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Khatumal Ghanshamdas v. Abdul Qadir Jamaluddin And Others

Madhya Pradesh High Court
Jan 25, 1961
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Factual and Procedural Background

This opinion concerns an application under Articles 226 and 277 of the Constitution of India seeking to restrain the Claims Tribunal constituted under Section 110 of the Motor Vehicles Act, 1939, from adjudicating a compensation claim by Abdul Qadir for bodily injury caused by a truck accident on 24th August 1958. The accident occurred before the constitution of the Claims Tribunal for the area, which was established by the State Government's notification dated 7th August 1959. Abdul Qadir initially filed a pauper suit application in the Civil Court (Additional District Judge, Bhopal) on 20th August 1959. During the pendency of this application, he filed a compensation claim before the newly constituted Tribunal on 10th September 1959 and sought condonation of delay in filing. The Tribunal overruled the petitioner's objections regarding its jurisdiction and the delay in filing the claim.

Legal Issues Presented

  1. Whether the Claims Tribunal constituted under Section 110 of the Motor Vehicles Act has jurisdiction to entertain a compensation claim arising from an accident that occurred before the Tribunal's constitution.
  2. Whether Section 110-F of the Motor Vehicles Act has retrospective effect so as to oust the Civil Court's jurisdiction over claims pending before the Tribunal's constitution.
  3. Whether the Tribunal can condone delay in filing a claim when it lacks jurisdiction to entertain the claim in the first place.

Arguments of the Parties

Petitioner's Arguments

  • The claim for compensation arises from an accident that occurred before the Tribunal was constituted and hence the Tribunal lacks jurisdiction.
  • There is no ground for condonation of delay in filing the application for compensation before the Tribunal.

Opponent's Arguments

  • The Tribunal has jurisdiction to entertain the claim despite the accident occurring before its constitution.
  • The delay in filing the application for compensation should be condoned by the Tribunal.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Beadling v. Goll, (1922) 39 TLR 128 Interpretation of statutory language "no action shall be entertained" as non-retrospective Supported the view that Section 110-F does not apply retrospectively to claims pending before Tribunal's constitution.
Smithies v. National Association of Operative Plasterers, (1909) 1 KB 310 Non-retrospective effect of statutory bar on entertaining actions already begun Reinforced the principle against retrospective ouster of court jurisdiction.
Henshall v. Porter, (1923) 2 KB 193 Actions under repealed laws can continue for causes of action arising before repeal Supported the conclusion that claims arising before Tribunal constitution can still be entertained by Civil Courts.
Moon v. Durden, (1848) 2 Ex 22; 76 RR 479 Strong presumption against retrospective operation of statutes affecting court jurisdiction, even when wording includes "maintain" Confirmed that Section 110-F’s wording does not oust jurisdiction over pending claims.

Court's Reasoning and Analysis

The Court examined the jurisdictional provisions under Sections 110(1) and 110-F of the Motor Vehicles Act. Section 110 empowers the Government to constitute Claims Tribunals for adjudicating compensation claims arising from motor vehicle accidents. Section 110-F expressly ousts Civil Courts' jurisdiction "where any Claims Tribunal has been constituted." However, the Court emphasized the significance of the word "entertain" in Section 110-F, interpreting it to mean jurisdiction to receive and consider claims at their inception, not to interfere with claims already pending in Civil Courts at the time the Tribunal was constituted.

Applying established principles of statutory interpretation, the Court held that statutes affecting court jurisdiction are not to be given retrospective effect unless explicitly stated. Section 110-F contains no express or implied retrospective provision. The Court relied on English precedents interpreting similar statutory language to reinforce the principle that claims pending before the Tribunal's constitution remain within Civil Court jurisdiction.

Since Abdul Qadir's claim was initiated in the Civil Court before the Tribunal's constitution, the Tribunal lacked jurisdiction to entertain it. Consequently, the Tribunal could not consider condonation of delay in filing the claim, as such consideration presupposes jurisdiction.

Holding and Implications

The Court held that the Claims Tribunal has no jurisdiction to entertain claims for compensation arising from accidents occurring before its constitution when such claims are already pending in a Civil Court. The Tribunal's jurisdiction is prospective and limited to claims arising after its establishment.

