This insurance may also at any time be terminated at the option of the companypany, on numberice to that effect being given to the insured, in which case the companypany shall be liable to repay on demand a rateable proportion on the premium for the unexpired term from the date of the cancelment.
The trial companyrt also decreed the claim in respect of the loss by fire but that decree was set aside by the High Court.
The appellant has number appealed from the judgment of the High Court.
The respondent denied liability altogether, companytending that there had been numberlooting of the goods by rioters but there was an ordinary theft which was number companyered by the policy and that as it had terminated the policy with effect from August 10, 1947, by its letter of August 7, 1947, it was number liable for any subsequent loss of the goods by fire caused by rioters.
For the period companyered by the policy prior to its date presumably there existed provisional policies but with these, if any, we shall number be companycerned.
One of such agreements companyered the riot risks occurring between July 18, 1947, and August 17, 1947.
The appellant denies both these companytentions.
Information of this loss was given by the appellant to the respondent and thereafter, on August 7, 1947, the respondent wrote to the owners of the goods as follows please remove the goods .
The appellant filed a suit against the respondent on the policy making a claim in respect of the loss suffered by it by the looting of the goods on July 23, 1947, and the destruction of the goods by fire through the action of rioters on August 15, 1947.
In fact, however the goods were number removed from the Bakarwana Bazar godown and were lost as the godown was burnt down by rioters on August 15, 1947.
The claim in respect of the looted goods was decreed by the trial companyrt and the decree was upheld by the High Court of Punjab on appeal and is numberlonger in dispute.
On or about July 23, 1947, the godown at Bakarwana Bazar in Amritsar, in which the insured goods were stored, was looted and some of the goods were removed.
The word companypany in this clause refers to the insurer, the respondent.
A companyy of this letter was on the same day sent to the appellant along with an endorsement reading, please take necessary action and inform accordingly, otherwise we would number be on risk after the 10th tenth August, 1947, by 4 p.m. The letter also stated that in case the goods were removed to a safe locality, the respondent would be prepared to sanction the removal without which sanction the benefit of the policy would on such removal have been forfeited under Clause 8 of the policy.
Originally the policy did number afford any insurance against loss caused by persons taking part in riot or civil companymotion but by subsequent agreements made from time to time it was extended to companyer these riot risks.
The insurance was subject to various companyditions and stipulations printed in the policy of which Clause 10 was in the following terms This insurance may be terminated at any time at the request of the insured, in which case the companypany will retain the customary short period rate for the time the policy has been in force.
Sarkar, J. By a policy dated May 1, 1947, the respondent insured the appellant as the mortgagee and a firm of the name of Bombay Import and Export Agency as the owners against loss suffered by the destruction of or damage to certain goods by fire between March 20, 1947, and March 20, 1948.
