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SUPREME COURT OF INDIA
UNITED INDIA INSURANCE CO. Limited
Versus
KANWAL NAIN SACHDEVA
Decided on : May 10, 1999
Insurance Liability - Motor Accident Claims Tribunal - The court allowed the appeal, setting aside the judgment of the High Court and restoring the case to the file of the High Court, emphasizing the need for the High Court to discuss the merits of the contentions raised by the Insurance company in a first appeal against the order of the Tribunal.
Fact of the Case:
The appellant appealed against the judgment of the Motor Accident Claims Tribunal disputing liability to pay the awarded sum, arguing that the bus involved in the accident was carrying more passengers than its licensed capacity.
Finding of the Court:
The High Court dismissed the appeal without discussing the merits of the contentions raised by the Insurance company, leading the court to set aside the judgment and restore the case to the High Court.
Issues: Appellant's liability in a motor accident claim and the High Court's failure to discuss the merits of the contentions raised by the Insurance company in a first appeal against the order of the Tribunal.
Ratio Decidendi: The High Court should have discussed the merits of the contentions raised by the Insurance company, especially when dealing with a first appeal against the order of the Tribunal.
Final Decision: The court allowed the appeal, set aside the judgment of the High Court, and restored the case to the file of the High Court.
( 1 ) SPECIAL leave granted.
( 2 ) THE appellant herein had filed an appeal against the judgment of the motor Accident Claims Tribunal disputing its liability to pay the sum awarded. The main contention of the appellant herein was that the licensed capacity of the bus which was insured and which met with the accident was only to have 22 passengers but in fact it was carrying nearly 48 passengers and, therefore, the Insurance Company was absolved of its liability.
( 3 ) THE High Court dismissed the appeal by a cryptic order stating that no case had been made out for interfering in the well-reasoned award of the motor Accident Claims Tribunal. In our opinion, the High Court ought to have discussed the merits of the contentions raised by the Insurance company especially when it was dealing with the first appeal against the order of the Tribunal.
( 4 ) WE accordingly allow this appeal, set aside the impugned judgment of the High Court and restore FAO No. 1646 of 1998 to the file of the High court.
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