Analysis of common legal issues in traffic accidents

1. When the motor vehicle driver and the registered owner are not the same person, how should liability be borne after a traffic accident occurs?

According to Article 49 of the Tort Liability Law, this issue should first be covered by compulsory traffic accident liability insurance within the insurance limit. For the insufficient portion, in principle, the user of the motor vehicle shall bear liability, unless the registered owner is at fault. So what constitutes fault on the part of the registered owner?

3. The registered owner is deemed at fault under any of the following circumstances:Error:

(1) Knowing or having reason to know that the motor vehicle has a defect, and such defect is one of the causes of the traffic accident;

(2) knowing or having reason to know that the driver does not have driving qualifications or has not obtained the corresponding driving qualifications;

(3) knowing or having reason to know that the driver is legally unfit to drive a motor vehicle due to drinking alcohol, taking psychotropic drugs or narcotic drugs under state control, or suffering from a disease that impedes safe driving of a motor vehicle;

(4) Other circumstances where the motor vehicle owner or manager should be found at fault.

2. How should liability be borne when a affiliated vehicle is involved in a traffic accident?

Before the issuance of judicial interpretations, court rulings across different regions varied significantly, generally falling into four categories:

(1) The judgment holds that the affiliated person and the affiliated entity bear joint and several liability;

(2) The judgment holds that the affiliated party bears no liability, and all losses shall be borne by the actual vehicle owner.

(3) The judgment that the affiliated person bears supplementary liability is not operable in judicial practice, and in many cases the victim's losses often cannot be enforced;

(4) If the judgment holds the affiliated entity liable for supplementary liability within the scope of management fees collected, this approach also fails to maximize compensation for victims' losses. The issuance of judicial interpretations has provided courts nationwide with a unified adjudication standard, namely that the affiliate and the affiliated entity bear joint and several liability. This approach can more fully compensate victims for their losses.

3. If a vehicle is privately transferred without completing the transfer of ownership procedures, how should liability be borne?

This issue is addressed in two scenarios.

In the first scenario, where only one transfer occurred without completing the transfer of ownership procedures, according to Article 50 of the Tort Liability Law, liability should be borne by the actual transferee.

Second, if there are multiple transfers without completing the registration transfer procedures, according to the judicial interpretation, the transferee of the last transfer and delivery shall bear the compensation liability.

4. How should liability be borne when a vehicle with a fake license plate is involved in a traffic accident?

According to judicial interpretations, if the liability falls on the motor vehicle party, the owner or manager of the counterfeit-plated vehicle shall bear compensation liability. If the owner or manager of the vehicle whose plates were counterfeited consented to the use of their plates, they shall bear joint liability.

5. If assembled vehicles or scrapped vehicles are privately transferred, how should liability be borne after a traffic accident occurs?

If assembled vehicles or scrapped vehicles are privately transferred, and a traffic accident occurs, according to Article 51 of the Tort Liability Law and the latest provisions of judicial interpretations, the transferor and the transferee shall bear joint and several liability for compensation.

6. If a traffic accident occurs while a student is learning at a driving school, how should liability be allocated—to the driving school or the student?

According to judicial interpretations, the driving school training institution shall bear compensation liability.

7. If I want to buy a car and a traffic accident occurs during a test ride, who should bear liability?

During a test drive, if a traffic accident occurs, the party providing the test drive service should bear the compensation liability, but if the test driver is at fault, the compensation liability of the service provider should be reduced.

8. Who is liable for a traffic accident that occurs while driving on a defective road?

The road manager should bear the corresponding compensation liability, unless the road manager can prove that they were not at fault.

9. If a vehicle without the qualification to drive on the highway is involved in a traffic accident, who shall bear the liability?Burden?

According to Article 76 of the Tort Liability Law, if a person enters a high-risk activity area or a high-risk substance storage area without permission and suffers damage, and the manager has taken safety measures and fulfilled the duty of warning, liability may be reduced or exempted.

10. If items are piled, dumped, or spilled on the road, obstructing road passage, and a traffic accident occurs as a result, how should liability be borne?

In such a case, the actual perpetrator shall bear liability. If it can be proven that the road manager was at fault, the manager shall bear corresponding liability.

11. Who should bear liability for compensation if a traffic accident is caused by a defect in a motor vehicle?

In this case, it constitutes a product liability dispute. The party may claim rights against the vehicle seller or manufacturer on the grounds of product defect.

12. If multiple motor vehicles are involved in a traffic accident that causes injury to the same person, how should liability be allocated?

In such a case, the liability should be shared among multiple tortfeasors according to their degree of fault.

13. Does "personal injury or death" under the Road Traffic Safety Law include compensation for mental distress?

This issue was highly debated before the issuance of the judicial interpretation, especially with insurance companies raising the most objections. The current judicial interpretation has clearly stipulated that "personal injury" includes compensation for mental distress.

14. Can compensation for operational losses be claimed after a commercial vehicle is involved in a traffic accident?

This issue was also addressed in previous Supreme Court replies, but the wording was vague, and there was no uniform standard in judicial practice. According to the new judicial interpretation, reasonable claims for loss of operating income should be supported.

