nambiar.

The five-member bench held, "It is beyond dispute that the licence would stand renewed automatically only if the application for renewal is filed within a period of 30 days from the date of expiry thereof. In such cases, even if an accident takes place within the aforementioned period, the driver may be held to be possessing a valid driving licence. The proviso to sub-section (1) of section 15 (of Motor Vehicles Act, 1988) makes it clear that the driving licence shall be renewed with effect only from the date of renewal, in the event of an application for renewal of licence being made more than 30 days after the date of expiry. That means, on the renewal of licence on such terms, the driver of the vehicle cannot be said to have been holding a valid driving licence from the date of expiry till the date of renewal."

The court was considering an appeal filed by Oriental Insurance Company through advocate Mathews Jacob.

The company challenged an order by Motor Accident Claims Tribunal of Irinjalakuda in 1996 asking it to pay Rs1.36 lakh to Poulose Ouseph for injuries suffered when he was hit by a lorry at Nalukettu public road at Koratty around 11.45am on March 7, 1996.

Insurance company contended before the high court that the licence of the lorry driver had expired prior to date of the accident and, therefore, they are not liable to pay compensation.

As the insurance company had already paid the compensation, the high court allowed the company to recover the amount paid from the owner of the vehicle.

Article referred: http://timesofindia.indiatimes.com/city/kochi/No-claim-if-licence-not-renewed-in-time/articleshow/45976827.cms

Comments

Most viewed this month

Valuation Report of Jewellery once made is effective for Four Assessment Years

The division Bench of the Delhi High Court in Pr.Commissioner of Wealth Tax vs. Raghu Hari Dalmia held that a valuation report made by a registered valuer once adopted shall be in effect for four assessment years unless an event has occurred whereby the value is increased or decreased. The High Court made it clear that the event of “search” under Section 132 of the Income Tax Act, 1961 cannot compel the assessee to undertake a fresh valuation.

The recovery of vehicles by the financier not an offence - SC

Special Leave Petition (Crl.) No. 8907  of 2009 Anup Sarmah (Petitioner) Vs Bhola Nath Sharma & Ors.(Respondents) The petitioner submitted that  respondents-financer had forcibly taken away the vehicle financed by them and  illegally deprived the petitioner from its lawful possession  and  thus,  committed  a crime. The complaint filed by the petitioner had been  entertained  by  the Judicial Magistrate (Ist Class), Gauhati (Assam) in Complaint Case  No.  608 of 2009, even directing the interim custody of the vehicle (Maruti  Zen)  be given to the petitioner vide order dated  17.3.2009.  The respondent on approaching the Guwahati High  Court against this order, the hon'ble court squashed the criminal  proceedings  pending   before  the  learned Magistrate. After hearing both sides, the Hon'ble Supreme Court decided on 30th...

Mere Agreement To Sell The Leased Property To Tenant Would Not Terminate Landlord-Tenant Relationship

In CIVIL APPEAL Nos. 1237­1238 OF 2019, Dr. H.K. Sharma vs Shri Ram Lal, the tenant had objected against the eviction suit filed by the landlord, claiming that the landlord-tenant relationship between them had ceased to exist by virtue of an agreement for sale entered between them and that he has already paid some money in advance based on the agreement. The tenant contented as the landlord-tenant relationship did not exist, the landlord cannot evict him. The matter went through various forums and finally landed before the Supreme Court in appeal. The Supreme Court referring to the judgment in Shah Mathuradas Maganlal & Co. vs. Nagappa Shankarappa Malage & Ors., held that in the instant case the lease agreement included no clauses on the fate of the tenancy. A fortiori, the parties did not intend to surrender the tenancy rights despite entering into an agreement of sale of the tenanted property. In other words, if the parties really intended to surrender their tenancy ...