I.D.Barman (CEO) 28 August 2016
saravanan s (legal advisor) 28 August 2016
arpit shukla (,) 28 August 2016
arpit shukla (,) 28 August 2016
Agastya 29 August 2016
Agastya 29 August 2016
KS Johal 29 August 2016
KS Johal 29 August 2016
KS Johal 29 August 2016
Dr. MPS RAMANI Ph.D.[Tech.] (Scientist/Engineer) 29 August 2016
A car dealer (new or used) will not transfer the ownership of the car to his own name. He will get the forms signed by the seller and leave the purchaser's name blank. Under the law the insurance also has to be transferred by seller to the buyer. Hence the dealer will also collect the insurance policy from the buyer and get the transfer papers also signed. When the car is transferred to the seller, the insurance also should be transferred . At first the insurance should be transferred. Then only RTO will accept the forms for transfer.
In the event of an accident there are two types of liabilities. One is civil and the other is criminal. The civil liability has to be borne by the insurance company and there should be no time gap without insurance. The criminal liability will be on the driver of the vehicle. It can be on the owner also based on the nature of the liability.
As regards traffic offences the driver is caught on the spot. If he drives away the registered owner will receive notice asking who was the driver of the vehicle.
If you sell the vehicle directly to the buyer get the insurance transferred first. Then go with him to the RTO office hand over all transfer papers and the registration certificate there, ascertain that the papers are in order and come back. If you sell the car to a dealer or hand over the vehicle to a broker, pray to God that no untoward incident happens and liability comes on you. If a serious accident takes place the case will first go to the Tribunal and to the higher court if appealed. In any accident case the insurance company will also be a party. The court has to decide the case not only based on law but also based on merits.
There are also careless and negligent people who purchase a car and use it for months without bothering to get it transferred and even without any insurance.