Diagnostics Ltd. Vs. United India Insurance Co., Ltd. & ANR.  INSC
1244 (20 July 2009)
APPELLATE JURISDICTION CIVIL APPEAL NOS.4559-4560 OF 2009 (Arising out of
S.L.P. (C) Nos.24942-24943 of 2008) M/s. Sigma Diagnostics Ltd. ...Appellant(s)
Versus United India Insurance Co. Ltd. & Anr. ...Respondent(s) O R D E R
counsel for the parties.
Punjab State Consumer Disputes Redressal Commission [for short, "the State
Commission"] partly allowed the complaint of the appellant and directed
the respondents to pay compensation to the extent of 50% of the price of the
equipment, namely, Megalix Cat X-ray Tube along with customs duty of the newly
purchased equipment plus other amounts admissible under the policy, if any. The
State Commission also awarded 9% interest on the amount of compensation for the
period commencing 16.8.2005 till the date of payment and costs of Rs.5,000/-.
the order of the State Commission, both the parties preferred appeals. By the
impugned order, the National Consumer Disputes Redressal Commission [for short
"the National Commission"] dismissed the appeals by observing that it
should not entertain the first appeals relating to quantum ...2/- -2- of
dispute anymore and the complainant should be given liberty to approach the
civil court for enhancement of compensation in case parties fail to take steps
for arbitration within six weeks.
opinion, the view taken by the National Commission on the maintainability of
the appeals preferred by the parties against the order of the State Commission
is clearly erroneous. When the complaint was disposed of on merits, the
National Commission was duty bound to decide the appeals on merits. Its failure
to do so has resulted in manifest injustice.
the appeals are allowed, impugned order passed by the National commission is
set aside and the matter is remanded to it to decide the appeals on merits in
accordance with law.
......................J. [B.N. AGRAWAL]
......................J. [G.S. SINGHVI]
July 20, 2009.