New Delhi: In a significant ruling benefiting commercial drivers, the Supreme Court on Wednesday held that individuals holding a Light Motor Vehicle (LMV) driving licence are eligible to drive transport vehicles with a weight not exceeding 7,500 kg.
The judgment from a five-judge Constitution bench, led by Chief Justice D Y Chandrachud, offers clarity on licensing regulations and is expected to prevent insurance companies from rejecting claims based on the type of licence of drivers involved in accidents.
The unanimous 126-page verdict, penned by Justice Hrishikesh Roy on behalf of five judges, upheld its 2017 judgment in the Mukund Dewangan case which had held that the LMV licence holders can drive transport vehicles weighing upto 7,500 kg.
It, however, also addressed nuances under the Motor Vehicle (MV) Act and the rules.
“A driver holding a licence for LMV class, under section 10(2)(d) for vehicles with a gross vehicle weight under 7,500 kg, is permitted to operate a ‘Transport Vehicle’ without needing additional authorization under Section 10(2)(e) of the MV Act specifically for the ‘Transport Vehicle’ class.
“For licensing purposes, LMVs and Transport Vehicles are not entirely separate classes. An overlap exists between the two.
“The special eligibility requirements will however continue to apply for, inter alia, e-carts, e-rickshaws and vehicles carrying hazardous goods,” the bench held.
Besides the CJI and Justice Roy, the bench also comprised Justices P S Narasimha, Pankaj Mithal and Manoj Misra.
While acknowledging concerns about road safety raised by insurance companies, the verdict said there was no empirical evidence linking LMV-licensed drivers with increased road accidents and moreover, the issue pertained to the livelihood of commercial drivers.
“Road safety is a serious public health issue globally. It is crucial to mention that in India, over 1.7 lakh persons were killed in road accidents in 2023,” it said, adding that the causes of such accidents are diverse and assumptions that they stem from drivers operating light transport vehicles with an LMV licence are unsubstantiated.
“Factors contributing to road accidents include careless driving, speeding, poor road design and failure to adhere to traffic laws. Other significant contributors are mobile phone usage, fatigue and non-compliance with seat belt or helmet regulations,” it said.
It said driving a motor vehicle is a complex task requiring both practical skills and theoretical knowledge and safe driving involves not only technical vehicle control but also proficiency in various road conditions, including managing speed.
“We are able to reach such a conclusion as none of the parties in this case has produced any empirical data to demonstrate that the LMV driving licence holder, driving a ‘Transport Vehicle’, is a significant cause for road accidents in India,” the verdict said.
The additional eligibility criteria specified in the MV Act and the rules will apply only to such vehicles “(‘medium goods vehicle’, ‘medium passenger vehicle’, ‘heavy goods vehicle’ and ‘heavy passenger vehicle’) whose gross weight exceeds 7,500 Kg”, it clarified.
“This will also effectively address the livelihood issues for drivers operating Transport Vehicles (who clock maximum hours behind the wheels) in legally operating ‘Transport vehicles’ (below 7,500 Kg) with their LMV driving licence,” it said.
The bench said its interpretation on how the licensing regime would operate is unlikely to compromise the road safety concerns.
“The… interpretation also does not defeat the broader twin objectives of the MV Act i.e. road safety and ensuring timely compensation and relief for victims of road accidents… An authoritative pronouncement by this court would prevent insurance companies from taking a technical plea to defeat a legitimate claim for compensation involving an insured vehicle weighing below 7,500 kgs driven by a person holding a driving licence of a ‘Light Motor Vehicle’ class,” it said.
The bench referred to the attorney general’s statement that the Centre was contemplating amending the MV Act suitably on the legal question whether a person holding a driving licence for an LMV is entitled to legally drive a ‘transport vehicle’ of a specified weight.
“Had Parliament acted sooner to amend the MV Act and clearly differentiated between classes, categories and types, much of the uncertainty surrounding driving licences could have been addressed, reducing the need for frequent litigation and an unclear legal terrain. The confusion and inconsistency in judicial decisions continued to persist for 25 years starting from the 1999 decision in the Ashok Gangadhar Maratha case,” it said.
The bench had reserved its verdict on August 21 on the vexatious legal issue after Attorney General R Venkataramani had submitted that the consultations to amend the MV Act were “almost complete”.
The question arose from the apex court’s 2017 verdict in the case of Mukund Dewangan versus Oriental Insurance Company Limited.
On July 18 last year, the Constitution bench commenced a hearing on 76 petitions to deal with the legal question. The lead petition was filed by M/s Bajaj Allianz General Insurance Company Limited.
