Section 165: Claims Tribunals

Motor Vehicles Act • Official Statutory Text & Practice Guide

Statutory Regulation
Legal Standard
Competent Court / Tribunal
Act 1988

Legal Commentary & Landmark Judgments: Section 165

Section 165 of the Motor Vehicles Act, 1988 empowers State Governments to constitute Motor Accidents Claims Tribunals (MACT) to adjudicate claims for compensation arising out of motor vehicular accidents.

  • Statutory Threshold & Adjudication: Section 165 provides the statutory foundation for specialized adjudication of motor accident compensation disputes.
  • Sub-Section (1): State: Sub-section (1) empowers the State Government, by Official Gazette notification, to constitute one or more Motor Accidents Claims Tribunals for specified territorial areas to adjudicate claims arising from accidents involving death, bodily injury, or damage to third-party property.

Sub-sections (2) to (4) govern tribunal qualifications and composition: a Claims Tribunal may consist of one or more judicial members, and a person is not qualified for appointment unless they are, or have been, a Judge of a High Court, or a District Judge, or qualified for appointment as a District Judge. The constitution of Tribunals under Section 165 operates to completely oust the jurisdiction of ordinary Civil Courts under Section 175.

Key Landmark Precedents:
  • State of Haryana v. Darshana Devi (1979) 2 SCC 236: Justice V.R. Krishna Iyer held that the benevolent provisions of Order XXXIII CPC (suits by indigent persons) apply fully to MACT proceedings under Section 165; poverty cannot be a barrier to seeking accident compensation.
  • Union of India v. Bhagwati Prasad (2002) 3 SCC 661: The Supreme Court held that the jurisdiction of the Claims Tribunal under Section 165 extends to all accidents arising out of the use of motor vehicles, even where the vehicle collided with a railway train at an unmanned level crossing.
Legal Commentary:

The Claims Tribunal is not an ordinary civil court bound by rigid procedural technicalities; it is a specialized socio-legal forum tasked with determining 'just compensation'. Proceedings before the MACT are summary and inquisitorial in nature. Claimants enjoy simplified filing procedures, exemption from ad valorem court fees in most States, and expedited execution powers under Section 174.