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M/S.Royal Sundaram Alliance ... vs Thiru.Varadharaj
2021 Latest Caselaw 2391 Mad

Citation : 2021 Latest Caselaw 2391 Mad
Judgement Date : 3 February, 2021

Madras High Court
M/S.Royal Sundaram Alliance ... vs Thiru.Varadharaj on 3 February, 2021
                                                                      C.M.A.Nos.940 to 945 of 2018 and
                                                                       C.M.P.Nos.7674 to 7679 of 2018

                                   IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                                 DATED : 03.02.2021

                                                      CORAM

                                   THE HON'BLE MR.JUSTICE S.M.SUBRAMANIAM

                                           C.M.A.Nos.940 to 945 of 2018 and
                                            C.M.P.Nos.7674 to 7679 of 2018

                     C.M.A.No.940 of 2018

                     M/s.Royal Sundaram Alliance Insurance Company Limited,
                     Sundaram Towers,
                     No.45, 46, Whites Road,
                     Chennai 600 014.
                                                                        ... Appellant
                                                     Vs.
                     1.Thiru.Varadharaj

                     2.Thiru.Ponnuvel

                     3.Thiru.Rathinavel

                     4.Tmt.Madhavi

                     5.Selvi.Vijayasanthi

                     6.Mr.Afrose Baig

                                                                                  ..Respondents

Prayer in C.M.A.No.940 of 2018: Civil Miscellaneous Appeal filed under Section 30 of the Workmen's Compensation Act, 1923, against the order in W.C.No.475 of 2008, dated 18.12.2017 on the file of the

https://www.mhc.tn.gov.in/judis/ C.M.A.Nos.940 to 945 of 2018 and C.M.P.Nos.7674 to 7679 of 2018

Commissioner for Workmen Compensation, Deputy Commissioner of Labour, Salem.

In C.M.A.No.940 of 2018 For Appellant : Mr.E.Rajadurai for Mr.M.B.Gopalan Associates For Respondents : Ms.Ramya V.Rao for R1 No appearance RR2 to 6 COMMON JUDGMENT

The orders passed in W.C.Nos.475, 476, 478, 479, 480 of 2008

and W.C.No.27 of 2009, dated 18.12.2017, is under challenge in the

present civil miscellaneous appeals.

2. The Royal Sundaram Alliance Insurance Company Limited is

an appellant in all these appeals. The main ground raised by the learned

counsel for the appellant is that the vital factor regarding the employee

employer relationship had not been established by the claimants before

the Deputy Commissioner of Labour. Thus, the claim itself is

unsustainable and therefore, the award passed is liable to be scraped.

3. The learned counsel for the appellant contended that many

persons travelled in the vehicle which met with an accident. The

accident occurred on 25.07.2008. The vehicle belongs to the sixth

https://www.mhc.tn.gov.in/judis/ C.M.A.Nos.940 to 945 of 2018 and C.M.P.Nos.7674 to 7679 of 2018

respondent bearing Registration No.TN 21 L 7277. Totally 22 Load

Men were travelled in the said lorry to unload the bricks, at the time of

the accident. The accident occurred due to the rash and negligent

driving of the driver of the vehicle. The claim petitions were filed and

the FIR was registered and marked as document.

4. Perusal of the entire findings in the award, the Deputy

Commissioner of Labour made a finding that there is no evidence to

establish the employee employer relationship. The Deputy

Commissioner of Labour adjudicated the documents and evidences

elaborately and the deposition of the witnesses were also considered

with reference to the FIR. The findings in the award reveals that the

claimants have not established the employee employer relationship. The

relevant portion of the findings is extracted hereunder:

““g[fhh; mspj;j egh; Kjy; jfty;

mwpf;ifapy; fhzg;gLk; Tw;Wf;fSf;F khwhd Tw;Wf;fis ,e;ePjpkd;wj;jpy; rhl;rpakhf mspj;Js;shh;/ Kjy; jfty; mwpf;ifapy;

fhzg;gLk; Tw;Wf;fis my;yJ rhl;rpaj;jpy;

bjhptpj;Js;s Tw;Wf;fis ,jpy; vJ

https://www.mhc.tn.gov.in/judis/ C.M.A.Nos.940 to 945 of 2018 and C.M.P.Nos.7674 to 7679 of 2018

nknyh';fp epw;Fk; vd;gJ bjhlh;ghf kDjhuh;fs; jug;gpy; Rl;of;fhl;oa[s;s ePjpkd;wj;jPh;g;g[fspd;go rhl;rpf; Tz;oy;

