Patel
Roadways Limited Vs. Birla Yamaha Limited [2000] INSC 156 (28 March 2000)
D.P.Mohapatro
D.P.MOHAPATRA,J.
L.I.T.J
The core question that arises for determination in this appeal is whether
section 9 of the Carriers Act, 1865 (Act 3 of 1865) is applicable to a
proceeding under the Consumer Protection Act, 1986 (68 of 1986). The answer to
this question depends on the interpretation of section 9 of the Carriers Act
and its inter-action with the relevant provisions of the Consumer Protection
Act. The factual matrix of the case relevant for determination of the issue may
be stated thus : The respondent M/s Birla Yamaha Limited booked 237
consignments containing 267 generator sets at Ghaziabad in the State of Uttar Pradesh, with the appellant M/s Patel Roadways Limited for
transportation.
The
freight charges were duly paid by the consignor to the carrier and necessary
lorry receipt was issued by the latter in favour of the former. The goods
booked by the respondent were destroyed in a fire which took place in the godown
of the appellant shortly after booking of the consignments.
The
respondent made a claim for the value of the goods, for refund of freight
charged and compensation for the loss.
Some
correspondence between the parties followed. Since no satisfactory solution was
arrived at between them the respondent filed a petition before the National
Consumers Disputes Redressal Commission (the Commission for short) in 1994
which was registered as Original Petiition No.43/1994. The respondent claimed
Rs.56,00,799/- along with interest. The said sum comprised of Rs.50,78,231/- as
cost of 267 generator sets, Rs.22,568/- as freight charged and Rs.5,00,000/- as
general and special damages on account of harassment and undue loss of time. It
was alleged in the complaint, inter alia, that the carrier having accepted the
responsibility of transportation of the consignments and safe delivery of goods
failed to deliver the same. Thus there was deficiency in the service to be
rendered by the appellant as carrier.
On
being noticed by Commission the appellant appeared and filed their counter
affidavit. Therein the appellant did not deny the entrustment of the goods, the
booking particulars and issue of lorry receipt, as averred in the complaint.
The appellant, pleaded that the consignments were lost in fire which was an
accident beyond their control, and therefore, there was no deficiency in
service and the complaint was not maintainable. It was further pleaded by the
appellant that the loss having taken place for reasons and in circumstances
beyond their control they were not liable to make good the loss either under
the contract between the parties or under general law.
Both
the parties filed affidavits and documents in support of their case. The
Commission on assessment of the materials on record held inter alia, that the
respondent was entitled to receive from the appellant Rs.51,00,799/- i.e.
Rs.50,78,231/-
towards cost of the generator sets and Rs.22,568/- being the refund of freight
charges. The Commission rejected the claim of Rs.5,00,000/- towards general and
special damages. The Commission in its order placed reliance on the provision
in section 9 of the Carriers Act to hold that the appellant are deficient in
the performance of their service as common carrier, as the goods entrusted have
not been at all delivered in accordance with the contract of carriage for
consideration evidenced by the receipts. The Commission also held that section
9 relieves the complainant from the burden of showing that the loss or non-
delivery was owing to any negligence or criminal act;
and
that the loss to the goods sent is prima facie evidence of negligence. Feeling
aggrieved by the said order the appellant filed this appeal under section 23 of
the Consumers Protection Act.
The
main thrust of the submissions of Shri Ashok Desai, learned senior counsel
appearing for the appellant was that section 9 of the Carriers Act in terms
does not apply to a proceeding under the Consumer
Protection Act.
According
to Shri Desai the provision applies only to suits filed in civil court and not
to redressal forums under the Consumer
Protection Act which adjudicate disputes in a summary manner. The further
submission of Shri Desai was that since section 9 is not applicable in this
case the general law that the burden to prove negligence lies on the party who
alleges it, is applicable in the case. Since the respondent has failed to
discharge the burden the complaint should have been dismissed.
Shri Shanti
Bhushan, learned senior counsel for the respondent, on the other hand,
contended that the expression suit in section 9 of the Carriers Act should be
understood in its generic sense and should not be given a restrictive meaning.
