ALPINE INDUSTRIES Vs. NATIONAL INSURANCE CO LTD

JUDGEMENT

(1.) APPELLANT sent three consignments through respondent No. 2 Kerala Roadways Ltd. amounting to Rs. 94,362.32 by paying Rs. 6,622 as transportation charges. These consignments were made for Government supplies and were also insured with respondent No. 1 National Insurance Co. Ltd. for the same amount. However, the consignments when reached the destination were found in damaged condition being moist and mixed with each other and on account of moisture, the entire consignment was damaged and could not be consumed as they were medicines. He preferred the claim before respondent No. 2 for the total amount of loss. The Surveyor Mr. D.K. Taneja, appointed by respondent No. 1 assessed the loss in respect of three consignments to the tune of Rs. 94,362.32. In spite of assessment of loss by the Surveyor, respondent No. 1 rejected the claim on the ground that the appellant did not inform the concerned zonal office of respondent No. 1 company about the damage within 7 days as per terms of invoice. It is further stated by respondent No. 1 that goods were booked by the appellant from Delhi to Kerala under Open Marine Insurance Policy and accordingly the insurer is liable for loss or damages to the consignments on way to its destination and not on its return journey and hence Insurance Company was not liable and it rightly repudiated the claim.

(2.) IT is pertinent to mention here that since the consignment was found to be damaged, it was re -booked to Delhi from Kannur through another transporter.

(3.) ADMITTEDLY the goods were under Open Marine Insurance Policy and thus insuer was liable for loss of the goods damaged on way to its destination and not on its return. While absolving its liability from deficiency in service, respondent No. 2 has stated that when the goods were delivered to the consigneee, no damage was caused and damage was caused when these were transported back through another carrier and since the appellant has failed to prove the damage while transporting the goods from Delhi to Kerala, it was not liable to indemnify the loss. It was further contended that consignment being Government supplies were returned and rebooked from Kerala to Delhi through another carrier without any endorsement that the consignments were in damaged condition and, therefore, the goods were damaged on the way on the return journey. Further that there is no material on record produced by the respondent to show that the goods were sent back by the Government Department for reasons other than having been received in damaged condition.