Court : Mumbai
Decided on : Aug-01-1932
Reported in : AIR1933Bom338; (1933)35BOMLR694
..... civil court of law. the contractor referred to in section 12 (2) is the contractor who contracts directly with the principal as defined in section 12 (1). if, therefore, there is any further sub-jetting of the contract, an indemnity cannot be obtained under the act and must be sought by recourse to the civil court. ..... relationship of principal to contractor ?3. the matter is not entirely free from doubt, as the words of section 12 (2) refer to 'any such' indemnity. a similar contention came up for decision in calcutta on a reference by the commissioner made to the high court of calcutta under section 27 of the act, ..... them, and on july 13, 1931, the commissioner served the plaintiff with a notice requiring him either to contest the widow's claim or the claim for the indemnity made against him by messrs. mackinnon, mackenzie & co. plaintiff appeared before the commissioner on july 22, 1931, to contest the widow's claim, and the commissioner ..... cannot lie. section 12 (i) of the act provides that where a principal in the course of or for the purposes of his trade or business contracts with a contractor for the execution by or under the contractor of the whole or any part of any work which is ordinarily part of the trade or ..... had to supply 200 tons of coal to the ss. hatkhola then lying in the victoria dock, bombay. it is his case that he gave a sub-contract for the purpose to the defendants who are muccadums at the rate of re. 1 per ton, and that they in turn engaged several workmen on june .....Tag this Judgment!
Court : US Supreme Court
Decided on : Mar-14-1932
..... american surety co. v. greek catholic union, 284 u. s. 563 . if such was respondent's object, it should have taken from petitioner not a contract of indemnity, as it did here, but one to pay to it all amounts disbursed on forged checks. reversed. * carroll's ky.stat. (1930) 3720b-124, ..... 284 u.s. 608, to review the reversal of a judgment in favor of the above-named petitioner in an action by the bank on a contract of indemnity. page 285 u. s. 211 mr. justice stone delivered the opinion of the court. this suit was brought by respondent, a national bank, ..... respondent could enforce them with a similar lack of effect upon its right to recover from petitioner. in either case, petitioner's contract would be converted from one of indemnity, as stipulated, into an unqualified obligation to repay to the bank the amounts which it was induced to pay by the forgeries ..... the loss. that privilege was a necessary incident to petitioner's contract, for only by resort to it could the character of the contract as indemnity be preserved. it is both the object and the justification of subrogation that it makes exact indemnity the measure of the liability. see standard marine insurance co., ..... forgeries, be recredited to its account. the respondent, in turn, asked payment of that amount of petitioner in satisfaction of its liability on the indemnity bond. petitioner, while admitting liability if respondent was not authorized to charge the depositor with the loss, insisted that the depositor was so chargeable .....Tag this Judgment!
Court : Privy Council
Decided on : Mar-08-1932
..... ... but the following shall not in any case be allowed as expenses incurred in the production of income. * * * * (e) any loss or expense recoverable under any insurance policy or contract of indemnity. 48,-(1) a return of income as required by this act shall be made by each taxpayer annually without any notice or demand and filed with the assessor of the ..... were therefore no profits to tax, and in the absence of clear language authorizing such a course, there was no warrant for taxing money substituted for profits by way of indemnity for their loss. their lordships feel that the true question at issue has not in this statement been really dealt with by the learned judges of the supreme court. the ..... be taken to coincide with that of the learned judges of the supreme court, which was that the statute no where provides for taxation of moneys paid by way of indemnity for profits not earned but irretrievably lost: that the moneys in question represented insurances placed by the respondents in order to meet the possibility of destruction by fire of its ..... interest or profit arising received gained acquired or accrued due . . from real and personal property or from money lent deposited or invested or from any indebtedness secured by deed mortgage contract agreement or account or from any venture business or profession of any kind whatsoever. " person " includes corporations, by s. 4 (1) it is provided that " to the extent and in .....Tag this Judgment!
