It’s employer’s duty to ensure driver has valid licence: Karnataka high court | Bengaluru News

Bengaluru: The Karnataka high court has held it is the employer’s duty to verify the credentials of its drivers and that failure to ensure a valid and effective driving licence amounts to a breach of insurance policy conditions, freeing the insurer from liability.The observation came as Justice K Manmadha Rao upheld an order of the Commissioner for Employees Compensation, Mangaluru, directing the management of a local school to compensate the family of a bus driver who died in an accident in Aug 2008.The accident occurred when a bus of Balmy English Medium School, Thenkulipady, skidded on a rain-soaked road and plunged into Phalguni river. The driver, Badruddin, suffered grievous injuries and died later.His wife and two children approached the employees’ compensation commissioner seeking relief. However, Bajaj Allianz General Insurance Company, which had insured the vehicle, opposed the claim, pointing out the driver did not possess a valid licence on the date of the accident. Records showed his licence had expired on June 17, 2008 — nearly two months before the accident.The commissioner held the school management, as the owner of the vehicle, liable to pay Rs 5.4 lakh with 12% annual interest from the date of the accident.Challenging the order, the school management argued before the high court that it had proceeded on the bona fide belief that the insurer would bear the liability and, therefore, did not actively contest the proceedings before the commissioner.After examining the records, Justice Rao noted the insurer had clearly established a violation of policy conditions. The judge pointed out that the Supreme Court judgment in Beli Ram case reinforced the insurer’s contention. The apex court had unequivocally held that it is the employer’s responsibility to ensure a driver holds a valid licence, and any lapse on this front squarely shifts the burden of compensation onto the employer.With these findings, the high court dismissed the school management’s appeal, leaving the compensation payable by the institution.