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2021 Supreme(SC) 1080

SUPREME COURT OF INDIA
Dhananjaya Y Chandrachud, Surya Kant, Vikram Nath, JJ.
M/s Acme Cleantech Solutions Private Limited - Appellant
Versus
M/s United India Insurance Company Limited & Anr. – Respondent
Civil Appeal Nos. 4476-4477 of 2021
Decided On : 09-12-2021

Advocates:
Advocate Appeared:
For the Appellant : Mr. Mohit D. Ram, AOR
For the Respondent: Mr. Amit Kumar Singh, AOR, Mrs. K. Enatoli Sema, Adv., Ms. Chubalema Chang, Adv.

IMPORTANT POINT
Appellant cannot be compelled to amend complaint. Whether pleading in nature of a plaint in a civil suit or a complaint before consumer forum should be amended is a matter for plaintiff or, as the case may be, complainant to determine.

Headnote:

Consumer Protection Act, 1986 – Section 13(2) read with Section 22 – Written statement – Amended complaint – Appellant cannot be compelled to amend complaint – Whether pleading in nature of a plaint in a civil suit or a complaint before consumer forum should be amended is a matter for plaintiff or, as the case may be, complainant to determine – Party which moves the forum is dominus litis and is entitled to decide whether or not to amend pleading or to pursue complaint, as it stands – NCDRC was in error in issuing a direction to appellant to amend complaint and in permitting first respondent to file its written statement to amended complaint, subject to payment of costs – Impugned order of NCDRC partly set aside. (Paras 9, 10, 12 and 13)

Facts of the case:

Appeals arise from an order of the National Consumer Disputes Redressal Commission1 dated 11th March 2021 in IA 3463 of 2020 and IA 1346 of 2021. Grievance of the appellant was that the first respondent had failed to settle insurance claim of the appellant arising out of the two alleged storms which damaged the solar power plants of the appellants.

Findings of Court:

Appellant could not have been directed to amend the complaint to challenge the repudiation of the contract of insurance. The appellant has stated that it does not wish to do so. This is a decision which has to be taken by the appellant and it cannot be compelled to amend the complaint.

Result : Appeals disposed of.

JUDGMENT :

Dhananjaya Y Chandrachud, J.

1. These appeals arise from an order of the National Consumer Disputes Redressal Commission1[“NCDRC”] dated 11 March 2021 in IA 3463 of 2020 and IA 1346 of 2021.

2. The appellant instituted a consumer complaint before the NCDRC on 28 September 2019, being Consumer Complaint No 1934 of 2019. Briefly stated, the grievance of the appellant was that the first respondent had failed to settle the insurance claim of the appellant arising out of the two alleged storms which damaged the solar power plants of the appellants. The relief which was claimed in the complaint is set out below, for convenience of reference:

    “(i) Direct the Respondents to immediately settle the Claim of the Complainant as per the Insurance Policy and make payment of :

    A. insurance claim towards material damage to the tune of INR 13,91,78,987.75/- and

    B. insurance claim towards business interruption to the tune of INR 6,00,00,000/-

    (ii) Direct the Respondents to pay interest @ 18% per annum for the period of delay from 13.06.2016 being the date when the Complainant intimated about the incident and claim, till the date of actual payment of the Claim of the Complainant; and

    (iii) Direct the Respondents to pay compensation to the tune of INR 1,00,00,000/-on account of harassment, mental agony, fraud & deception, hardship and inconvenience caused to the Complainant due to acts of deficiency in services, negligence and unfair trade practices on part of the Respondents; and

    (iv) Direct the Respondents to pay INR 5,00,000/- towards litigation expenses.”

3. On 17 October 2019, the NCDRC passed the following order:

    “Heard.

    Complaint is admitted subject to just exceptions.

    Issue notice of the complaint to the opposite party under Section 13(2) of the Consumer Protection Act, 1986 making it clear that if opposite party wishes to file its written statement, it may do so within 30 days from the date of service of the notice of the complaint, failing which right to file the written statement may be closed.”

4. Notice of the complaint was served on the first respondent on 5 November 2019. The first respondent did not file its written statement within the period stipulated by Section 13(1) of the Consumer Protection Act 19862[“Act”]. On 6 March 2020, the first respondent filed IA 3463 of 2020 seeking the dismissal of the consumer complaint on the ground that it was premature. In paragraph 10 of the application, the averment was to the following effect:

    “10. It is stated that the non-cooperative attitude of the Complainant has caused hindrance to the insurer in examining the claim and therefore the progress of verifying and scrutinizing the documents including the survey report is under progress and therefore the instant Complaint is premature and deserves to be dismissed on this ground alone.”

5. No reference was made in the IA to the repudiation of the claim. On the same day, 6 March 2020, the first respondent issued a letter repudiating the claim of the appellant. In the meantime, the appellant sought copies of the final survey report. In its response to IA 3463 of 2020, the appellant, interalia, raised the plea that the right to file the written statement had been barred in view of the judgment of the Constitution Bench of this Court in New India Assurance Company Limited v Hilli Multipurpose Cold Storage Private Limited, (2020) 5 SCC 757.

6. The appellant filed IA 1346 of 2021 on 11 February 2021 seeking production of the final survey report. Both IA 3463 of 2020 filed by the first respondent and IA 1346 of 2021 filed by the appellant were heard by the NCDRC and, by an order dated 11 March 2021, have been disposed of. The NCDRC has directed the appellant to file an amended complaint and has granted an opportunity to the first respondent to file a written statement. The appellant has accordingly challenged the order to the extent that it directs the appellant to file an amended complaint and allows the first respondent to file a written statement to th

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