A 2012 case involving S. Sreesanth brought the Indian Premier League (IPL) team Rajasthan Royals before the Supreme Court. The lawsuit concerns an insurance claim filed by the Rajasthan Royals due to Sreesanth's injury, which kept him out of the season.

The United India Insurance Company feels that Sreesanth was already dealing with a toe problem, which would have precluded him from playing in the league that season anyhow, notwithstanding the Royals' assertion that his participation in the 2012 season was hindered by a knee injury.

After Sreesanth was sidelined for the 2012 IPL season owing to a knee injury sustained during a practice match, the Rajasthan Royals submitted an insurance claim for more than Rs 82 lakh.

However, the insurance company denied the claim, claiming that Sreesanth had a 2011 toe injury that he had neglected to disclose. They feel that this older injury should have been reported to them at the time of the policy or that it was the real cause of his incapacity to play.

The Rajasthan Royals stuck to their position, claiming that Sreesanth was playing despite having a toe injury and that the injury was not a concern. They insist that a new knee ailment he suffered during the insured time was the only cause of his absence from the competition.

The insurance firm was ordered to pay the claim after the National Consumer Disputes Redressal Commission (NCDRC) previously decided in favor of Rajasthan Royals. The business has now filed an appeal with the Supreme Court over this ruling.

The Supreme Court panel has asked for more papers, such as Sreesanth's fitness certificate, to ascertain whether the pre-existing toe ailment was ever reported, even though a ruling has not yet been rendered.

After hearing brief oral arguments, a bench of Justices Vikram Nath and Sandeep Mehta inquired as to whether the IPL franchise owner had informed the insurance company of Sreesanth's toe injury.

The bench further stated that Sreesanth should not have been covered in the first place if the insurance company had known about the toe injury.

The insurance business essentially asserted that the IPL team had failed to disclose the players' toe ailment while they were insuring them.

Senior Advocate Neeraj Kishan Kaul represented the IPL team and said that Sreesanth was not rendered ineligible to play because of a prior toe injury, which caused the insurer to reject the claim. Instead, he was rendered unsuitable due to a knee injury sustained during the insurance period.

"The toe injury did not stop him from playing. He was playing! "It was during the practice session that he had a knee injury!" Kaul, for Rajasthan Royals, said.

Kaul also submitted that a fitness certificate was given to the insurance firm when Sreesanth joined, and the next certificate was given when he incurred the knee injury.

The Rajasthan Royals have paid the insurance provider Rs. 87,075,000 for a "Special Contingency Insurance for Player Loss of Fees Cover" coverage for the 2012 IPL season.

Accordingly, the business was responsible for compensating the IPL franchise for any money that was lost or owed to the contracted players as a result of their absence from the competition.

The policy went into effect on March 28, 2012. S. Sreesanth, one of the insured players, had a knee injury during a practice match in Jaipur on that very day.

Following diagnosis and treatment, it was determined that his knee injury rendered him ineligible to compete in the IPL 2012 event. In accordance with the policy, the Rajasthan Royals submitted a claim for Rs. 82,80,000 on September 17, 2012, requesting that the claim for lost player fees be processed.

The insurance company hired a surveyor, who stated that the claim was covered by the policy and that the injuries resulted from a "sudden, unforeseen, and unexpected event."  

However, the appellant rejected the insurer's claim, arguing that it failed to disclose to the insurer an injury that already existed for the insured player (Sreesanth).

(NDTV inputs)