The Commissison, submitted Shri Shanti Bhushan, was right in applying the
provision of section 9 in the proceeding. The further contention raised by Shri
Shanti Bhushan was that a common carrier is also an insurer under general law,
and therefore, even keeping aside the provision of section 9 its liability for
making good the loss of the goods in its custody squarely lies on the carrier.
The
Carriers Act is intended not only to enable common carriers to limit their
liability for loss of or damage to property delivered to them to be carried but
also to declare their liability for loss of or damage to such property
occasioned by the negligence or criminal acts of themselves, their servants or
agents. Therefore, the Act is not only protective of the interest of the common
carriers but also enhances the credibility of the business with general public.
In
section 2 of the said Act common carrier denotes a person other than the
Government, engaged in the business of property under multinodal transport
document or of transporting for hire property from place to place, by land or
inland navigation, for all persons indiscriminately.
In
section 3 of the said Act it is declared that no common carrier shall be liable
for the loss of or damage to property delivered to him to be carried exceeding
in value one hundred rupees and of the description contained in the Schedule to
this Act, unless the person delivering such property to be carried, or some
person duly authorised in that behalf, shall have expressly declared to such
carrier or his agent the value and description thereof.
In
section 4 of the said Act it is laid down that such carrier may require payment
for the risk undertaken in carrying property exceeding in value one hundred
rupees and of the description aforesaid, at such rate of charge as he may fix.
In the proviso the carrier is required to give notice of the rate of charge by
exhibiting it in the place where he carries on the business of receiving
property to be carried.
In
section 6 of the said Act it is laid down that the liability of any common
carrier for the loss of or damage to any property delivered to him to be
carried , not being of the description contained in the Schedule to the Act,
shall not be deemed to be limited or affected by any public notice; but any
such carrier, not being the owner , by special contract signed by the owner of
such property so delivered or by some person duly authorised on that behalf by
such owner, limit his liability in respect of the same.
Section
8 of the said Act provides, inter alia, that notwithstanding anything
hereinbefore contained, every common carrier shall be liable to the owner for
loss of or damage to any property (including container, pallet or similar
article of transport used to consolidate goods) delivered to such carrier to be
carried where such loss or damage shall have arisen from the criminal act or
any of his agents or servants and shall also be liable to the owner for loss or
damage to any such property other than property to which the provisions of
section 3 apply and in respect of which the declaration required by that
section has not been made, where such loss or damage has arisen from the negligence
of the carrier or any of his agents or servants.
Section
9 of the said Act on which reliance has particularly been placed by the
appellant reads :
9. In
any suit brought against a common carrier for the loss, damage or non delivery
of goods (including containers, pallets or similar article of transport used to
consolidate goods) entrusted to him for carriage, it shall not be necessary for
the plaintiff to prove that such loss, damage or non-delivery was owing to the
negligence or criminal act of the carrier, his servants or agents.
In
Section 10 provision is made regarding prior notice of loss or injury to be
given within six month of the time when the loss or injury first came to the
knowledge of the plaintiff beore filing of the suit. Coming to the provisions
of the Consumers Protection Act, 1986 - In Section 2(d) thereof
"consumer" is defined to mean any person who.. (ii) hires or avails
of any services for a consideration which has been paid or promised or partly
paid and partly promised, or under any system of deferred payment and include
any beneficiary of such services other than the person who hires or avails of
the services for consideration paid or promised, or partly paid and partly
promised, or under any system of deferred payment, when such services are
availed of with the approval of the first mentioned person.
In
Section 2(g) "deficiency" is defined to mean any fault, imperfection,
shortcoming or inadequacy in the quality, nature and manner of performance
which is required to be maintained by or under any law for the time being in
force or has been undertaken to be performed by a person in pursuance of a
contract or otherwise in relation to any service; Section 2(o) defines
"service" to mean service of any description which is made available
to potential users and includes the provision of facilities in connection with
banking, financing, insurance, transport, processing, supply of electrical or
other energy, board or lodging or both, housing, construction, entertainment,
amusement or the purveying of news or other information, but does not include
the rendering of any service free of charge or under a contract of personal
service.
