SAROJ CHANDNA Vs. LIFE INSURANCE CORPORATION

JUDGEMENT

(1.) The only question to be determined in this case is whether the concluded contract was executed between Ravi Kiran Chandna and the Life Insurance Corporation before his death.

(2.) The following facts be noted:

(3.) In the written statement filed by the respondent-Corporation, preliminary objection was taken that the suit was infructuous because there was no valid subsisting contract at the time of death of Ravi Kiran Chandna; that the deceased had submitted the said proposal for policy on his life on 13.11.1983 and that proposal had not been accepted by the respondent-Corporation when he happened to die and as such unconcluded contract does not give any rise to cause of action; that the appellants have not come to the Court with clean hands; that Ravi Kiran Chandna had also got another policy with the respondents for Rs. 25,000/- on his life and the claim under this policy was settled by the respondents. On merits, it was stated that the heirs are only entitled to new proposal for consideration of the Corporation. Deposit of Rs. 1,732.50 by the deceased on 31.10.1983 was admitted. It is stated that the proposal was not accepted by the respondent-Corporation. That amount of Rs. 1,732.50 was offered to the appellants but they refused to accept the same. It is the further stand of the respondent-Corporation that the acceptance of the proposal was done only after verification and scrutiny of various particulars furnished by the proposal and in the present case the proposal was not accepted because of certain discrepancies.