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PETITIONER: PANNALAL JANKIDAS
Vs.
RESPONDENT: MOHANLAL AND ANOTHER.
DATE OF JUDGMENT: 21/12/1950
BENCH: KANIA, HIRALAL J. (CJ) BENCH: KANIA, HIRALAL J. (CJ) SASTRI, M. PATANJALI DAS, SUDHI RANJAN
CITATION: 1951 AIR 144 1950 SCR 979
ACT: Contract--Damages--Remoteness of damage--Agent neglect- ing to insure goods against fire--Goods destroyed by exploi- sion--Liability of agent--Bombay Explosion (Compensation) Ordinance, 1944, ss. 14,18--Ordinance grantinq compensa- tion for damage by explosion-Loss by explosion not covered by policy--Loss of compensation under Ordinance by failure to insure---Whether direct or remote damaqe--Claim by prin- cipal against agent, whether barred by Ordinance--Indian Contract Act, 1872, s. 212.
HEADNOTE: The plaintiffs who were commission agents purchased piecegoods according to defendant’s instructions and stored a portion of the goods in a godown in Bombay pending receipt of a permit from the Government authorities for consigning the same to the defendants. Before the goods could be despatched, a big explosion occurred in the Bombay Harbour and the goods stored were destroyed either by the fire or the explosion. A few months later the Governor-General promulgated the Bombay Explosion (Compensat,ion) Ordinance, 1944, which provided, inter alia, (i) that the Government shall pay a compensation of 50 per ...