Summary
The Supreme Court allowed the vehicle owner’s appeal against the insurer’s exoneration in a fatal-accident claim. The driver held a light motor vehicle licence and the offending vehicle was a light goods vehicle. Applying Mukund Dewangan, the Court held that a separate transport endorsement was not required for a transport vehicle within the light motor vehicle class. It set aside the insurer’s exoneration and made the insurer jointly and severally liable with the owner and driver.
Issues
- Whether absence of a separate transport endorsement on a light motor vehicle licence justified exonerating the insurer for a light goods vehicle.
Held
- Mukund Dewangan held that the light motor vehicle category includes transport vehicles within the statutory weight limit. For a transport vehicle or omnibus with gross vehicle weight not exceeding 7,500 kg, the quoted ruling did not require a separate endorsement beyond the relevant light motor vehicle licence. The Court applied that rule to the offending light goods vehicle. (¶¶ 2, 4, 5)
- The Tribunal’s direction to pay first with recovery from the owner and driver rested on its erroneous exoneration of the insurer. The Supreme Court set aside exoneration and fastened joint and several liability on the insurer in addition to the owner and driver; it did not merely repeat a pay-and-recover direction. (¶¶ 2, 3, 6)
Result
Owner’s appeal allowed. Insurer’s exoneration set aside and insurer made jointly and severally liable with owner and driver. No costs; compensation quantum was not altered by this order.