HIND SAMACHAR LTD. (DELHI UNIT) v. NATIONAL INSURANCE COMPANY LTD.
Supreme Court of India
2025 INSC 1204
Discusses principles of vicarious liability, insurance liability, and the evaluation of evidence related to driving licenses.
Legal Discussion:
- Motor Vehicles Act: The judgment refers to the Motor Vehicles Act and the Rules made thereunder in paragraph 17, specifically mentioning that the renewal of a driving license is not an automatic renewal to be carried out within 30 days of the expiry of a driving license, as per the Act and Rules. The judgment notes the validity period of the license, originally issued, expired on 04.04.1994, and the renewal was on 11.08.1994.
- Law of Torts: The judgment discusses vicarious liability in paragraph 17, stating that the vicarious liability to satisfy the damages caused by the negligence of the employee is on the employer. It also mentions that even if the tort-feasor is the driver, the liability for any negligence of the driver rests on the owner of the vehicle, vicariously.
- Insurance Law: The judgment extensively discusses the liability of insurance companies in cases involving fake driving licenses. It refers to several cases, including United India Insurance Company v. Lehru and Ors., National Insurance Co. Ltd. v. Swaran Singh, PEPSU RTC v. National Insurance Co. Ltd., IFFCO Tokio General Insurance Co. Ltd. v. Geeta Devi, and New India Assurance Co. v. Kamla. The judgment analyzes the principle that an insurance company is liable to pay compensation even if the license is fake, unless they prove that the insured deliberately committed breach in entrusting the vehicle to a driver who had a fake license. It also discusses the concept of "pay and recover" directions issued by the High Court in favor of the insurer and against the insured owner of the truck. The judgment emphasizes that the insurance company has to bring out the absence of due diligence in the employment of the driver or the entrustment of the vehicle, to prove breach by the insured.
- Evidence Law: The judgment discusses the evidence presented before the Tribunal and the High Court, including the driving licenses, certificates issued by the DTO, and the deposition of witnesses. It analyzes the interpolations and deletions in the DL register produced from the office of DTO Gurdaspur. The judgment also discusses the seizure of the driving license and the absence of a seizure mahazar. It emphasizes that there should be evidence to substantiate the seizure.
List of Laws: Motor Vehicles Act; Law of Torts; Insurance Law; Evidence Law