(1) On receipt of an application for compensation made under section 166, the Claims Tribunal shall, after giving notice of the application to the insurer and after giving the parties (including the insurer) an opportunity of being heard, hold an inquiry into the claim or, as the case may be, each of the claims and, subject to the provisions of [section 163] may make an award determining the amount of compensation which appears to it to be just and specifying the person or persons to whom compensation shall be paid and in making the award the Claims Tribunal shall specify the amount which shall be paid by the insurer or owner or driver of the vehicle involved in the accident or by all or any of them, as the case may be:
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(2) The Claims Tribunal shall arrange to deliver copies of the award to the parties concerned expeditiously and in any case within a period of fifteen days from the date of the award.
(3) When an award is made under this section, the person who is required to pay any amount in terms of such award shall, within thirty days of the date of announcing the award by the Claims Tribunal, deposit the entire amount awarded in such manner as the Claims Tribunal may direct.
Legal Commentary & Landmark Judgments: Section 168
Section 168 of the Motor Vehicles Act, 1988 mandates the Claims Tribunal to determine and award 'just compensation', specifying the amounts payable by the insurer, owner, and driver.
The concept of 'just compensation' is an equitable, dynamic standard: the Tribunal is not restricted by the specific quantum claimed in the petition, and is duty-bound to award higher compensation if the evidence justifies it. Sub-section (1) further directs the Tribunal to specify the exact person or persons to whom compensation shall be paid, and determine whether the amount shall be paid by the insurer, owner, or driver of the vehicle involved.
Section 168 obligates the MACT to ensure complete financial restitution (restitutio in integrum) for accident victims. In injury claims, tribunals must evaluate actual medical expenses, future medical care, attendant charges, pain and suffering, loss of amenities, and permanent loss of earning capacity under the Raj Kumar formula, adding future prospects under Pappu Deo Yadav to arrive at a truly 'just' award.