Court : Chennai
Decided on : Oct-24-1932
Reported in : AIR1933Mad424; (1933)64MLJ526
..... has either made the payment himself or has suffered some other damage by the purchaser's default. the basis of the suit in such a case is the contract of indemnity which the agreement in the sale deed implies and can be held to be broken only when the plaintiff has actually suffered loss. i am therefore of opinion ..... sustained. i do not consider this decision as prohibiting a suit for the damages actually sustained after it has been sustained, if it is reasonable to infer that a contract of indemnity is to be implied in the circumstances.4. there are however decisions of other courts more to the point. in raghubar rai v. jaij raj i.l.r ..... cash to the vendor. as pointed out in seshachala naicker v. varadachariar i.l.r. (1901) 25 mad. 55 : 11 m.l.j. 318 where the contract to sell is embodied in a registered deed of sale, the unpaid vendor can rely upon article 116 which allows six years from the date of breach. but the difficulty ..... and distinguished the decision in seshachala naicker v. varadachariar i.l.r. (1901) 25 mad. 55 : 11 m.l.j. 318 which pointed out that where a contract to sell is embodied in the deed of sale the article applicable would be article 116. i think article 111 has no application to the present case. that article ..... reasoning. it was held that the terminus a quo was not the date of the execution of the sale deed but the date on which the contract was deemed to have been broken, namely, the date when either there was a repudiation of the liability under it or when the .....Tag this Judgment!
Court : US Supreme Court
Decided on : Feb-15-1932
..... dishonesty, or forgery of kondor. it did not arise from the failure of the depositary, for the bank was not allowed to fail. the breach for which indemnity was to be afforded was kondor's default in the performance of his duties and with respect to the protection of the funds of the corporation. there is ..... of fact to the jury. we cannot agree with this view. assuming that respondent is right in its contention that the obligation here was in the nature of an insurance contract, rather than one of strict suretyship ( american surety co. v. pauly, 170 u. s. 133 , 170 u. s. 144 ; guaranty co. v. pressed brick ..... a material variation of the surety's risk. petitioner presented a point to the effect that the agreement with the trust company created a material variance in the contract of suretyship, page 284 u. s. 567 deprived the surety of recovery of salvage from the people's state bank, and relieved the petitioner of the ..... person could or would arrive in time to take part in the matter. this conversation took place on a sunday morning. late the same night, a contract was entered into between the people's state bank and the united states trust company of johnstown whereby the latter assumed all the liabilities of the bank, ..... undertaken in the instrument of suretyship, and depriving the insurer of the right of subrogation, such conduct operates to discharge the obligation of the indemnity contract. judgment reversed. mr. justice mcreynolds is of opinion the judgment should be affirmed. .....Tag this Judgment!
Court : Privy Council
Decided on : Nov-04-1932
..... found the inference that b. e. berry was intending to contract not only on behalf of himself but of any one who might come within the policy words "any person or persons while riding ..... within the description of the persons other than e. e. berry to whom the indemnity was available or that if not in law a party to the contract, she was a cestui que trust of the promise contained in the contract to extend the indemnity to such a person as herself, b. e. berry having so stipulated as trustee. there is a further contention ..... part in the conclusion of whatever contract there was: the policy was entirely arranged between e. e. berry and the respondents and he alone filled in and signed in his own name and behalf the application required by s. 152 of the statute. it is said that the wide words defining the persons to whom the indemnity is available are sufficient to ..... based on estoppel which may be considered separately and later. the first mode of stating the appellant's case involves that r. e. berry as his daughter's agent made a contract of insurance between .....Tag this Judgment!
Court : Privy Council
Decided on : Jul-07-1932
..... the course the public will take in regard to the issue the learned judge below has said: " in substance an underwriting agreement is a contract of guarantee or indemnity whereby the underwriter in effect guarantees that the whole of the shares in question will be subscribed by undertaking that to the extent to which ..... their lordships are of opinion that the ambit of the obligation of the underwriter cannot be altered or enlarged by changing the language by which the contract is described. the obligation in fact is and remains nothing more or less than an obligation to subscribe for shares in the company. it is ..... contrary, be treated as a payment to account, the member remaining liable to contribute the balance when duly called for. a company is free to contract with an applicant for its shares; and when he pays in cash the nominal amount of the shares allotted to him, the company may at once ..... the draft prospectus attached hereto. 10. you are to be at liberty on behalf of the trust to concur with the company in making a contract under which the company is to take your place for the purposes hereof and thereupon you will be released from any liability hereunder. 11. any ..... they are not otherwise subscribed he will apply for them himself. it is in effect equivalent to a contract of insurance and might be expressed .....Tag this Judgment!