The direct effect of this decision is that claims pending in Civil Courts before the constitution of a Claims Tribunal continue to be within the Civil Courts' jurisdiction. The decision does not establish a new precedent beyond the interpretation of Sections 110 and 110-F in this context, nor does it address the jurisdictional effect on claims initiated after the Tribunal's constitution but relating to prior accidents.

Show all summary ...

1. This is an application under Articles 226 and 277 of the Constitution of India for the issue of a suitable direction restraining the Claims Tribunal constituted under Section 110 of the Motor Vehicles Act, 1939, from adjudicating upon a claim for compensation made by the opponent No. 1 Abdul Qadir in respect of a bodily injury caused to him by a truck owned by the petitioner and driven by the opponent No. 2 Lachhmandas on 24th August 1958.

2. The accident occurred on 24th August 1958 in Bhopal. The State Government constituted a tribunal for this area under Section 110 of the Act by the Home Department's Notification dated the 7th August 1959. The Tribunal was not in existence before this date. Before the constitution of the Tribunal, the opponent Abdul Qadir made an application on 20th August 1959 in the Court of the Additional District Judge Bhopal, for being allowed to sue as a pauper for claiming the relief of compensation of Rs. 41,080/- on account of the injury caused to him from the petitioner and the opponent Lachhmandas.

During the pendency of an enquiry into his pauperism, Abdul Qadir preferred a claim for compensation before the Tribunal on 10th September 1959. He also applied under the proviso to subsection (3) of section 110-a for condonation of the delay in filing the application for compensation. Before the Tribunal, the petitioner raised the objections that the claim for compensation being one arising out of an accident occurring before the constitution of the Tribunal could not be entertained by the Tribunal, and that there was no ground for condonation of the delay in the filing of the application for compensation. Both these objections were overruled by the Tribunal,

3. The question raised in this petition as to the competency of the Tribunal to entertain Abdul Qadir's claim for compensation turns on Sections 110(1) and 110-F of the Act. Sub-section (1) of Section 110 empowers the Government to constitute by a notification one or more Motor Accidents Claims Tribunals for such area as may be specified in the notification for the purpose of adjudicating upon claims for compensation in respect of accidents involving the death of, or bodily injury to, persons arising out of the use of motor vehicles. Section 110-F is as follows :

"Where any Claims Tribunal has been constituted for any area, no Civil Court shall have jurisdiction to entertain any question relating to any claim for compensation which may be adjudicated upon by the Claims Tribunal for that area, and no injunction in respect of any action taken or to betaken by or before the Claims Tribunal in respect of the claim for compensation shall be granted by the Civil Court."

It is clear from these provisions, and especially from the opening words of Section 110-F "Where any Claims Tribunal has been constituted for any area", that civil Court's jurisdiction to entertain a claim for compensation on account of a motor vehicle accident involving the death of, or bodily injury to, a person is excluded only on the constitution under Section 110 of a Claims Tribunal for the area concerned. There can be no doubt that a claim for compensation in respect of accidents occurring after the constitution of the Tribunal can be entertained by the Tribunal alone. The question here is whether the Tribunal has jurisdiction to entertain a claim in respect of an accident taking place before its constitution. This involves the question whether Section 110-F has retrospective operation so as to apply even to a claim for compensation pending in a civil Court.

4. Now, it cannot be denied that where no Tribunal is constituted under Section 110 a claim for compensation spoken of in Section 110(1) can be made only in a Civil Court. Section 9 C. P. C. provides that the Courts shall have jurisdiction to try all suits of a civil nature excepting suits of which their cognizance is either expressly or impliedly barred. When a Tribunal is constituted under Section 110, then the jurisdiction of the civil Court is expressly ousted under Section 110-F.

The question is whether the express ouster of the civil Court's jurisdiction provided by Section 110-F is retrospective in its character. It is a well settled rule of construction of statutes that no statute, unless it be a statute dealing with procedure only, should be construed to have a retrospective operation unless it so provides either expressly or by a necessary implication or intendment, and that a Statute is not to be construed to have greater retrospective operation than its language renders necessary.

When a statute deprives a person of his right to sue or affects the power or jurisdiction of the Court in enforcing the law as it stands, its retrospective character must be clearly expressed. There is no express provision in Section 110-F making it retrospective so as to apply to claims for compensation in respect of accidents occurring before the constitution of the Claims Tribunal. The language of Section 110-F is also not such as to compel us to hold that the necessary implication or intendment of that provision is that civil court's jurisdiction for entertaining the claims of compensation in respect of accidents occurring before the constitution of the Tribunal is excluded.

