High Court of Punjab and HaryanaFAO/8651/2015dismissed

Magma Hdi General Insurance Co. Ltd v. Lalita And ORS

2016-03-22Mr. Justice Arun Palli10 pages

!" #"$%&%'(

)

*+ "'", -'&., '$"+/ '01!# //"-- '!

2",&.& 1 -%! '#!3",& "&/'#"'!& ( 4 1 515 ,"&"'!( , 6'""&3 -3!, 7#2$ !"7

,!3" //"-- '! 157 , - 3%& %& ' //" - * %'&! !3" 8 ,# !3" -" ,'"# !, $$%#"'!- %+&,%9.' -7 ,' .-7# !"#)

7/ ,!-0 --8%'*!3"

$- %+/"!%!%' %-"#90,"&/'#"'!& ! 3","%'3","%'

!",!9"

",,"#! &!3"$- %+ '!&7' $$.'! !3"#" !3 ,% +%' +!, 2"3%$-" $$%#"'!!3 !!:/- $"'; < 3.*3 !3" $- %+ '!& 3 # $- %+"# $+/"'& !%'

&77=>7 !3" !, $$%#"'! - %+& ,%9.' - 8 ,#"# & 7<?7=>7 -'*8%!3%'!","&!@; A/", ''.+7,.''%'* ,+!3"

# !" !3" %-%'* !3" !3"$- %+/"!%!%'!%--%!&," -%B !%'

3" //" -3 &9""' %-"#90!3"%'&., '$"$+/ '0!3 !3 # %'&.,"#!3"C

"'#%'*2"3%$-"D7$3 --"'*%'*!3" %'#%'*&'!3"%&&."

'"*-%*"'$"%'#,%2%'*7 & -&'!3"E. '!.+ $+/"'& !%' 8 ,#"# ) 3" $!&-" #%'*./!!3" %-%'* !3"$- %+/"!%!%'7 &! :"'

,+!3"8 ,# !3",%9.' -7 ,"!3 !'; <7 ,% +7#"$" &"#7 8 &,"!.,'%'* ,+ 2%&%!!3%&+ !",' -.'$-"7 !2%-- *",%0 - F%3 '%7 53 39 6/.,7 ' 3%& +!,$0$-" 9" ,%'* ,"*%&!, !%' > >5>)) ; G3"'3"," $3"#'" ,&, 8 &2%-- *" ! 9.!;(/+7'!3" '* - 3 .#3 ,0, #7 #.+/",!,.$:9" ,%'*,"*%&!, !%' > = )))7 9"%'*#,%2"'90,"&/'#"'!;3","%'7.:"&37 --"*"#-0%' , &3 '# '"*-%*"'!+ ''",73%!!3"+!,$0$-" ,+9"3%'# ,% +%&&! !"#!3 2" --"'#8' '#8 &,.'2",90!3"

#.+/",!,.$:"#%"#'!3"&/!78%!3!3"+!,$0$-"# + *"# '!3",+!,$0$-"9" ,%'*,"*%&!, !%'>) =<< %& -&&! !"#!3 2"9""'3%!90!3"& %##.+/",!,.$:7#."!83%$3!3" +!,$0$-%&!'!3 !2"3%$-" -& "--#8' '#,"$"%2"#%'6.,%"& 3" $$%#"'!%&&! !"#!3 2"9""'8%!'"&&"#90+, : &3 '# + 5%'*33" +%-0+"+9",& !3"#"$" &"#7 %'$-.#%'* + F%&3 '9,!3", !3"#"$" &"#78","%'

,+"# '#!3"0," $3"#!3"&/! 3"#" #9#08 &! :"'!!3""'", -&/%! - ! ,' .- "&/'#"'! %& -&&! !"#!3 2"#%&$-&"#3%&' +" '# ##,"&& ?7# !"# <78 &*!,"*%&!","# !-%$"5! !%'

3%'#",* ,37 ,!3"$++%&&%'

"'$"&/.'%&3 9-".'#",5"$!%'&

;? '#)<> !3" < !8 &$'!"'#"#!3 ! ,% +8 & ;0" ,&-# '#8 &!3"

&-"9," #8%''", 3%& +%-07,.''%'* &3/%'!3"' +" '#&!0-"

=& ,% +%+9",& ! "3,,7" ,'%'* 9.!& 7=>/",+'!3 '# 8 & -& %-%'*%'$+"! H,"!.,'&

3"#,%2", '#!3"8'", !3"#.+/",!,.$:,"&/'#"'!&

) ; '#3","%'7 %-"# 6%'!8,%!!"'&! !"+"'!7#"'0%'*!3" $.+ !3"

$$%#"'! '#%'2-2"+"'! !3"2"3%$-"79.! .,!3",/-" #%'*!3 !%'$ &"

