THE MOTOR VEHICLES ACT, 1988

166. Application for compensation.—(1) An application for compensation arising out of an

accident of the nature specified in sub-section (1) of section 165 may be made—
(a) by the person who has sustained the injury; or
(b) by the owner of the property; or
(c) where death has resulted from the accident, by all or any of the legal representatives of
the deceased; or
(d) by any agent duly authorised by the person injured or all or any of the legal
representatives of the deceased, as the case may be:
Provided that where all the legal representatives of the deceased have not joined in any
such application for compensation, the application shall be made on behalf of or for the
benefit of all the legal representatives of the deceased and the legal representatives who
have not so joined, shall be impleaded as respondents to the application.
[(2) Every application under sub-section (1) shall be made, at the option of the claimant,
either to the Claims Tribunal having jurisdiction over the area in which the accident occurred
or to the Claims Tribunal within the local limits of whose jurisdiction the claimant resides or
carries on business or within the local limits of whose jurisdiction the defendant resides, and
shall be in such form and contain such particulars as may be prescribed:
Provided that where no claim for compensation under section 140 is made in such
application, the application shall contain a separate statement to that effect immediately
before the signature of the applicant.]
3 [(4) The Claims Tribunal shall treat any report of accidents forwarded to it under sub-
section (6) of section 158 as an application for compensation under this Act.]

165. Claims Tribunals.—(1) A State Government may, by notification in the Official Gazette,
constitute one or more Motor Accidents Claims Tribunals (hereafter in this Chapter referred
to as Claims Tribunal) for such area as may be specified in the notification for the purpose of
adjudicating upon claims for compensation in respect of accidents involving the death of, or
bodily injury to, persons arising out of the use of motor vehicles, or damages to any property
of a third party so arising, or both.
Explanation.—For the removal of doubts, it is hereby declared that the expression “claims
for compensation in respect of accidents involving the death of or bodily injury to persons
arising out of the use of motor vehicles” includes claims for compensation under section
1401 [and section 163A].
(2) A Claims Tribunal shall consist of such number of members as the State Government
may think fit to appoint and where it consists of two or more members, one of them shall be
appointed as the Chairman thereof.
(3) A person shall not be qualified for appointment as a member of a Claims Tribunal unless
he— (a) is, or has been, a Judge of a High Court, or (b) is, or has been, a District Judge, or (c)
is qualified for appointment as a Judge of a High Court1 [or as a District Judge].
(4) Where two or more Claims Tribunals are constituted for any area, the State
Government, may by general or special order, regulate the distribution of business among
them.

140. Liability to pay compensation in certain cases on the principle of

no fault.—
(1) Where death or permanent disablement of any person has resulted from an
accident arising out of the use of a motor vehicle or motor vehicles, the owner of the vehicle
shall, or, as the case may be, the owners of the vehicles shall, jointly and severally, be liable
to pay compensation in respect of such death or disablement in accordance with the
provisions of this section.
(2) The amount of compensation which shall be payable under sub-section (1) in
respect of the death of any person shall be a fixed sum of 1 [fifty thousand rupees] and the
amount of compensation payable under that sub-section in respect of the permanent
disablement of any person shall be a fixed sum of 2 [twenty-five thousand rupees].
(3) In any claim for compensation under sub-section (1), the claimant shall not be
required to plead and establish that the death or permanent disablement in respect of
which the claim has been made was due to any wrongful act, neglect or default of the owner
or owners of the vehicle or vehicles concerned or of any other person.
(4) A claim for compensation under sub-section (1) shall not be defeated by reason
of any wrongful act, neglect or default of the person in respect of whose death or
permanent disablement the claim has been made nor shall the quantum of compensation
recoverable in respect of such death or permanent disablement be reduced on the basis of
the share of such person in the responsibility for such death or permanent disablement.
3 [(5) Notwithstanding anything contained in sub-section (2) regarding death or
bodily injury to any person, for which the owner of the vehicle is liable to give compensation
for relief, he is also liable to pay compensation under any other law for the time being in
force: Provided that the amount of such compensation to be given under any other law shall
be reduced from the amount of compensation payable under this section or under section
163A.]
[163A. Special provisions as to payment of compensation on structured formula
basis.— (1) Notwithstanding anything contained in this Act or in any other law for the time
being in force or instrument having the force of law, the owner of the motor vehicle of the
authorised insurer shall be liable to pay in the case of death or permanent disablement due
to accident arising out of the use of motor vehicle, compensation, as indicated in the Second
Schedule, to the legal heirs or the victim, as the case may be. Explanation.—For the
purposes of this sub-section, “permanent disability” shall have the same meaning and
 extent as in the Workmen’s Compensation Act, 1923 (8 of 1923). (2) In any claim for
compensation under sub-section (1), the claimant shall not be required to plead or establish
that the death or permanent disablement in respect of which the claim has been made was
due to any wrongful act or neglect or default of the owner of the vehicle or vehicles
concerned or of any other person. (3) The Central Government may, keeping in view the cost
of living by notification in the Official Gazette, from time to time amend the Second
Schedule.

