High Court of Gujarat

CHOLAMANDALAM MS GENERAL INSURANCE CO LTDversusTHAKOR TALAJI LAGHDHIRJI

Disposal: 47-DISPOSAL IN ANY OTHER MODE FH
Bench: HASMUKH D SUTHAR

Holding

The First Appeal is dismissed because the compensation awarded is small, without any consideration of the merits.

Summary

The insurance company filed a First Appeal under section 173 of the Motor Vehicles Act, 1988 against a Motor Accident Claim Tribunal award of Rs.3,56,000 to the road‑accident victim. The High Court examined the appeal but, noting the modest quantum of compensation, chose to dispose of the appeal solely on the ground that the award was meager, without expressing any view on the merits or the legal questions raised. The Court clarified that its order does not prejudice any other proceedings arising from the same accident and that res judicata will not apply to such future claims. Consequently, the First Appeal was dismissed and any pending civil applications were held infructuous. The awarded amount, with any accrued interest, was ordered to be released to the claimants after verification.

Issues considered

Whether a First Appeal under s.173 of the Motor Vehicles Act can be dismissed solely on the basis that the compensation awarded is small, without addressing the merits of the case.
Whether the principle of res judicata applies to other proceedings arising from the same road accident after such a dismissal.

Legislation cited

Motor Vehicles Act, 1988s. 173

Subjects

First AppealMotor Vehicles ActSection 173CompensationSmall awardRes judicataMotor Accident Claim TribunalInsurance

Judgment

        C/FA/3284/2022                            ORDER DATED: 25/02/2026




              IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
                      R/FIRST APPEAL NO. 3284 of 2022
==========================================================
            CHOLAMANDALAM MS GENERAL INSURANCE CO LTD
                              Versus
                  THAKOR TALAJI LAGHDHIRJI & ORS.
==========================================================
Appearance:
MR RATHIN P RAVAL(5013) for the Appellant(s) No. 1
MR. YOGENDRA THAKORE(3975) for the Defendant(s) No. 1,2
RULE SERVED for the Defendant(s) No. 3
UNSERVED EXPIRED (R) for the Defendant(s) No. 4
==========================================================

 CORAM:HONOURABLE MR. JUSTICE HASMUKH D. SUTHAR

                              Date : 25/02/2026
                               ORAL ORDER


[1.0]            Insurance Company is in First Appeal under section
173 of the Motor Vehicles Act, 1988. Challenge is made to the
judgment and award dated 28.02.2022 and decree dated
5.3.2022 passed by the learned Motor Accident Claim Claims
Tribunal (Auxi.), Mahesana at Visnagar in Motor Accident Claim
Petition No.34 of 2015.

[2.0]            Perusal of the judgment and award indicates that
Insurance Company has challenged the judgment and award
made to the tune of Rs.3,56,000/- to the victim of the road
accident.

[3.0]            Heard learned advocates for the respective parties.

[4.0]            Since the amount involved in the First Appeal is
small and 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


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        C/FA/3284/2022                                                ORDER DATED: 25/02/2026




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 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 ground of the
monetary value being less, the principle of res judicata shall not
apply to any other proceedings arising from the same road
accident or the same judgment and award.

[5.0]             In view of above, the First Appeal is dismissed.
Pending Civil Applications, if any, stands disposed of as having
become infructuous. No order as to costs.

[6.0]             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 verification by transferring the said amount
to the account of the claimants either by RTGS or NEFT mode.



                                                                   (HASMUKH D. SUTHAR,J)
ALI


Original copy of this order has been signed by the Hon'ble Judge.
Digitally signed by: ISTAYAK ALI(HC01093), PRIVATE SECRETARY, at High Court of Gujarat on 25/02/2026 15:07:09




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