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Head Note

Motor Vehicles Act,1988  - Section 149 (2) , Section 174

Liability of Insurance Company - Motor Accident - Driver possessed fake driving licence - Owner examined driving licence and also took driving test of driver - Thus, owner satisfied himself that driver had licence and was driving competently - There would be no breach of Section 149(2)(a)(ii) - Insurance company would not absolve of its liability.

Motor Vehicles Act,1988  - Section 149 (2)

Liability of Insurance Company - To avoid liability towards insured, Insurance company has to prove that insured was guilty of negligence and failed to exercise reasonable care in the matter of fulfilling condition of policy regarding driving of vehicle by duly licensed driver - Absence, fake or invalid driving licence or disqualification of driver are not defences available to insurer against insured or third parties.

Topic(s)-Liability of Insurance Company

Important Decision(s)- Owner satisfied himself that driver had licence and was driving competently - There would be no breach of Section 149(2)(a)(ii) of the MV Act.