IMPORTANT POINT
Question of limitation will have to be considered along with other issues that would arise for adjudication in suit.

JUDGMENT

R. BANUMATHI, J.

Leave granted in SLP(C) No.25341 of 2019.

2. Being aggrieved by the order dated 08.08.2019 as corrected by order dated 19.09.2019 passed by the Division Bench of the High Court of Bombay in Commercial Appeal No.148 of 2017 in Suit No.2410 of 2008 in and by which the Division Bench has reversed the order of the Learned Single Judge dated 16.03.2017 by holding that the Suit No.2410 of 2008 filed by respondent No.1- MHL is within the period of limitation, the appellants are before this Court in this appeal.

3. On the first date of hearing, Mr. Fali S. Nariman, learned Senior counsel appearing for the appellants-Ruias sought permission amend the synopsis and also grounds of appeal. By the order dated 13.11.2019, the same was permitted.

4. When the matter came up for admission, Ms. Aruna Gupta, learned counsel for respondent No.1 who is contesting respondent, has taken notice. The first respondent was represented by learned Senior counsel Mr. Dhurv Mehta.

5. For hearing, the matter was adjourned to number of dates and taken up on 13.12.2019. We have heard Mr. Fali S. Nariman, Mr. S. Ganesh and Dr. A.M. Singhvi, learned senior counsel appearing on behalf of the appellants as well as Mr. Dhruv Mehta, learned senior counsel appearing on behalf of the respondent no.1 along with Mr. Sreegesh N.K. learned counsel.

6. For convenience, the parties are referred in abbreviated form: Appellants – Ruias; Respondent No.1 - Messer Holdings Limited (MHL); Respondent No.2 – Bombay Oxygen Investments Ltd. (BOIL); Respondent No.3 - Messers Giresheim GmbH (MGG) and Respondent No.4– Goyal MG Gases Private Limited (GGL).

7. The contesting parties have had several rounds of litigations:- (i) Civil Suit No.I - 1810 of 1998 filed by respondent no. 4 - GGL against respondent No.3 (MGG); (2) Suit No.II – 2499 of 1999 filed by the appellants-Ruias against respondent No.3(MGG) and respondent No.4(GGL); (3) Suit No.III -509 of 2001 filed by the appellants-Ruias against respondent No.4 (GGL) and respondent No.3(MGG) and (4) Suit No.IV - 2410 of 2008 filed by respondent No.1(MHL) with which we are concerned.

8. In Suit No.III – 509 of 2001, Ruias and MGG (respondent No.3) entered into a settlement on 05.12.2002 wherein MGG (respondent No.3) is purported to have transferred 75,001 shares of BOIL(respondent No.2) and Ruias is purported to have agreed to pay US$ 154.642 etc. for those 75,001 shares of BOIL (respondent No.2). It is stated that parties thereon viz Ruias(appellant) and MGG(respondent No.3) have agreed that in view of the settlement, Ruias would not prosecute the proceedings against respondent No.3 (MGG); but they would pursue their proceedings against respondent No.1(MHL) and respondent No.4(GGL).

9. Respondent No.1-MHL filed the Suit No.IV - 2410 of 2008 to cancel the said Settlement Agreement dated 05.12.2002 under which 75,001 shares of respondent No.2(BOIL) has been transferred to the appellant(s)- Ruias by respondent No.3 (MGG). In Suit No.IV, MHL (respondent No.1) inter alia prayed for injunction against the development agreement dated 04.02.2008 granting development rights to one Company by name HDIL and for declaration of MHL-respondent No.1’s ownership of 75,001 shares of BOIL (respondent No.2) and other reliefs.

10. The dispute between the parties had also travelled up to Supreme Court and this Court decided the matter in the case of Nugen Machineries Limited v. Minal A. Goswami & Anr. reported in (2016) 11 SCC 484. Considering the contentions of the parties, and observing that rights of parties are to be established in Suit No. IV, in paras (38), (44) and (45), the Supreme Court held as under:-

“38. The existence of title in MGG in the said 75,001 shares cannot be disputed by either GGL or MHL, at least, till the date of the consent award i.e. 21-9-2000 because GGL and MHL’s claim for title over the said shares flows from MGG’s prior title and the subsequent alleged transfer pursuant to the consent award. In such a case, beca