!3",%9.' -$ +"!!3"$'$-.&%'!3 !!3" $$%#"'!3 #9""'$ .&"#90!3" & %#2"3%$-"7!3"'!3"-% 9%-%!0!/ 0!3"$+/"'& !%'&3.-#9"%+/&"# '!3","&/'#"'!%'&., '$"$+/ '0/,"&"'! //"-- '!7 &!3"2"3%$-"8 & #.-0%'&.,"#8%!3%!7'!3"# !" !3" --"*"# $$%#"'! 3" //"-- '!%'&., '$"$+/ '0,"&/'#"'!)9" ,"!3"

,%9.' -7 -&#"'%"#!3" $!.+ !3" $$%#"'! '# .,!3",&! !"#!3 !%'

'0 $ &"7 !3" #,%2",7 %" ,"&/'#"'! ; 3","%'7 8 & '! 3-#%'* ' "

"$!%2" '#2 -%##,%2%'*-%$"'$" !!3"!%+" $$%#"'! ; 3" --8%'* %&&."& 8"," , +"# 90 !3" -" ,'"# !, $$%#"'!- %+&,%9.' -(> G3"!3",!3"+!,2"3%$-" $$%#"'!83%$3!:/- $"' ; < ! 9.! ;

/+ ' !3" ," 2%-- *"

&, 8 &7 $ .&"# ' $$.'! , &3 '# '"*-%*"'!

#,%2%'* 2"3%$-" 9" ,%'* ,"*%&!, !%' > > )))90,"&/'#"'! ,"&.-!%'*%'!#" !3 ,% +I

%&&." %& /,2"# !3"' 83 ! +.'!

$+/"'& !%'!3"/"!%!%'",& ,""'!%!-"#! '# ,+ 83+I ) G3"!3",!3"2"3%$-"%'E."&!%'8 &9"%'*#,%2"'90 ,"&/'#"'! %'2%- !%' !",+& '#$'#%!%'&

%'&., '$"/-%$0I>) < "-%"

D 3"$- %+ '!&"H +%'"#!3"8%#8 ,% +,"&/'#"'!

3","%' &G 7 +F%&3 ' &G 7'"33!"1 - &G)7+

< , : &3 &G<7 +5%'*3 &G '#/-%$"

%$% -& &G& '#;7 .-%3 '# &G '#J%6 0/ - # 2 &G? 3" ,"&/'#"'!& '-0 "H +%'"# !3" #,%2", !3" !,.$:

,"&/'#"'! 9"

,"!3",%9.' - &G '# .,!3",!"'#","#2 ,%.& #$.+"'!&7H& !<7908 0 "2%#"'$" ? ' //, %&%'*!3""2%#"'$" '#$'&%#",%'*!3"/-" #%'*&7!3" ,%9.' -3"-#,"&/'#"'!;3","%'*.%-!0 '"*-%*"'$"%'$ .&%'*!3"

$$%#"'! '#!3","

!",8"'!'! 8 ,#& 7<?7=> &$+/"'& !%'7 & -," #0'!%$"#

,"!3%&.,!7, 6'""&3 -3!, 7-" ,'"#$.'&"- , !3" //"-- '!&.9+%!&!3 !''" !3"/",&'&83$- %+"#!9""0"

8%!'"&&"&!!3" $$%#"'!7%"G)33!"1 -7G<+ ,: &3 '#G

+5%'*378",""2"'+"'!%'"#%'!3" '#$'&"E."'!-07!3"0 ," 92%.&-07 &/",-" ,'"#$.'&"-7/- '!"#8%!'"&&"&"'$"73"&.9+%!&!3 ! 8%!3!3"' +" !3"#,%2", !3"

"'#%'*2"3%$-" -&'!*%2"'%'!3"

7!3"/-" #%'*& !3" //"-- '!9"

,"!3"-" ,'"#!,$$%#"'!

