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Bombay High Court

THE NEW INDIA ASSURANCE CO. LTD. THROUGH ITS AUTHORISED DEPUTY MANAGER, MR. ANANT R. KULKARNIversusRAVINDRA MARUTI SHINDE and ORS.

Decided
Disposal
Disposed Off

Holding

The appeal was dismissed because the amount in dispute (Rs.47,700) was below the Rs.1 lakh threshold prescribed by Section 173(2) of the Motor Vehicles Act.

Summary

The New India Assurance Co. Ltd. appealed against a claim tribunal award involving Rs.47,700. The appeal was filed under Section 173 of the Motor Vehicles Act, 1988. The court examined whether the appeal was maintainable after the amendment effective 1 April 2022, which raised the monetary threshold for appeals to Rs.1 lakh. Since the disputed amount was below this threshold, the court held that the appeal could not be entertained. Consequently, the appeal was dismissed, and the statutory deposit of Rs.25,000 with interest was ordered to be transferred to the tribunal, with parties free to apply for its refund.

Issues considered

  • Whether an appeal under Section 173(2) of the Motor Vehicles Act, 1988 is maintainable when the disputed amount is less than Rs.1 lakh after the amendment effective 1 April 2022.

Legislation cited

Subjects

  • Motor Vehicles Act
  • appeal threshold
  • claims tribunal
  • monetary limit
  • statutory deposit
  • insurance claim

Judgment

                   ppn                               1                              11.fa-1630.03.doc



             Digitally signed
                                IN THE HIGH COURT OF JUDICATURE AT BOMBAY
             by PRACHI
PRACHI       PRANESH                    CIVIL APPELLATE JURISDICTION
PRANESH      NANDIWADEKAR
NANDIWADEKAR
             Date: 2026.07.28
             11:58:10 +0530              FIRST APPEAL NO.1630 OF 2003

                 The New India Assurance Co. Ltd.                    ….Appellant
                            V/s.
                 Ravindra Maruti Shinde & Ors.                       .…Respondents
                                                     ----
                 Mr. Devendranath S. Joshi for the appellant.
                 Mr. Hrishikesh Nabar i/by Mr. Uday P. Warunjikar for respondent no.1.
                                                 ----
                                                 CORAM : JITENDRA JAIN, J.
                                                 DATED : 27 July 2026
                 P.C. :

                 1.       The amount involved in this appeal is only Rs.47,700/-.

                 2.       As per sub-section (2) of Section 173 of the Motor Vehicles Act, 1988,
                 no appeal shall lie against any award of a claims tribunal if the amount in
                 dispute in the appeal is less than Rs.1 lakh.

                 3.       Though the monetary limit has been increased from Rs.10,000/- to
                 Rs.1 lakh with effect from 1 April 2022, it would apply to all the appeals
                 which are pending on the date of the amendment. Therefore, since in the
                 instant case, the amount involved is only Rs.47,700/-, appeal is dismissed
                 under Section 173(2) of the Motor Vehicles Act.

                 4.       Statutory deposit of Rs.25,000/- to be transferred to the concerned
                 tribunal alongwith interest and the parties are at liberty to make an
                 application for refund of the same. The claimants shall now be entitled to
                 the decretal amount alongwith interest.


                                                                     (JITENDRA JAIN, J.)


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