Court : US Supreme Court
Decided on : Mar-14-1932
..... instituted a proceeding in the chancery court, adams county, mississippi, against the contractors, the appellant hartford accident & indemnity company, and many unpaid materialmen. the bill prayed for a decree declaring the indemnity bond to be one for faithful performance of the building contract, and subject to the rights and liabilities provided by 3, * c. 128, mississippi laws of 1918 ( ..... of any building or work or the doing of any repairs, shall enter into a bond with such person, firm or corporation guaranteeing the faithful performance of such contract and containing such provisions and penalties as the parties thereto may insert therein, such bond shall also be subject to the additional obligations that such contractor or subcontractor ..... 316,822, payable to the investment company with appellant as surety. among other things, this provides: "whereas, the principal and the obligee have entered into a certain written contract (hereinafter called the contract) dated october 18th, 1926, to construct 'eola hotel' building as per plans and specifications no. 640 as prepared by weiss & dreyfus, architects, new orleans, la. ..... " page 285 u. s. 175 "obligations of bondsmen. -- the contractor's bondsmen shall obligate themselves to all the terms and covenants of these specifications, and of the contracts covering the work executed hereunder, and the owner and the architect reserve the right to make all desired changes, alterations, and additions, under the conditions and in the manner .....Tag this Judgment!
Court : Kolkata
Decided on : Jul-25-1932
Reported in : 1ITR12(Cal)
..... the election of a third party, who was to decide whether the conditions were or were not fulfilled (an indemnity which probably, though i do not base myself upon this, is based upon a contract in restraint of trade and therefore unenforceable), would be a taxable gain or profit arising or accruing from the ..... do not think it is necessary to-decide it here, that it would be very difficult to argue successfully that, if the gains accruing from this indemnity were taxable profits, the premium which was paid for the purpose of earning those profits was not itself a disbursement or expense to be taken into ..... requirements of its own. but, however that may be, i am clearly of opinion that an expenditure in respect of the possibility of receiving that indemnity so controlled by a third party would not be one which could be said to be 'wholly and exclusively laid out or expended for the purposes ..... restriction or a cessation of output at the colliery in consequence of the member acting in compliance with the direction of the association, the indemnity may be paid; there again, whether the output of coal be restricted, or whether a direction of this association result in a cessation of output - ..... decision, or be not ratified by the association, then they are not liable to pay the money which otherwise they might be liable to pay as indemnities under clause 81 and the subsequent clauses. then, as the attorney-general has pointed out, it is not limited to strikes. in the case of .....Tag this Judgment!
Court : Chennai
Decided on : Mar-08-1932
Reported in : AIR1933Mad39; (1932)63MLJ615
..... the same debt, by virtue of which, if it is paid by the person who is not primarily liable, he has a right to reimbursement or indemnity from the other'. it was for this reason that d. and co. were held to have the rights of sureties though they were, strictly speaking, ..... , as between themselves each should be regarded as a surety for the other in respect of his moiety of the debt. under the indian contract act, the contract of guarantee is confined to cases where the guarantor agrees with the creditor to discharge the liability of a third person in case of his ..... of his default (see section 126 of the indian contract act). obviously classes ii and iii are not cases of suretyship strictly so called. their lordships observed that the case before them did not fall within ..... entitled to the benefit of the security held by the creditor, though a case of suretyship strictly speaking would fall only under class i, as a contract of guarantee is confined to agreements where the 'surety' agrees with the creditor that he would discharge the liability of the 'principal debtor' in case ..... . the evidence does not establish the agreements of guarantee set up nor does it support the alleged custom. sections 140 and 141 of the indian contract act regulates as against the principal debtor the rights of a surety who performs or otherwise discharges the liabilities of the principal debtor. these sections are .....Tag this Judgment!