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MVA 1988 (Amended 2019)ORIGINALChapter VI

Section 141-144

Provisions Supplementary to Section 140; Extent of Liability; Refund of Compensation; Award of Compensation Under No-Fault Principle

Special Provisions Relating to Motor Vehicles
Fine: N/ACompoundable: N/AEndorsement: No
BARE ACT PROVISION

Legal Text

Section 141: The liability to pay compensation under Section 140 shall be in addition to any other liability of the owner. Section 142: 'Permanent disablement' means disablement of such permanent nature as reduces the earning capacity of the victim in every occupation. Section 143: The provisions of Section 140 shall apply to the owner of a vehicle which has been requisitioned for public purposes. Section 144: The amount of compensation payable under Section 140 shall be reduced by the amount of compensation already paid to the victim under any other provision.

Simplified Explanation

Sections 141–144 provide the operational framework around the Section 140 no-fault liability scheme. Section 141 establishes that no-fault liability is additional to, not a replacement for, other liability (negligence-based claims, criminal prosecution). Section 142 defines 'permanent disablement' — the test is whether the disability reduces earning capacity in every occupation, not just the victim's current occupation. A concert pianist who loses a finger is permanently disabled under this test even if they can retrain as an accountant. Section 143 extends no-fault liability to requisitioned vehicles — covering government emergency requisitions of private vehicles. Section 144 prevents double compensation — the no-fault amount is deducted from any subsequent full compensation award. Together, these provisions create a coherent no-fault compensation scheme that is supplementary to, not exclusive of, the full fault-based compensation regime.

Historical Context

The Section 140 no-fault scheme was modelled on international strict liability frameworks. These supplementary sections address the inevitable boundary questions — what counts as permanent disability, what happens when compensation comes from multiple sources, how does no-fault interact with full fault-based liability.

Critical Changes

Section 163A (structured formula) provides an alternative to Section 140 for claiming no-fault compensation.

Practical Scenarios

"A vegetable vendor who loses their right hand in an accident — permanent disablement under Section 142 even if they can eventually do other work."
"A victim who received ₹50,000 no-fault compensation and later wins ₹10 lakh MACT award — receives ₹9.5 lakh (balance after deducting ₹50,000)."

Common Queries

Section 142 defines permanent disablement as any disability that permanently reduces the victim's earning capacity in every occupation — not just their current one. Loss of a limb, permanent vision loss, or any permanently disabling injury qualifies.
Yes — Section 144 provides that the no-fault amount is deducted from any full compensation award subsequently granted by the MACT. You receive the no-fault amount quickly, then receive the balance of the full compensation when the MACT case is decided.