Bus & lorry drivers found negligent in accident, bus driver more at fault. Insurer not liable due to lapsed policy.

The Tribunal found both the bus and lorry drivers negligent in an accident, with the bus driver being more at fault. The lorry's registered owner was held liable despite transfer to the appellant. The insurance policy lapsed due to non-transfer, making the insurer not liable. Compensation in one case was increased to Rs. 8,000 for academic loss and medical expenses, while the other case's compensation remained at Rs. 8,000. The appellant and bus owner shared liability, with the insurer directed to pay Rs. 4,800 and the appellant Rs. 3,200 in both cases, with interest.

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Issues Involved:

1. Negligence and liability of the drivers involved in the accident.
2. Ownership and liability of the lorry.
3. Validity and transfer of the insurance policy.
4. Enhancement of compensation awarded by the Tribunal.

Detailed Analysis:

1. Negligence and Liability of the Drivers:
The Tribunal found that the drivers of both the bus and the lorry were negligent, leading to the accident. The bus was overcrowded and driven at high speed, which was corroborated by several witnesses. The accident occurred on the day of Kodungallur Bharani, a festival season, which likely contributed to the high speed of the bus. The Tribunal concluded that the bus driver was more negligent, fixing his liability at 60%, while the lorry driver was held 40% liable.

2. Ownership and Liability of the Lorry:
The appellant, who was impleaded later in the proceedings, contended that the accident was due to the bus driver's negligence and that the lorry's registered owner was liable. The lorry was transferred to the appellant through an agreement (Exhibit R-25) before the accident. The Tribunal noted that the registration of the vehicle in the transferee's name is not essential to pass the title, as per the Sale of Goods Act. The appellant had acquired all rights and liabilities of the vehicle through Exhibit R-25, making him liable.

3. Validity and Transfer of the Insurance Policy:
The insurance company argued that the policy lapsed upon the transfer of the vehicle, as it was not transferred in the appellant's name. The Tribunal referred to several High Court decisions, which generally held that an insurance policy lapses upon the transfer of the vehicle unless the insurer consents to the transfer. The appellant did not take steps to transfer the insurance policy in his name. The Tribunal concluded that the insurance company was not liable to indemnify the loss as the policy had lapsed due to the transfer.

4. Enhancement of Compensation Awarded by the Tribunal:
The claimants in both MAC No. 41 of 1981 and MAC No. 42 of 1981 sought enhancement of the compensation awarded. The Tribunal increased the compensation in MAC No. 41 of 1981 from Rs. 5,698 to Rs. 8,000, considering the injured minor's academic loss and medical expenses. However, the Tribunal found the compensation of Rs. 8,000 in MAC No. 42 of 1981 reasonable and did not enhance it further.

Judgment:
In MAC No. 41 of 1981, the compensation was fixed at Rs. 8,000, with 40% liability on the appellant and 60% on the bus owner. The insurer of the bus, M/s. Oriental Fire and General Insurance Company, was directed to pay Rs. 4,800, while the appellant was to pay Rs. 3,200, with interest at 6% per annum from September 17, 1977, till realization.

In MAC No. 42 of 1981, the insurer was to pay Rs. 4,800, and the appellant was to pay Rs. 3,200, with the same interest terms.

The appeals and cross objections were disposed of, with parties bearing their own costs.

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