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Head Note

Motor Vehicles Act,1988  - Section 147 , Section 149

Insurance Company received a cheque from owner of vehicle and issuing Insurance cover - Dishonour of cheque - Insurance Company cancelled the Policy - Accident occurred in the meantime - Insurance company not liable - Held -If the contract of insurance has been cancelled and all concerned have been intimated thereabout, Insurance Company would not be liable to satisfy the claim.

Motor Vehicles Act,1988  - Motor Accident Claim

Motor Accident Claim - Contract between parties - Validity of a contract is based on reciprocal promise - Reciprocal promises by the parties are condition precedents for a valid contract - A contract furthermore must be for consideration.

Motor Vehicles Act,1988  - Motor Accident Claim

Motor Accident Claim - Negotiable Instruments - Payment of Debt through cheque - If the cheque was sent by post and was met on presentation, the date of payment is the date when the cheque was posted. 1976(4) SCC 855 relied.

Topic(s)-Contract between parties , Negotiable Instruments