IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE M.N.KRISHNAN MONDAY, THE 23RD NOVEMBER 2009 / 2ND AGRAHAYANA 1931 MACA.No. 1767 of 2005() ----------------------------------- OPMV.79/1996 of IST ADDL.MOTOR ACCIDENTS CLAIMS TRIBUNAL,KOZHIKODE .................... APPELLANT/3RD RESPONDENT ---------------------------------------------- THE NEW INDIA ASSURANCE COMPANY LTD., SILVER PLAZA BUILDING, INDIRA GANDHI ROAD, KOZHIKODE, REP. BY ITS ASSISTANT ADMINISTRATIVE OFFICER. BY ADV. MR.KKM.SHERIF MR.A.A.ZIYAD RAHMAN RESPONDENT/PETITIONER/RESPONDENTS 1ST & 2ND RESPONDENTS ------------------------------------------------------------------------------------------------------ 1. SULOCHANA C., W/O.VELAYUDHAN, CHOLAYIL HOUSE, POOLACKEL PARAMBA, NADUVATTOM P.O., BEYPORE, KOZHIKODE DISTRICT. 2. V.SASIDHARAN, S/O.RAMAKRISHNAN, VALAPPIL HOUSE, P.O. CHERUVANNUR, CHERUVANNUR AMSOM DESOM, KOZHIKODE. (D.L. NO.4676/84, B. NO.2890/85). 3. M. RAMESH, S/O.GOPALAN, KALYANI NILAYAM, CHELAD, THALASSERY. BY THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING BEEN FINALLY HEARD ON 23/11/2009,THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: MACA.No. 1767 of 2005 ORDER ON I.A. NO.3179/2005 IN MACA. NO.1767/2005 CLOSED 23/11/2009. SD/- M.N.KRISHNAN, JUDGE. //TRUE COPY// P.S. TO JUDGE rs. M.N. KRISHNAN, J. ........................................... M.A.C.A.No.1767 OF 2005 ............................................. Dated this the 23rd day of November, 2009 J U D G M E N T This is an appeal preferred by the insurance company against the award of the Claims Tribunal, Kozhikode in OP (MV)No.79/1996.The Tribunal has awarded a sum of Rs.11,500/= and directed the insurance company to pay the amount. The insurance company has challenged the award on the ground that the cheque which was issued was dishonoured and therefore, it is not liable to pay the amount. The Tribunal after consideration of the materials found that cancellation of the policy was only after the accident and therefore, it will not affect the right of a third party. 2. It is the settled proposition now that in order to make the insurance company totally exonerated from the liability , the accident would have taken place subsequent to the cancellation of the policy and it has been intimated to the Regional Transport Authority as well as the insured to avoid liability. Both these things are not available in this case. In MACA.No.1573/2005 a Division Bench of this Court : 2 : M.A.C.A.No.1767 OF 2005 has considered the question regarding impact of the cancellation of the policy in the case. The court held that the policy was cancelled only after the accident and therefore the insurance company is liable to pay the amount. In the light of these dictums, the insurance company cannot get exonerated from the liability and therefore, the appeal lacks merit and the same is dismissed. M.N. KRISHNAN, JUDGE cl : 3 : M.A.C.A.No.1767 OF 2005