Driver's licence valid for 30 days after expiry, rules HC

The Punjab and Haryana High Court has ruled that a driver's licence stays valid for 30 days after its expiry, while holding that an accident even on the 30th and final day of the grace period remains covered for insurance purposes.

The ruling came as Justice Virinder Aggarwal dismissed an appeal by an insurance company seeking recovery rights on the ground that the licence had expired a month before the accident. The court noted that the Motor Vehicles Act granted a 30-day extension, during which an otherwise expired licence continues to remain valid.

The court reproduced the proviso to Section 14 of the Motor Vehicles Act as saying: “Provided that every driving licence shall, notwithstanding its expiry under this sub-section, continue to be effective for a period of 30 days from such expiry.”

The judge took note of the insurer’s argument that the licence had expired on June 4, 2001, while the accident took place on July 4, 2001, and renewal was effected only on August 6, 2001. On this basis, it contended that the driver was “not duly licensed” on the date of the accident and sought recovery rights.

The court rejected the argument after computing the statutory grace period. Applying the legislative extension, the court concluded: “In the present case, the licence expired on June 4, 2001, and the 30-day statutory grace period commenced on June 5, 2001. Computed accordingly, the 30th day fell on July 4, 2001, and remained valid till midnight of that day. The accident admittedly occurred on July 4, 2001, at about 10.45 am, well within the statutory window of validity. Therefore, by operation of law, the licence continued to remain effective at the time of the accident.”

The court also referred to earlier precedents, including its 2018 decision in State of Haryana vs Karkor and others, which held that a licence remained valid during the grace period and insurers could not claim breach of policy conditions.