Ker HC | Claim filed under MV Act withdrawn after interim award – subsequent proceedings under Workmen’s Compensation Act not barred

Kerala High Court

Kerala High Court: The Division Bench of K. Harilal and Annie John, JJ. dismissed an appeal filed by an insurance company against the order of Commissioner for Workmen’s Compensation (WCC) directing it to pay a certain sum of money to the respondent herein.

Respondent herein had filed an application under Section 22 of the Workmen’s Compensation Act, 1923 seeking compensation for the death of one driver Xavier while driving a car owned by one Trissa, on collision with a lorry. WCC allowed the said application. Aggrieved thereby, the present appeal was filed by insurance company.

Appellant company challenged this award contending that the respondent had already been awarded compensation by the Motor Accident Claims Tribunal (MACT) under Section 140 of the Motor Vehicles Act, 1988. Therefore, she was estopped from filing the application under Workmen’s Compensation Act.

The Court noted that as per Section 167 of the MV Act, the aggrieved party can claim compensation either under the Workmen’s Compensation Act or under Chapter 10 of the MV Act. One cannot proceed under both the statutes for compensation. However, in the instant case, though the respondent received interim compensation under MV Act, she subsequently withdrew her case under MV Act and WCC deducted the amount awarded by MACT. Thus, at the time of passing the impugned award, there was no proceeding under the MV Act.

It was opined that merely for the reason that earlier the claimants proceeded under the MV Act and later, withdrew the said proceedings and filed for compensation under the Workmen’s Compensation Act, it cannot be held that the subsequent claim was barred by Section 167 of the MV Act.

Thus, it was held that there was no illegality or impropriety in the impugned award granting compensation under the Workmen’s Compensation Act after deducting the interim award granted by MACT.[United India Insurance Company Limited v. Mary, 2018 SCC OnLine Ker 8199, Order dated 14-12-2018]

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