UNITED INDIA INSURANCE CO LTD Vs. PHOOL KAUR

JUDGEMENT

(1.) The appellant insurance company is aggrieved by the impugned judgment of learned Single Judge passed in FAO No. 50/1983 on 31.8.1988 on the issue of the extent of liability of the insurance company.

(2.) It is not necessary to go into details of the incident which resulted in the death of the deceased and the claim being filed by legal heirs under the Motor Vehicles Act, 1939 (hereinafter to be referred to as, 'the said Act'). Suffice to say that the claim was made of Rs. 5 lakh and in terms of the impugned judgment, the claimants have been held entitled to a sum of Rs. 2,16,000 with interest @ 12% p.a. In terms of the impugned judgment, the appeal filed by the owner of vehicle was, however, dismissed.

(3.) The only controversy raised before us arises from the contention of learned Counsel for the appellant that the liability of the insurance company ought to have been restricted only to the extent of Rs. 50,000 under Section 95(2)(b)(ii) of the said Act.