Unauthorized passenger – Meaning. An unauthorized passenger refers to a person travelling in a motor vehicle contrary to the purpose, permit, or seating capacity prescribed under the Motor Vehicles Act and without any connection with the vehicle’s permitted use. (Para 37)

advocatemmmohan

1. Motor Vehicles Act, 1988 – Section 173 – Appeal against award of MACT – Scope of interference.

In an appeal under Section 173 of the Motor Vehicles Act, the High Court will not interfere with the award of the Motor Accident Claims Tribunal when the findings on negligence, liability and compensation are based on proper appreciation of oral and documentary evidence. (Paras 31, 42)

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2. Motor accident – Goods vehicle – Coolies travelling in vehicle – Whether unauthorized passengers.

Where labourers travelled in a goods vehicle for the purpose of loading and unloading goods as “Jattu Coolies”, they cannot be treated as unauthorized or gratuitous passengers. Their presence in the vehicle is directly connected with the work relating to the goods being transported. (Paras 31, 34, 41)

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3. Insurance policy – Coverage of coolies – Liability of insurer.

When the insurance policy shows that the insurer collected premium for carriage of coolies and passenger cover under relevant IMT clauses, the insurer cannot deny liability for compensation to coolies travelling in the goods vehicle at the time of accident. (Paras 32–34)

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4. Burden of proof – Insurance defence – Liability exclusion must be proved by insurer.

When the insurer pleads breach of policy conditions or non-liability, the burden of proof lies on the insurer to establish the same by adducing cogent evidence. In the absence of such proof, the insurer remains liable to satisfy the award. (Para 39)

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5. Unauthorized passenger – Meaning.

An unauthorized passenger refers to a person travelling in a motor vehicle contrary to the purpose, permit, or seating capacity prescribed under the Motor Vehicles Act and without any connection with the vehicle’s permitted use. (Para 37)

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6. Evidence – Injured witness – Credibility.

Testimony of the injured witness regarding the manner of accident and his presence in the vehicle carries significant evidentiary value and cannot be discarded in the absence of material contradictions. (Paras 24–27)

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7. Motor accident claims – Liability of insurer, owner and driver – Joint and several liability.

When the vehicle involved in the accident is insured and the accident occurs due to rash and negligent driving, the insurer along with the owner and driver becomes jointly and severally liable to satisfy the award passed by the Tribunal. (Paras 14, 15, 43, 44)

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Ratio Decidendi

Where labourers travel in a goods vehicle as “Jattu Coolies” for the purpose of loading and unloading goods and the insurance policy covers carriage of such coolies by collecting the requisite premium, they cannot be treated as unauthorized passengers. Consequently, the insurer cannot escape liability and remains jointly and severally liable with the owner and driver to pay compensation awarded by the Motor Accident Claims Tribunal. (Paras 31–34, 41–42)