Bombay HC Urges Centre To Set Up Appellate Tribunals For Motor Accident Claims To Cut Delays

Mumbai, April 23: Calling attention to the decades-long wait endured by accident victims, the Bombay High Court has urged the Union government to consider setting up a specialised appellate tribunal to ensure faster resolution of motor accident claims.

Observation while dismissing insurer’s appeal

The observation came from Justice Jitendra Jain on Wednesday while dismissing an appeal filed by The Oriental Insurance Company Limited against a Motor Accident Claims Tribunal (MACT) award of Rs 74,422.

Case highlights systemic delays

The case underscores the systemic delays faced by claimants. The accident occurred on October 19, 1996, injuring Dahisar resident Sandeep Kolhe, then a minor.

The Tribunal delivered its award only in 2011, and the insurer’s appeal took another 15 years to be listed for admission—stretching the wait for final relief to nearly three decades.

Court upholds tribunal findings

The insurer contended that its policy had expired before the accident. However, the Tribunal, relying on evidence including Regional Transport Office records, held the vehicle was validly insured. Upholding this finding, the High Court said there was no material to take a different view.

“The Tribunal has considered each and every evidence… Nothing has been produced… to show that these findings… are contrary to the material on record,” the court noted, dismissing the appeal.

Delays defeat purpose of compensation

The court emphasised that such prolonged timelines defeat the very purpose of compensation under the Motor Vehicles Act, 1988. Victims typically wait five to seven years for a Tribunal award and several more years as appeals remain pending.

“This is the first time when the claimants see the colour of the compensation after almost 7 to 8 years… by which time, the whole purpose of granting compensation gets frustrated,” Justice Jain observed, noting that even then, only partial withdrawals—often up to 50%—are permitted during appeals.

Call for specialised appellate tribunal

Highlighting the scale of pendency and the modest sums involved in most cases, the court said a dedicated appellate tribunal could significantly cut delays.

“The figures do justify setting up of a specialised Appellate Tribunal to deliver timely and speedy justice, which is the constitutional right of the claimants,” the court remarked, adding that such a forum “would be in a much shorter span of time.”

Reference to Supreme Court recommendation

Echoing the Supreme Court’s recommendation in Rasmita Biswal vs National Insurance Company, the judge said these tribunals could be headed by retired High Court judges and even hear appeals from bodies like the Railway Claims Tribunal, similar to the Income Tax Appellate Tribunal and consumer fora.

Directions to Centre

The court also noted the lack of progress on these recommendations and directed that a copy of its order be sent to the Ministries of Law and Justice and Finance for consideration, stressing that such a move would both ensure “speedy disposal, if not quick disposal” and ease the burden on High Courts.

Also Watch:

Backlog

10.73 lakh MACT claims pending nationwide (FY 2024–25)
Rs 96,257 crore total value of pending claims
Maharashtra: ~86,000 cases pending (April 2026)

Appeals pending

Bombay HC: ~18,000
Kerala HC: ~34,000
Telangana HC: ~14,500
Andhra Pradesh HC: ~12,500

To get details on exclusive and budget-friendly property deals in Mumbai & surrounding regions, do visit: https://budgetproperties.in/