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2017 Supreme(Jhk) 775

IN THE HIGH COURT OF JHARKHAND AT RANCHI
APARESH KUMAR SINGH, J.
National Insurance Co. Ltd. through Asstt. Manager - Petitioner
Versus
Tulsi Bannerjee - Respondents
W. P. (C) No. 3042 of 2010
Decided On : 04-05-2017

Advocates Appeared:
For the Petitioner: Mr. Alok Lal, Adv.
For the Respondent: Mr. D. C. Ghosh, Adv.

Headnote:

Permanent Lok Adalat - Motor Vehicle Accident Claim - Motor Vehicles Act, 1988, Legal Services Authority Act, 1987 - Section 140, Section 22(C) (4) to (7), Section 22-C(8), Section 22-D, Section 22-E - The court discussed the legal provisions under the Motor Vehicles Act, 1988 and the Legal Services Authority Act, 1987, particularly focusing on the procedure prescribed under Section 22(C) (4) to (7) of the Legal Services Authority Act, 1987 and the adjudicatory role of Permanent Lok Adalat under Section 22-C(8). The court emphasized the requirement of consent from all parties before the Permanent Lok Adalat can decide the dispute on merits and highlighted the non-applicability of the provisions of the Code of Civil Procedure and the Indian Evidence Act in such cases. The judgment also emphasized the importance of conciliation and settlement before proceeding to decide the claim on merits.

Fact of the Case:

The court considered a motor vehicle accident claim related to the death of occupants of two vehicles. The petitioner challenged the award passed by the Permanent Lok Adalat, alleging legal infirmity in the decision-making process.

Finding of the Court:

The court found that the Permanent Lok Adalat failed to follow the prescribed procedure under the Legal Services Authority Act, 1987 before passing an order on the merit of the compensation claim. The impugned award was set aside as legally unsustainable, and the respondent-claimants were granted liberty to move before the competent Tribunal for adjudication of the dispute.

Issues: The issues revolved around the legality of the decision-making process of the Permanent Lok Adalat, the applicability of the prescribed procedure under the Legal Services Authority Act, 1987, and the requirement of consent from all parties before deciding the dispute on merits.

Ratio Decidendi: The court's decision was based on the failure of the Permanent Lok Adalat to follow the prescribed procedure under the Legal Services Authority Act, 1987 and the importance of obtaining consent from all parties before deciding the dispute on merits.

Final Decision: The impugned order dated 06.03.2010 passed by the Permanent Lok Adalat was set aside, and the writ petition was allowed, granting liberty to the respondent-claimants to move before the competent Tribunal for adjudication of the dispute.

JUDGMENT :

1. Heard learned counsel for the petitioner and the respondent no. 4.

2. Despite steps taken on three occasions to effect service of notice upon respondent no. 3-owner of the Vehicle in question, the same could not be effected. On 16.02.2017 learned counsel for the petitioner brought to the notice of this Court that in an analogous matter in WP (C) No. 3032 of 2010 which arose from the same impugned order dated 06.03.2010 in Permanent Lok Adalat Case Nos. 905/2007 also, despite substituted service taken in terms of Order V Rule 20 of Civil Procedure Code, respondent no. 3 being the owner of the vehicle in question failed to appear. Having taken note of the significant facts arising out of two Permanent Lok Adalat Case Nos. 903 of 2007 and 905 of 2007 through the same impugned order, it was observed that no further steps is required to be taken for service of notice on the said respondent. Thereafter, the matter has been taken up today.

3. Learned counsel for the petitioner submits at the outset that the award dated 06.03.2010 (Annexure-2) impugned herein suffers from the same legal infirmity, which has been considered in W.P. (C) No. 3032 of 2010 vide judgment dated 15.09.2016 passed by this Court in respect of Permanent Lok Adalat Case No. 905 of 2007 analogous to the present Permanent Lok Adalat Case No. 903 of 2007. It is submitted that this Court has been pleased to quash the impugned award giving liberty to the respondent-claimants to move before the Competent Tribunal for adjudication of the dispute, which may decide such claim, if permissible in law. It is submitted that the instant matter can also be disposed of in the light of the said judgment.

4. Accident involved in the present matter is related to the same two vehicle bearing registration no. JH 01M 6531 (Maruti Alto Car) and BR 14C 8108 (Truck) causing the death of one Mitali Bannerjee and Ujay Kumar Chakravarty. W. P. (C) No. 3032 of 2010 arose from the accident claim made in respect of death of Ujay Kumar Chakravarty whereas the present case arises out of accident claim of Mitali Bannerjee raised by her parents i.e. respondent nos. 1 and 2 herein. Therefore, the principles, which governed the decision dated 15.09.2016 should abide in the present case also.

5. Learned counsel for the respondent-Oriental Insurance Company does not dispute the aforesaid facts and the legal submissions made by the learned counsel for the petitioner.

6. Having regard to the identity of facts in both the matter, which arose out of the same accident leading to the death of occupants of Maruti Alto Car (JH 01M 6531), the present case is also being decided in light of the judgment rendered in W. P. (C) No. 3032 of 2010. Relevant paragraphs of the said judgment are quoted herein under for better appreciation:-

“3. The Award dated 06.03.2010 (Annexure-2) passed by Permanent Lok Adalat, Ranchi in P.L.A. Case No. 905 of 2007 is under challenge by the petitioner – National Insurance Company on the ground that in a motor vehicle accident claim raised by the claimant/ respondent nos. 1 and 2, the learned Permanent Lok Adalat has awarded interim compensation to the tune of Rs.25,000/- under Section 140 of the Motor Vehicles Act, 1988 while also awarding the same amount to be paid by respondent no. 4 – Oriental Insurance Company Ltd. in teeth of the procedure prescribed under Section 22(C) (4) to (7) of the Legal Services Authority Act, 1987 and the law laid by the Court.

4. Two vehicles bearing registration nos. JH 01M 6531 (Maruti Alto Car) and BR 14C 8108 (Truck) were involved in an accident which led to death of the daughter and son of the claimant nos. 1 and 2 namely Mitali Bannerjee and Vijay Kumar Chakravarty respectively. The incident occurred on 04.08.2006 at about 9:30 am near Chema Chowk, Chanho Police Station within the district of Ranchi. The impugned Award has been primarily challenged on the ground that the learned Permanent Lok Adalat failed to follow the mandatory procedure u

















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