IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE M.N.KRISHNAN THURSDAY, THE 24TH JULY 2008 / 2ND SRAVANA 1930 MACA.No. 69 of 2008() --------------------- OPMV.664/2000 of MOTOR ACCIDENT CLAIMS TRIBUNAL, VATAKARA .................... APPELLANT/1ST RESPONDENT: -------------------------------- JITHESH, S/O.BALAKRISHNAN, POTTANDY PARAMBATH HOUSE, MOORIKKARA, KAKKODI POST KOZHIKODE 673 506. BY ADV. SRI.JACOB ABRAHAM SMT.KOCHUMOL KODUVATH RESPONDENT/ 3RD RESPONDENT: ---------------------------- M/S.NATIONAL INSURANCE COMPANY LTD., NOOR COMPLEX, MAVOOR ROAD, KOZHIKODE 673004. BY ADV. SRI.MATHEWS JACOB (SR.) SRI.P.JACOB MATHEW THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING BEEN FINALLY HEARD ON 24/07/2008, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: ORDER ON IA NoS. 86/08 & 1040/08 IN MACA 69/08 DISMISSED 24.7.08 SD/- M.N.KRISHNAN, JUDGE /TRUE COPY/ PA TO JUDGE. M.N.KRISHNAN, J. -------------------------- M.A.C.A. No. 69 OF 2008 --------------------- Dated this the 24th day of July, 2008 JUDGMENT This appeal is preferred by the 1st respondent in the claim petition against the finding of the Motor Accident Claims Tribunal, Vatakara, in OP(MV) 664/00, that the Insurance Company is liable to be reimbursed by respondents 2 and 4. 2. There were two contentions. (i) There was no valid badge (ii) Transfer of the vehicle was not intimated to the Insurance Company. The Tribunal found that there was nothing to show that there was any badge and therefore, repelled that contention of the Insurance Company but had proceeded to decide the case on the ground that the Insurance Company has not been intimated by the owner regarding the transfer of the vehicle. Therefore it is bound to reimburse. The old provision i.e. Sec. 103 of the Motor Vehicles Act, 1939 dealt with a situation where it has been held that the contract of insurance being a privity of contract until and unless it is intimated, the Insurance Company may not be strictly liable. It was on that basis, the contract was entered into between the Insurance Company MACA No.69/08 2 and the owner of the vehicle. But when the amended act of 1988 came Sec.157 has been introduced and there is a provision under Sec.157(2) which gives a deeming effect to the transfer. In other words, it has to be understood that the policy is issued for the vehicle and therefore when the vheicle is transferred it runs with the vehicle and therefore, the Insurance Company cannot take shelter under the umbrella of the non-intimation of transfer. Admittedly, in this case the vehicle has been transferred during the currency of the policy. Except the fact that it was not intimated, all other statutory compliance are there. Therefore, the Insurance Company cannot get exonerated from the liability or to be reimbursed. Therefore, the finding of the Tribunal that the Insurance Company is liable to pay the amount and get it reimbursed from respondetns 1,2 and 4 is to be set aside and I do so. The Insurance Company is bound to pay the amount and none other will be bound to reimburse it. The Motor Accident Claims Appeal is disposed of accordingly. M.N.KRISHNAN, JUDGE vps MACA No.69/08 3