Authority: Supreme Court of India
Order Date: 17-07-2026
Case Overview
- Petitioners: Vinod Mangaldas Shah & Ors., heirs and dependents of a deceased motor accident victim.
- Respondent: IFFCO Tokio General Insurance Co. Ltd. (insurer of the offending vehicle) and others.
- The claim arose under Section 166 of the Motor Vehicles Act, 1988; the Motor Accident Claims Tribunal awarded Rs 19,20,24,467 (inclusive of interest) to the petitioners.
- IFFCO Tokio appealed the award before the Bombay High Court under Section 173, challenging only the tribunal’s finding of contributory negligence, not the quantum of compensation.
- The High Court, in its order dated 04‑03‑2026, stayed the execution of the award, allowing payment of only one‑quarter of the amount without requiring any security.
Final Outcome
- The Supreme Court observed that, given the insurer’s limited challenge, the High Court should have directed full payment pending the appeal outcome.
- The Court found the stay and the one‑quarter payment order unjustified.
- It issued notice to IFFCO Tokio, returnable on 03‑08‑2026, and permitted the filing of a Dasti.
- The insurer may file an affidavit within ten days of receipt of notice, showing cause why paragraph 4 of the impugned order should not be set aside.
Topics: Legal Judgment, Motor Accident Compensation, Insurance Liability