S CHINNASWAMI NADAR Vs. HOME INSURANCE CO MADRAS

JUDGEMENT

(1.) In this appeal by certificate the defendant-respondent was the Home Insurance Company. On nationalization of the general insurance business the said Company was taken over by United India Insurance Company. At the request of the parties, therefore. before the commencement of the hearing of the appeal we directed the United India Insurance Company to be substituted in place of the original respondent. But, hereinafter in this Judgment. by the defendant or the respondent would be meant the Home Insurance Company.

(2.) The plaintiff appellant consigned 25 cases of scented betel nuts valued at Rs. 37,500/- from Nagapattinam to M/s. M. P. Company of Penang in Malaysia as per the invoice Ext. A-1. The shipping agents of the appellant were M/s. Jayaveerapandia Nadar and Company. The goods were given to the port officer. Nagapattinam with an application for export on 11-1-1960. According to the invoice each of the 25 cases contained 600 packets of betel nuts each weighing half 1b. The total weight of one case was 336 lbs including the weight of the case. The total weight of the 25 cases came to 75 cwts. The Customs Collector. Negapattinam issued a certificate of shipment by 'S. S. State of Madras' which sailed from Nagapattinam on 15-1-1960. The plaintiff insured the goods with the defendant company under Marine Insurance Policy of that date. The risk was covered from warehouse to warehouse. The 25 cases were loaded in boat No. 11 which left Nagapattinam port wharf at 6.00 a. m. on 15-1-1960 to discharge the cargo on board 'S. S. State of Madras'. At that time the wind and the see were normal and moderate. The boat reached along side the steamer at 7.00 a.m. and was kept for her turn to discharge. In the meantime strong winds suddenly set in and the see became rough. as a result of which high swells splashed into the boat and the cargo became wet by sea water. The turn of the boat to load the cargo on the ship came at about 2.00 p.m. and the 25 cases were delivered on board in a wet condition. The bill of lading issued by the Eastern Shipping Corporation Ltd. on 15-1-1960 also contained a note- "all the goods wet by sea water". It was also noted that the ship was not responsible for the condition of the contents. It reached Penang on 20-1-1960 and the consignee M. P. Company found the goods wet and damaged. They gave intimation to this effect to the defendant's agent at Penang and also applied for survey as per the provisions of the Policy. The survey of the goods was conducted by one Mr. R. F. Paul on 30-1-1960 and a report was issued on 23-2-1960. Damage was assessed at hundred per cent of the value of the stained goods and as per the order of the Chief Public Health Officer, Penang the entire goods were destroyed.

(3.) M. P. Company submitted a claim bill to the American Foreign Insurance Association. Singapore to whom the claim was to be made under the terms of the Policy. They declined to entertain the claim. M. P. Company then sent all the papers to the plaintiff in India to take suitable legal action. The Plaintiff gave a legal notice, to the defendant company and in reply the latter disputed the claim of the former on various grounds. Hence the suit was instituted for recovery of Rs. 39,344.25 made up of Rs. 37,500/- the price of the goods and 1,687.50/- being the interest thereon plus Rs. 156.75 being the fee of the Chemist and the survevor.