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Report No. 85

Chapter 14

Interest Section 110CC

14.1. Section 110CC.-

The subject of interest on awards is dealt with in section 110CC, which reads:-

"Where any Court or Claims Tribunal allows a claim for compensation made under this Chapter, such Court or Tribunal may direct that in addition to the amount of compensation simple interest shall also be paid at such rate and from such date not earlier than the date of making the claim as it may specify in this behalf."

In this connection, it may be noted that extensive amendments have been made by the legislature-many of them on the recommendation of the Law Commission,1 in the general law relating to interest. It is proper to take note of them2 and to examine how far section 110CC needs reform in the light of those amendments3.

1. Law Commission of India-

(a) 54th Report (Code of Civil Procedure, 1908);

(b) 63rd Report (Interest Act, 1839).

2. Para. 14.3, infra.

3. For the suggested amendment, see para. 14.6, infra.

Claims for Compensation under Chapter 8 of the Motor Vehicles Act, 1939 Back

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