Legal

Suo motu compensation deposit under EC Act – Bar to MV claim

Image of a auto accident involving two cars.

 

Judgment dated 12.8.2025 of the High Court of Bombay, Nagpur Bench, in First Appeal No.264 of 2017 of General Manager, Western Coalfields Limited   Vs.   Sau. Anita Umrao Dupare and others with connected matter

Accident by Dumper – Maintainability of claim under the Motor Vehicles Act

Claim for compensation -Employees Compensation Act Vs. Motor Vehicles Act

On 20.12.2011, while the deceased persons Umrao & Arun with other team  members were coming from coal mines in Tata sumo vehicle, the Dumper came in opposite direction and collided with Tata sumo.

HELD that the Excavator / Dumper used in mining and extraction of mineral falls within the meaning of “motor vehicles” under Section 2(28) of the MV Act.

The compensation amount deposited by the appellant before the Commissioner for Workmen’s Compensation / Labour Court was withdrawn and therefore, the claimants are not entitled to claim compensation under MV Act. 

HELD that the claimants did not file section 10 EC Act 1923 application for compensation but they had made section 8 application for distribution of amount deposited by the appellant before the CWC and therefore, they did not invoke jurisdiction for compensation under EC Act.  Thus, the claimants never exercised the option of compensation under Section 10 of the EC Act, 1923.  The procedure under section 8 was initiated by the employer suo motu and therefore, it cannot be considered as an option by the claimants for compensation under EC Act.

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