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1951 Supreme(Cal) 263

HIGH COURT OF CALCUTTA
P. N. MUKHERJEE
GOVERNOR GENERAL IN COUNCIL - Appellant
Versus
PATAL PAUL - Respondent
Second Appeal 149  Of  1948
Decided On : NOVEMBER 20, 1951

Advocates Appeared:
AJAY KUMAR BASU, JNANENDRA NATH BAKSHI, PURUSHOTHAM CHATTERJI

The Railway was not protected from liability for the shortage of goods despite the existence of risk notes A, B, and C, as the loss did not fall within the terms of the risk notes and the goods were not defectively packed.

Headnote:

RAILWAY LIABILITY - NON-DELIVERY OF CONSIGNMENT - RISK NOTES A, B AND C - INTERPRETATION AND APPLICABILITY - RAILWAY NOT PROTECTED FROM LIABILITY.

Fact of the Case:

A consignment of biri tobacco was booked with B. B. and C. I. Railway for delivery to the plaintiff-respondent at Bankura, a station on the Bengal Nagpur Railway. During transit, the consignment passed through the G. I. P. Railway and was eventually delivered to the Bengal Nagpur Railway. Upon delivery, two complete bags were missing and nine bags were found cut, resulting in a shortage of 6 maunds 35 seers. The plaintiff sued the Bengal Nagpur Railway for damages or compensation for non-delivery.

Finding of the Court:

The trial court and the lower appellate court found that there was a shortage of 6 maunds 35 seers at the time of delivery, that two complete bags were missing and nine other bags were cut, that the loss did not occur due to the consignment being carried in an open truck, that the story of theft by outsiders was not substantiated, and that the bags were securely and not defectively packed. The courts also refused to hold that the Railway was protected under the risk notes pleaded by it.

Issues: 1. Whether the Railway was liable for the shortage of goods despite the existence of risk notes A, B, and C? 2. Whether the plaintiff was estopped from claiming that the goods were not defectively packed due to the existence of risk note 'a'? 3. Whether the Railway was fully protected under risk note 'b' due to the existence of risk note 'a'?

Ratio Decidendi: 1. Risk note 'c' did not provide indemnity for loss, only for destruction, deterioration, or damage arising from the consignment being conveyed in open wagons in transit. Since the loss in this case was not due to this cause, risk note 'c' did not apply. 2. Risk note 'a' did not apply because the loss did not arise from the condition of the goods at the time of booking or from defective packing. The finding of the courts below that the goods were securely and not defectively packed excluded any question of loss arising from such causes. 3. The existence of risk note 'a' did not estop the plaintiff from claiming that the goods were not defectively packed, as there was no finding that the packages were defective. The general observation in 'Mafat Lal v. B. B. and C. I. Rly' was made in a case where the facts fell directly within the mischief of the risk note, and must be read in that light. 4. The concurrent findings of the courts below that the goods were not defectively packed distinguished this case from previous decisions where the Railway was held to be protected under risk note 'b'. 5. The Railway's misconduct in failing to deliver the consignment in full was a good finding on the authority of the Privy Council decision in 'Surat Cotton Spinning and Weaving Mills Ltd. v. Secretary of State'.

Final Decision: The appeal was dismissed with costs, and leave to appeal under Cl. 15 of the Letters Patent was granted.

P. N. MOOKERJEE, J.

( 1 ) THIS is a second appeal by the defendant Bengal Nagpur Railway and it is directed against a decree for damages or compensation for non-delivery of a certain consignment of biri tobacco. The material facts are as follows:

( 2 ) THE consignment in question comprising 153 bags of biri tobacco was booked with B. B. and C. I. Railway for delivery to the plaintiff-respondent at Bankura, a station on the Bengal Nagpur Railway. In course of transit the consignment had to pass also through the G. I. P. Railway, There is, however, no dispute now that the consignment was duly made over to Bengal Nagpur Railway. The consignment reached the Bankura Railway Station on the 7th May 1945, and, at the time of delivery to the consignee, two complete bags were found missing and nine bags were found cut, disclosing a shortage of 6 maunds 35 seers. The Railway refused to compensate the consignee for the loss sustained by reason of the shortage and hence the present suit by the consignee.

( 3 ) THE material defence was that the Railway was not liable as the shortage was due to theft by persons other than the Railway employees and also because the consignment in question was booked under risk notes A, B and C. It was also contended by the defence that at the time of delivery it was not pointed out to the Railway authorities that nine bags had been cut.

( 4 ) THE suit has been decreed by the Courts below against the Bengal Nagpur Railway upon, inter alia, the following findings, viz. ,1. that there was shortage to the extent of 6 maunds 35 seers at the time of delivery to the plaintiff; 2. that two complete bags were missing and nine other bags were cut and this was duly pointed out to the Railway at the time of delivery; 3. that the loss did not occur by reason of the consignment being carried in open truck; 4. that the story of theft by outsiders had not been substantiated; 5. that the bags were securely and not defectively-packed; and the Courts below have refused to hold that the Railway was protected under the risk notes pleaded by it.

( 5 ) MR. Basu, appearing for the Railway-appellant, has contended before me that in view of the existence of the risk notes A, B and C the Railway is protected from liability in the present case.

( 6 ) IN risk note C, no indemnity is given in I case of loss as distinct from cases of destruction, deterioration or damage. This is clear from a comparison of risk note 'c' with the other risks notes where the word 'loss' is also included. It is also clear from risk note 'c' that the destruction, deterioration or damage against which indemnity is given there by must arise 'by reason of the consignment being conveyed in open wagons in transit'. Admittedly, the present case is one of loss and there is also the finding of the Courts below that the said loss did not arise from the goods being carried in open truck, which finding cannot be challenged on the materials on record. In such circumstances, risk note 'c' does not, in my opinion, afford any answer in the present ease to the plaintiffs' claim.

( 7 ) THE risk note 'a' is also of no assistance to the Railway as the loss in the present case cannot be said to arise from condition at which the goods in question were delivered to the consignee. The condition under risk note 'a' must have been due to the init al con lition of the goods at the time of booking or to "defective packing". There is no allegation in the present case that at the time of booking the condition of the goods was bad and the finding of the Courts below is that the goods were securely and not defectiyely-packed, thus necessarily excluding all questions of loss arising from any such cause as aforesaid. In such circumstances the protection under risk note 'a' is also not available to the Railway vide: 'gangadhar RAMCHANDRA, A FIRM v. DOMINION OF INDIA',.

( 8 ) A question has, however, been raised before me on behalf of the Railway appellant that in view of the existence of







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