15. After a non-operating vehicle is involved in a traffic accident, should the reasonable expenses incurred from using alternative means of transportation be supported?

According to the latest judicial interpretation, the reasonable costs of alternative transportation incurred due to the inability to continue using a non-commercial vehicle should be supported by the people's court.

16. What is the litigation status of the compulsory traffic accident liability insurance company?

According to the judicial interpretation, the compulsory traffic insurance company is listed as a co-defendant.

17. What is the litigation status of a commercial liability insurer?

According to the judicial interpretation, if a party requests to list the commercial insurance as a co-defendant, the court shall permit it and may rule that the commercial insurance company bears compensation liability within the insurance liability limit, but the insurance company may defend based on the insurance contract.

18. How are liabilities allocated when both compulsory traffic accident liability insurance and commercial third-party liability insurance are in place?

First, the compulsory traffic insurance company bears primary responsibility. Any shortfall is compensated by the commercial insurance company according to the insurance contract, and any remaining shortfall is borne by the actual tortfeasor. This not only protects the victim's losses but also safeguards the insured's losses.

19. Should the priority given to the compulsory traffic accident liability insurer in bearing compensation for emotional distress damages be supported?

According to judicial interpretation, if the injured party or their close relatives request that mental distress damages be given priority within the scope of compulsory traffic insurance, the people's court should support this.

20. Should the insurance company be liable for compensation after a traffic accident involving unlicensed driving?

In the case of a traffic accident caused by driving without a license, the compulsory traffic insurance company should bear liability for compensation, but the insurance company has the right to seek recourse from the actual tortfeasor.

21. Should the insurance company be liable after a traffic accident occurs due to drunk driving or the use of illegal drugs?

If a traffic accident occurs due to drunk driving or use of prohibited substances, the compulsory traffic insurance company shall bear compensation liability, but the insurance company has the right to seek recourse from the actual tortfeasor.

22. If a motor vehicle flees the scene of a traffic accident, should the insurance company provide compensation?

According to Article 53 of the Tort Liability Law, if a motor vehicle driver escapes after a traffic accident, and the vehicle is covered by compulsory insurance, the insurance company shall pay compensation within the liability limits of the compulsory motor vehicle insurance. If the motor vehicle is unidentified or not covered by compulsory insurance, and expenses such as rescue and funeral costs for the personal injury or death of the infringed party need to be paid, the Road Traffic Accident Social Assistance Fund shall advance the payment. After the Road Traffic Accident Social Assistance Fund has advanced the payment, its administrative body has the right to seek reimbursement from the party responsible for the traffic accident.

23. If the driver intentionally causes a traffic accident, should the insurance company be liable for compensation?

If a driver intentionally causes a traffic accident, the compulsory traffic insurance company shall bear compensation liability, but the insurance company has the right to seek recourse from the actual tortfeasor.

24. How is liability borne when a vehicle without compulsory traffic insurance is involved in a traffic accident?

If a motor vehicle without compulsory traffic insurance causes a traffic accident, and the party requests the insurance obligor to compensate within the scope of compulsory insurance, the people's court shall support it. If the insurance obligor and the actual tortfeasor are not the same person, they shall bear joint and several liability.

25. How should liability be borne when multiple vehicles are involved in a traffic accident that causes losses to a third party?

In such a case, if the losses exceed the sum of the limits of each compulsory insurance, each compulsory insurance company shall bear compensation liability within its respective limit. If the losses do not exceed the sum of the limits, each insurance company shall share the compensation proportionally.

26. How should an insurance company compensate for a traffic accident that occurs when a tractor (semi-trailer) is connected and in use?

The insurance company shall compensate equally within its respective liability limit.

27. If a single traffic accident causes multiple victims, how should one compulsory traffic accident liability insurance policy provide compensation?

In such a case, the compensation amount of compulsory traffic insurance should be determined based on the loss ratio of each victim.

28. If an unidentified person is involved in a traffic accident, who receives the compensation??

In practice, there are many approaches. One is that the accident investigation division of the traffic police department claims it, and after finding the deceased's close relatives through public notice, transfers it to them. Another is that the civil affairs department of the accident location claims it on behalf of the state. If the accident occurs on a highway, the road administration department claims it. Judicial interpretations stipulate that it should be claimed by agencies or relevant organizations authorized by law, but it does not specify which agencies or organizations are legally authorized.

29. Can judicial interpretations regarding traffic cases be applied to traffic accidents that occur outside of roads?

According to judicial interpretations, for compensation cases arising from motor vehicles traveling outside roads, the relevant provisions of the judicial interpretations may be applied by reference.

30. How should "road" be understood in road traffic accidents?

According to the provisions of judicial interpretations, “road” refers to highways, urban roads, and places that, although within the jurisdiction of an entity, permit the passage of social motor vehicles, including squares, public parking lots, and other places used for public passage. “Places that are within the jurisdiction of an entity but permit the passage of social motor vehicles” brings vehicle-related personal injury or property damage occurring at schools, entities, construction sites, and other such locations within the scope of the Road Traffic Safety Law.