Recovery suit, for non delivery of spare parts adjudicated in plaintiffs favor.

Recovery suit, for non delivery of spare parts adjudicated in plaintiffs favor.

Co. Law, Sebi, Audit & A/c

Plaintiff Co. mfd. of all types of Web/Sheet Fed Offset Printing Machines. Plaintiff Co. ordered spare parts from defendant. They failed to deliver even after due payment. Thus, suit for recovery filed­ against them. Court held, In view of findings, plaintiff entitled to interest on sum of Rs. 5 Lakhs. Sum of Rs. 5 Lakhs was advanced by plaintiff to defendants in a commercial transaction. Thus, interest @ 12% P.A held appropriate & reasonable.-500197

Facts in Brief:

1. Plaintiff company, through its authorized representative filed the present suit for recovery of Rs. 5,17,089/­ alongwith pendentelite and future interest @ 24% per annum against the defendants.

2. Plaintiff company has been engaged in the business of manufacturing of all types of Web/Sheet Fed Offset Printing Machines.

3. Defendant no­1 has been a partnership firm and defendants nos. 2 and 3 have been its partners, who were responsible for day to day affairs, dealing and transaction for and on behalf of defendant no­1.

4. On 12.08.2010, defendants no­2 and 3 approached the plaintiff company at its registered office and desired for supply of spare parts like frame and cylinders in 546 mm cuts of sizes. CS­39/2010 Defendants no. 2 and 3 being the old supplier of plaintiff company for the last few years, although, an amount of Rs. 17,089/­ was pending due against defendant no­1, the plaintiff company made fresh order for supply of spare parts.

5. The defendants no. 2 and 3 requested the plaintiff to pay an amount of Rs. 5 Lakhs in advance as defendants had been suffering from financial crunch, the plaintiff company had transferred a sum of Rs. 5 Lakhs through HDFC Bank vide RTGs No. 10232432289 on 20.08.2010 and it was duly received through the banker of defendants. Thereafter, defendants no. 2 and 3 failed to supply the spare parts, as promised to plaintiff.

6. Plaintiff telephonically requested the defendants to supply the spare parts as there was urgent need of the spare parts to assemble the printing machine. But defendants have totally declined to supply the ordered goods of the plaintiff and further asserted that they would neither supply the spares parts nor returned the amount.

7. Despite service of legal notice and reminders to the defendants on phone, defendants did not make payment of the plaintiff company.

8. Plaintiff company also filed a complaint before SHO P.S. CS­39/2010 Rajinder Nagar, New Delhi to take appropriate legal notice against defendants, which is pending. Resultant had been this suit.

On filing of recovery suit, Court held as under:

9. In view of the findings on issue no­4 above, plaintiff is entitled to interest on sum of Rs. 5 Lakhs. Interest has to be granted keeping in view the economic standards of country and the conduct of the CS­39/2010 parties. Sum of Rs. 5 Lakhs was advanced by plaintiff to defendants in a commercial transaction. In my view, accordingly, interest @ 12% per annum from date of filing of suit till realization would be appropriate and reasonable.

Whether the defendant is entitled to sum of Rs. 3,43,965/­ as claimed in the counter claim? OPD

10. Since, there was no appearance on behalf of defendant and accordingly the counter claim was dismissed for non­appearance as well as for non­prosecution vide order dated 04.07.2013, of my Ld. Predecessor. Even otherwise as per findings of issue no­4, defendant is not entitled for any sum as claimed as per counter claim. Nothing more is required to be held on this count.

Whether the defendant is entitled to any interest, if so at what rate, on what sum and for which period?

11. Since, defendant is not entitled for the sum of counter claim as his counter claim stands dismissed for non­prosecution, by order dated 04.07.2013 of my Ld. Predecessor, so defendant is not entitled for any interest.

RELIEF:

12. In view of my findings with respect to the issues above, the suit of the plaintiff is decreed in terms that a sum of Rs. 5 Lakhs is payable to plaintiff by the defendants, jointly and severally, with interest @ 12% from the date of filing of the suit till realization. The proportionate costs of the suit are also allowed in favour of the plaintiff. Decree sheet be prepared and file be consigned to record room.

Case Reference- Radiant Machineries Pvt. Ltd vs ) M/S Anchor Engineers 

IN THE COURT OF SH. GURVINDER PAL SINGH

ADDITIONAL DISTRICT JUDGE­01 (CENTRAL)TIS HAZARI COURTS, DELHI M/S