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High Court of Gujarat

UNITED INSURANCE CO. LTD.versusDAYALBHAI DAHYABHAI PATEL

Disposal
39-RULE DISCHARGED/DISMISSED @ FH

Holding

The First Appeal is dismissed because the compensation awarded is small, without addressing the merits of the case.

Summary

The United Insurance Co. Ltd. filed a First Appeal under section 173 of the Motor Vehicles Act, 1988, challenging a Motor Accident Claims Tribunal award of Rs.4,00,000 to the victims of a road accident. The High Court examined the appeal but, noting the modest quantum of the award, decided to dispose of the appeal solely on the ground that the amount was small, without expressing any view on the merits or legal questions raised. The Court clarified that this dismissal does not preclude further proceedings on the same accident or the application of res judicata in other cases. Consequently, the appeal was dismissed, any pending civil application was held infructuous, and the award amount was ordered to be transmitted to the Tribunal for release to the claimants. No order as to costs was made.

Issues considered

  • Whether a First Appeal under section 173 of the Motor Vehicles Act, 1988 can be dismissed solely on the basis that the compensation awarded is meager.
  • Whether the principle of res judicata applies to other proceedings arising from the same road accident after such a dismissal.

Legislation cited

Subjects

Motor Accident ClaimsFirst AppealCompensationSection 173Res JudicataSmall Amount Dismissal

Judgment

      C/FA/4460/2023                                 ORDER DATED: 13/02/2026




            IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

                        R/FIRST APPEAL NO. 4460 of 2023

==========================================================
                          UNITED INSURANCE CO. LTD.
                                    Versus
                       DAYALBHAI DAHYABHAI PATEL & ORS.
==========================================================
Appearance:
MR GC MAZMUDAR(1193) for the Appellant(s) No. 1
MR HG MAZMUDAR(1194) for the Appellant(s) No. 1
MR PRAMODKUMAR C GEHLOT(13266) for the Defendant(s) No. 4
RULE SERVED for the Defendant(s) No. 1,3,5
==========================================================

 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 28.04.2023 passed by the learned Motor Accident Claims
       Tribunal (Aux.), Vapi, in Motor Accident Claim Petition No.101 of
       2020.
(2)    Perusal of the judgment and award indicates that Insurance Company
       has challenged the judgment and award made to the tune of
       Rs.04,00,000/- 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



                                    Page 1 of 2
           C/FA/4460/2023                                                     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
            veri5cation 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 14:18:37




                                                    Page 2 of 2


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