CLAIMS TRIBUNAL UNDER MOTOR VEHICLES ACT
Motor Accidents Claims Tribunal, was substituted for Civil Court, under Motor Vehicles Act, for cheaper and speedier remedy to the victims of accident of motor vehicles. Prior to the Motor Vehicles Act, a suit for damages had to be filed with civil court, on payment of ad valorem court fee. But, under the provisions of this Act, an application claiming compensation can be made to the Claims Tribunal without payment of ad valorem fee. Claims Tribunal was enacted for the purpose to remedy the victims of motor accident on account of an act of negligence.
WHO CAN FILE FOR AN APPLICATION?
An application for compensation involving the death of, or bodily injury to, persons arising out of the use of motor vehicles, can be made —
(a) by the person who has sustained the injury; or
(b) by the owner of the property; or
(c) where death has resulted from the accident, by all or any of the legal representatives of the deceased; or
(d) by any agent duly authorized by the person injured or all or any of the legal representatives of the deceased, as the case may be[1].
JURISDICTION
The Law Commission in its 119th Report had recommended that every application for a claim be made to the Claims Tribunal having jurisdiction over the area in which the accident occurred or to the Claims Tribunal within the local limits of whose jurisdiction the claimant resides or carries on business or within the local limits of whose jurisdiction the defendant resides, at the option of the claimant and same have been implemented under the Act[2].
Where any Claims Tribunal has been constituted in any area, Civil Court shall have no jurisdiction to entertain any question relating to any claim for compensation and no Injunction shall be granted by the Civil Court in respect of any action taken or to be taken by or before the Claims Tribunal in respect of the claim for compensation[3].
ESTABLISHMENT, COMPOSITION AND RULES OF CLAIMS TRIBUNAL
Section 165 (1) of Motor Vehicle Act, 1988 empowers State Government may, by notification in the official gazette, constitute one or more motor accident claims tribunal for such area as may be specified in the notification. It was held by the Supreme Court of India in Minu B. Mehta v. Balkrishna[4], that the power of a State Government to constitute Claims Tribunal is optional, and the State Government may not constitute a Claims Tribunal for certain areas.
State Government may appoint any such number as it seem fit and where if two or more members are appointed, one of them shall be appointed as the Chairman thereof[5].A person shall be qualified for appointment as a member of a Claims Tribunal if he is or has been a Judge of a High Court, or is or has been Judge of District Court, or is qualified for appointment as a Judge of a High Court or as a District Judge [6]. The State Government, may by general or special order, regulate the distribution of business, where two or more Claims Tribunals are constituted for any area[7].
State Government may make rules for all or any of the following matters, namely-
(a) the form of application for claims for compensation and the fees, if any, for such application
(b) procedure to be followed by a Claims Tribunal in holding an inquiry under this Chapter
(c) Form, manner or fees if any for appeal against an award of a Claims Tribunal; and
(d) any other matter which is to be, or may be, prescribed.[8]
POWERS OF CLAIMS TRIBUNAL
The Claims Tribunal shall be deemed to be a Civil Court for all the purposes of section 195 and Chapter XXVI of the Code of Criminal Procedure, 1973. Claims Tribunal shall have the same powers as are vested in a Civil Court under the Code of Civil Procedure, 1908, while trying a suit in respect of the following matters, namely:
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a) The summoning and enforcing the attendance of any witness and examining him on oath;
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b) The discovery and production of any document;
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c) The reception of evidence on affidavits;
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d) The requisitioning of any public record or document or copy of such record or document from any court or office; and
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e) Such other matters as may be prescribed.[9]
Supreme Court of India in Harinagar Sugar Mills v. Shyamsunder Jhunjhuinwa[10], has opined the distinction between Courts and Tribunals as “The word court is not defined in the Companies Act, 1956. It is not defined in the Civil Procedure Code. The definition in the Indian Evidence Act is not exhaustive, and is for the purpose of that Act. In the New English Dictionary the meaning is given is: ‘an assembly of judges or other persons legally appointed and acting as a tribunal to hear and determine any cause, civil, ecclesiastical, military or naval”.
In Mohd. Riyazur Rehman Siddiqui v. Deputy Director of Health Services[11] it was held that Tribunal has all the trapping of court since it passes an award which has all the ingredients of a judgement as known under civil jurisprudence.
