Page 279 - Motor Insurance Ebook IC 72

Guide for Motor Insurance

Court is not binding upon a civil court which has to decide
on the issue of negligence afresh irrespective of the
conviction or acquittal of the driver on charges of rash
and negligent driving.

However in Sadhu Singh Vs. Punjab Roadways, the
Punjab and Haryana High Court was considering a case
where a Claims Tribunal constituted under Sec. 110 of
the Motor Vehicles Act 1939 dismissed an application
for compensation on the point of negligence, ignoring
the fact that the driver had already been convicted for
rash and negligent driving by the Criminal Court.

The interesting appoint that had arisen before this High
court was whether or not the Claims Tribunal can give
a go-by to the judgement of the Criminal court, and the
High court held that the claims Tribunal should not have
given a go-by, being a statutory Tribunal and it was
bound by the judgment of the Criminal Court. The Court
set aside the order of the Claims Tribunal and ordered
that the case be remitted to it to determine the amount
of compensation. There is no Supreme Court decision
on the issue.

Q. 7. Define how a property damage claim is settled?
Ans: The risk of "Property Damage" is covered under both

package and Liability policy of a motor vehicle. As per

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