Section 110-F says that "where any Claims Tribunal has been constituted for any area, no civil Court shall have jurisdiction to entertain any question ....." The use of the word "entertain', is significant. That word means 'to receive and take into consideration'. The plain meaning of the expression "no civil court shall have jurisdiction to entertain is that no civil Court shall have jurisdiction to entertain a suit in its inception. Section 110-F does not use the word "maintain" or "continue with" and does not say that no civil Court shall have jurisdiction to maintain or continue with any question relating to any claim for compensation.

What Section 110-F prohibits the Civil Court from doing after the constitution of a Claims Tribunal is the entertainment of a claim at the very inception and not the taking into consideration ot any claim already made before it. It follows, therefore, that Section 110-F has no applicability whatsoever to the claims pending in civil Courts at the time of the constitution of the Claims Tribunal.

5. That Section 110-F cannot be given retrospective operation so as to affect the claims pending in civil Courts on the date of the constitution of the Claims Tribunal because of the use of the word "entertain" becomes clear from some English decisions. In Beadling v. Goll, (1922) 39 TLR 128 the Court of Appeal in England held that Section 1 of the Gaming Act, 1922, which provided that "no action for recovery of money under Section 2 of the Act shall be entertained in any court", was not retrospective in regard to the action which had been commenced before the passing of the Act and in which judgment had not been given when the Act came into force.

It was held that the words "no action shall be entertained" indicated that the intention of the legislature was that the Act should not be retrospective. The Court of Appeal referred to its earlier decision in Smithies v.' National Association of Operative Plasterers, (1909) 1 KB 310, in which Section 4 of the Trade Disputes Act, 1906, which enacted that "an action of tort against a trade union shall not be entertained by any court", was interpreted as not preventing a Court from disposing of an action begun before the passing of that Act.

The decision in Henshall v. Porter, (1923) 2 KB 193 goes further. In that case it was held that Section 1 of the Gaming Act, 1922, did not prevent the bringing of an action under the repealed section of the older Act even after the date when the repealing Act came into force in respect of a cause of action which had arisen before that date. On this authority it would seem that the civil Court is not prohibited from entertaining a claim for compensation in respect of an accident occurring before the constitution of the Tribunal even though no claim had been instituted until the Tribunal's constitution.

The extreme instance of strong leaning against giving retrospective effect to Provisions affecting the power or jurisdiction of a Court is to be found in Moon v. Durden, (1848) 2 Ex 22 : 76 RR 479. That was a case in which the Court of Exchequer considered the question whether Section 18 of the Gaming Act, 1845, was retrospective. That section contained the words "No suit shall be brought or maintained in any Court of law or equity for recovery of any sum of money" etc. The words "or maintained" would ordinarily have been held to be applicable to a pending suit. Nevertheless the Court did not apply them to suits which had been instituted though not decided before the Act came into force. On these authorities it must be held that Section 110-F does not affect the claims for compensation pending in a civil Court in respect of accidents taking place before the constitution of the Tribunal.

6. The question whether after the constitution of the Claims Tribunal the Civil Court's jurisdiction to entertain a claim for compensation in respect of an accident taking place before the constitution of the Tribunal is taken away does not arise in this case. Here the accident occurred before the Tribunal was constituted and the claim for compensation was also made in the Court of the District Judge, Bhopal, before the constitution of the Tribunal.

The respondent Abdul Qadir no doubt filed an application under Order 33, Rule 1 C. P. C. for leave to sue as pauper. But having regard to Rule 8 of Order 33 C. P. C., the application under Order 33 Rule 1 was nothing but an initiation of a claim for compensation in a civil Court. The proceedings in the claim were thus pending in the Civil Court when the Claims Tribunal was constituted in August 1959. The Tribunal had, therefore, no jurisdiction whatsoever to entertain the opponent Abdul Qadir's claim.

If, as we think, the Claims Tribunal had no jurisdiction to entertain Abdul Qadir's application for compensation, the question of condonation by the Tribunal of any delay in the making of the application for compensation before the Tribunal could not arise. It is only if the Tribunal had jurisdiction to entertain the application that the question whether it should condone the delay would have arisen for consideration."