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sajied (n/a)     02 October 2014

Need advice

Hi,

I had sold my 2- wheeler, soon after 1 week the person to whome i sold my bike met with an accident( not major though) he hit a pedestrian. The document was not transffered when the incident took place but i do have the sale receipt signed by the buyer. There was a case registered against me, but i had provided the proof of sale receipt in the Police Station and the case was filed against the buyer stating that he was involved in accident.

The person who got injured had filed a case in court against me demanding 10 lakh compensation and i got a notice from court stating the same.

I have no clue whats happening. Please suggest me what should i do?however the buyer is going to court on the hearing date? is there something that i should be involved in. Please suggest as i am not aware of all these things.

Also suggest will this case have any impact on my professional life like for applying VISA etc.



Learning

 6 Replies

N.K.Assumi (Advocate)     02 October 2014

Section 50 of the Act provides the procedure for effecting the transfer of ownership of the registered vehicle. The Act mandates the transferor to report the fact of transfer to the Registering Authority, within 14 days of the transfer, in such form and with such documents and in such manner as is prescribed under the law.

Thereafter the transferee, within 30 days of the transfer is to report the transfer to the Registering Authority requesting for effecting the necessary changes in the certificate of registration. Failure to comply with the mandatory requirements entails penalty.

 

Therefore, from the scheme of the Act as also the definition, it is evident that the transfer is not effected till the time the requirements of law are complied with. Importantly, there is nothing on record to show that either the transferor or the transferee had taken any steps for effecting the transfer in accordance with law.

The definition under the new Act is exhaustive whereas under the old Act, the definition being inclusive the word 'owner' included the registered owner as well as the unregistered owner or transferee of a vehicle.

 

The definition under the new Act carves out only three exceptions and does not cover a case of sale of vehicle where the price is paid and the possession of the vehicle is delivered to the purchaser/transferee. Even if sale is effectuated in the absence of compliance of mandatory requirements of law, transfer does not take place and the transferor continues to be the registered owner. Therefore, the registered owner cannot be absolved of liability qua third party. Importantly, the person in whose name the vehicle is registered is considered to be the owner and unless the name of the transferee is registered he does not become the owner thereof.”

Dr J C Vashista (Advocate)     02 October 2014

Very well explained and advised by expert Sh. N K Assumi, Advocate, I appreciate and fully agree with him

Alinawaz (_)     02 October 2014

Yes u can do one thing the person to whom u have sell this particular bike should produce ann affidavit in the court about the true fact of the transfer of ownership on proposed sell recipet with dates so it may help the hon'ble court to reach a decesion about u r involment in the case.

sajied (n/a)     05 October 2014

Thanks all for the prompt response.

Please suggest do i need a separate lawyer for this?

do i need to appear in court ?

in the notice it states my name as opponent1 and my vehicle insurance as the 2nd opponent.

Please suggest what should be my next action plan?  i am not aware of anything.

after submitting the proof of sale receipt and affidavit from the buyer, will my name be removed from the case? if not so can any1 please explain the consequences

Dr J C Vashista (Advocate)     05 October 2014

Although you can appear in Court and do it personally yet it would be advisable to engage a local lawyer in your own interest and benefit.

Consult your lawyer.

T. Kalaiselvan, Advocate (Advocate)     06 October 2014

Although you are made as 1st respondent, since the vehicle insurance is in force, the insurance company will take care of the issue, however you engage an advocate and represent the facts from your side.


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