In
section 3 of the Act it is declared that the provisions of the Act shall be in
addition to and not in derogation of the provisions of any other law for the
time being in force.
Chapter
III of the Act contains the provisions regarding Consumer Disputes Redressal
Agencies. In section 9 establishment of three agencies i.e. District Forum,
State Commission and National Consumer Disputes Redressal Commission is
provided for.
In
Section 13 the procedure to be followed by the District Forum on receipt of a
complaint is laid down. In section 15 provision is made for appeal by any
person aggrieved by an order made by the District Forum to the State
Commission. In Section 17 the jurisdiction of the State Commission is laid down
and in section 18 it is laid down that the provisions applicable to State
Commissions are akin to the same as provided in sections 13 and 14 and the rules
made thereunder for disposal of complaint by the District Forum. In section 19
it is provided that any person aggrieved by an order made by the State
Commission may prefer an appeal to the National Commission. Section 21 which
contains the provisions regarding jurisdiction of the National Commission lays
down inter alia, that subject to the other provisions of the Act the National
Commission shall have jurisdiction (a) to entertain (i) complaints where the
value of the goods or services and compensation, if any, claimed exceeds rupees
twenty lakhs and (ii) appeals against the orders of any State Commission; and
(b) to call for the records and pass appropriate orders in any consumer dispute
which is pending before or has been decided by any State Commission where it
appears to the National Commission that such State Commission has exercised
jurisdiction not vested in it by law or has failed to exercise jurisdiction so
vested or has acted in the exercise of its jurisdiction illegally or with
material irregularity. Section 22 of the Act which provides for power of and
procedure applicable to the National Commission reads: 22. Power of and
procedure applicable to the National Commission The National Commission shall,
in the disposal of any complaints or any proceedings before it, have (a) the
powers of a civil court as specified in sub- sections(4), (5) and (6) of
section 13; (b) the power to issue an order to the opposite party directing him
to do any one or more of the things referred to in clauses (a) to (I) of
sub-section (1) of section 14, and follow such procedure as may be prescribed
by the Central Government.
In
section 23 provision is made for an appeal by any person aggrieved by an order
made by the National Commission in exercise of its powers conferred by
sub-clause (I) of clause (a) of section 21 to the Supreme Court.
In
section 24 a declaration is made that every order of a District Forum, the
State Commission or the National Commission shall, if no appeal has been
preferred against such order under the provisions, of this Act, be final.
Section
25 makes provision regarding enforcement of orders by the forum, the State
Commission or the National Commission. Therein it is laid down, inter alia,
that every order made by the District Forum, the State Commission or the
National Commission may be enforced by the District Forum, the State Commission
or National Commission, as the case may be in the same manner as if it were
decree or order made by a Court in a suit pending therein and it shall be
lawful for the District Forum, the State Commission or the National Commission
to send, in the event of its inability to execute it, such order to the court
within the local limits of whose jurisdiction (a) in the case of an order
against a company, the registered office of the company is situated, or (b) in
the case of an order against any other person, the place where the person
concerned voluntarily resides or carries on business or personally works for
gain, is situated.
And
thereupon, the court to which the order is so sent , shall execute the order as
if it were a decree or order sent to it for execution.
From
the provisions of the Consumer
Protection Act noted in the foregoing paragraph the position is clear that
the consumer disputes redressal agencies, i.e., District Forums, State
Commissions and the National Commission are vested with powers of adjudication
of all types of consumer disputes. No exception is made in case of consumer
disputes in which the allegations made in the complaint regarding deficiency of
service causing damage to or loss of the goods are contested. Indeed finality
is attached to the orders of the redressal agencies and provision is made for executon
and implementation of the orders passed by them treating such orders as decree
of the court. It is relevant to state here that on perusal of the provisions of
the Act it is clear that the scheme of the statute is to provide heirarchy of
redressal forums for attending to the grievances of consumers regarding
deficiency in service promptly and give finality to the orders passed by the
agencies. Therefore, it is difficult to accept the contention that the dispute
redressal agencies provided in the Consumer
Protection Act are not forums which have jurisdiction to entertain the
complaints in which claims for loss or damage to goods entrusted to a carrier
for transportation is seriously disputed. The contention raised by Shri Desai
in this regard is accordingly rejected.
