[S.50 MV Act] Registered Owner Of Offending Vehicle Liable To Compensate For Accident, Can Recover Amount From Transferee: Kerala High Court

The Kerala High Court has recently held that the registered owner of a vehicle involved in an accident can recover the compensation paid from the transferee of the offending vehicle, if the transfer, which occurred prior to the accident, was not in accordance with Section 50 of the Motor Vehicles Act.Justice Shoba Annamma Eapen reiterated the finding of the Apex Court in Naveen Kumar v. Vijay Kumar and others [2018 KHC 6083] stating that it is the registered owner who is liable to pay compensation for the purposes of the Motor Vehicles Act. The legal representatives of the deceased victim had preferred a plea before the Motor Accidents Claims Tribunal for compensation after he succumbed to an accident involving the offending vehicle. The tribunal found the appellant/first respondent to be the owner since his name was in the registration certificate. It ordered the third respondent insurer to pay the compensation amount to the claimants and recover it from the appellant. Aggrieved, the appellant/first respondent has come before the High Court.The appellant contended that he had transferred the offending vehicle to the additional fifth respondent prior to the accident and hence, he was not liable to pay compensation. The vehicle was, thereafter, transferred to a third person.The Court referred to the meaning of “owner” defined under Section 2(30) of the MV Act and found that the definition means the registered owner of a vehicle. It observed:“The principle underlying the provisions of Section 2(30) is that the victim of a motor accident or, in the case of a death, the legal heirs of the deceased victim should not be left in a state of uncertainty. In Naveen Kumar (supra), it was held that for the purpose of the Motor Vehicles Act, the person whose name is reflected in the records of the registering authority is the owner and he is liable to compensate.”It also found that the transfer of the vehicle to the additional 5th respondent was not in accordance with Section 50 of the Motor Vehicle Act. However, it also clarified the remedy available to registered owners in such cases. It further observed: “I make it clear that in case the amount awarded by the tribunal is realised from the appellant/owner, the appellant can recover the said amount with interest awarded by the tribunal from the date of payment till realisation from the additional fifth respondent, through due process of law.”Thus, the Court partly allowed the appeal.Case No: MACA No. 2872 of 2014Case Title: Abdul Khader v. Arumugan and Ors.Citation: 2025 LiveLaw (Ker) 610Counsel for the appellant: T.N. ManojCounsel for the respondents: Mansoor B.H., Roy Mathew, N.S. NajeebClick to Read/Download Judgment

[S.50 MV Act] Registered Owner Of Offending Vehicle Liable To Compensate For Accident, Can Recover Amount From Transferee: Kerala High Court

K. Salma Jennath

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