158 [(6) As soon as any information regarding any accident involving death or bodily
injury to any person is recorded or report under this section is completed by a police officer,
the officer incharge of the police station shall forward a copy of the same within thirty days
from the date of recording of information or, as the case may be, on completion of such
report to the Claims Tribunal having jurisdiction and a copy thereof to the concerned insurer,
and where a copy is made available to the owner, he shall also within thirty days of receipt
of such report, forward the same to such Claims Tribunal and Insurer.]

Apmv rules
455. Applications:- Every application for payment of compensation made under
Section 166 shall be made in Form C.I.D. and shall be accompanied by the fee prescribed
three for in Rule 475.
475. Fees :- (1) Every application under sub-section (1) of Section 166 of the Act for
payment of compensation shall be accompanied by a fee in the form of court fee stamps as
specified below:
(a) If the claim is confined to special damage, only Re.1;
(b) If the claim includes general damages also, an ad valorem fee at the following
rates, on the aggregate of the claims for special and general damages:

Amount of Claim Amount of Court fee

1/4 % of the amount of

Upto Rs. 10,000
claim

From Rs .50,000 to 1/2 % of the amount of

1,00,000 claim

1 % of the amount of
Above Rs.1,00,000
claim
 Explanation:- For the purpose of the above sub-rule;

(i) ‘Special damages’ is one which has to be specially pleaded and proved. It consists of out
of pocket expenses and loss of earning incurred down to the date of trial, and is generally
capable of exact substantial calculations; and
(ii) ‘General damages’ is one which the law implies and which is not specially
pleaded. It includes compensation for pain and suffering and like and if the injuries suffered
are such as to lead to continuing or permanent disability, compensation for loss of earning
power.
(2) The Claims Tribunal may in its discretion exempt a party form the payment of fee
prescribed under sub-rule (1):
Provided that where a claim of party has been accepted by the Claims Tribunal, the
party shall have to pay the prescribed fee, exemption in respect of which has been granted
initially before a copy of the judgment is obtained.
170 Impleading insurer in certain cases
Where in the course of any inquiry, the Claims Tribunal is satisfied that--
(a) there is collusion between the person making the claim and the person against
whom the claim is made, or
(b) the person against whom the claim is made has failed to contest the claim,
it may, for reasons to be recorded in writing, direct that the insurer who may be
liable in respect of such claim, shall be impleaded as a party to the proceeding and the
insurer so impleaded shall thereupon have, without prejudice to the provisions contained in
sub-section (2) of 1[section 150], the right to contest the claim on all or any of the grounds
that are available to the person against whom the claim has been made.

180. Allowing unauthorised persons to drive vehicles.—Whenever, being the owner

or person in charge of a motor vehicle, causes, or permits, any other person who does not
satisfy the provisions of section 3 or section 4 to drive the vehicle shall be punishable with
imprisonment for a term which may extend to three months, or with fine which may extend
to one thousand rupees, or with both.

