A bench allowed an appeal by the insurer to restrict liability to Rs. 1,50,000 under an Act Policy, dismissing the appeal for enhancement of compensation quantum due to lack of representation.
FAO NO. 900/1990 allowed restricting insurer liability to Rs. 1,50,000; FAO NO. 37/1991 for enhancement dismissed.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
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F.A.O.NO. 37 OF 1991 and F.A.O.NO. 900 OF 1990
IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
F.A.O.NO. 37 OF 1991 Date of decision:20th August, 2010
Harminder Kaur and others
.......Appellants
Versus
Labh Singh and others
........Respondents
F.A.O.NO. 900 OF 1990
The New India Assurance Co. Ltd.
......Appellant
Versus
Harminder Kaur and others
......Respondents
BEFORE: HON'BLE MR. JUSTICE K.KANNAN
Present: Mr. L.M.Suri, Senior Advocate with Mr. Neeraj Khanna, Advocate for the Insurance Company.
None for the claimants.
1. Whether Reporters of local papers may be allowed to see the judgment? Yes/No
2. To be referred to the Reporters or not?Yes/No
3. Whether the judgment should be reported in the Digest? Yes/No
K.Kannan, J.(Oral)
1. The two appeals arise out of the same accident. FAO NO. 900 of 1990 is on the issue of liability by the insurer and FAO NO. 37 of 1991 is on the issue of quantum. The claim arose out of the death of a scooterist in a collision with the insured truck. The policy had been filed by the insurer and marked as Ex. R-1 where it was an act policy issued under the Motor Vehicles Act, 1939. The insurer pleaded restriction of liability for a third party claim at Rs. 50,000/-. The Tribunal determined a compensation
F.A.O.NO. 37 OF 1991 and F.A.O.NO. 900 OF 1990
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of Rs. 2,92,600/- and directed the entire amount to be paid by the insurer, on a reasoning that the policy had not been proved. Where a policy is produced before the Court and exhibited as a document, that itself would constitute proof especially in summary proceedings. What was stated in the policy was again only a statutory limit of liability for an act policy governed under the 1939 Act. The Insurance Company could not have been therefore, made liable for an amount in excess of the claim for Rs. 1,50,000/-. I accept the contention of the insurer and would provide a right of recovery against the insurer by the claimant only to the extent of Rs. 1,50,000/-. The balance amount shall only be shouldered by the owner insured.
2. In the claim for enhancement of appeal, the plea is for the death of a person aged 28 years. At no point of time has there been any representation for the claimant. It appears from record that it was admitted even without any representation by the counsel and even today he is not present. The Tribunal has assessed the compensation having due record to the evidence which was adduced and I see no scope for enhancing the same. FAO NO. 900 of 1990 is allowed restricting the liability of the insurer only Rs. 1,50,000/- with interest awarded and FAO NO. 37 of 1991 filed for enhancement of the awarded amount is dismissed.
[K.KANNAN] JUDGE
20th August, 2010 Shivani Kaushik
2 issues framed by the court
Whether the insurer's liability for a third-party claim under an Act Policy is restricted to the statutory limit.
Whether the quantum of compensation awarded by the Tribunal should be enhanced in the absence of counsel for the claimant.
1 provisions across 1 enactments
New India Assurance Co. Ltd.
Harminder Kaur and others
Labh Singh and others
K. Kannan
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