Coming
to the question of liability of Common Carrier for loss of or damage to goods,
the position of law has to be taken as fairly well settled that the liability
of a carrier in India, as in England, is more extensive and the liability is
that of an insurer. The absolute liability of the carrier is subject to two
exceptions; an act of God and a special contract which the carrier may choose
to enter with the customer.
In Sarkar
on Evidence (Fifteenth Edition 1999) at page 1724 under the heading
"Negligence" it is stated "As a rule negligence is not to be
presumed; it is rather to be presumed that ordinary care has been used. The
rule does not apply in the case of common carriers, who, on grounds of public
policy, are presumed to have been negligent if goods entrusted to their care
have been lost or damaged or delayed in delivery" (Ross v. Hill, 2 CB 890;
Jones s 15). The law will conclusively presume that the carrier has been guilty
of a negligence unless he can show that the loss or damage was occasioned by
what is technically called the "act of God", or by King's
enemies." Navigation and Railway Co. [ Vol XXI (1915) Cal LJ 565] a
Division Bench of the Calcutta High Court held that a common carrier in this
country is liable as an insurer i.e., he is responsible for the safety of the
goods entrusted to him in all events except when loss or damage arises from act
of God or king's enemies; but his liability for loss or injury in respect of
the goods carried may be varied by the contract.
The
Court further held that the burden of proof on absence of negligence is upon
the common carrier, on the theory that the loss or damage to the goods is prima
facie proof of negligence.
The
same High Court in the case of Dekhari Tea Co.
Calcutta 758] considered a case where a
railway company entered into a contract with the plaintiff-firm for the
carriage of certain goods to a port and thence to England.
Owing
to a breach on the railway line, the goods had to be transported by river and
in steamers and flats belonging to a steamship company under an agreement with
the railway company. While the goods were in a vessel of the steamship company,
a fire broke out and about one-fourth of the goods were destroyed. The plaintiff
instituted the suit to recover from both the railway company and the steamship
company the value of the goods destroyed. The High Court held that although
there was no contract between the steamship company and the plaintiff the
company was nevertheless liable as a common carrier for the loss incurred by
the plaintiff. Comparing the provisions of the Indian Carriers Act, 1865 with
the English Act of 1830 the Court observed: "However this may be, the
Indian Carriers Act, 1865 when compared carefully with the English Act of 1830,
does I think purport and intend to make a common carrier liable to the owner of
the goods as such, though not as an insurer. This English Act is very carefully
worded;
it
refers to the person or persons sending or delivering the goods (Ss.1 and 2) as
the party entitled to recover damages in respect of such loss (s.7) S.8 of the
Indian Act was undoubtedly drawn with S.8 of the English Act before the
draftsman. The changes are conspicuous and intentional.
The
English Act says that nothing in that Act shall protect the carrier from
liability for loss or injury to goods arising from felonious acts of the
carrier's servants. The Indian Act says that notwithstanding anything in that
Act contained every common carrier shall be liable to the owner where the loss
has arisen from the negligence or criminal act of the carrier or any of his
agents or servants. The Indian section not only puts negligence and crime on
the same footing; the whole structure of the clause is different: it affirms or
creates a liability and gives the benefit of it to the owner. The English
section makes the carrier in no case liable where he was not liable before.
