THIRD-PARTY RISK

Evening Post, Volume CXXIII, Issue CXXIII, 10 April 1937, Page 8

THIRD-PARTY RISK

NEW PROVISION OUTLINED

■Of .•considerable .importance to drivers of motor-vehicles is : ,a clause, in the Law: Reform-ActVof -1936, .which throws added responsibility on drivers in connection with the conveyance of passengers in;their cars. Prior to the passing of' the Act a passenger in-jured-in a: collision with another vehicle almost invariably ' proceeded against the driver, of the . other., car for damages,.the driver of: such other car ibeing'indernnified for any amount which hevmight'have to pay to such injured passenger under, .the Motorvehicles Insurance (Third-party Jttisks) Act of 1928. Under the new Act the position is considerably changed, and the f'New Zealand Motor" World" gives the following supposititious case, in explanation:— , '.'■ : . i( _l fl ' ■A-passenger in a car driven .by *■ (such passenger; may be his wife, son, friend, or .'any .other, person) is. injured as a.result of a collision with a car driven by. "Y." Under the Third Party Act.the injured, party: proceeds against "V" and secures damages for, say £2000. Under the previous state of the law the matter would have rested here; but the'position today is that "V" has.a right of action against "X" for contribution,. and the^court will apportion as between "X" and "V" '■' the amount -of dairiages which were awarded to the passenger in the first action, -according to the respective degrees of-negligence o: "X" and "Y." Assuming the court holds that "X" was 40 per .cent, negligent, he would have to contribute £800 towards the amount awarded to the passenger, and this. contribution would fall upon him personally. . . , .. > !