M/S. Nagpur Golden Transport Company (REGD.) v. M/S. Nath Traders & Ors.
A. K. PATNAIK, J. 1. This is an appeal by way of special
leave under Article 136 of the Constitution against the order
dated 18.02.2003 of the National Consumers Disputes
Redressal Commission in Revision Petition No.371 of 2000.
2. The facts very briefly are that the respondent No.3
booked a consignment of monoblock pumps with the appellant
for transportation from Coimbatore to respondents No.1 and 2
at Gwalior in March, 1997. While the appellant was transporting
the consignment in a truck, there was an accident and the
monoblock pumps were damaged. The respondents No.1 and G
2, therefore, did not take delivery of the 198 damaged
monoblock pumps at Gwalior. In the circumstances, the
appellant returned the 198 damaged monoblock pumps to the
respondent No.3.
A 3. The respondents No.1 and 2 then filed Complaint
No.101 of 1998 before the Consumer Disputes Redressal
Forum, Gwalior, and their case in the complaint was that they
had paid the price of the consignment to respondent No.3 and
were entitled to Rs.3,61,131/- towards the price of the
s monoblock pumps and damages of Rs.70,000/-, loss of profit
Rs.14,000/- as well as cost of Rs.5,000/- and interest@ 18%
per annum on the amount claimed by them. The appellant
resisted the claim contending that the claim was not
maintainable under the Consumer Protection Act, 1986 (for
c short 'the Act'). The District Consumer Disputes Redressal
Forum, in its order dated 27.01.1999, held that the appellant
as a common carrier was the insurer of the goods in transit and
if the goods have been damaged, the appellant was liable to
respondents No.1 and 2 for negligence. The District Consumer
D Disputes Forum, therefore, awarded a sum of Rs.3,60, 131/
along with interest @ 18% per annum from 01.04.1997 till the
date of payment and Rs.500/- as counsel fee and further sum
of Rs.500/- as cost of the case.
4. Aggrieved, the appellant filed appeal No.202 of 1999
E before the Madhya Pradesh State Consumer Disputes
Redressal Commission, Bhopal, and the State Consumer
Disputes Redressal Commission in its order dated 07.10.1999
held that there was no legal infirmity in the order of the District
Consumer Disputes Redressal Forum, Gwalior, awarding the
F sum of Rs.3,60,131/- but took the view that levy of interest@
18% per annum was penal and instead directed the appellant
to pay interest @ 12% per annum on the amount of
Rs.3,60,131/- from the date of filing of the complaint
(02.03.1998) till the date of payment. The appellant filed a
G revision but by the impugned order dated 18.02.2003 the
National Consumer Disputes Redressal Commission
dismissed the. revision.
5. On 10.07.2003, this Court took note of the fact that the
amount awarded in favour of the respondents No.1 and 2 by
NAGPUR GOLDEN TRANSPORT COMPANY (REGO.) 485
v. NATH TRADERS & ORS. [A.K. PATNAIK, J.]
the District Consumer Disputes Redresal Forum had been A
deposited and the counsel for the appellant had no objection
to the amount to be paid to respondents No.1 and 2. This Court
in its order dated 10.07.2003 issued notice limited to the
question of law raised before the Court. In the order dated
10.07.2003, however, this Court appears to have recorded a B
different question of law and hence the appellant has filed an
application I.A. No.2 of 2003 for clarification of the aforesaid
order dated 10.07.2003. On reading the application I.A. No.2
of 2003, we find that the question of law raised was whether
the appellant was entitled to receive 198 monoblock pumps c
from respondent No.3 when he is held to be liable to pay the
price of the monoblock pumps to respondents No.1 and 2. We,
accordingly, correct the order dated 10.07.2003 as prayed by
the appellant in the application for clarification in I.A. No.2 of
2003. D
6. At the hearing of the appeal, learned counsel for the
appellant submitted that the District Consumer Disputes
Redressal Forum should have directed the respondent No.3 to
return the 198 monoblock pumps to the appellant when the
appellant has been held liable for the price of the menoblock E
pumps to the respondents No.1 and 2, who had paid for the
same to respondent No.3. He submitted that the appellant
cannot be held liable to pay the price of the monoblock pumps
to respondents No.1 and 2 and at the same time not entitled
to the return of the 198 monoblock pumps from respondent F
No.3.
7. Learned counsel for respondent No.3 relied on the
counter affidavit filed on behalf of the respondent No.3 in this
Court in which it is stated that the 198 damaged monoblock G
pumps had no value and the same have been kept in the
godown of the respondent No.3 under the watch and ward of
extra staff engaged by the respondent No.3 and that due to
delay the monoblock pumps have become useless and have
no value at all. H
486 SUPREME COURT REPORTS (2011] 13 (ADDL.) S.C.R.
A 8. We have considered the submissions of learned counsel
for the appellant and the respondent No.3 and we are of the
considered opinion that if the District Consumer Disputes
Redressal Forum directed the appellant to pay Rs.3,60, 131/
to respondents No.1 and 2 and this sum of Rs. Rs.3,60, 131/-
B covered the price of the monoblock pumps and this price of the
monoblock pumps had also received by respondent No.3 from
the respondents No.1 and 2, the appellant was entitled to the
return of the damaged 198 monoblock pumps from respondent
No.1. We are also of the view that in case the respondent No.3
c has disposed of the 198 monoblock pumps in the meanwhile,
the appellant was entitled to the value of the 198 damaged
monoblock pumps realized by the respondent No.3. If the
damaged monoblock pumps are not returned by respondent
No.3 to the appellant or if the value of the damaged monoblock
D pumps realized by respondent No.3 are not paid to the
appellant, respondent No.3 would stand unjustly enriched. To
quote Lord Wright in Fibrosa Spo/ka Akcyjna v. Fairbairn
Lawson Combe Barbour Ltd. [(1942) 2 ALL ER 122 (HL)]:
" ...... Any civilized system of law is bound to provide
E remedies for cases of what has been called unjust
enrichment or unjust benefit, that is, to prevent a man from
retaining the money of, or some benefit derived from,
another which it is against conscience that he should keep.
Such remedies in English law are generically different from
F remedies in contract or in tort, and are now recognized to
fall within a third category of the common law which has
been called quasi-contract or restitution."
We are also of the considered opinion that the respondent
G No.3 was not entitled to any charges towards watch and ward
etc. as respondent No.3 should not have retained the damaged
monoblock pumps having received the full price of the pumps.
9. We, therefore, remand the matter to the District
Consumer Disputes Redressal Forum, Gwalior, with the
H direction to issue notice to the parties and after taking evidence,
NAGPUR GOLDEN TRANSPORT COMPANY (REGO.) 487
v. NATH TRADERS & ORS. [A.K. PATNAIK, J.]
if necessary, order the return of the 198 damaged monoblock A
pumps by respondent No.3 to the appellant and if the 198
damaged monoblock pumps are not available with respondent
No.3, to find out the value of the 198 damaged monoblock
pumps realized by the respondent No.3 and direct the
respondent No.3 to pay the said value to the appellant. The B
appeal is allowed to the extent indicated above. No costs.
R.P. Appeal partly allowed.