Driver Holding Licence For LMV Can Drive Light Goods Vehicle Not Exceeding 7,500 Kg Without Transport Endorsement: Gujarat High Court
The Court dismissed Oriental Insurance’s appeal against ₹9.48 lakh motor accident award, and held that the driver held “valid and effective licence” on accident date.
The Gujarat High Court has held that a driver holding a licence for a light motor vehicle is competent to drive a Light Goods Vehicle with a gross vehicle weight not exceeding 7,500 kg, even if his transport vehicle licence had lapsed on the date of the accident. Relying on the Supreme Court’s decisions in Mukund Dewangan v. Oriental Insurance Company Limited, (2016) 4 SCC 298 and Bajaj Allianz General Insurance Co. Ltd. v. Rambha Devi and Ors, 2024 LawSuit (SC) 961, the Court found that the argument of the insurer, Oriental Insurance Company Ltd, that the driver lacked a valid licence “has no force”.
Dismissing the insurer’s appeal under Section 173 of the Motor Vehicles Act, 1988, the Court confirmed the award of ₹9,48,000 passed by the Motor Accident Claims Tribunal, Ahmedabad. The insurer had contended that, since the driver’s transport licence was not valid on the date of the accident, there was a breach of the policy conditions and it ought to be exonerated.
A Bench of Justice L. S. Pirzada observed, “…even a person holding a licence to drive a light motor vehicle can drive a Light Goods Vehicle that does not exceed 7,500 kg”.
The claim arose from an accident on May 29, 2012, in Ahmedabad, where a pillion rider on a motorcycle died after a milk van, allegedly driven rashly on the wrong side of the road, collided with it. His parents sought ₹20 lakh. An FIR was registered against the truck driver at Sardarnagar Police Station.
Thereafter, through a judgment and award dated December 28, 2018, the Tribunal partly allowed the claim petition and awarded ₹9,48,000 with interest at 9% per annum from the date of filing. The opponents were held jointly and severally liable. The insurer appealed on the sole ground that the driver did not hold a valid licence.
The insurer relied on the RTO officer’s evidence that the driver held no licence on the accident date. His transport licence was valid from April 8, 2009 to April 7, 2012, and was renewed only for the period from May 31, 2015 to May 30, 2018. The claimants relied on the RTO official’s admission that a licence could be renewed after expiry on payment of late fees. They pointed out that the driver held a non-transport licence valid from February 10, 2005 to April 7, 2029.
The High Court noted the admitted position that the driver held no transport licence on the accident date but did hold a licence to drive a light motor vehicle. The truck’s Registration Certificate showed it was a Light Goods Vehicle. In Rambha Devi, it noted, the Supreme Court had held that an LMV licence holder may operate a transport vehicle under 7,500 kg without additional authorisation under Section 10(2)(e). The driver therefore held “a valid and effective licence” to drive the truck.
The Court held that the award required no interference. The appeal and the related civil application were disposed of, the award was confirmed, and the record was directed to be sent back to the Tribunal.
Cause Title: Oriental Insurance Company Ltd v. Jitendraji Manuji Chavda and others (R/First Appeal No. 1696 of 2019)
Appearances:
Appellant: Masumi V. Nanavaty, Vibhuti Nanavati, Advocates.
Respondent: Spruha Joshi, Tirth Nayak, Advocates