- %+&,%9.' -7 ,' .-7!!3""

"$!!3 !' $$%#"'!8%!3!3"K

"'#%'* 2"3%$-"47%"#.+/",!,.$: > > )))7 $!. --0!:/- $"78.-#9"

$,,"$! &&",!%' !3 ! 3 & 9""' ",,'".&-0 %*',"# 90 !3" -" ,'"# ,%9.' - " .,!3", &.9+%!& !3 ! &)77=> 3 & 9""' *%2"' & $+/"'& !%' & 77=> " $3 ! !3" !3,"" +%', $3%-#,"' !3"

#"$" &"#783"," &%'!3"6.#*+"'! !3"5./,"+".,!%' 6"&3 '# !3",&2& 69%,5%'*3 '#!3",&7 )?5 <7& 77=>%' --8 & *%2"' ,-&& -2" '#

"$!%'7$ ," '#*.%# '$"7!!3"!3,""$3%-#,"'

!3" #"$" &"# %' !3 ! $ &" "7 !3"," ,"7 &.9+%!& !3 ! !3" !! - $+/"'& !%'!9" 8 ,#"#!,"&/'#"'!& 7) '#<%'!3"/,"&"'!

$ &"7"2"'% !3" %'#%'*''"*-%*"'$"%&'!!9"%'!", ","#8%!378.-#9"

& 77=>%' -- '#'!& 77=>" $37 &3 &9""'#'"90!3"

-" ,'"#,%9.' -

2%'*3" ,#-" ,'"#$.'&"- ,!3" //"-- '!7 %'#+0&"-

.' 9-"! *,""8%!3!3" ,*.+"'!&, %&"#903%+7%'2%"8 !3" $!!3 ! & ,"* ,#&!3"%&&." '"*-%*"'$"9"%'*/,2"# * %'&!,"&/'#"'!;7%" !3"#,%2", !3"4

"'#%'*2"3%$-"47%!8 & .'#90!3"-" ,'"#,%9.' - !3 !!3"2"3%$-"%!&"- 8 & //,"3"'#"# !!3"&/! '# &&.$3!3"E."&!%' !3" $$%#"'!'!3 2%'*! :"'/- $"#"&'! ,%&"3.&783"!3",,'! !3"!3,""/",&'&838",""H +%'"# &"0"8%!'"&&"&78","+"'!%'"#, '!7%'!3"78.-#-&"&%*'% %$ '$" !-" &!E. !3" &/"$! !3" $!.+ !3" $$%#"'!7 %' 2%"8 !3" $! !3 ! !3" 4

"'#%'* 2"3%$-"4 8 & //,"3"'#"# !!3"&/!

!%&&""'!3 !!3"& +"$'!"'!%' &3 &9""', %&"#9" ,"!3%& .,!7 !3" $$%#"'!'!3 2%'*! :"'/- $" ! --8%!3!3"#.+/",!,.$:%' E."&!%'78 & -&, %&"#9"

,"!3",%9.' -7*%2%'*!3"& +"," &'%'*7%" !3 !33!"1 -7+, : &3 '# +5%'*3G& )! 8","'!

+"'!%'"# &8%!'"&&"&%'!3" '#3 2"!3"," ,"9""'%'!,#.$"# & /- '!"#8%!'"&&"&'-09"

,"!3",%9.' - 3",%9.' -738"2",7 .'#!3 !!3"+ !!",8 &%'2"&!%* !"# 90!3"/-%$" '# ,"/,!.'#",5"$!%' ;),H 9"

,"!3"

,%9.' - 3 # 9""' &.9+%!!"# 90 !3" /-%$" ! !3" $+/"!"'! $.,! !3","

!",7 ,, %*'%'*,"&/'#"'!; & ' $$.&"#!3","%'5.9&"E."'!-07

"2"' $3 ,*"&7 & /", $3 ,*" &3""! H 7 3 # 9""' , +"# * %'&!

,"&/'#"'!; ,!3"$++%&&%'

"'$"&/.'%&3 9-".'#",5"$!%'&

;? '#)<> !3" .,!3",7!3"/&! +,!"+,"/,!%',"&/"$! !3"#"$" &"# H)7 8%!3 !3"/&! +,!"+"H +%' !%' 3 2%'* 9""' $'#.$!"# ' <7&38"#!3 !!3"$ .&" #" !38 &#."!$+/-%$ !%'& ,+ !3"%'6.,%"&&.

","#90 ,% + "'$"7$%!%'* 6.#*+"'! !3%&.,!%'

1 !"&! .#%$% -"/,!& ?7!3",%9.' -8"'!'

