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ALTERNATIVE DISPUTE RESOLUTION CENTRE

Law College Dehradun, P.O. Chandanwari, Premnagar, Dehradun


Email- lcdadr@uttaranchaluniversity.ac.in

2nd Intramural Mediation Competition


Quarter-Final Round
Fact Sheet
Anand Mishra, a visionary entrepreneur, was renowned for founding TechNew, one of the
India’s leading IT companies. He transitioned into retirement and shifted his focus on his
passion for exploring the diverse landscape of India and vlogging. As he embraced this new
phase of his life, his lasting love for classic cars continued to shape his retirement activities.
While planning a trip through Rajasthan and Gujarat for his latest vlog series, he chose to
improve his travel experience by buying a classic car.

His enthusiasm for vintage vehicles led him to an Auto Expo at Delhi, on July 24, 2023. While
attending the expo, Mr. Mishra was captivated by a ‘1967 Ford Mustang GT500’, a
quintessential American muscle car. The car was presented by BHPCARS, a company based
in Mumbai renowned for its portfolio of classic and vintage cars. It was one of the few licensed
companies in India that sold classic Ford cars and other vintage vehicles. They had a large
client base and were well-known for their car modifications and customizations.

Recognizing that the Mustang is a perfect match for his adventurous spirit, Mr. Anand decided
to purchase it. Mr. Raghav, the owner of BHPCARS, agreed to the sale and the car was
purchased for Rs. 5.60 Crores on February 12, 2024. All the necessary registration formalities
for the transaction were completed in accordance with the law and the car was insured under a
comprehensive policy with TCIC Insurance, which was affiliated with BHPCARS.

Driven by zeal, Mr. Anand decided to explore his newly purchased Mustang to its limits.
Within a month, he drove the vehicle for approximately 10,000 kilometers. As a car enthusiast,
he took great care and maintained his vehicle. However, after encountering some mechanical
issues and a subsequent temporary repair by a local mechanic, a severe accident occurred on
March 30, 2024. The accident, caused by a mechanical failure, resulted in significant injuries
to Mr. Anand and his son, and extensive damage to the Mustang, rendering it unusable without
substantial repairs.

Subsequently the next day, on 31st March 2024 at around 9:00 am, the car was placed in the
garage within 24 hours of the accident. An insurance agent from TCIC conducted a detailed
inspection and the details were communicated to Mr. Anand by the company’s executive. It
ALTERNATIVE DISPUTE RESOLUTION CENTRE
Law College Dehradun, P.O. Chandanwari, Premnagar, Dehradun
Email- lcdadr@uttaranchaluniversity.ac.in

was deemed that the car had incurred a total loss, primarily due to chassis damage, and assessed
the compensation at about Rs. 1 Crore, which Mr. Anand was entitled to receive. Upon
receiving the insurance report, Mr. Anand was taken aback by the significantly low
compensation amount. He immediately sought clarification from the company. In response,
TCIC explained that the amount of compensation was limited because some parts of the car
had been modified by BHPCARS, which were not covered under the insurance policy.

This revelation intensified Mr. Anand’s frustration and led to a heated dispute with Mr. Raghav,
the owner of BHPCARS, who insisted that all modifications were disclosed prior to the sale
and attributed the accident to Mr. Anand handling of the vehicle. He further explained that
classic cars like the Ford Mustang in India are not imported like regular cars. Instead, their
parts are imported and assembled, making it uncertain whether insurance would cover all
expenses. Additionally, Mr. Raghav asserted that there were no inherent issues with the car and
placed the responsibility on Mr. Anand for the consequences he faced.

Mr. Anand contended that he had not been informed of these details beforehand, whereas Mr.
Raghav countered, asserting that all relevant information had been disclosed during the
transaction. Moreover, he highlighted that Mr. Anand had received complimentary servicing
before taking possession of the car. Tensions between the two escalated when Mr. Anand
accused Mr. Raghav of deceit and fraud and called “BHPCARS a showroom of fraud”,
tarnishing the company's reputation. Enraged by these accusations, Mr. Raghav threatened
legal action for defamation, while Mr. Anand expressed his intention to pursue a lawsuit to
recover his losses.

Recognizing the escalating conflict, legal advisors for both parties recommended mediation.
Mr. Raghav proposed a mediation session, which Mr. Anand accepted. Consequently, a
mediation session has been arranged for April 17, 2024, at the Radisson in Delhi, with the aim
of resolving the dispute amicably.

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