THE NEW INDIA ASSURANCE COMPANY LTD. v. DEVENDRA SINGH CHAUDHARY
FAFO/1008/2011 · 2025-07-06
Saral Srivastava
body2025
DailyLaw.ai
[ 2025 DAILYLAW 40786 (ALL) · dailylaw.ai ]
DailyLaw.ai
[ 2025 DAILYLAW 40786 (ALL) · dailylaw.ai ]
Judgment text
Extracted from the PDF above. The PDF is authoritative.
Neutral Citation No. - 2025:AHC:106685 Court No. - 2 Case :- FIRST APPEAL FROM ORDER No. - 1008 of 2011 Appellant :- The New India Assurance Company Ltd. Respondent :- Devendra Singh Chaudhary Counsel for Appellant :- Aditya Singh Parihar Counsel for Respondent :- Nigamendra Shukla Hon'ble Saral Srivastava,J.
Order on Cross Objection No.37 of 2023 Sri Nigmendrea Shukla, learned counsel for the claimant/respondent states that the claimant/respondent does not want to pres the cross objection. Accordingly, the cross objection is dismissed as not pressed.
Order on Appeal
1. Heard learned counsel for the appellant and learned counsel for the respondents.
2. The present appeal has been preferred by the appellant- insurance company challenging the award dated 01.02.2011 passed by the Motor Accident Claims Tribunal/Additional District Judge, Court No.11, Ghaziabad (hereinafter referred to as 'Tribunal') in M.A.C.P. No.654 of 2003 whereby the Tribunal has awarded Rs.1,26,055/- along with 6% interest as compensation to the claimant/respondent.
3. Challenging the aforesaid award, learned counsel for the appellant has contended that the owner has committed breach of insurance policy as on the date of alleged accident, the offending vehicle was being plied without valid permit, therefore, the Tribunal should have absolved the insurance company from paying
any compensation. It is contended that direction of the Tribunal that insurance company shall pay the award, and thereafter, recover it from the owner is illegal and not sustainable in law.
4. Be that as it may, the law on the point that if the owner has committed breach of insurance policy, the insurance company is liable to pay award, and thereafter, recover it from the owner, is settled by the judgement of Apex Court in the case of National Insurance Company Ltd. Vs. Swaran Singh & Others, AIR 2004 SC 1531 wherein Apex Court has held that in case of breach of terms and conditions of policy, the insurance company should pay the award, and thereafter, recover it from the owner of the vehicle. 5.Thus, the contention of learned counsel for the appellant with regard to breach of insurance policy is misconceived in view of the judgement of of Apex Court in the case of Swaran Singh (supra) and is hereby rejected.
6. Accordingly, the appeal lacks merit and is accordingly, dismissed with no order as to costs.
Order Date :- 7.7.2025 NS Digitally signed by :- NITIN KUMAR High Court of Judicature at Allahabad