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Writer's pictureSahara Sultana

Liability of Car Owner in case of Accident by Driver

Updated: May 23

As the owner of the car, it is your responsibility to ensure that it is in a good condition to drive and has all the documents. At times you might give the car to drive to your friend or driver whom you have employed. In case a scenario where the accident has occurred due to driving by your friend or driver will you be liable for the accident caused across? Let us examine the scenarios where one can be held accountable.

Under the Sec 279 of Bharatiya Nyay Sanhita: Rash driving or riding on a public way means Whoever drives any vehicle, or rides, on any public way in a manner so rash or negligent as to endanger human life, or to be likely to cause hurt or injury to any other person, shall be punished with imprisonment of either description for a term which may extend to six months, or with fine which may extend to one thousand rupees, or with both.


In the case of rash driving and driving under the influence of alcohol, the liability is on the driver of the car for the accident caused.

There are two scenarios where the owner of the car can be held liable:

  1. The owner of the car was in the car and he had influenced the driver to drive recklessly and over speed. The owner can be held liable as part of vicarious liability, where the employer is responsible for the acts which are done under the course of employment by the employee. But also, mere words from the driver saying he was under the owner's instruction will not hold up in court. As under civil and criminal law, the relationship between the car owner and driver is defined as 'master' and 'servant' and the master cannot be held liable for the wrongdoing of the servant, unless it is proved it was done under such consent or permission by the master. The criterion is evidence in such cases.

  2. The second scenario can be the owner of the car wasn't present in the car but the vehicle wasn't in a condition to be driven. But still was asked to be droved by the owner of the car as part of the employment. Looking for a lawyer, connect with our team of Lawyers for Legal Consultation


Compensation in case of hit and run motor accident under Sec 161 of the The Motor Vehicles (AMENDMENT) Act, 2019

(a) in respect of the death of any person resulting from a hit and run motor accident, a fixed sum of two lakh rupees or such higher amount as may be prescribed by the Central Government;

(b) in respect of grievous hurt to any person resulting from a hit and run motor accident, a fixed sum of fifty thousand rupees or such higher amount as may be prescribed by the Central Government.


Payment of compensation in case of death or grievous hurt under Sec 164 of the The Motor Vehicles (AMENDMENT) Act 2019 1. The owner of the motor vehicle or the authorised insurer shall be liable to pay in the case of death or grievous hurt due to any accident arising out of the use of motor vehicle, a compensation, of a sum of five lakh rupees in case of death or of two and a half lakh rupees in case of grievous hurt to the legal heirs or the victim, as the case may be.

2. In any claim for compensation under sub-section (1), the claimant shall not be required to plead or establish that the death or grievous hurt in respect of which the claim has been made was due to any wrongful act or neglect or default of the owner of the vehicle or of the vehicle concerned or of any other person.

3. Where, in respect of death or grievous hurt due to an accident arising out of the use of motor vehicle, compensation has been paid under any other law for the time being in force, such amount of compensation shall be reduced from the amount of compensation payable under this section.


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Compensation to Victims of Hit and Run Motor Accidents Scheme, 2022:

It is exclusively for victims of road accidents involving unidentified vehicles that flee the scene. If the offending vehicle is identified, the victim can only claim under this scheme for grievous injuries as defined in the Indian Penal Code (1960) which will now be replaced by Bharatiya Nyay Sanhita . Otherwise, claims should be made through the Motor Accident Claims Tribunal (MACT). The compensation under the scheme is Rs. 2 lakhs for death and Rs. 50,000 for grievous hurt. As a moral responsibility, one should ensure they don't drive recklessly and if they are involved in an accident as a passenger or as an owner of the car they should ensure to take the victim to the hospital. Rather than running away from the spot of the accident as this can come under the charges of Hit and Run Section 161 of Motor Vehicles Act. Apart from it always maintain your car in a pristine and workable condition and insurance from time to time.


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