Supreme Court Affirms Vehicle Compensation for Critical Safety Failure (Airbag Non-Deployment)
Parties: Hyundai Motor India Ltd. v. Shailendra Bhatnagar
Forum & Citation: Civil Appeal No. 3001 of 2022, 2022 SCC OnLine SC 483
Factual Matrix: A buyer bought a new SUV with front airbags. During a major highway crash causing cabin damage and injuries, the airbags failed to deploy. The carmaker rejected liability, claiming the impact angle did not trigger pre-set sensor rules.
Commission / Court Holding: The Supreme Court dismissed the appeal. It ruled that buyers expect safety features to protect them during severe crashes. Technical sensor arguments cannot protect a manufacturer from product liability. The Court affirmed compensation and costs.
Takeaway: Automakers cannot hide behind sensor rules when safety mechanisms fail. Safety equipment failures are major product defects under Section 84 of the Act.