There
can be, I think, no doubt that the clause of the Indian Act must be taken to
mean advisedly what it says:
"The
person entitled to recover in respect of such loss" is the phrase taken
from the English Act and used in S.5, by the Legislature when that phrase is
adequate to the intention. The word "owner" in S.8 is the product of
a reforming zeal which found the corresponding English section to stand in need
of drastic alteration." The Madhya Pradesh High Court in the case of M/s
351] considering the scope of sections 8 and 9 of the Carriers Act held :
"The mere occurrence of the fire, under circumstances such as the present
is evidence of negligence, the truck with the coal-gas plant on it being under
the management of the defendant No.1's servants; and as they have not been
produced to show how the fire originated and no explanation offered, the
respondent has not discharged the onus cast upon him by law of showing that
there was no negligence and that being so, the plaintiff was entitled to
recover." The Court also quoted the following observation of Rankin ,J. in
I.G.N. and Ry.Co. Ltd. V. Eastern Assam Co. Ltd. 33 Cal LJ 71 = AIR 1921 Cal 315): "When a defendant is called upon to prove
that he was not negligent he is not really called upon to prove a negative. He
is called upon to prove that he took reasonable care The task is burdensome not
because the thing to be proved is a negative but because the field within which
care has to be proved is quite indefinite and the presumption being against the
carrier the defendant's positive proof must cover the whole field." In P.K.Kalasami
Nadar vs. K.Ponnuswami Mudaliar and ors. [AIR 1962 Madras 44] a Division Bench
of the Madras High Court relying on the Privy Council decision in Irrawady case
(supra) held that where loss has occurred to cotton bales in transit 'cotton'
being one of the goods not mentioned in Carriers Act, 1965 and in respect of
which the liability of the common carrier (in that case the owner of the lorry)
is not limited by a special contract the owner of the goods in a suit against
the common carrier for loss/damages or non-delivery of articles or goods
entrusted to the carrier is not required to prove negligence; the reason being
that the liability of a common carrier is that of an insurer; it therefore
follows that, notwithstanding the fact that there is no negligence on the part
of the comon carrier he is liable to compensate, the owner of the goods for
loss of the goods that occurred during transit.
In the
said decision the Court considered the question whether loss of goods by
accidental fire can be said to be an act of God. The Court observed that an act
of God will be an extraordinary occurrence due to natural causes, which is not
the result of any human intervention and which could not be avoided by any
amount of foresight and care, e.g. a fire caused by lightning; but an
accidental fire though it might not have resulted from any act of or omission
of the common carrier, cannot be said to be an act of God.
Assam
[AIR 1962 Assam 110] a Division Bench of the Assam High Court considered the
case of consignment of goods not perishable by nature in respect of which there
was no special contract as to the time for delivery and the goods suffered
deterioration due to delay caused by abnornal time taken for transit. The Court
held that the plaintiff consignee who claimed damages need not prove negligence
on the part of the carrier. Relying on the principle that there was an
obligation on the carrier to carry the goods safely and in the absence of any
special contract the goods must be delivered within a reasonable time. A
similar view was taken by a Division Bench of the Bombay High Court in the case
of D.V.Patel v. G.Wagle [AIR 1963 Bom 208]. In the case of Vidya Ratan vs. Kota
Transport Co. Ltd. [AIR 1965 Rajasthan 200] interpreting sections 8 and 9 it
was held by the Rajasthan High Court that in a suit against common carrier in
respect of loss of goods delivered to him for transportation there need not be
any privity of contract between the owner of the goods and the carrier. It is
sufficient if the carrier has accepted the goods for transmit and has failed to
deliver them. Thereafter to escape his liability which is normally absolute, he
has to show that there was a special contract made by the owner of the goods or
his duly authorised agent, even if, the necessity of having the contract in
writing is thought to be a technical provision .
In the
case of Muralidhar Mohanlal and others vs.
Rivers
Steam Navigation Co. Ltd. [ AIR 1967 Assam and Nagaland 79] considering the
provisions of sections 6,8 and 9 of the Carriers Act, the High Court held that
these sections are based on English common law and also the common Carriers Act
of England. The Court placed reliance on Privy Council in Irrawady Flotilla V. Bugwandas
(1891) ILR 18 Cal. 620 ] in which the legal position was stated in the
following words :
A
common carrier is responsible for the safety of the goods entrusted to him in
all events, except when loss or injury arises solely from act of God or the Queens enemies or from the fault of the
consignor, or inherent vice in the goods themselves. He is, therefore, liable
even when he is overwhelmed and robbed by an irresistible number of persons.
He is
an insurer of the safety of the goods against everything extraneous which may
cause loss or injury except the act of God or the Queens enemies and if there
has been an unjustifiable deviation or negligence or other fundamental breach
of contract on his part, he will be liable for loss or injury due to the Queerns
enemies or, it would seem, due to act of God.
