Alifiya Husenbhai Keshariya Vs. Siddiq Ismail Sindhi [May 27, 2024]

Case Background

In 2010, Alifiya Husenbhai Keshariya suffered serious injuries in a motorcycle accident involving a truck. The injuries were severe enough to require hospitalization for 14 days and plastic surgery. Before the accident, Alifiya earned ₹3,000 per month, but after the accident, she was unable to continue working due to her medical condition.

Alifiya filed a claim before the Motor Accident Claims Tribunal (MACT) seeking ₹10,00,000 as compensation for her injuries, medical expenses, and loss of income. The tribunal, however, awarded her ₹2,41,745 with 9% interest, which she considered insufficient.

Dissatisfied, Alifiya sought to appeal the decision before the Gujarat High Court. At the same time, she applied to file her appeal as an indigent person, meaning she requested exemption from paying court fees due to financial incapacity.

Legal Issue

The main legal question was:

Can Alifiya be considered an “indigent person” under Order XLIV Rule 1 of the Civil Procedure Code (CPC) for the purpose of filing her appeal without paying court fees?

The Gujarat High Court rejected her application, reasoning that since she had been awarded compensation, she could not be considered indigent, even though she had not actually received the money.

Supreme Court’s Analysis

The Supreme Court carefully analyzed the circumstances and highlighted the following points:

Indigency is based on financial reality, not awards:
The Court emphasized that the status of being indigent is determined by a person’s actual financial condition, not merely by the fact that they have been awarded compensation. If the awarded amount has not yet been received, the person may still be considered indigent.

Access to justice must not be hindered by financial incapacity:
Denying someone the right to file an appeal due to court fees, when they are genuinely financially incapable, violates the principle of equal access to justice.

Failure to inquire properly:
The Gujarat High Court did not conduct a proper inquiry into Alifiya’s financial condition, as required under Order XLIV Rule 3(2) CPC, which mandates that courts examine the financial position before rejecting claims for exemption.

Precedent:
The Court cited State of Haryana v. Darshana Devi (1979), reiterating that economically weaker individuals cannot be priced out of the judicial process through rigid insistence on fees.

Supreme Court’s Decision

The Supreme Court set aside the Gujarat High Court’s order rejecting her application as an indigent person.

Alifiya was allowed to file her appeal without paying court fees.

The Supreme Court directed that the Gujarat High Court should expedite the hearing of her appeal, ideally within six months, to ensure timely justice.

Significance of the Judgment

Access to justice for the economically disadvantaged:
The ruling ensures that financial incapacity does not prevent a person from appealing an adverse decision.

Clarification on indigency:
The judgment clarifies that actual receipt of compensation, not just the existence of an award, determines whether someone is indigent.

Judicial accountability:
Courts must conduct proper inquiries into financial status before denying fee exemptions, ensuring procedural fairness.

Encouragement for fair process:
This decision reinforces that the justice system must protect vulnerable litigants and prevent financial barriers from obstructing legal remedies.

In essence, the case strengthens the principle that poor litigants should not be denied justice due to lack of resources and clarifies the correct interpretation of “indigent person” under CPC.

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