Judgments
Judgments
  1. Home
  2. /
  3. High Court Of Gujarat
  4. /
  5. 2012
  6. /
  7. January

New India Assurance Co Ltd vs Saberabibi Wd/O Sikandar A Dhantia & 8 & 8 Defendants

High Court Of Gujarat|30 March, 2012
|

JUDGMENT / ORDER

1. This appeal is directed against the judgement and award dated 03.05.1994 passed by the Motor Accident Claims Tribunal(Aux.), Panchmahals at Godhra in MACP No. 79 of 1984 whereby the said claim petition was allowed and the claimant was awarded compensation of Rs. 5,73,000/- respectively along with interest at the rate of 15% per annum.
2. The claim petitions were filed in pursuance of an accident which had occurred on 09.08.1983 at about 03.45 pm when one Shri Sikandar Dhantia was driving motorcycle bearing registration no. GTI 3295. At that time, a tanker bearing registration no. UTU 4768 collided with the motorcycle. As a result of this accident he sustained serious injuries and later on died. The heirs and legal representatives of said deceased filed Claim Petition and the Tribunal passed the aforesaid award.
3. Mr. Mazmudar, learned counsel for the appellant has contended that in view of the specific clause that the amount of liability under section II-I (ii) is Rs. 50000/-. He has relied upon a decision of the Apex Court in the case of New India Assurance Co. Ltd. vs. Pushpa Kakkar and Others reported in 1993 ACJ 328 and a decision of this Court passed on 12.01.2012 in First Appeal No. 1842 of 1992.
4. A perusal of the policy shows that the limit of the amount of Company's liability under Section II-I (ii) in respect of any one claim or series of claims arising out of one event is Rupees Fifty Thousand. This view is supported by a decision of this Court in the case of New India Assurance (supra). In the present case, a premium of Rs. 240/- has been paid for the liability to public risk and that the limit of liability arising out of the single accident is Rs. 50000/- Learned counsel for the respondent-original claimant is not able to contest the aforesaid legal position. However, considering the decisions cited hereinabove, this Court is of the view that the insurance company cannot be held to be liable for compensation amount of more than Rs. 50000/-.
5. In the premises aforesaid, the present appeal is partly allowed. It is held that the liability of the original opponents no. 1 & 2 – present respondents no. 8 & 9 shall remain intact to meet the entire claim awarded with interest as awarded by the Tribunal. However, so far as the present appellant - Insurance Company is concerned, the award will stand modified and the amount awarded against the appellant will be Rs.50000/- with running interest thereon at the rate of 15% per annum from the date of the application till realization. It will be open to the original claimant to recover the remaining amount from respondent nos. 8 & 9 i.e. original opponent nos.
1 & 2. The remaining amount lying in the FDR along with interest shall be refunded to the Insurance Company. However, if the amount is withdrawn by the original claimants, the same shall not be recovered. It will be open for the insurance company to recover the same from the owner and if the amount is not paid to the claimant it will be open for them to recover the same from the owner. The award of the Claims Tribunal shall stand modified accordingly.
(K.S. JHAVERI, J.) Divya//
Disclaimer: Above Judgment displayed here are taken straight from the court; Vakilsearch has no ownership interest in, reservation over, or other connection to them.
Title

New India Assurance Co Ltd vs Saberabibi Wd/O Sikandar A Dhantia & 8 & 8 Defendants

Court

High Court Of Gujarat

JudgmentDate
30 March, 2012
Judges
  • Ks Jhaveri
Advocates
  • Mr Gc Mazmudar