Ministry of Shipping

‘Jugaad’= wherein the complete liability of providing compensation in a vehicular accident had been fixed upon the appellant-Rajasthan State Road Transport Corporation (hereinafter referred to as the ‘RSRTC’), while unfastening the liability of the driver and the owner of the vehicle, known as ‘Jugaad’, under the provisions of the Motor Vehicles Act, 1988 (hereinafter referred to as the ‘Act’).= whether a particular vehicle can be defined as motor vehicle in terms of Section 2(28) of the Act, is to be determined on the facts of each case taking into consideration the use of the vehicle and its suitability for being used upon the road. Once it is found to be suitable for being used on the road, it is immaterial whether it runs on the public road or private road, for the reason, that actual user for a particular purpose, is no criteria to decide the name- The word `only’ used in Section 2(28) of the Act clearly shows that the exemption is confined only to those kinds of vehicles which are exclusively being used in a factory or in any closed premises. Thus, a vehicle which is not adapted for use upon the road, is only to be excluded. = if the tractor which is exclusively used for agricultural purpose, does require registration and insurance and driver also require a driving license, why the same provisions would not apply in case of `Jugaad’. = In view of the above, as the `Jugaad’ is covered in the definition of the motor vehicle under Section 2(28) of the Act, the statutory authorities cannot escape from their duty to enforce the law and restrain the plying of `Jugaad’. The statutory authorities must ensure that `Jugaad’ can be plied only after meeting the requirements of the Act. The same has become a menace to public safety as they are causing a very large number of accidents. ‘Jugaads’ are not insured and the owners of the `Jugaad’ generally do not have the financial capacity to pay compensation to persons who suffer disablement and to dependents of those, who lose life. Thus, considering the gravity of the circumstances, the statutory authorities must give strict adherence to the circular referred to hereinabove by the Central Government. However, we clarify that it is open to the statutory authorities to make exemptions by issuing a notification/circular specifically if such a vehicle is exclusively used for agricultural purposes but for that sufficient specifications have to be provided so that it cannot be used for commercial purposes. The matter is closed now.

Page 1 REPORTABLE IN THE SUPREME COURT OF INDIA CIVIL APPELLATE JURISDICTION SPECIAL LEAVE PETITION (C) No.3265 of 2012 Chairman, Rajasthan State Road Transport …Petitioners Corporation & Ors. Versus Smt. Santosh & Ors. …Respondents O R D E R 1. Originally this petition had been filed challenging the judgment and order of the Rajasthan High Court … Continue reading →