The Madras High Court has observed that the dismissal of an accident claim plea by a tribunal in Namakkal citing lack of territorial jurisdiction to award compensation, was more shocking than the mishap itself and ordered Rs 10.25 lakh be paid to the family of the victim, a retired teacher.
Justice S Vimala made the observation while allowing an appeal by the family of the victim against the dismissal of the petition by the principal district judge in Namakkal.
"It is clear that the claims tribunal at Namakkal ought not to have dismissed the claim petition even though a specific defence has been taken by the insurance company with regard to the lack of territorial jurisdiction," the high court judge said.
In the absence of the insurance company showing any prejudice, the dismissal was unwarranted, she said.
"The dismissal of the claim petition is more shocking than the accident itself," she added.
Justice Vimala ordered a compensation of Rs 10.25 lakh to the family of the deceased, Duraisamy.
He had met with an accident on April 7, 2012 in Namakkal and succumbed to the injuries while in hospital.
His legal representatives claimed a sum of Rs 15 lakh as compensation for the death.
The tribunal had said the claimants were residents of Tiruchirappali district, the place of the accident was also within the jurisdiction of the district and the insurance company had its business at Mayiladuthurai.
Considering the fact that the tribunal at Namakkal did not have jurisdiction in the case, the principal district judge did not consider the claim petition on merit and dismissed it.
Justice Vimala refused to accept the insurance firm's contention that the deceased suddenly crossed the road in his eagerness to meet his son-in-law and met with the accident.
"No material has been placed to substantiate the same. Therefore, this court concludes that the accident took place only on account of the rash and negligent driving on the part of the driver," she said.
Justice Vimala directed Oriental Insurance Company Limited, Mayiladuthurai to deposit the compensation amount along with interest at 7.5 per cent per annum, from the date of the petition in the tribunal till the date of deposit, within four weeks from the date of receipt of a copy of the judgement.
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