The Claims Tribunal, shall hold any inquiry under section 168, subject to any rules made in this behalf [12] and choose one or more persons possessing special knowledge of any matter relevant to the inquiry to assist it in holding the inquiry[13]. It may also issue a certificate to the Collector for recovery of amount, on an application made to it by the person entitled to the amount and the Collector shall proceed to recover the same in the same manner as an arrear of land revenue[14].
AWARD OF THE CLAIMS TRIBUNAL
On receiving application for compensation under section 166, the claimant entitled to compensation may without prejudice to the provisions of Chapter X claim such compensation either under this Act or under the Workmen’s Compensation Act, 1923, but not under both[15]. The Claims Tribunal, shall hold an inquiry into the claim, after giving a notice to the insurer and an opportunity to the parties for being heard may make an award determining the amount of compensation which appears to it to be just and specifying the person or persons to whom compensation shall be paid and shall specify the amount which shall be paid by the insurer or owner or driver of the vehicle involved in the accident or by all or any of them[16].
The Claims Tribunal shall arrange to deliver copies of the award to the parties within a period of fifteen days from the date of the award[17] and within thirty days of the date of announcing the award by the Claims Tribunal, deposit the entire amount awarded in such manner as the Claims Tribunal may direct[18]. Tribunal may direct that in addition to the amount of compensation simple interest shall also be paid at such rate, not earlier than the date of making the claim as it may specify in this behalf[19].
Claims Tribunal may also award compensatory cost is certain cases and recorded by it in writing that-[20]
(a) policy of insurance is void on the ground that it was obtained by false representation in any material particular, or
(b) any party or insurer has put forward a false or vexatious claim or defence,
Claims Tribunal shall not pass an order for special cost under sub-section (1) for any amount exceeding one thousand rupees[21] and such amount shall taken into account in any subsequent suit for damages for compensation in respect of such misrepresentation, claim or defence[22]. No person shall be exempted from any criminal liability in respect of such misrepresentation, claim or defence as is referred to in sub-section (1).[23]
APPEALS
Any person aggrieved by an award of a Claims Tribunal may, prefer an appeal to the High Court, within ninety days from the date of the award. Provided that the High Court may entertain the appeal after the expiry of the said period of ninety days, if it is satisfied that the appellant was prevented by sufficient cause from preferring the appeal in time[24]. However, No appeal shall lie against any award of a Claims Tribunal if the amount in dispute in the appeal is less than ten thousand rupees[25]. No such award shall be entertained in High Court, unless the person who is required to pay any amount in terms of such award has deposited with it twenty-five thousand rupees or fifty percent of the amount so awarded, whichever is less, in the manner directed by the High Court.
[1] Sec. 166(1) of The Motor Vehicles Act, 1988
[2] Sec. 166(2) of The Motor Vehicles Act, 1988
[3] Sec. 175 of The Motor Vehicles Act, 1988
[4] A.I.R. 1977 S.C. 1248
[5] Sec. 165 (2) of The Motor Vehicles Act, 1988
[6] Sec. 165 (3) of The Motor Vehicles Act, 1988
[7] Sec. 165 (4) of The Motor Vehicles Act, 1988
[8]
Sec. 176 of The Motor Vehicles Act, 1988
[9] Sec. 169 (2) of The Motor Vehicles Act, 1988
[10] (1962) 2 SCR 339
[11] 2009 (3) ACC 300 (Bom) FB
[12] Sec. 169 (1) of The Motor Vehicles Act, 1988
[13] Sec. 169 (3) of The Motor Vehicles Act, 1988
[14] Sec. 174 of The Motor Vehicles Act, 1988
[15] Sec. 167 of The Motor Vehicles Act, 1988
[16] Sec. 168 (1) of The Motor Vehicles Act, 1988
[17] Sec. 168(2) of The Motor Vehicles Act, 1988
[18] Sec. 168(3) of The Motor Vehicles Act, 1988
[19] Sec. 171 of The Motor Vehicles Act, 1988
[20] Sec. 172(1) of The Motor Vehicles Act, 1988
[21] Sec. 172(2) of The Motor Vehicles Act, 1988
[22] Sec. 172(4) of The Motor Vehicles Act, 1988
[23] Sec. 172(3) of The Motor Vehicles Act, 1988
[24] Sec. 173 (1) of The Motor Vehicles Act, 1988
[25] Sec. 173 (2) of The Motor Vehicles Act, 198