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2020 Supreme(Ker) 975

IN THE HIGH COURT OF KERALA
SARASA VENKATANARAYANA BHATTI, BECHU KURIAN THOMAS, JJ.
Nortrans Marine Services Private Limited & Ors – Appellants
Vs.
Cargo Care International – Respondents
R.F.A. No. 672 of 2004, R.F.A. No. 673 of 2004
Decided on : 10-11-2020

Advocates:
Advocate Appeared:
For The Appellant : P.F. Rosy (Adv.), Kripa Elizabeth Mathews (Adv.), C B Suma Devi (Adv.), Suresh Samuel (Adv.), V M Syam Kumar (Adv.), Santhosh Mathew (Adv.)
For the Respondent: Pooja Menon (Adv.), M Gopikrishnan Nambiar (Adv.), Alias M Cherian (Adv.), K John Mathai (Adv.), Joson Manavalan (Adv.), Kuryan Thomas (Adv.), Priya Krishnamoorthy (Adv.), Paulose C Abraham (Adv.), Denu Joseph (Adv.), Saji Mathew (Adv.), C G Sunil (Adv.), K P Vijayan (Adv.), M R Venugopal (Adv.)

Headnote:(A) Indian Partnership Act, 1932 - Section 69(2) - Contract of Affreightment - Dispute over loss of cargo due to adverse weather - The plaintiff, a registered firm, filed suit for recovery of damages, asserting the defendants' liability for loss of cargo. The defendant's claims of not being liable due to Act of God were scrutinized and rejected. The court maintained jurisdiction to try the case, finding the plaintiff's claims substantiated by evidence of actual loss. (Paras 1-20)

(B) Jurisdiction - The court affirmed its right to hear the case based on specific clauses in the Bill of Lading and established that the trial court had jurisdiction based on the occurrences at Kochi. (Para 18.6)

(C) Agency - The relationship of agency did not exempt the second defendant from liability as claims were directly communicated to him. (Para 17.2)

Findings of Court:
The plaintiff's claims were found substantiated against the defendants, and the quantum of damages for loss of cargo was adjusted to USD 94,605, with interest from the date of suit.

Result: Appeals allowed in part, modifying the trial court's judgment accordingly.

JUDGMENT :

Per S.V.Bhatti, J.

Heard Learned Advocates Santhosh Mathew and V.M.Syamkumar for appellants and Advocates Pooja Menon, Alias M Cherian, and Denu Joseph for respondents.

2. The 1st and the 2nd defendants in O.S. No.105 of 2000 on the file of the Principal Subordinate Judge's Court, Kochi are the appellants in these two appeals. 1st defendant is the appellant in R.F.A. No.673 of 2004 and 2nd defendant is the appellant in R.F.A. No.672 of 2004. Both the appeals arise from the judgment dated 30.06.2004 in O.S. No.105 of 2000. This Court for convenience refers to the parties as plaintiff and defendants as arrayed in O.S. No.105 of 2000.

2.1 Cargo Care International, a registered partnership firm with its branch office at Kochi is the plaintiff. The plaintiff is the agent of Al Shahal Shipping Est. Abu Dhabi, U.A.E/ 3rd defendant. Defendant Nos. 6 to 11 were Non-Resident Indians (NRI) from the State of Kerala, living at that point of time in Abu Dubai, U.A.E. Defendant Nos.6 to 11 have entrusted cargo i.e., a Mercedes Benz car, household articles etc under Exhibits A5 to A9 under in-house BoL. [List of contents in cargo with original invoices A7 -letter dated 12.8.1999, A8 – letter dated 20.09.1999, A9-claim form, and A11-facing page of Bill of Lading to 3rd defendant for shipment to Kochi.] On 24.07.1999 under Bill of Lading (for short 'BoL') (Exts.A11/B3), the assorted individual packages given by defendant Nos. 6 to 11 have been entrusted to Abu Dhabi Shipping Agency, Abu Dhabi/D4, the agent of Charter party of vessel M.V."FAS GULF" V.1E31, CMA-CGM & ANL, Compagnie Maritime D’ Affretament/Compagaie, General Maritime Australian National Line, France. The 5th defendant is the owner of vessel M.V."FAS GULF" V.1E31. The plaintiff is admitted as the consignee in BoL dated 24.07.1999, therefore authorised to receive the consignment if delivered at Kochi. The goods/cargo covered by respective in-house BoL, as per the trade practice, were stuffed into container No.GSTU 9689690 and shipped in the vessel M.V."FAS GULF" V.1E31. The 2nd defendant, it is averred, was the agent of Charter party D12, at that point of time, and also the agent of D1.

2.2 From the case set up by D1 and D2 it is noted that D1 acquired the management and the ownership of D12. The plaintiff on 29.07.1999 (Ext.A15) received intimation from the 2nd respondent that on 27.07.1999 the vessel M.V."FAS GULF" V.1E31 encountered severe weather conditions on passage from Khorfakkan to Nhava Sheva (India) and container No. GSTU 9689690 and four other containers were lost on the High Seas. The 2nd defendant notified complete loss of container and invited the plaintiff or its insurance company to remain present for survey when the vessel M.V."FAS GULF" V.1E31 calls on Port Kochi on 30.07.1999. Ext. A1 dated 04.08.1999 is the survey report. The plaintiff as the consignee/beneficiary under BoL dated 24.07.1999, has filed O.S. No.105 of 2000 for recovering damages amounting to U.S.D. 1,42,081 equivalent to Rs.62,44,459/-towards the loss of cargo entrusted to defendant Nos.1 and 2.

2.3 The suit was filed on 22.06.2000 against Norasia Lines (Malta) Ltd. P.B. No.560, Avenue Beaugard 10, Felbourd, Switzerland and Norlorans Marine Services (Ltd) West Aline, Kochi as defendant Nos.1 and 2. Later on, defendant Nos.3 to 11 were impleaded in I.A. No.588/2001 by order dated 15.06.2001. The 12th defendant/Norasia Lines (Malta) Ltd owned by Norasia Container Lines Ltd P.B.No.560, Avenue Beaugard 10 Felbourd, Switzerland represented by their agent M/s.Norloran Marine Services Pvt.Ltd. i.e., D2, as defendant No.12. The dates on which defendant Nos.3 to 12 have been impleaded are adverted to at this stage of the narration for a few arguments are made by the counsel appearing for the parties on ju

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