IN THE HIGH COURT AT CALCUTTA
I.P. MUKERJI, ANIRUDDHA ROY, JJ.
Vijai Shree Pvt. Ltd. – Appellant
Versus
Union of India and Others – Respondents
A.P.D. No. 101 of 2017, C.S. No. 145 of 2006
Decided On : 07-09-2021
Work Order - Damage of goods supplied - Defective order supply - Supply of 780 Bales of B-Twill Bags - Director of Supply and Disposals had advised the sixth defendant consignee to lodge its claim against the Railway Authority since the goods got wet by rain during transit through wagon and the same according to the plaintiff is not a quality complaint - Since damaged Gunny Bales were supplied by the plaintiff and found to be defective, the sixth defendant took immediate steps to intimate the relevant authority for withholding payment on account of the plaintiff - Principles of waiver, acquiescence and estoppels.
Finding of the Court:
Receipts which only contained the remark that an insignificant number of bags were torn. In other words, apart from this, there were no complaints whatsoever that the consignment or any part of it was rain damaged. Secondly, the quality assurance certificate issued two or three days before the loading of the goods into the wagon showed that the goods were accepted by the respondent/buyer. The production of this quantity of evidence was, in my opinion, sufficient for the appellant/plaintiff, to prove that the goods were indeed entrusted in good condition to the Railway authority - The evidence led on behalf of the respondent/buyer that the goods became water damaged in transit did not prove its case at all because wetness of the bags at the time of its delivery to the railways was material and not damage by water during transit.
Result: Appeal allowed.
JUDGMENT :
ANIRUDDHA ROY, J.
1. This is an appeal from the impugned judgment and order dated January 10, 2017 passed by the learned Judge whereby and whereunder the Civil Suit C.S. No. 145 of 2006 (Vijai Shree Limited vs. Union of India and Others) was decreed.
2. The scope of the present appeal is very limited. The plaintiff/appellant is principally aggrieved to the extent the impugned judgment was held against it that, it would have to replace 288 numbers of damaged gunny Bales in favour of the sixth defendant at its own cost in terms of the warranty within a period of three months of the date of the impugned judgment and only on fulfilling the same it would be entitled to a decree for payment of money withheld by the sixth defendant. Considering the scope of this appeal, as stated above, the relevant facts are stated hereinafter which are not much disputed by the parties as recorded in the impugned judgment.
PLAINT CASE:
3. The plaintiff carries on business of manufacturing and trading in various jute products having its jute mill situated at Shibpur, Howrah, West Bengal. At the relevant point of time the jute mill was being run and operated under a scheme sanctioned and approved by the Board for Industrial and Financial Reconstruction (for short B.I.F.R.)
4. The plaintiff received orders from the office of the second defendant for manufacturing B-Twill Bags as per the government orders. The procedure normally followed is that, various government organizations all over India, to place their respective orders on the fifth defendant, who in turn request the office of the second defendant to place orders on various jute manufacturers. As per the production control orders the jute manufacturers supply the said B-Twill Bags to the designated government organizations.
5. On or about June 2, 2003 the third defendant issued an order that, the plaintiff to produce 780 Bales of B-Twill Bags. Subsequent thereto on June 3, 2003 the Deputy Director of Supply and Disposals, Kolkata issued an order that, the plaintiff to sell the said 780 Bales B-Twill Bags to the Punjab State Cooperative Supply and Marketing Federation Ltd. the sixth defendant, through the Governor of Punjab. On or about June 3, 2003 the seventh defendant issued the purchase order upon the plaintiff to supply the consignment where the price, specifications, terms and conditions were mentioned.
6. Pursuant and in terms of the said order, the plaintiff manufactured the necessary bags and despatched them by Railway wagon to Sangrur, Punjab under Free on Rail (for short, ‘FOR”) contract. On or about June 23, 2003 the plaintiff informed the sixth defendant that it had despatched 390 Bales to Sangrur, Punjab under the relevant Railway Receipts which were mentioned in the said letter. The said goods and receipts were collected by Punjab State Cooperative Supply and Marketing federation Ltd., the sixth defendant, (for short, the consumer) at Sangrur, Punjab and the goods were duly taken delivery and consumed.
7. The plaintiff then sent Railway receipt, mills specification against the discharge of goods along with the Quality Assurance Certificate to the consignee, the sixth defendant and the bills for the said consignment were sent to the eighth defendant.
8. Sometime in August, 2003 the plaintiff received a letter dated July 18/28, 2003 written by the Acting Director, Quality Assurance to the Chief Manager (Food grains), Punjab State Cooperative Supply and Marketing Federation Ltd. and with the said letter, a copy of the letter dated July 9, 2003 written by the Chief Manager (Food grains), Punjab State Cooperative Supply and Marketing Federation Ltd. to the Director of Supplies and Disposals was also attached. It was alleged in the said letter that 390 Bales which were received by the consignee were badly affected by rain and the Railway Authority did not accept any remark on the delivery of the goods. These Bales were lifted by the consignee to avoid further damages and kept separately.
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