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2016 (8) TMI 917 - SUPREME COURT

2016 (8) TMI 917 - SUPREME COURT - 2016 AIR 247, 2016 (3) SCC 43, 2016 (1) JT 4, 2016 (1), SCALE 133 - Entitlement to award of the Motor Accidents Claims Tribunal, Kolkata - whether the High Court was justified in setting aside the award only on the ground that the Tribunal did not have the territorial jurisdiction? - Held that:- The provision in question, in the present case, is a benevolent provision for the victims of accidents of negligent driving. The provision for territorial jurisdiction .....

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719 - SUPREME COURT OF INDIA ), contrary view taken by the High Court cannot be sustained. The High Court failed to notice the provision of Section 21 CPC. - Accordingly, we allow this appeal, set aside the impugned judgment of the High Court and restore the award of the Tribunal. - CIVIL APPEAL NO. 10 OF 2016 - Dated:- 5-1-2016 - Anil R. Dave and Adarsh Kumar Goel, JJ. JUDGMENT 1. Leave granted. The question raised in this appeal is whether the High Court was justified in setting aside the .....

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of the Motor Vehicles Act, 1988 ( the Act ) for compensation before the Tribunal at Kolkata. 3. Rash and negligent driving by the driver of the bus having been established, the Tribunal, applying the multiplier of 13 on account of age of the appellant being 47 years, and taking into account the income of the deceased and other relevant factors, fixed compensation of ₹ 16,12,200/- with interest at the rate of 6% p.a. from the date of filing of claim petition vide its Award dated 7th Februa .....

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, Health Services, Haryana [(2013) 10 SCC 136] apart from the High Court judgments. The appellant supported the award by placing reliance on judgment of this Court in Mantoo Sarkar vs. Oriental Insurance Company Limited [3 (2009) 2 SCC 244] apart from other judgments. 5. The High Court upheld the objection of the respondent and allowed the appeal of the respondent company and directed refund of the amount deposited/paid, if any, to the respondent company. It was observed : In the instant case ad .....

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onstrued to mean the residential address of the company as a company can have a business or an office address and not a residential address. Therefore, the Tribunal at Kolkata had no jurisdiction to entertain the claim petition. In this regard we follow the principles of law laid down in New India Assurance Company Limited vs. Kustiswar Pramanik (supra) [2010(1) T.A.C. 405 (Cal), in Nirmala Devi Agarwal (supra) [2013 (3) CLJ (Cal)] and in the unreported judgment delivered on 18th July, 2012 in F .....

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as within its territorial limits. Jurisdiction was available under Section 166(2) if the defendant/respondent in a claim petition was residing within the jurisdiction of the Tribunal. The residence in the case of juristic person included its Principal office. In any case, the view taken by the High Court is directly in conflict with the law laid down by this Court in Mantoo Sarkar (supra) under which the High Court could interfere in such cases only if there was failure of justice. The decisions .....

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Tribunal at Kolkata had the jurisdiction to decide the claim application under Section 166 of the Act when the accident took place outside Kolkata jurisdiction and the claimant also resided outside Kolkata jurisdiction, but the respondent being a juristic person carried on business at Kolkata. Further question is whether in absence of failure of justice, the High Court could set aside the award of the Tribunal on the ground of lack of territorial jurisdiction. 10. In our view, the matter is ful .....

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hin the local limits of whose jurisdiction the defendant resides, and shall be in such form and contain such particulars as may be prescribed: Provided that where no claim for compensation under Section 140 is made in such application, the application shall contain a separate statement to that effect immediately before the signature of the applicant. 11. In Mantoo Sarkar (supra), the insurance company had a branch at Nainital. Accident took place outside the jurisdiction of Nainital Tribunal. Th .....

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It was held that the jurisdiction of the Tribunal was wider than the civil court. The Tribunal could follow the provisions of Code of Civil Procedure (CPC). Having regard to Section 21 CPC, objection of lack of territorial jurisdiction could not be entertained in absence of any prejudice. Distinction was required to be drawn between a jurisdiction with regard to subject matter on the one hand and that of territorial and pecuniary jurisdiction on the other. A judgment may be nullity in the forme .....

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Valuation Act with reference to pecuniary jurisdiction. The policy underlying Sections 21 and 99 CPC and Section 11 of the Suits Valuation Act is the same, namely, that when a case had been tried by a court on the merits and judgment rendered, it should not be liable to be reversed purely on technical grounds, unless it had resulted in failure of justice, and the policy of the legislature has been to treat objections to jurisdiction both territorial and pecuniary as technical and not open to co .....

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