This responsibiloity
as an insurer is imposed upon a common carrier by the custom of realm, and it
is not necessary to prove a contract between him and the owner of the goods in
order to establish liability. Failure on the part of the carrier to deliver the
goods safely is a breach of the duty placed upon him by the common law; and
therefore an action of tort lies against him for such breach, the owner not
being bound to prove any contract.
Where,
however, there is a contract, liability may arise either at common law or under
the contract, and the contract may limit the carriers responsibility.
A
common carrier is liable for loss or injury caused wholly by the negligence of
other persons over whom he has no control; as where the carriers barge runs
against an anchor wrongfully left in the water by a stranger, or where the
goods which he is carrying are destroyed by accidental fire or by rats, or
where they are stolen from him, even though taken by force.
The
general obligation of a common carrier of goods to carry the goods safely
whatever happens renders it unnecessary to import into the contract for
carriage a special warranty of the roadworthiness of the vehicle or the
seaworthiness of the vessel, for if the goods are carried safely the condition
of the vehicle or vessel is immaterial, and, if they are lost or damaged it is
unnecessary to inquire how the loss or damage occurred; where however, a common
carrier of goods is seeking relief from liability by reason of one of the
excepted perils the condition of the vehicle or vessel is material in
determining the question of negligence, and if the carrier fails to prove a
sufficient and proper conveyance and loss or damage results therefrom he will
be liable.
A
similar view was taken in the case of The Associated Mills Ltd. & Ors. [
ILR (1974) 1 Delhi 790] in which the Court took note of the position that in
common law the liability of a common carrier is equivalent to that of an
insurer.
Similar
view has also been taken by Bombay High Court in M/s Road Transport Corporation
and others vs. Kirloskar Brothers Ltd. [AIR 1981 Bom 299]. In Kerala Transport
Division Bench of the High Court of Kerala considering the question whether, if
the defendant has failed to deliver the goods not on account of any negligence
or carelessness, would the defendant be liable; answered the question in the
affirmative. The Court reiterating the position of a carrier in India as noted above held that it is only
those causes which can be traced to natural causes as opposed to human agency
that can be said to be acts of God and that can therefore be an answer to claim
for absolute liability. The Court further held that if the defendant was trying
to answer the liability on the basis of the terms of the special contract he
would have to show what reasonable protection he took against the fire. The Court
placed [AIR 1971 Kerala 197] .
A
similar view was also taken by the Patna High Court in the case of Banwari Lal Podar
vs. Road Transport Corporation (AIR 1989 Patna 303). Therein it was held that
from a perusal of the section 8 and 9 of the Carriers Act, 1965 it is clear
that the burden of proof that there was no criminal act or negligence on the
part of the carrier or its agents or servants is upon the plaintiff.
Our
attention was also drawn to a decision of this Court in Bharathi Knitting
Company vs. DHL Worldwide Express Courier Division of Airfreight Ltd. [ (1996)
4 SCC 704] wherein this Court considered thequestion when parties have
contracted and limited their liabilities, whether the State/National Commission
could go behind the terms of the contract and give relief for damages in excess
of the limit prescribed under the contract. This Court interpreting the
provisions of section 2(1)(g), 19 and 23 of the Consumers Protection Act, 1986
held :
It is
true that the Act is a protective legislation to make available inexpensive and
expeditious summary remedy. There must be a finding that the respondent was
responsible for the deficiency in service, the consequence of which would be
that the appellant had incurred the liability for loss or damages suffered by
the consumer due to deficiency in service thereof. When the parties have
contracted and limited their liabilities, the question arises: whether the
State Commission or the National Commission under the Act could give relief for
damages in excess of the limits prescribed under the contract ? xxxxxxxxx xxxxxxxx
xxxxxxxxx It is true, as contended by Mr.M.N. Krishnamani, that in an
appropriate case, the Tribunal without trenching upon acute disputed question
of facts may decide the validity of the terms of the contract based upon the
fact situation and may grant remedy. But each case depends upon its own facts.
In an
appropriate case where there is an acute dispute of facts necessarily the
tribunal has to refer the parties to original civil court established under the
CPC or appropriate State law to have the claims decided between the parties.
