( 1 ) SUIT wherein this IA seeking leave to defend suit came to be filed, was instituted under Order XXXVII Civil Procedure Code by the plaintiff alleging that defendant No. 1 is a partnership firm whereof defendants 2 to 8 are the partners. Pursuant to the orders placed by defendant No. 1, the plaintiff-firm had supplied goods to it and in the books of accounts of plaintiff maintained in due course of business, a sum of Rs. 51,56,058. 09 was due from the defendants. The plaintiff issued a legal notice to defendant No. 1 through its counsel on ll th April, 1992 to which a reply was sent by it through its advocates. It is stated that thereafter matter was settled and a Memorandum of understanding dated 8/04/1994 was executed between the parties pursuant to which defendant No. 1 agreed to pay a total sum of Rs. 41 lacs to the plaintiff. According to this MOU, Rs. 10 lacs were to be paid on 8/04/1994, Rs. 5 lacs on 8/07/1994, Rs. 5 lacs on 8th August, 1994, Rs. 5 lacs on 8/09/1994, Rs. 5 lacs on 8th Ocotber, 1994, Rs. 5 lacs on 8/11/1994 and Rs. 6 lacs on 8/12/1994. Defendants paid Rs. 10 lacs through cheque No. 048682 dated 8/07/1994, Rs. 5 lacs through cheque No. 048683 d