IN THE HIGH COURT OF JAMMU & KASHMIR AND LADAKH AT JAMMU
RAJNESH OSWAL, J.
Hicks Thermometer (I) Ltd. - Appellant
Versus
Aruna Koul Bhat and Ors. - Respondents
MA No. 25 of 2019
Decided On : 14-07-2023
Employees Compensation Act - Relationship of employer and employee, Perversity in award, Negligence of deceased, Interest rate, Liability of employer - Section 2(dd), Schedule II, Section 30, Section 4A, Section 3
Fact of the Case:
The appeal is against an award passed under the Employees Compensation Act, 1923, where the deceased's employment status, cause of accident, and liability of the employer were contested.
Finding of the Court:
The court found that the appellant failed to prove the absence of employer-employee relationship and the deceased's negligence. The court upheld the award based on evidence and ruled that the appellant is liable to compensate the legal representatives of the deceased.
Issues: Employment status, Negligence, Liability, Interest rate
Ratio Decidendi: The court emphasized that the determination of accident, employment relationship, negligence, and liability are factual issues. The court also clarified the applicable interest rate and rejected the appellant's contention regarding the deceased's negligence.
Final Decision: The appeal was dismissed, affirming the award and holding the appellant liable to compensate the legal representatives of the deceased.
JUDGMENT :
1. This is an appeal against the award dated 24.12.2018 passed by the Assistant Labour Commissioner, Jammu (hereinafter to be referred as "the Commissioner") under the Employees Compensation Act, 1923, by virtue of which the appellant has been directed to deposit an amount of Rs.9,74,985/- (Rupees Nine Lacs Seventy Four Thousand Nine Hundred Eighty Five Only) within 30 days of the passing of the order.
2. The award has been impugned on the following grounds:-
(ii) That the award impugned is perverse as the Commissioner completely ignored the pleadings, facts and relevant material on record.
(iii) That no reasonable opportunity of advancing the final arguments was afforded to the appellant.
(iv) That the deceased expired while on a private trip to Srinagar and was not on official duty.
(v) That the respondent No. 1 submitted her examination in chief by way of an attested affidavit but in her cross examination, she has clearly stated that she never appeared before anyone for attestation of her affidavit.
(vi) That the claimants and witness, namely, Kamal Jeet Dhar in their cross examination have admitted that an insurance claim with respect to the accident was paid by the insurance company, which fact was not disclosed in the claim petition.
(vii) That the respondent No. 1 in her cross examination has admitted that as per the policy of the company, the deceased was only allowed to travel using the public transport (Bus), as such, there was wilful disobedience of the deceased as per rules issued by the company. The approval of the company to the deceased was the bus travel only but the deceased went in Bolero vehicle.
(viii) That the Commissioner has completely ignored the final investigation report, wherein the negligence of the deceased was established.
3. The appellant has proposed the following substantial questions of law:-
(ii) Whether an-unattested evidence by way of an affidavit can be treated as valid in the eyes of law?
(iii) Whether the award could have been passed without affording the appellant with an opportunity of advancing the final arguments?
(iv) Whether after the receipt of compensation from the insurance company, another compensation award can be passed/claimed ?
4. Mr. Vishal Goel, learned counsel for the appellant vehemently argued that there was no relationship of employer and employee between the appellant and the deceased and further that the appellant did not meet with an accident during the course of his employment as he was on a private visit. He further submitted that the deceased was entitled to travel by bus only and assuming that he was on official duty, he could not have travelled in a private Bolero vehicle. Mr. Goel further argued that the vehicle was being plied without registration number and in view of that, the appellant cannot be fastened with any liability under the Act. Mr. Goel further submitted that the interest @12% per annum could not have been imposed upon the appellant. Learned counsel for the appellant has placed reliance upon the judgment of the Hon'ble Supreme Court in case titled, "United India Insurance Co. Ltd. vs. Sushil Kumar Godara", (2021) 14 SCC 519, and the judgments of this Court in case titled, "Geeta Devi and others vs. Som Nath and another", 2013 (2) J.K.J. 226 and "New India Assurance Co. Ltd. vs. Lal Dei and Ors.", 2013 AAC 2950.
5. Per contra, Mr. Sanjay K. Dhar, learned counsel appearing for the respondent Nos. 1 to 3/claimants argued that the award has been passed on the basis of evidence led by the parties and the witnesses examined by the appellant, namely, Jai Narayan Tiwari and Narendra Pal Singh have admitted that Sales Executives of the company have to visit the dealers for marketing the products of the company and further
Geeta Devi and others vs. Som Nath and another
New India Assurance Co. Ltd. vs. Lal Dei and Ors.
Jaya Biswal & Ors. vs. Branch Manager, IFFCO Tokio General Insurance Company Ltd. & Anr.
Shobha & Ors. vs. The Chairman, Vithalrao Shinde Sahakari Sakhar Karkhana Ltd. & Ors.
The court emphasized that factual issues such as accident, employment relationship, and negligence are crucial in determining liability under the Employees Compensation Act.
Section 4 of Employee’s Compensation Act, 1923, existed when unfortunate accident took place.
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The insurer is liable for compensation under the Employees’ Compensation Act but not liable for penalty due to employer's personal fault.
The establishment of an employer-employee relationship is essential for claiming compensation under the Employee’s Compensation Act, and the liability for interest on compensation lies with the emplo....
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The appellants were entitled to compensation for the employee's death as relationship with the employer was established, and the claim was not barred by limitation due to timing of civil death declar....
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