Economic Transport Organisation Delhi vs M/S Charan Spinning Mills (P) Ltd.& Anr

The Supreme Court, while considering the appeal regarding the liability of a carrier under the Consumer Protection Act, 1986, held that the insurer, as a subrogee, can maintain a complaint against the carrier for deficiency in service under Sections 8 and 9 of the Carriers Act, 1865. The Court affirmed that the execution of a Letter of Subrogation-cum-Special Power of Attorney by the assured in favor of the insurer allows the latter to claim compensation for damages caused during transit. The appeal was dismissed, upholding the lower forums' decisions that found the carrier liable for the loss incurred by the insurer due to negligence in service.