Central

Section 10 of The Bhopal Gas Leak Disaster (Processing of Claims) Act, 1985

For the removal of doubts, it is hereby declared that--

(a)any sums paid by the Government to a claimant otherwise than by way of disbursal of the compensation or damages received as a result of the adjudication or settlement of his claim by a court or other authority, shall be deemed to be without prejudice to the adjudication or settlement by such court or other authority of his claim to receive compensation or damages in satisfaction of his claim and shall not be taken into account by such court or other authority in determining the amount of compensation or damages to which he may be entitled in satisfaction of his claim;
(b)in disbursing under the Scheme the amount received by way of compensation or damages in satisfaction of a claim as a result of the adjudication or settlement of the claim by a court or other authority, deduction shall be made from such amount of the sums, if any, paid to the claimant by the Government before the disbursal of such amount.

Summary

Any money paid by the Government to a claimant, other than final compensation, does not affect their ongoing claim.
Courts or other authorities cannot take these prior payments into account when deciding the final amount of compensation.
When the final compensation is paid out under the Scheme, any money the Government already gave the claimant will be subtracted.

Practical examples

1Ramesh Kumar received 15,000 rupees from the government in April 1985 to help cover his medical expenses. When the court calculates his final compensation in 1987, the judge cannot reduce his calculated reward of 120,000 rupees because of this early help.

2When the administrator of the Scheme actually distributes the final 120,000 rupees to Ramesh Kumar, they subtract the 15,000 rupees he already received, so Ramesh gets a final payout of 105,000 rupees.

FAQ

1. Can a court reduce my final reward because the government gave me emergency cash?

No, the court is legally forbidden from considering prior government aid when determining your final compensation.

2. Will the money I already received be deducted from my final payout?

Yes, any sums paid to you by the Government before the final distribution will be subtracted when the final money is paid out under the Scheme.

3. What does it mean that early payments are without prejudice to my claim?

It means those early payments do not harm or change your legal right to have a court decide your final compensation fairly.

Test yourself

Q1.Under Section 10, how do interim payments by the Government affect the court's final determination of compensation?

Q2.What happens to prior government payments when the final compensation is distributed under the Scheme?

Q3.Where does the authority to deduct prior payments come from under Section 10?

Q4.If the government pays a claimant some money before their court case finishes, what is that payment deemed to be?

Q5.Which entity's prior payments are subject to deduction under Section 10?

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