!3-#!3 !!3"!,$$%#"'!- %+&,%9.' -9"%'*&"%B"# &.++ ,0 /,$""#%'*&78 & '! ! $! & $,%+%' -.,!3.&7 & "2%#"'$"8 & 2 %- 9-"7 !3"$$.,,"'$"3 2%'*! :"'/- $" &#"&$,%9"#7 !3"'"*-%*"'$"%&'!!9"/,2"#'!3"/ , +"!",& $,%+%' -$ &"

) %'#'",,,%'!3"," &'%'**%2"'90!3"-" ,'"#,%9.' -%' !3"%+/.*'"#8 ,#7%' %'#%'*,"&/'#"'!;'"*-%*"'!%'$ .&%'*!3" $$%#"'! '#.9!"#-078%!3!3"3 2%'*9""',"*%&!","#'-0!3"'"H! # 07"%!3",#."!'!.':'8'- H%!0 !3"/-%$"7,!3",8%&"7%!8.-#9"

!3",8%&"&!, '*"!3 !!3"!3,"""0"8%!'"&&"&83&!#%'!3"8%!'"&&9H 9"

,"!3"8","'!"2"'+"'!%'"#%'!3"8"2",7'-0' !3 !$.'!7%"8%!3!3"/&&%9%-%!0 !3"+3 2%'*9""'%'!,#.$"# & 8%!'"&&"&83'"2",!3"-"&&!"&!% %"#!3 2%'*8%!'"&&"#!3" $$%#"'!7!3%& .,!8.-#'!&!%--%'!", ","8%!3!3" %'#%'*''"*-%*"'$"78%!3 ,"/,!

.'#",5"$!%' ;), -&3 2%'*9""'&.9+%!!"#!!3"$+/"!"'! .,! '# $3 ,*".'#",5"$!%'& ;?=)<> -&3 2%'*9""' , +"#

; * %'&!,"&/'#"'!;"'$"7 %'#' .-!8%!3!3"& %# %'#%'* !3"

,%9.' -7%'&.++ ,0/,$""#%'*&78%!3,"* ,#!!3" $$%#"'!3 2%'*9""' $ .&"##."!!3"'"*-%*"'$" ,"&/'#"'!; 3%&%&"&/"$% --0&7 &!3"#.+/",!,.$:%&&! !"#!3 2"9""' ,"$2","# ,+!3"&/!7 & -," #0'!%$"#

"!7%!'""#&!9"'!%$"#7!3 !%!%&&! !"#%'!3"8 ,#7!3 ! ,"&/'#"'!;8 & $!. --0&!//"#90/"/-"'!3", #7!83+3" #%&$-&"#3%&' +" &.:"&3&' '8 ,%1 -7,"&%#"'! 68 , 7

!",83%$33"%&&38'!3 2" -"# 8 0 #.9!7%!8.-#7!3","

,"7 * %'9"&!, '*"!3 !3%&' +"

#"&'! %'# +"'!%'%'!3"7 &$'!"'#"#90!3"-" ,'"#$.'&"- , !3" //"-- '!8"2",7 /",.& - !3"8 ,#7,"2"'!3"*,.'#&

//" -9"

,"!3%&.,!#"&'!#%&$-&"#!3 !.:"&3&4' +"#%#'! %'# +"'!%'%'!3" 2"'/,"&.+%'*!3 !%&&!3.*3'!&38'&90!3"-" ,'"# $.'&"-78.-#&!%--'!#%& *,""8%!3!3" %'#%'*& !3",%9.' -'!3"

%&&." '"*-%*"'$"7 ,!3"," &' -," #0*%2"'7%"!3 ! ,!3"/.,/&"

!3"&.++ ,0/,$""#%'*&7+,"!3 ' 6.&! $ &"3 & 9""'

"&! 9-%&3"# * %'&!,"&/'#"'!;78%!3!3"#.+/",!,.$:3 2%'*9""' ,"$2","# ,+!3"&/! '#!3","

!", ,"/,!.'#",5"$!%' ;), 3 2%'*9""'&.9+%!!"#!!3"$+/"!"'!.,!7/.,&. '!!!3"-#*"#7 8%!3"2"'$3 ,*"& , +"# * %'&!,"&/'#"'!;7%"!3"#,%2", !3"& %# !,.$: 5%+/-0 9"$ .&" ,"&/'#"'! ; &!# %' !3" 8%!'"&& 9H 9"

,"!3",%9.' -7%'3%&8'#"

"'$"7&! !%'*!3 !' $$%#"'!!:/- $"7

#"&'!'"* !"!3" ,"& %# $!& "'$"7 , !3" ,"& %# ," &'&7 !3" ,*.+"'!& , -3!, 7'!3"%&&." '"*-%*"'$"7 ,","6"$!"#

