2021 PLP 1441 (CLD)

ALI BAQAR NAJAFI, J.

Through this Constitutional petition filed under Article 199 of the Constitution of Islamic Republic of Pakistan, 1973 the petitioner has challenged the order dated 24.06.2021 passed by the learned Additional District Judge-I, Lahore whereby an application under Order VII, Rule 10, C.P.C. filed by the petitioner was dismissed on the ground that previously a petition filed by respondent No.1 for recovery of insurance claim at Lahore on 05.06.2015 was returned to District Okara and by way of judgment dated 16.01.2021 the Additional District Judge, Okara had returned it on the ground that he lacks jurisdiction. Consequently, a suit for recovery of marine cargo claim was filed before the learned District Judge, Lahore in view of the law laid down in case titled "State Life Insurance Corporation of Pakistan through Chairman and others v. Mst. Sardar Begum and others" reported as 2017 SCMR 999 wherein it was held that the suits under section 46 of the Insurance Act, 1938 and under section 115 of the Insurance Ordinance, 2000 were maintainable before the. District Court having original jurisdiction.

2. Learned counsel for the petitioner contends that the judgment reported as 2017 SCMR 999 titled "State Life Insurance Corporation of Pakistan through Chairman and others v. Mst. Sardar Begum and others" was not interpreted in its true sense as in paragraph-1 of the judgement ibid it was held that such claims could be filed under Insurance Act, 1938 before the civil court. A reference was given to case titled "Mst. Robina Bibi v. State Life Insurance and others" reported as 2013 CLD 477.

3. Conversely, learned counsel for respondent No.1 refers to the said judgment and argues that all such claims were to be filed before the learned District Judge having original jurisdiction. 4, Arguments heard. File perused.

5. Admittedly, the respondent earlier had filed an application for the recovery of marine cargo claim under Policy No.Ex-173-88-2-1-14, dated 22.01.2014 amounting 282397 Euros as on 12.05.2014, equivalent to 38,114,145 million rupees as calculated on 12.05.2014 with 5% liquidated damages, which was found not maintainable on 16.01.2021 by the learned Additional District Judge, Okara. The respondent then filed RFA No.6665/2021 titled Rana Basit Rice Mills (Pvt.) Ltd. v. The Universal Insurance Co. Ltd. and others" which was dismissed as withdrawn on reconsideration on 01.02.2021. It was then the respondent filed a suit for recovery of marine cargo claim before the learned District Judge, Lahore.

6. In the judgment cited at the Bar by the learned counsel for the parties, reported as 2017 SCMR 999 titled "State Life Insurance Corporation of Pakistan through Chairman and others v. Mst. Sardar Begum and others. It was held that under section 2(6) of the Insurance. Act, 1938, "Court" means the principal Civil Court of Original jurisdiction in a district and includes the High Court in exercise of its ordinary original civil jurisdiction. This was also clarified in paragraph-10 of the judgment ibid that where a claim is not relatable to a contract of insurance then the forum would be under section 15 of the Code of Civil Procedure as jurisdiction of Civil Court will be ousted only in cases where the provisions of special law such as the Insurance Act, 1938 is attracted, therefore, it was concluded that all claims, whether directly arising from or relatable to a contract of insurance will be covered under provisions of section 46 of the Insurance Act, 1938 'and all such suits may be instituted under section 15 of C.P.C. Relevant extract from the judgment is reproduced as under:- "

10. We may also clarify there that where a claim is not relatable to a contract of insurance and for some other reason a person sues the insurance company, then obviously the forum provided under the Insurance Act, 1938 would have no application to such suits. To such suits, the provisions of section 15 of Code of Civil Procedure, where attracted can be applied. Likewise, the forum of appeal in cases where the matter is not relatable to the contract of insurance would also be the one that is available under the provisions of Code of Civil Procedure. The jurisdiction of civil court is ousted only in cases where the provisions of special law, such as the Insurance Act, 1938, are attracted which provide a separate forum for seeking legal remedy.

11. We, therefore, conclude that all claims,. whether directly arising from or relatable to a contract of insurance are covered under the provisions of section 46 of the Insurance Act, 1938. All such suits are to be filed in District Court of competent jurisdiction or depending upon the territorial jurisdiction and pecuniary value of the suit, in the principal seat of Sindh High Court or the Islamabad High Court as the case may be instead of the District Court. However, no such suit can be entertained in the Civil Court."

7. In view of the above stated reasons, this writ petition is found meritless and is hereby dismissed in limine. KMZ/U-4/L Petition dismissed.