But when there is a specific term in the contract, the parties are bound by the
terms in the contract.
This
decision is of little assistance to the appellant since the contentions raised
by them before us herein were not considered by this Court therein.
From
the conspectus of views taken in the decisions of different High Courts noted
above it is clear that the liability of a common carrier under the Carriers Act
is that of an insurer. This position is made further clear by the provision in
section 9, in which it is specifically laid down that in a case of claim of
damage for loss to or deterioration of goods entrusted to a carrier it is not
necessary for the plaintiff to establish negligence. Even assuming that the
general principle in cases of tortious liability is that the party who alleges
negligence against the other must prove the same, the said principle has no
application to a case covered under the Carriers Act. This is also the position
notwithstanding a special contract between the parties. These principles have
held the field over a considerable length of time and have been crystallized
into accepted position of law. No good reason has been brought to our notice to
persuade us to make a departure from the accepted position. Therefore we
reiterate the position of law noticed above. The consequential position that
follows is that the contention of Shri Ashok Desai learned senior counsel, that
the respondents herein having failed to establish negligence on the part of the
appellant, their claim for damages should be rejected, cannot be accepted.
The
question that remains to be considered is whether the principles of law
discussed in the preceeding paragraph is applicable in a proceeding before the
consumer disputes redressal agency, particularly the National Commission. In
this regard the contention of Shri Desai is that the use of the term suit in
section 9 of the Carriers Act shows that the provision is applicable only to
cases filed in civil court and does not extend to proceedings before the
National Commission which is a forum which is to decide complaints by consumers
following a summary procedure. Elucidating the point Shri Desai submitted that
in a proceeding before the National Commission the general principle that the
burden to prove negligence lies on the party alleging negligence should be
applicable though the position may be different in a suit filed in a civil
court. The term suit has not been defined in the Carriers Act nor is it
provided in the said Act that the term suit will have the same meaning as in
the Civil Procedure Code. Therefore, the ordinary dictionary meaning of the
term will have to be taken for ascertaining its meaning. In P.Ramanatha Aiyars
Law Lexicon 1997 Edition some of the references of the term are:
Suit
Prosecution of pursuit of some claim, demand or request; the act of suing, the
process by which one endeavours to gain an end or object; attempt to attain a
certain result; the act of suing; the process by which one gains an end or
object, an action or process for the recovery of a right or claim; the
prosecution of some demand in a Court of Justice; any proceeding in a Court of
Justice in which plaintiff pursues his remedy to recover a right or claim; the
mode and manner adopted by law to redress Civil injuries; a proceeding in a
Court of Justice for the enforcement of a right.
The
word suit in Ss.51 to 55 Act IX of 1879, Court of Wards Act, does not mean only
what is usually called a regular suit. It embraces all contentious proceedings
of an ordinary civil kind, whether they arise in a suit or miscelleneous
proceedings.
Suit Action
. Suit is a term of wider signification than action; it may include proceedings
on a petition.
(Emphasis
supplied) From the above it is clear that the term suit is a generic term
taking within its sweep all proceedings initiated by a party for realisation of
a right vested in him under law. The meaning of the term suit also depends on
the context of its user which in turn, amongst other things, depends on the Act
or the Rule in which it is used.
No
doubt the proceeding before a National Commission is ordinarily a summary
proceeding and in an appropriate case where the Commission feels that the
issues raised by the parties are too contentious to be decided in a summary
proceeding it may refer the parties to a civil court. That does not mean that
the proceeding before the Commission is to be decided ignoring the express
statutory provisions of the Carriers Act (section 9) in a proceeding in which a
claim is made against a common carrier as defined in the said Act. Accepting
such a contention would defeat the object and purpose for which the Consumers
Protection Act was enacted. A proceeding before the National Commission, in our
considered view, comes within the term suit.
Accordingly
we reject the contention raised by Shri Ashok Desai in this regard.
Shri
Desai also raised a contention on the amount awarded by the National Commission
under the impugned order.
He
urged that the respondent by its conduct led the appellant to believe that the
goods entrusted for transportation are insured and having been led by such
representation the appellant had not insured the goods.
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