+%'*'"H!!!3"%&&." $+/"'& !%' & 77=> " $3 8,'*-03 2%'*9""' 8 ,#"#!!3"!3,""+%',$3%-#,"' !3"

#"$" &"#L%!%&&""'!3 !!3" *" !3"& %#+%',$3%-#,"'7%","&/'#"'!& 7) '#<7%&*%2"' &;0" ,&7 0" ,& '#<0" ,&,"&/"$!%2"-07%" -- 9"-8 0" ,& *" 3","

,"7 %'#'," &'!%'!", ","8%!3!3"

8 ,# !3"-" ,'"#,%9.' -%'!3 !,"&/"$!"%!3",!+ 09"'!%$"#3"," !3 !%'!3"$ &" J%+ -F '8 , '#!3",&2&F%&3," ' '#!3",&7

) %2%-?< 7 +%',# .*3!", !3"#"$" &"#8 & 8 ,#"# $+/"'& !%' & 77=>7 ,!3"-&& -2" '#

"$!%' 3",

!3", 3","

,"78%!3!3,""$3%-#,"' *"#;0" ,& '#9"-83 2%'* -&! !3"%, !3", ! &.$3 !"'#", *"&7 #"/,%2%'* !3"+ 3%& -2" '#

"$!%'7 $ ," '# *.%# '$"7 , !3" ,"&! !3"%, -%2"&7 , "2"' ./! #.-!3#7 %'#'",,,%'!3"$+/"'& !%' +.'! 8 ,#"#90!3" ,%9.' -!,"&/'#"'!& 7) '#<

$ #%&'()

* *"+

* +",

*- !"

!" +* !"

? .

/ !"

% 1- )

# !,

%* ()566*

7* !"8 9

&16 #

* *, !" : # *- !"

$ &"&&./, "'$"7%'!3%& //" - !3"

%'&., '$" $+/ '07 &"" ' *,.'# , ,"#.$!%' !3" +.'!

$+/"'& !%' 8 ,#"#!!3"$- %+ '!&>,"&/'#"'!& ! 3","%'7%' '0

$ &"

; 1" ,'"# $.'&"- 38"2", &.9+%!& !3 ! ' //" - &"":%'* "'3 '$"+"'! !3" 8 ,#90!3"-" '"#,%9.' -3 & -&9""' %-"#90!3"

$- %+ '!&79" ,%'* )

783%$3%& -&-%&!"#!# 0 !

3 ! //" -3 & -&9""'! :"'./79.!&%'$"$.'&"- ,!3"

//"-- '!&%'!3 !$ &"%&'!/,"&"'!73 &9""' #6.,'"#! ; G3"!3",,'!!3"$- %+ '!&,"&/'#"'!& ! 3","%'7 ,""'!%!-"#! '0"'3 '$"+"'! $+/"'& !%'7' '0*,.'#! :"'%'

!3 ! //" -7%& '%&&."!9"$'&%#","#./'!3 ! //" -9"%'*! :"'./ , 3" ,%'*'!3"/,"&"'! //" -7 --!3 !3 &9""' #6.#%$ !"#./'%&!3 ! !3","%&'*,.'# ,%'!", ","'$"8%!3!3"8 ,# !3",%9.' -7 & ,"* ,#&!3"E."&!%' '"*-%*"'$"%'$ .&%'*!3" $$%#"'!7 '# .,!3",7!3 !

!3","%&'*,.'# ,,"#.$!%' !3"$+/"'& !%' 8 ,#"# 3.&7#%&+%&& - !3" //" - !3"%'&., '$"$+/ '08.-# 3 2"'9" ,%'*'!3"+",%!& !3"*,.'#&! :"'90!3"$- %+ '!&%'!3"%, //" - , "'3 '$"+"'! !3" $+/"'& !%' 8 ,#"# 90 !3" -" ,'"# ,%9.' -783%$38.-#9"#"$%#"#'%!&8'+",%!&

"'$"73 2%'*$'&%#","#!3" ,*.+"'!& -" ,'"#$.'&"- , !3" //"-- '! '#3 2%'*$'&%#","#!3"8 ,# !3",%9.' -7 %'#' +",%!%'!3%& //" -7"%!3",'!3"%&&." !3"'"*-%*"'$" ,"&/'#"'!;

%' $ .&%'* !3" $$%#"'!7 ', # %'# '0 *,.'# ! ,"#.$" !3"

$+/"'& !%' 8 ,#"#90!3",%9.' - '&"E."'!-07!3%& //" -%&#%&+%&&"#

8%!3',#", &!$&!&