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MVA 1988 (Amended 2019)ORIGINALChapter VIII

Section 165

Claims Tribunals

Claims Tribunals
Fine: N/ACompoundable: N/AEndorsement: No
BARE ACT PROVISION

Legal Text

(1) A State Government may, by notification in the Official Gazette, constitute one or more Motor Accidents Claims Tribunals for such area as may be specified in the notification for the purpose of adjudicating upon claims for compensation in respect of accidents involving the death of, or bodily injury to, persons arising out of the use of motor vehicles, or damages to any property of a third party so arising, or both. (2) A Claims Tribunal shall consist of such number of members as the State Government may think fit to appoint, and where it consists of two or more members, one of them shall be appointed as the Chairman thereof. (3) A person shall not be qualified for appointment as a member of a Claims Tribunal unless he — (a) is, or has been, a Judge of a High Court; or (b) is, or has been, a District Judge; or (c) is qualified for appointment as a High Court Judge.

Simplified Explanation

Section 165 establishes the Motor Accident Claims Tribunal (MACT) — the dedicated adjudicatory body for all motor accident compensation claims in India. The MACT is a specialised quasi-judicial body that combines the adjudicatory functions of a civil court with the speed and informality of a tribunal. MACT members must be current or former judges — ensuring legal competence. Jurisdictional scope: any claim for compensation arising from death, bodily injury, or property damage from motor vehicle use. The MACT has exclusive jurisdiction — civil courts cannot entertain such claims. A person injured in a motor accident must file before the MACT, not a civil court. MACT jurisdiction can be: where the accident occurred, where the victim resides, or where the registered owner resides — giving claimants wide choice of forum. MACT proceedings are more accessible than regular civil litigation: no court fees (or minimal fees), simplified procedure, the tribunal may award costs, and appeals lie to the High Court. India has over 1,000 MACT benches across the country handling hundreds of thousands of claims annually.

Historical Context

The MACT system was created because ordinary civil courts were completely unsuited to handling the volume and speed requirements of motor accident compensation claims. The backlog in civil courts would have rendered compensation illusory for accident victims. MACTs, despite their own backlogs, represent a significant improvement — with many cases being resolved in 1-3 years versus the 10-15 years typical in civil courts.

Critical Changes

2019 Amendment: MACT must endeavour to decide cases within 6 months.

Online/virtual MACT hearings enabled post-COVID.

Lok Adalats increasingly used for faster MACT settlement.

Structured claims procedure under 2019 Amendment — standardised forms and processes.

Practical Scenarios

"A Delhi pedestrian hit by a Haryana-registered truck on NH-44 — can file MACT claim in Delhi (victim's residence), at the NH-44 accident location, or at the truck owner's Haryana RTO district."

Common Queries

Under Section 165 read with Section 166, you can file before the MACT: (a) where the accident occurred, (b) where you (the claimant/victim) reside, or (c) where the vehicle owner resides. You have wide choice of forum.
MACT proceedings are largely court-fee free or attract minimal fees — a deliberate policy to ensure access to justice for accident victims regardless of financial capacity.
The 2019 Amendment directs MACTs to decide cases within 6 months. In practice, most MACT cases take 1-3 years depending on complexity, availability of parties, and tribunal workload. Lok Adalat settlement is faster — typically a few months.