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High Court of Gujarat

THE ORIENTAL INSURANCE COMPANY LTD.versusSAVILAL KHATRABHAI CHAUDHARI

Disposal
39-RULE DISCHARGED/DISMISSED @ FH

Holding

The appeal is dismissed because the compensation awarded is meager, without addressing the merits of the case.

Summary

The Oriental Insurance Company Ltd. filed a first appeal under section 173 of the Motor Vehicles Act, 1988 against a Motor Accident Claims Tribunal award of Rs. 4,86,600 to the victims of a road accident. The High Court examined the appeal and noted that the amount in dispute was relatively small. The Court decided to dispose of the appeal solely on the ground that the compensation awarded was meager, without expressing any opinion on the merits or legal questions raised. It clarified that this disposal would not affect any other proceedings arising from the same accident or judgment, and the principle of res judicata would not apply. Consequently, the appeal was dismissed and any pending civil application was deemed infructuous. The awarded amount, along with any accrued interest, was ordered to be transmitted to the Tribunal for disbursement to the claimants.

Issues considered

  • Whether a first appeal under section 173 of the Motor Vehicles Act should be dismissed solely on the basis that the compensation amount is small
  • Whether the principle of res judicata applies to other proceedings arising from the same accident after such a dismissal

Legislation cited

Subjects

Motor Accident ClaimFirst AppealCompensationMotor Vehicles ActRes JudicataSmall Amount

Judgment

      C/FA/3204/2023                                 ORDER DATED: 13/02/2026




            IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

                       R/FIRST APPEAL NO. 3204 of 2023
==========================================================
                 THE ORIENTAL INSURANCE COMPANY LTD.
                                 Versus
                  SAVILAL KHATRABHAI CHAUDHARI & ORS.
==========================================================
Appearance:
MR TANMAY B KARIA(6833) for the Appellant(s) No. 1
MR JAY A TAMAKUWALA(11987) for the Defendant(s) No. 4
MR.HIREN M MODI(3732) for the Defendant(s) No. 1,2
RULE UNSERVED for the Defendant(s) No. 3
VEDANT J RAJGURU(9375) for the Defendant(s) No. 4
==========================================================

 CORAM:HONOURABLE MR. JUSTICE HASMUKH D. SUTHAR

                               Date : 13/02/2026

                                ORAL ORDER


(1)    Insurance Company is in First Appeal under section 173 of the Motor
       Vehicles Act, 1988. Challenge is made to the judgment and award
       dated 30.11.2022 passed by the learned Motor Accident Claims
       Tribunal (Aux.), Surat at Bardoli, in Motor Accident Claim Petition
       No.747 of 2015.
(2)    Perusal of the judgment and award indicates that Insurance Company
       has challenged the judgment and award made to the tune of
       Rs.04,86,600/- to the victim of the road accident.
(3)    Heard learned advocates for the respective parties.
(4)    Since the amount involved in the First Appeal is meager , paying due
       regard to smallness of amount, this Court is of the considered view
       that the First Appeal should be disposed of as compensation awarded
       seems to be just and reasonable and no interference is called. It is
       hereby made clear that this First Appeal is disposed of only on the
       ground of award of compensation being meager and small. This Court
       has not expressed any opinion on merits and question of law raised in
       this First Appeal and is kept open to be urged in other proceedings



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                C/FA/3204/2023                                                     ORDER DATED: 13/02/2026




                 which may arise from the same road accident / same judgment and
                 award. It is made clear that this order will not come in the way of
                 adjudication of any other First Appeal pending against same
                 judgment and award or adjudication of any other claim petition
                 arising from same road accident. Since the First Appeal is disposed of
                 only on the contention of monetary value being small, principle of res
                 judicata shall not be applied to any other proceedings arising from
                 the same road accident or same judgment and award.
        (5)      In view of above, the First Appeal is dismissed. Pending Civil
                 Application, if any, stands disposed of as having become infructuous.
                 No order as to costs.
        (6)      Record and Proceedings and amount, if any lying before this Court is
                 ordered to be transmitted to the concerned Tribunal forthwith along
                 with accrued interest, if any. The entire awarded amount be
                 disbursed and released in favour of the claimants after due
                 veri8cation by transferring the said amount to the account of the
                 claimants either by RTGS or NEFT mode.




                                                                                (HASMUKH D. SUTHAR,J)
       SUCHIT


Original copy of this order has been signed by the Hon'ble Judge.
Digitally signed by: PATEL SUCHIT JAYESHBHAI(HC01083), Private Secretary, at High Court of Gujarat on 13/02/2026 14:17:01




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