In a pivotal decision on November 6, the Supreme Court of India has broadened the rights of Light Motor Vehicle (LMV) license holders, allowing them to legally drive transport vehicles with an unladen weight of up to 7,500 kg. This ruling, penned by Justice Hrishikesh Roy and endorsed by a bench led by Chief Justice DY Chandrachud, marks a major step in enabling greater economic opportunities for drivers across India.
This decision addresses a question that has stirred legal debate for years: Can LMV license holders drive larger transport vehicles? Originating from a series of insurance claim disputes, this case finally reaches a firm resolution with the court’s affirmative ruling. Many LMV license holders who may have previously faced barriers in driving transport vehicles now stand to benefit significantly from this expanded scope.
Insurance companies have long resisted compensating claims involving LMV drivers in accidents with transport vehicles over a certain weight, arguing that such vehicles were outside the LMV license’s purview. By clarifying these licensing rights, the Supreme Court has provided a boost to LMV drivers and a sigh of relief for many who rely on these vehicles for their livelihood.
The timing of the decision is noteworthy, as it coincides with ongoing efforts to amend the Motor Vehicles Act, 1988, with the government expected to present changes in the upcoming winter session of Parliament. Representing the Centre, Attorney General R. Venkataramani shared that these legislative changes will better align the law with current needs, though today's ruling independently moves ahead in that direction.
This judgment builds upon the precedent set by the Supreme Court in 2017, in the landmark Mukund Dewangan v. Oriental Insurance Company case, which first recognized that LMV licenses covered transport vehicles under 7,500 kg. Today's decision not only reaffirms that judgment but strengthens it, clearly establishing the right of LMV license holders to operate such vehicles legally.
In clearing the way for LMV drivers to legally operate larger vehicles, the court has introduced meaningful changes to the transport sector. This ruling is likely to have a far-reaching impact, making a real difference to drivers nationwide and simplifying the often-complicated landscape of insurance claims.
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