High Court of Gujarat

GUJARAT STATE ROAD TRANSPORT CORPORATIONversusVIRENDRABHAI RAMESHBHAI GAMIT

Disposal: 26-DISMISSED @ ADM.STAGE
Bench: HASMUKH D SUTHAR

Holding

The first appeal is dismissed because the compensation awarded is small and reasonable, without addressing the merits of the appeal.

Summary

The Gujarat State Road Transport Corporation (the insurer) filed a first appeal under Section 173 of the Motor Vehicles Act, 1988, challenging a Motor Accident Claims Tribunal award of Rs.1,56,960 to a road‑accident victim. The High Court examined the appeal and, noting the modest quantum of the award, concluded that the compensation was just and reasonable. Consequently, the Court dismissed the appeal without addressing the substantive legal questions raised, emphasizing that the dismissal was solely on the basis of the small amount. The order clarified that the principle of res judicata would not bar other proceedings arising from the same accident. The record and any pending civil applications were ordered to be transmitted to the Tribunal, and the awarded amount was to be released to the claimants after verification. No costs were awarded.

Issues considered

What is the appropriate course of action when a first appeal under Section 173 of the Motor Vehicles Act challenges a modest compensation award?

Legislation cited

Motor Vehicles Act, 1988s. 173

Subjects

Motor Vehicles ActSection 173First AppealCompensationSmall awardRes judicataInsurance company

Judgment

        C/FA/3303/2025                            ORDER DATED: 20/02/2026




IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
                 R/FIRST APPEAL NO. 3303 of 2025
==========================================================
         GUJARAT STATE ROAD TRANSPORT CORPORATION
                               Versus
             VIRENDRABHAI RAMESHBHAI GAMIT & ANR.
==========================================================
Appearance:
MR HS MUNSHAW(495) for the Appellant(s) No. 1
MR NISHIT A BHALODI(9597) for the Defendant(s) No. 1
NOTICE SERVED for the Defendant(s) No. 2
==========================================================
  CORAM:HONOURABLE MR. JUSTICE HASMUKH D. SUTHAR

                              Date : 20/02/2026
                               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 13.05.2025 passed by the learned
Motor Accident Claim Claims Tribunal (Main), Bharuch in Motor
Accident Claim Petition No.80 of 2020.

[2.0]            Perusal of the judgment and award indicates that
Insurance Company has challenged the judgment and award
made to the tune of Rs.1,56,960/- 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
Rs.1,56,960/-, 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 for. It is hereby made


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        C/FA/3303/2025                                                          ORDER DATED: 20/02/2026




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 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.

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



                                                                    (HASMUKH D. SUTHAR, J.)
Ajay
Original copy of this order has been signed by the Hon'ble Judge.
Digitally signed by: AJAY CHANDRAN MENON(HC00939), PRINCIPAL PRIVATE SECRETARY, at High Court of Gujarat on 20/02/2026 15:49:29




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