“Principle of Pay and Recover ”—Applicable also in Accident of Gratuitous Passengers
Anu Bhanvara etc. Vs. IFFCO Tokio General Insurance Company Limited & Ors.: [09/08/2019]: In the referred case the fact was that two young gratuitous passengers (passengers without fare) boarding a goods vehicle were permanently disabled due to accident.
The contention of the gratuitous passengers was that the compensation amount must be paid by the insurance company and then to realize from the owner and the drivers of the vehicle as per the principle of pay and recover. On the other hand the insurance company pleaded that the matter is of contributory negligence of the passengers and the driver and the company is not responsible as per principle referred.
Now, the matter before the Hon’ble SC was that whether the principle of pay and recover shall be applicable in the instant case? The Hon’ble SC answered in affirmative and directed the insurance company to pay the compensation amount to the passengers and to recover the same from the owner and driver of the vehicle.
For detail fact and ratio please visit at: https://sci.gov.in/supremecourt/2018/8720/8720_2018_8_1501_15819_Judgement_09-Aug-2019.pdf