                                   rj;jpagpukhzk;             bra;J              mspf;fg;gLk;
                                   rhl;rpank        nknyh';fp          epw;Fk;/           Mdhy;
                                   ,uz;lhk;               vjph;kDjhuh;                    jug;gpy;
                                   Rl;of;fhl;lg;gl;l       2007      ACJ     1928    jPh;g;gpd;go
                                   rhd;whthzj;jpd;          xU        gFjp          Tw;Wf;fis
                                   ,Ujug;gpdUk;          xg;g[f;bfhz;l       epiyapy;.         kW
                                   gFjp       Tw;wpid         mJ           epU:gpf;fg;gl;lhYk;.

epU:gpf;fg;glhtpl;lhYk;. mjid mog;gilahff;

                                   bfhz;L          jPh;g;ghak;         Kot[             bra;tJ
                                   tpnuhjkhdjy;y/           ,jd;go           thfdj;jpw;fhd
                                   tpguj;ija[k;.         tpgj;jpd;nghJ            ,we;jth;fs;
                                   thfdj;jpy;                     gazk;                    bra;J
                                   tpgj;jpw;Fs;shdija[k;                       ,Ujug;gpdUk;

Vw;Wf;bfhz;Ltpl;l epiyapy;. _u';fd; vd;gth;

                                   jhd;    ntiyf;F          miHj;jhh;          vd;Wk;.        gzp
                                   Koj;J      tPl;ow;F     jpUk;g[k;nghJ       jhd;       tpgj;J
                                   Vw;gl;lbjd;Wk;             g[fhh;jhuh;            bjhptpj;j
                                   Tw;Wf;fis           fUj;jpw;bfhz;L               kDjhuh;fs;
                                   Fwpg;gpl;Ls;s           ,we;jth;fSf;Fk;.                 Kjy;
                                   vjph;kDjhuh;fSf;Fkpilna
                                   ntiyaspg;gth;?ntiyahs;                                    cwt[
                                   ,y;iybad;Wk;.              gzpapd;nghJ                gzpapd;
                                   fhuzkhf         tpgj;J          Vw;gltpy;iy            vd;Wk;


https://www.mhc.tn.gov.in/judis/ C.M.A.Nos.940 to 945 of 2018 and C.M.P.Nos.7674 to 7679 of 2018

Kot[f;F tu Koa[k;/ ,e;epiyapy;

                                   ntiyaspg;gtuhd                Kjy;        vjph;kDjhuUk;
                                   kd;wj;jpy;       M$uhfp          jhd;      kDjhuh;fis
                                   gzpf;F         mkh;j;jtpy;iy         vd;Wk;.       jdf;Fk;
                                   kDjhuh;fs;        Fwpg;gpl;Ls;s         ,we;jth;fSf;Fk;
                                   ntiyaspg;gth;?ntiyahs;                                  cwt[
                                   ,y;iybad;Wk;           jpl;ltl;lkhf      bjhptpj;Js;shh;/
                                   ,we;jth;fs;              Kjy;            vjph;kDjhuhplk;
                                   gzpg[hpe;jpUe;jth;fs;            vd;gjw;F           Kjyhk;
                                   vjph;kDjhuuhy;         mspf;fg;gl;l      rhd;whtz';fs;

VJk; ,Uf;f tha;g;gpy;iy/ tpgj;J bjhlh;ghd Kjy; jfty; mwpf;if. kUj;Jt rpfpr;ir bjhlh;ghd Mtz';fs; kl;Lnk jhf;fy;

                                   bra;ag;gl;Ls;sd/         ntW      tifapy;        tha;bkhHp
                                   rhl;rpaKk;.           kDjhuh;fs;          jtpu          ntW
                                   vJt[kpy;iy/           Kjy;      jfty;       mwpf;ifapd;
                                   g[fhh;jhuh;.      Kjy;         jfty;        mwpf;ifapy;

fhzg;gLk; Tw;Wf;fis jdJ rhl;rpak; K:yk;

                                   kWj;Jtpl;l        epiyapy;       mjid           KGikahf
                                   ek;gp          Kot[          bra;atpayhJ/              Kjy;
                                   vjph;kDjhuUk;           kDjhuh;fsJ              Tw;Wf;fis
                                   kWj;jhnu         jtpu         cz;ikia            bjhptpf;f
                                   Kd;tutpy;iy/           Kjy;      jfty;      mwpf;ifapy;

fhzg;gLk; _u';fd; vd;gth;jhd; ,e;egh;fis ntiyf;F miHj;jhh;; tPl;ow;F jpUk;g[k;

nehf;Fld; gazpfshf brd;wnghJjhd;

https://www.mhc.tn.gov.in/judis/ C.M.A.Nos.940 to 945 of 2018 and C.M.P.Nos.7674 to 7679 of 2018

tpgj;J Vw;gl;lJ vd;w Tw;Wf;fs;

