12-Year-Old’s Death: Chhattisgarh HC Upholds ₹5.7 Lakh Award, Rejects Permit Objection Over State-Registered Truck’s In-State Accident

On 11 December 2021, 12-year-old Onisha Sonkar died in a motor accident.

The Additional Motor Accident Claims Tribunal, Dhamtari, awarded the claimants ₹5,70,000 and fastened liability on the insurer by award dated 29 January 2024.

The insurer appealed under Section 173 of the Motor Vehicles Act, 1988, contending that the offending vehicle’s permit lacked the required authorization and that the insurer should therefore be exonerated.

The High Court condoned the 24-day delay, admitted the appeal, and heard it finally with the parties’ consent.

Section 173 of the Motor Vehicles Act, 1988, provides for an appeal against an award of a Claims Tribunal.

Relying on Shri Binod Kumar Singh v. National Insurance Company Ltd., SLP (Civil) No. 13060 of 2020, the Court applied the principle that authorization fees under a National Permit are required when a vehicle travels outside the State in which the permit was issued; separate authorization is not required for use within that State.

The Court treated the absence of such authorization as insufficient, in these circumstances, to establish a breach absolving the insurer of liability.

The vehicle was registered with the Transport Authority at Jashpur, and both its operation and the accident occurred within Chhattisgarh.

Applying Binod Kumar Singh, the Court held that separate authorization was not required for the vehicle’s operation within the State.

Accordingly, the alleged absence of authorization did not establish a policy breach that would exonerate the insurer, and the Tribunal’s finding fastening liability on the insurer disclosed no infirmity.

The appeal was dismissed, leaving the Tribunal’s award undisturbed.