Insurance Journal (4th Quarter 2017)

Legal Section
on this ground I have no hesitation in
observing that the impugned order
dated 13-5-2010, passed by the
learned appellant court was within the
four corners of law to the limitation.
13. The learned counsel for the
appellant has placed much emphasis
on the point that the scope of
Insurance Tribunal and its jurisdiction
is limitation and to support to his
contention Mr. Tanveer Ashraf
learned counsel for the appellant has
cited the case of Messrs EFU General
Insurance Limited v. Messrs Duty
Free Shops Limited as appeared in
2013 CLD Sindh 1313 wherein this
Court on the similar point involved as
regards application of section
122(1)(a) of the Ordinance, 2000 has
held hereinbelow paragraph 17 of the
said judgment as:-
“It may be observed that both the trial
court as well as revisional court fell
into error, while arriving at such
conclusion. Both the court below
failed to take note of the fact that
jurisdiction of Insurance Tribunal in
terms of section 122(1)(a) of the
Ordinance, 2000 could only be
invoked by the Policy Holder and not
by the Insurance Company. Present
suit was filed by the EFU Insurance
Company against a Policy Holder
could only be availed of by filing suit
before a Civil Court in terms of
section 9, C.P.C.”
14. This legal proposition agitated by
the learned counsel for the respondent
has not been controverted by
producing any case-law on the subject
and I have no hesitation in observing
that since there is settled law on the
very subject, the appellant has been
able to agitate that the conclusion so
reached at by the learned trial court
while entertaining the application
under Order VII, R.11, C.P.C. which
was treated under Order VII, R. 10,
C.P.C was not proper and in fact it is
the Civil Court which has the
jurisdiction to entertain the suit under
section 9, C.P.C so filed by the
Insurance Company against the
Policy Holder in respect of nonpayment
of due premium in time
whereas the scope of jurisdiction of
the Insurance Tribunal is restricted
and can only be invoked by the Policy
Holder in respect of non-payment of
due premium in time whereas the
scope of jurisdiction of the Insurance
Tribunal is restricted and can only be
invoked by the Policy Holder, as such,
I accept the appeal in hand and as a
consequence set aside the orders
passed by the two courts below and in
the result the appellant is allowed to
proceed with his suit before the same
learned trial Court from the stage
where it was left and the said court is
required to proceed with the suit in
accordance to law.
MM/E-6/Sindh
Appeal accepted.
“It is not the strongest species that survive, nor the most intelligent but the ones most responsive to
change”
(CHARLES DARWIN)
“If the nation is living within its credit is good. If in some crises it lives beyond its income for a year or
two it can usually borrow temporarily on reasonable terms. But if, life the spendthrift, it throws
discretion to the winds, is willing to make no sacrifice at all in spending, extends its taxing up to the
limit of the peoples power to pay, and continues to pile up deficits, it is on the road to Bankrupted”
(FRANKLIN D. ROOSEVELT)
Insurance Journal October, November, December 2017
38
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