3. Necessity for driving licence.—(1) No person shall drive a motor vehicle in any
public place unless he holds an effective driving licence issued to him authorising him to
drive the vehicle; and no person shall so drive a transport vehicle [other than 3 [a motor cab
or motor cycle] hired for his own use or rented under any scheme made under sub-section
(2) of section 75] unless his driving licence specifically entitles him so to do. (2) The
conditions subject to which sub-section (1) shall not apply to a person receiving instructions
in driving a motor vehicle shall be such as may be prescribed by the Central Government.
4. Age limit in connection with driving of motor vehicles.—(1) No person under the
age of eighteen years shall drive a motor vehicle in any public place: Provided that 1 [a
motor cycle with engine capacity not exceeding 50cc] out gear may be driven in a public
place by a person after attaining the age of sixteen years. (2) Subject to the provisions of
section 18, no person under the age of twenty years shall drive a transport vehicle in any
public place. (3) No learner’s licence or driving licence shall be issued to any person to drive
a vehicle of the class to which he has made an application unless he is eligible to drive that
class of vehicle under this section.
170. Impleading insurer in certain cases.—Where in the course of any inquiry, the
Claims Tribunal is satisfied that— (a) there is collusion between the person making the claim
and the person against whom the claim is made, or (b) the person against whom the claim is
made has failed to contest the claim, it may, for reasons to be recorded in writing, direct that
the insurer who may be liable in respect of such claim, shall be impleaded as a party to the
proceeding and the insurer so impleaded shall thereupon have, without prejudice to the
provisions contained in sub-section (2) of section 149, the right to contest the claim on all or
any of the grounds that are available to the person against whom the claim has been made.
134. Duty of driver in case of accident and injury to a person.—When any person is
injured or any property of a third party is damaged, as a result of an accident in which a
motor vehicle is involved, the driver of the vehicle or other person in charge of the vehicle
shall— (a) unless it is not practicable to do so on account of mob fury or any other reason
beyond his control, take all reasonable steps to secure medical attention for the injured
person, 4 [by conveying him to the nearest medical practitioner or hospital, and it shall be
the duty of every registered medical practitioner or the doctor on the duty in the hospital
immediately to attend to the injured person and
render medical aid or treatment without waiting for any procedural formalities],
unless the injured person or his guardian, in case he is a minor, desires otherwise; (b) give on
demand by a police officer any information required by him, or, if no police officer is present,
report the circumstances of the occurrence, including the circumstances, if any, for not
taking reasonable steps to secure medical attention as required under clause (a), at the
nearest police station as soon as possible, and in any case within twenty-four hours of the
occurrence. 1 [(c) give the following information in writing to the insurer, who has issued the
certificates of insurance, about the occurrence of the accident, namely:— (i) insurance
policy number and period of its validity; (ii) date, time and place of accident; (iii) particulars
of the persons injured or killed in the accident; (iv) name of the driver and the particulars of
his driving licence. Explanation.—For the purposes of this section the expression “driver”
includes the owner of the vehicle.]
158. Production of certain certificates, licence and permit in certain cases.—(1) Any
person driving a motor vehicle in any public place shall, on being so required by a police
officer in uniform authorised in this behalf by the State Government, produce— (a) the
 certificate of insurance; (b) the certificate of registration; (c) the driving licence; and (d) in
the case of a transport vehicle, also the certificate of fitness referred to in section 56 and the
permit, relating to the use of the vehicle. (2) If, where owing to the presence of a motor
vehicle in a public place an accident occurs involving death or bodily injury to another
person, the driver of the vehicle does not at the time produce the certificates, driving licence
and permit referred to in sub-section (1) to a police officer, he shall produce the said
certificates, licence and permit at the police station at which he makes the report required
by section 134. (3) No person shall be liable to conviction under sub-section (1) or sub-
section (2) by reason only of the failure to produce the certificate of insurance if, within
seven days from the date on which its production was required under sub-section (1), or as
the case may be, from the date of occurrence of the accident, he produces the certificate at
such police station as may have been specified by him to the police officer who required its
production or, as the case may be, to the police officer at the site of the accident or to the
officer in charge of the police station at which he reported the accident: Provided that
except to such extent and with such modifications as may be prescribed, the provisions of
this sub-section shall not apply to the driver of a transport vehicle. (4) The owner of a motor
vehicle shall give such information as he may be required by or on behalf of a police officer
empowered in this behalf by the State Government to give for the purpose of determining
whether the vehicle was or was not being driven in contravention of section 146 and on any
occasion when the driver was required under this section to produce his certificate of
insurance. (5) In this section, the expression “produce his certificate of insurance” means
produce for examination the relevant certificate of insurance or such other evidence as may
be prescribed that the vehicle was not being driven in contravention of section 146.
1 [(6) As soon as any information regarding any accident involving death or bodily
injury to any person is recorded or report under this section is completed by a police officer,
the officer incharge of the police station shall forward a copy of the same within thirty days
from the date of recording of information or, as the case may be, on completion of such
report to the Claims Tribunal having jurisdiction and a copy thereof to the concerned insurer,
and where a copy is made available to the owner, he shall also within thirty days of receipt
of such report, forward the same to such Claims Tribunal and Insurer.]

