Breaking Supreme Court Legal Update
New Delhi · Friday, 31 July 2026 9888666310 | [email protected]
Free Law — free judgments and free headnotes Free Lawby De Jure
Supreme Court of India 2024-09-03 partly_allowed

VAIBHAV JAIN vs HINDUSTAN MOTORS PVT. LTD

Bench: 2 — J. B. Pardiwala, Manoj Misra

In Brief

A vehicle dealer challenged a tribunal award holding it jointly and severally liable with the manufacturer for compensation in a fatal accident. The Supreme Court held that a dealer is not liable merely for possessing the vehicle for sale. Since the vehicle was under the control and command of the manufacturer through its employees at the time of the accident, only the manufacturer remained liable. The Court ruled that contractual clauses limiting liability for defects cannot exclude tortious liability, and that a party failing to appeal against an adverse finding cannot later invoke procedural rules to reverse finality. The appeal was partly allowed, making clear the dealer should not bear liability but leaving the claimants' right to recover from the manufacturer undisturbed.

The lawyer headnote and full judgment text are available to registered users.

Motor Vehicle Liability Tort Law Compensation and Damages Civil Procedure Contract Law

Read the full judgment & headnote. It's free.

Register to read the complete Supreme Court judgment text and the headnote, and to search 1 lakh+ Supreme Court judgments by meaning. It is a free service.

Register Free Login