case 3

Case 3

3.     X’s goods in a storehouse are insured with Y where Y is the insurer. The goods are destroyed due to fire. X recovers his full value of Rs.1,000 from Y. Then X charges the store keeper and recovers Rs.1,000 from him. Y claims this amount from X but X refuses to make over the amount to Y. How would you decide the dispute between X and Y?

·         Solution is X certainly needs to compensate Rs.1,000 to Y.