ORIENTAL INSURANCE COMPANY LTD. Vs. USHA RANI AND ORS.
LAWS(P&H)-2011-1-280
HIGH COURT OF PUNJAB AND HARYANA
Decided on January 03,2011

ORIENTAL INSURANCE COMPANY LTD. Appellant
VERSUS
Usha Rani And Ors. Respondents

JUDGEMENT

K. Kannan, J. - (1.) THE application is filed by the Insurance Company to recall the order passed on 21.9.2010 dismissing the appeal filed by the Insurance Company as having been rendered infructuous, in view of the fact that there had been a compromise with reference to the very same subject matter in the appeal filed by the claimant in FAO No. 977 of 1994. The compromise has been effected in Lok Adalat that has become an award on 28.4.2010 for Rs. 1,55,000/ -. At that time when the compromise was affected, the Insurance Company had been represented through a Deputy Manager Mr. S. P. Sharma and they had also the benefit of legal advice through counsel who is now presently appearing for the Appellant Insurance Company.
(2.) LEARNED Counsel contends that at the time when the compromise was affected at the Lok Adalat in FAO No. 977 of 1994, CM No. 30521 -CII of 2010 in FAO No. 126 of 1994 the Lok Adalat must have been apprised of the fact of pendency of appeal in FAO No. 126 of 1994. I do not think that it could make any difference even if the pendency of appeal by the Insurance Company was not specifically brought to the attention of the Lok Adalat. A compromise effected must have been only on the basis of the records. If the Insurance Company had persisted that the appeal in FAO No. 126 of 1994 and if it had come by a different dispensation in FAO No. 977 of 1994 without any reference to the award passed in the Lok Adalat, then there was a scope for recalling the order in FAO No. 126 of 1994. Learned Counsel appearing for the Insurance Company cannot seek for recalling the order in FAO No. 126 of 1994 in a case where the dismissal of the appeal as infructuous was merely consequential to the order already passed before the Lok Adalat in FAO No. 977 of 1994. If the Insurance Company has not found any reason to annul the award that was passed in FAO No. 977 of 1994 for legally sustainable reasons, then it will not avail to the insurer to seek for any modification or recall of the order in FAO No. 126 of 1994. The application is vexatious and is dismissed.;


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