Limitation for Filing Motor Accident Claims Applies Prospectively from 1st April 2022: Kerala HC

Kerala High Court allowed an original petition and ruled that the limitation period for filing of motor accident claims u.s that was introduced through the  Motor Vehicles (Amendment) Act of 2019 has a prospective effect.

As per the Bench of Justice Amit Rawal if the amendment does not have a prospective effect the right available to the inured and claimants of the deceased will be taken away.

In this case, the petitioner’s counsels submitted that the accident occurred in May 2019 and at that time the claimants were entitled to claim compensation without the said limitation.

However, the claim was filed in April 2022 and at that time the claim was barred by the new amendment as per which the claim had to be filed within six months of the occurrence of the said incident.

On the other hand, the respondents argued that in absence of any provision in repealing that clause, the order rejecting the claim due to limitation was justifiable.

After hearing the arrival contentions, the Bench observed that when there is no provision protecting the litigant’s right by an amendment that takes away exceptional rights then Section 6 of the General Clauses Act of 1897 would apply and the existing rights of parties will be determined on the basis on the law that was applicable and not the new provision/amendment.

Significantly, the court observed that when a new Act confers a right, its with prospective effect unless stated otherwise.

In this context, the court opined that the introduction of old provisions of Section 166(3) will have a prospective effect and the six-month limitation will apply to the introduction of the amendment (post-April 1 2022) which means that in any accident that occurred after April 1, 2022, parties would be governed by new amendments but not in respect of persons whom the right had already accrued and was available if the amendment was not there.

Therefore, the court set aside the impugned order and directed the MACT to decide the instant claim petition on merits.

Title: Sathy & Ors versus Dileep IS & Ors

Case No.: OP MAC 51/2022