S.81(5) Motor Vehicle Act | Permit Renewed After Condoning Delay Is Deemed To Be Effective From Date Of Actual Expiry: Karnataka High Court

The Karnataka High Court has said an insurance company cannot disown its responsibility to indemnify the liability of the insurer on the ground that on the date of accident, the fitness certificate and the permit of the vehicle were not in force. In the claim petition laid by the dependants of the deceased Syed Wali, the insurer of the offending vehicle took a specific defence that since on the date of accident, the fitness certificate and the permit were not in force, it was not liable to indemnify the liability of the owner although the insurance policy was in force. She also referred to sections 56, 66 and 84 and of the Motor Vehicles Act to argue that unless permit and fitness certificate are issued, transport vehicle cannot be deemed to be validly registered for the purpose of section 39 and looked in this view section 149 of the Motor Vehicles Act is applicable. Noting that the Insurance company does not dispute the fact of fitness certificate being in force on the date it issued the policy to the appellant, the bench said if the permit is renewed upon an application made before expiry, automatically the renewal takes place from the date of expiry.