                                   cz;ikahditjhd;               vd;gij             epU:gpf;f
                                   vjph;kDjhuh;fSk;     Kaw;rpnaJk;       vLf;ftpy;iy/
                                   nkYk;.    kUj;Jtkidapy;          rpfpr;irapypUe;j
                                   jpU/uhkfpUc&;zd;      vd;gtuJ        thf;FK:yj;ij
                                   gjpt[    bra;J     mjpy;     mthplk;       ifbahg;gk;
                                   bgw;Wte;J     Kjy;       jfty;   mwpf;if             gjpt[
                                   bra;ag;gl;l       epiyapy;       Kjy;             jfty;
                                   mwpf;ifapy;           mtuJ                 ifbahg;gk;
                                   ,lk;bgw;wpUg;gJ      Kjy;    jfty;       mwpf;ifia
                                   re;njfj;jpw;Fs;shf;fpapUg;gjhf             kDjhuh;fs;
                                   jug;gpy; Rl;of;fhl;lg;gl;lJ/”



5. Then the entire findings extracted above reveals that the

Deputy Commissioner of Labour himself arrived a conclusion that the

employee employer relationship did not exist. Thus, there is no reason

whatsoever to fix the liability on the Insurance Company. The liability

of the Insurance Company is limited with reference to the terms and

conditions of the policy as well as the with reference to Sections 146 &

147 of the Motor Vehicles Act. Therefore, the liability on the Insurance

Company shall be fixed, if the employee employer relationship is

established and the vehicle which insured met with an accident.

https://www.mhc.tn.gov.in/judis/ C.M.A.Nos.940 to 945 of 2018 and C.M.P.Nos.7674 to 7679 of 2018

6. In the present case, the factum regarding the accident was

established and the coverage of policy was also established and injuries

were also established, however, the employee employer relationship was

not established and the Deputy Commissioner of Labour also arrived a

conclusion that the claimants have not established the employee

employer relationship.

7. With reference to the very same accident, other set of claimants

filed applications under the Workmen Compensation Act and in respect

of those cases in W.C.Nos.27,29,30,31,32,33,34,35,36,37 of 2009 and

480 of 2008, the Deputy Commissioner of Labour arrived a conclusion

that the owner of the vehicle is liable to pay compensation. It is pertinent

to note that the very same Deputy Commissioner of Labour one

Smt.G.Sasikala, passed the two orders and in one order, with reference

to the same accident, the liability is fixed on the owner of the vehicle. In

respect of the order which is now under challenge in the present appeal,

the liability is fixed on the Insurance Company. The findings in both the

https://www.mhc.tn.gov.in/judis/ C.M.A.Nos.940 to 945 of 2018 and C.M.P.Nos.7674 to 7679 of 2018

claim petitions are one and the same. This being the factum, the Deputy

Commissioner of Labour had committed a patent error in adopting two

different yardstick for the purpose of fixing the liability.

8. Once the Deputy Commissioner of Labour arrived a conclusion

that there is no evidence to establish the employee employer

relationship, then the liability is to be fixed on the owner of the vehicle.

However, in the other cases, yet another ground was prevailed that there

is no insurance coverage established. However, the employee employer

was not established in both the claim petitions. Therefore, the Deputy

Commissioner of Labour ought to have fixed the liability uniformly in

all claim petitions on the owner of the vehicle. Contrarily, the liability

cannot be fixed on the Insurance Company.

9. This being the factum established, the common award dated

18.12.2017 passed in W.C.Nos.475, 476, 477, 478 & 479 of 2008, is set

aside and C.M.A.Nos.940, 941, 942, 943, 944 & 945 of 2018 stand

allowed. No costs. Consequently, connected miscellaneous petitions are

https://www.mhc.tn.gov.in/judis/ C.M.A.Nos.940 to 945 of 2018 and C.M.P.Nos.7674 to 7679 of 2018

closed.

10. However, the liability is now shifted on the owner of the

vehicle. Thus, the third respondent owner of the vehicle is directed to

pay the award amount with accrued interest to all the claimants.

11. The appellant Insurance Company is directed to withdraw the

deposited amount with accrued interest by filing an appropriate

application before the competent authority and payments are to be made

through RTGS.

03.02.2021 Index: Yes/No Internet:Yes/No Speaking order/Non-Speaking Order gsk

To The Commissioner for Workmen Compensation, Deputy Commissioner of Labour, Salem.

S.M.SUBRAMANIAM, J.

https://www.mhc.tn.gov.in/judis/ C.M.A.Nos.940 to 945 of 2018 and C.M.P.Nos.7674 to 7679 of 2018

gsk

C.M.A.Nos.940 to 945 of 2018 and C.M.P.Nos.7674 to 7679 of 2018

03.02.2021

https://www.mhc.tn.gov.in/judis/

 
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