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2003 Supreme(P&H) 735

PUNJAB & HARYANA HIGH COURT
M.M.Kumar, J.
New India Assurance Company Limited
Versus
Surinder Kaur
Civil Revision No. 6254 of 2002,
Decided On : MAY 19, 2003

The central legal point established in the judgment is the discretionary power of the court to allow filing of the written statement beyond the specified period under Order VIII Rule 1 of the Code of Civil Procedure, in order to prevent miscarriage of justice.

Headnote:

Article. 227 - Motor Accident Claims Tribunal - Code of Civil Procedure, 1908, Order VIII Rule 1 - Section 18 of the Code of Civil Procedure (Amendment) Act, 1999 - Section 9 of the Code of Civil Procedure (Amendment) Act, 2002 - The judgment discusses the application of Order VIII Rule 1 of the Code of Civil Procedure, 1908, as amended by the 1999 and 2002 Acts, in the context of filing a written statement by the defendant. It highlights the provisions regarding the time limit for filing a written statement and the discretionary power of the court to allow filing beyond the specified period. The court's decision is influenced by the interpretation of the provisions and their application to the specific circumstances of the case, emphasizing the need to prevent miscarriage of justice.

Fact of the Case:

The petition challenges the order of the Motor Accident Claims Tribunal striking off the defence of the petitioner-Insurance Company due to delay in filing the written statement.

Finding of the Court:

The court found that the delay in filing the written statement was due to the death of the Divisional Manager who was authorized to sign it, and the new incumbent was not vested with the power to do so. The court held that a lenient view was required in the circumstances of the case to serve the interest of justice.

Issues: The issues revolved around the delay in filing the written statement, the application of Order VIII Rule 1 of the Code of Civil Procedure, and the exercise of revisional jurisdiction under Article 227 of the Constitution.

Ratio Decidendi: The court's decision was based on the interpretation of the provisions of Order VIII Rule 1 of the Code of Civil Procedure, emphasizing the discretionary power of the court to prevent miscarriage of justice in cases where delay is properly explained.

Final Decision: The petition was allowed, and the order striking off the defence of the petitioner-Insurance Company was set aside. The Tribunal was directed to allow one opportunity for filing the written statement, subject to the payment of costs.

Judgment

M.M.Kumar, J.

1. This petition filed under Article. 227 of the Constitution of India challenges the order dated 31.8.2002 passed by the Motor Accident Claims Tribunal, Nawanshahar (for brevity, the Tribunal) striking of the defence of the petitioner-Insurance Company on the ground that already number of opportunities have been availed by it and period of more than 90 days has expired as provided by Order VIII Rule 1 of the Code of Civil Procedure, 1908. A perusal of interlocutory orders passed on 13.5.2002, 1.6.202 and 16.8.2002 would show that opportunities have been afforded to the petitioner-Insurance Company to file the written statement. On 16.8.2002 cost of Rs. 350/- was also imposed for adjourning the case to 31.8.2002 making it clear that no further opportunity shall be granted. The impugned order was passed on 31.8.2002 and the defence of the petitioner-Insurance Company was struck of.

2. Mr. Kamal Kant Verma, learned counsel for the petitioner-Insurance Company has argued that Mr. C.S. Bhalla, who was the Divisional Manager, has died and the new incumbent was not vested with the power to sign the written statement on behalf of the petitioner-Insurance Company. For that reason delay, in filing the written statement has occurred. Therefore, the learned counsel requests for one opportunity to file the written statement which has now been signed by the successor of Mr. C.S. Bhalla.

3. Mr. Sanjeev Sharma, learned counsel for the claimant-respondents has argued that for no fault of the claimants they have been dragged to this Court and have been made to suffer financially. The learned counsel has also pointed out that even time has been wasted which would cause delay in disposal of the claim of the claimant-respondents which would have been avoided by the petitioner-Insurance Company.

4. After hearing learned counsel for the parties, I am of the considered view that his petition deserves to be allowed because in the facts and circumstances of this case, a lenient view is required to be taken. It has been established as a fact before the Tribunal that Mr. C.S. Bhalla, the Divisional Manager who was entrusted with the power to sign the written statement had expired. The new incumbent although was appointed as Divisional Manager, yet he was not vested with the power of signing the written statement on behalf of the petitioner-Insurance Company. Moreover, the written statement would be necessary for adjudication of the controversy raised before the Tribunal which will serve the interest of justice. The petitioner-Insurance Company can be saddled with costs on account of delay occasioned by it for filing the written statement belatedly.

5. It is true that under Rule 1 of Order VIII of the Code of Civil Procedure, 1908 (as amended) (for brevity, the Code), a provision has been made for filing of written statement of his defence within period of 30 days from the date of service of summons on the defendant. The proviso to Rule 1 of Order VIII of the Code makes it mandatory that if period of 30 days has expired and no written statement has been filed, then the defendant may be permitted to file the same for the reasons to be recorded in writing on any later date i.e. after 30 days. However, in no case, the written statement could be filed after the period of 90 days from the date of service of summons. The aforementioned provision has come in force w.e.f. 1.7.2002 as Section 18 of the Code of Civil Procedure (Amendment) Act, 1999 (for brevity, 1999 Act) and Section 9 of the Code of Civil Procedure (Amendment) Act, 2002 (for brevity, 2002 Act) have been notified from that date. It has further has been made clear by the 2002 Act that the written statement filed before 1.7.2002 would not be affected by the amendment. In other words, the written statement which has been filed before 1.7.2002 would not be hit by the period of 90 days stipulated in Rule 1 of Order VIII of the Code. In the instant case, the claim petition was file




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