Interest for Compensation under MV Act, 1988 Answered

Interest for Compensation under MV Act, 1988 Answered

"It is evident that even though Section 171 of Motor Vehicles Act, 1988 gives a discretion to the learned Tribunal to grant interest on compensation, unlike Section 34 of the Code of Civil Procedure, 1908 which prescribes that interest, except in commercial matters, would not exceed 6% p.a., neither any fixed rate of interest has been prescribed nor has any ceiling on the rate at which interest can be granted by the learned Tribunal under the MV Act, 1908 has been provided. It is, therefore, always incumbent for the learned Tribunal to award interest at a rate which is deemed appropriate in the facts of each case".- NICL v. Yad Ram [2023] GCtR 817 (Delhi)