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High Court of Gujarat

NEW INDIA ASSURANCE CO LTDversusUMAR SONU JAT

Disposal
39-RULE DISCHARGED/DISMISSED @ FH
Bench
C DOSHI

Holding

The appeal is dismissed on the ground that the compensation amount is below Rs.5 lakh.

Summary

The appellant New India Assurance Co Ltd filed a first appeal against a compensation award granted to the respondents Umar Sonu Jat and another. The award was less than Rs.5 lakh. After hearing the parties, the Gujarat High Court held that, owing to the low quantum of the award, it would not entertain the appeal and dismissed it. The court clarified that the dismissal does not decide any substantive legal issue and should not be treated as precedent. It directed the Commissioner to verify the claimants' right and disburse the deposited compensation with interest. The registry was instructed to return the record and pleadings to the lower court.

Issues considered

  • Whether an appeal involving a compensation amount of less than Rs.5 lakh can be entertained by the High Court?

Subjects

appeal dismissalcompensation thresholdcivil procedureinsurance claimGujarat High Courtsmall amount jurisdiction

Judgment

     C/FA/2344/2013                                ORDER DATED: 11/06/2026




           IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

                       R/FIRST APPEAL NO. 2344 of 2013

==========================================================
                        NEW INDIA ASSURANCE CO LTD
                                   Versus
                           UMAR SONU JAT & ANR.
==========================================================
Appearance:
MR PALAK H THAKKAR(3455) for the Appellant(s) No. 1
MR Y J PATEL(3985) for the Defendant(s) No. 1
RULE SERVED for the Defendant(s) No. 2
==========================================================

 CORAM:HONOURABLE MR. JUSTICE J. C. DOSHI

                               Date : 11/06/2026

                                    ORDER


      In the first appeal, the amount of compensation involved
is below Rs.5 lakh.


      Having          heard   the   submissions    made      at    bar       and
considering the fact that the amount involved in the subject
matter of present First appeal is on lower side i.e. less than
Rs.5,00,000/-, considering the smallness of the awarded
amount involved in the present appeal, the Court is not
inclined to entertain the present appeal and therefore,
present appeal stands dismissed on account of smallness of
amount.         Consequently, CA, if any, does not survive and
stands disposed of accordingly.


      However, it is clarified that dismissal of present appeal
shall not be construed that the Court has decided any legal


                                    Page 1 of 2
                C/FA/2344/2013                                                          ORDER DATED: 11/06/2026




       issue involved in the subject matter of present appeal and
       therefore, the decision of present appeal shall not be treated
       as precedent for deciding any legal issue.


                 Registry is directed to return back the R & P, if any, to
       the concerned Court forthwith.


                 The learned Commissioner is directed to disburse the
       amount of compensation deposited by the appellant to the
       claimants after due verification and identification along with
       interest           and        after         verifying            their        right         to      claim         the
       compensation.



                                                                                                        (J. C. DOSHI,J)
       SHEKHAR P. BARVE



Original copy of this order has been signed by the Hon'ble Judge.
Digitally signed by: SHEKHAR PRAFULBHAI BARVE(HC00200), Principal Pvt. Secretary, at High Court of Gujarat on 11/06/2026 16:44:51




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