HIGH COURT OF JUDICATURE FOR RAJASTHAN BENCH AT JAIPUR
Anoop Kumar Dhand, J.
New India Assurance Company Limited & Ors. – Appellants
Versus
Bhagirath Singh & Ors. – Respondents
S.B. Civil Miscellaneous Appeal Nos. 1189/2019 and 3740/2018
Decided On : 08-09-2022
Negligence - Motor Accident Claims - Order 9 Rule 13 CPC - Punjab and Haryana High Court - N.K. Electronics v. Narinder Kumar - Secretary, Department of Horticulture, Chandigarh and another v. Raghu Raj - Rafiq and another v. Munshilal and another - Dinesh Kumar v. Chanderkala and another - Lal Devi and another v. Vaneeta Jain and others
Fact of the Case:
The appeal arises from a judgment passed by the Motor Accident Claims Tribunal & Additional District and Sessions Judge, Fatehpur Shekhawati, Sikar, allowing the claim petition filed by the claimants ex parte. The Insurance Company appealed for setting aside the ex parte award, while the claimants appealed for enhancement.
Finding of the Court:
The court found that the ex parte award was passed due to the negligent act of the counsel for the Insurance Company, and the Insurance Company was not informed about the proceedings. The court referred to the duty of advocates towards their clients and held that the ex parte award was unjust due to the negligence of the counsel.
Issues: The issues revolved around the ex parte award passed against the Insurance Company, the negligence of the counsel, and the duty of advocates towards their clients.
Ratio Decidendi: The court relied on the Punjab and Haryana High Court case of N.K. Electronics v. Narinder Kumar and other relevant cases to establish the duty of advocates towards their clients and the unjust nature of making a party suffer due to the mistake of the lawyer.
Final Decision: The court quashed and set aside the ex parte award, remitted the matter back to the Tribunal, and directed the Tribunal to decide the claim petition expeditiously, providing opportunities for all parties to be heard.
JUDGMENT
Anoop Kumar Dhand, J. - Both these appeals arise out of the impugned judgment dated 07.03.2018 passed by the Motor Accident Claims Tribunal & Additional District and Sessions Judge, Fatehpur Shekhawati, Sikar (hereinafter referred to as 'the Tribunal') in claim case No. 49/2016 (623/2015) by which the claim petition filed by the claimants was allowed ex parte. Insurance Company has submitted its appeal for setting aside the ex parte award while the claimants have submitted their appeal for enhancement.
Civil Miscellaneous Appeal No. 1189/2019:-
2. Counsel for the Insurance Company submits that initially the claim petition was submitted before the Motor Accident Claims Tribunal, Sikar, (for short, 'the Tribunal, Sikar') in which after notice, the appellant-Insurance Company appeared through counsel and counsel for the Insurance Company sought time to file reply on certain dates. Thereafter, the claim petition was transferred from the Tribunal, Sikar to the Tribunal, Fatehpur Shekhawati, Sikar vide order dated 22.11.2016 and the date for appearance before the Tribunal, Fatehpur Shekhawati, Sikar was fixed for 25.11.2016.
3. Counsel further submits that the brief holder of the counsel for the Insurance Company appeared before the Tribunal and sought time to file reply, but no reply was submitted and thereafter, on account of non-appearance of the counsel, ex parte order was passed on 25.10.2017 and the matter was proceeded ex parte against the Insurance Company and finally the ex parte award was passed vide judgment dated 07.03.2018, and the Tribunal directed the Insurance Company to pay compensation to the tune of Rs. 65,55,000/-. Counsel submits that the counsel appearing for the Insurance Company did not inform about the ex parte award to the appellant-Insurance Company, while the Insurance Company was regularly in touch with its counsel and the ex parte award was passed on account of negligence on the part of their counsel. He further submits that even after passing of the ex parte award on 07.03.2018, the counsel wrote a letter to the Insurance Company on 29.06.2018 indicating that the next date posted before the Tribunal was 06.07.2018 for the purpose of filing reply and thereafter, a written statement was prepared duly signed and attested and same was sent to the counsel on 17.07.2018. Counsel further submits that the Insurance Company was under the bona fide belief that the matter is subjudice before the Tribunal, Fatehpur Shekhawati, Sikar and the counsel is taking care of the matter. He further submits that the appellant-Insurance Company was shocked to receive a notice of SB Civil Misc. Appeal No. 3740/2018 submitted by the claimants for enhancement of the amount of compensation awarded by the Tribunal, Fatehpur Shekhawati, Sikar before this Court.
4. Counsel further submits that even a letter was sent to the counsel about the aforesaid situation, but no satisfactory reply was received. Counsel submits that even the counsel submitted an application under Order 9 Rule 13 CPC for setting aside the ex parte award, without signatures of the competent authority of Insurance Company. Counsel submits that the Insurance Company never submitted any application under Order 9 Rule 13 CPC. The said application was submitted by the counsel at his own. He submits that a very heavy exorbitant ex parte award was passed against the Insurance Company by the Tribunal, Fatehpur Shekhawati, Sikar and the appellant-Insurance Company has been directed to pay an amount of Rs. 65,55,000/- as compensation.
5. Counsel further submits that without getting any proper opportunity to contest the claim, ex parte award has been passed because of the negligent act of the counsel. Thus, he prayed that under these circumstances, the ex parte award may kindly be quashed and set aside and proper opportunity may kindly be afforded to the appellant-Insurance Company to contest the claim before the Tribunal, Fatehpur Shekhawati, Sikar.
6. Per contra, learne
Dinesh Kumar v. Chanderkala and another
Lal Devi and another v. Vaneeta Jain and others
Rafiq and another v. Munshilal and another
Secretary, Department of Horticulture, Chandigarh and another v. Raghu Raj
The main legal point established in the judgment is the duty of advocates towards their clients and the unjust nature of making a party suffer due to the mistake of the lawyer.
Dismissal of application to set aside an ex-parte award in a motor accident claim cannot solely rely on delay when a prior concession was made by the opposing party, warranting examination of justice....
The court emphasized that a party seeking condonation of significant delay must prove sufficient cause with substantial evidence, failing which the appeal will be dismissed.
Insurance companies cannot appeal on merits in compensation claims without following statutory procedures under the Motor Vehicles Act.
The main legal point established in the judgment is the interpretation of 'sufficient cause' for non-appearance under Order 9 Rule 13 CPC and the requirement for the party to approach the court with ....
The main legal point established in the judgment is the significance of 'sufficient cause' for condonation of delay, emphasizing the need for a liberal but reasonable interpretation of the term and t....
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