According to the Court of Justice of the European Union in a ruling made on Tuesday 4 September (C-80/17), a vehicle which is capable of being driven must be covered by motor vehicle insurance against civil liability even if its owner, who no longer intends to drive it, has chosen to park it on private land.
The owner of a motor vehicle registered in Portugal, Mrs Juliana, stopped driving it and parked it in the yard of her house, but did not take steps formally to withdraw it from use. In 2006, Mrs Juliana’s son took possession of the vehicle without his mother’s permission or knowledge and was killed in an accident, as well as two others, who were in the vehicle. On the date of the accident, Mrs Juliana had not taken out insurance against civil liability.
The Portuguese Motor Vehicle Guarantee Fund paid compensation to the persons entitled to such, through the passengers and sued Mrs Juliana, claiming reimbursement from her for the sum of €400, 000, which the latter is disputing.
In its ruling, the Court finds in favour of the Guarantee Fund. According to the first directive (72/166) the conclusion of a motor vehicle civil liability insurance contract is obligatory when the vehicle concerned is still registered in a Member State and is capable of being driven but is parked on private land, solely by the choice of the owner, who no longer intends to drive it.
The European Court also considers that the Guarantee Fund has the right to bring an action against Mrs Juliana. According to the Court, the second directive (84/5) “motor vehicle civil liability insurance” does not preclude national legislation whereby the compensation body has the right to bring an action against not only the party responsible for the accident, but also against the person who was obliged to take out motor vehicle civil liability insurance for the vehicle which caused the accident, even though that person has no civil liability for the accident.
European legislation has not harmonised the various matters relating to the actions brought by the Guarantee Fund such as the determination of the other persons against whom such actions might be brought. The judges hold that these aspects therefore fall within the scope of the national law of each member state. (Original version in French by Mathieu Bion)