163. Scheme for payment of compensation in case of hit and run motor accidents.—
(1) The Central Government may, by notification in the Official Gazette, make a scheme
specifying, the manner in which the scheme shall be administered by the General Insurance
Corporation, the form, manner and the time within which applications for compensation
may be made, the officers or authorities to whom such applications may be made, the
procedure to be followed by such officers or authorities for considering and passing orders
on such applications, and all other matters connected with, or incidental to, the
administration of the scheme and the payment of compensation. (2) A scheme made under
sub-section (1) may provide that—
(a) a contravention of any provision thereof shall be punishable with imprisonment
for such term as may be specified but in no case exceeding three months, or with fine which
 may extend to such amount as may be specified but in no case exceeding five hundred
rupees or with both;
(b) the powers, functions or duties conferred or imposed on any officer or authority
by such scheme may be delegated with the prior approval in writing of the Central
Government, by such officer or authority to any other officer or authority;
(c) any provision of such scheme may operate with retrospective effect from a date
not earlier than the date of establishment of the Solatium Fund under the Motor Vehicles
Act, 1939 (4 of 1939), as it stood immediately before the commencement of this Act:
Provided that no such retrospective effect shall be given so as to prejudicially affect the
interests of any person who may be governed by such provision.
1 [163A. Special provisions as to payment of compensation on structured formula
basis.—
(1) Notwithstanding anything contained in this Act or in any other law for the time
being in force or instrument having the force of law, the owner of the motor vehicle of the
authorised insurer shall be liable to pay in the case of death or permanent disablement due
to accident arising out of the use of motor vehicle, compensation, as indicated in the Second
Schedule, to the legal heirs or the victim, as the case may be.
Explanation.—For the purposes of this sub-section, “permanent disability” shall
have the same meaning and extent as in the Workmen’s Compensation Act, 1923 (8 of
1923).
(2) In any claim for compensation under sub-section (1), the claimant shall not be
required to plead or establish that the death or permanent disablement in respect of which
the claim has been made was due to any wrongful act or neglect or default of the owner of
the vehicle or vehicles concerned or of any other person. (3) The Central Government may,
keeping in view the cost of living by notification in the Official Gazette, from time to time
amend the Second Schedule.

TSMV RULES 1989

455. Applications:- Every application for payment of compensation made under Section 166 shall be
made in Form C.I.D. and shall be accompanied by the fee prescribed three for in Rule 475.

475. Fees :- (1) Every application under sub-section (1) of Section 166 of the Act for payment of
compensation shall be accompanied by a fee in the form of court fee stamps as specified below:

(a) If the claim is confined to special damage, only Re.1;

(b) If the claim includes general damages also, an ad valorem fee at the following rates, on the
aggregate of the claims for special and general damages:

Amount of Claim Amount of Court fee

 Upto Rs. 10,000 1/4 % of the amount of claim
From Rs .50,000 to 1,00,000 1/2 % of the amount of claim
Above Rs.1,00,000 1 % of the amount of claim

Explanation:- For the purpose of the above sub-rule;

(i) ‘Special damages’ is one which has to be specially pleaded and proved. It consists of out of pocket
expenses and loss of earning incurred down to the date of trial, and is generally capable of exact
substantial calculations; and

(ii) ‘General damages’ is one which the law implies and which is not specially pleaded. It includes
compensation for pain and suffering and like and if the injuries suffered are such as to lead to continuing
or permanent disability, compensation for loss of earning power.

(2) The Claims Tribunal may in its discretion exempt a party form the payment of fee prescribed under
sub-rule (1):

Provided that where a claim of party has been accepted by the Claims Tribunal, the party shall have to
pay the prescribed fee, exemption in respect of which has been granted initially before a copy of the
judgment is obtained.