IN THE HIGH COURT OF DELHI AT NEW DELHI
Asha Menon, J.
HT Media Limited & Anr. - Appellants
Versus
Brainlink International, Inc. & Anr. - Respondents
Civil Suit (COMM) No. 119 of 2020
Decided On : 17-12-2021
Condonation of Delay - Filing of Written Statement - Section 151 CPC - Order VIII Rule 1 - [Order VIII Rule 1, Section 151 CPC] - The court dismissed the application for condonation of delay in filing the written statement, emphasizing that the defendants were aware of the suit and participated in various proceedings, and thus, the delay could not be condoned. The court also highlighted that the defendants' claim of not being served with the summons was untenable, and the benefit of the Supreme Court's decision on extension of limitation did not apply to the case.
Fact of the Case:
The defendants sought condonation of delay in filing the written statement, citing the lack of service of summons and the impact of the Covid-19 pandemic. The plaintiffs opposed the application, arguing that the defendants were aware of the suit and participated in various proceedings.
Finding of the Court:
The court found that the defendants' claim of not being served with the summons was untenable and that the delay could not be condoned. It emphasized that the defendants were aware of the suit and participated in various proceedings, indicating that the pandemic did not prevent them from interacting with their counsel and filing appropriate applications and replies.
Issues: The main issue was whether the delay in filing the written statement should be condoned due to the lack of service of summons and the impact of the Covid-19 pandemic.
Ratio Decidendi: The court held that the defendants' claim of not being served with the summons was untenable, and the benefit of the Supreme Court's decision on extension of limitation did not apply to the case. It emphasized that the defendants were aware of the suit and participated in various proceedings, indicating that the pandemic did not prevent them from interacting with their counsel and filing appropriate applications and replies.
Final Decision: The court dismissed the application for condonation of delay in filing the written statement, and the delayed filing of the written statement was not accepted.
JUDGMENT
Asha Menon, J. - I.A.9531/2021 (by the defendants under Order VIII Rule 1 read with Section 151 CPC for condonation of delay in filing the written statement)
1. This order will dispose of the application filed by the defendants under Order VIII Rule 1 read with Section 151 CPC for condonation of delay in filing the written statement. The suit has been instituted by HT Media Limited & another against the defendants seeking a restraint on the defendants from infringing the trademark/domain name of the plaintiffs. A prayer was also made seeking a restraint on the defendants from pursuing the civil action before United States District Court for the Eastern District of New York, particularly, in respect of the civil action titled Brainlink International, Inc. v. HT Media Ltd. & Anr. (Civil Action No. 1 20-cv-01279). A decree for rendition of accounts and damages has also been sought.
2. By way of the present application, the defendants have claimed that they have not been served with the summons in the present suit, having merely received an intimation about the suit having been filed and the order dated 28th April, 2020 having been passed by the court, through email, in compliance of requirements of Order XXXIX Rule 3 CPC. It has been submitted that pursuant thereto, the defendants entered appearance and filed reply to the interim application filed by the plaintiffs and was under bona fide belief that the defendants were not required to file a written statement of defence until and unless served with the summons of the suit. It was also submitted that during this time, the entire world was affected by the Covid-19 pandemic. Even the Supreme Court of India took cognizance of the situation and extended the limitation. Hence, it was prayed that the delay in filing the written statement be condoned and the same be taken on record.
3. The plaintiffs have filed their reply to the said application seeking condonation of delay, opposing the same by submitting that the defendants had filed their written statement on 13th July, 2021, i.e., nearly 441 days, after the ad-interim order was passed in this suit on 28th April, 2020. It was submitted that no cogent reasons have been given to explain the delay and in the light of the fact that throughout, the defendants have appeared in the court, through their counsel, on various dates i.e., on 29th May, 2020, 2nd June, 2020, 9th July, 2020, 17th August, 2020, 16th October, 2020, 4th December, 2020, 22nd February, 2021 and 6th July, 2021, prior to the filing of the written statement, no ground was made out to condone the delay. Thus, it has been prayed that the application be dismissed and the right of the defendants to file the written statement be closed.
4. Both sides have filed their written arguments. I have heard learned counsel and I have perused the material placed on the record. Mr. Manish Dhir, learned counsel for the defendants, has stressed that the 30 days time-line provided for filing of the written statement, extendable for a period of 120 days, is to be calculated from the date when the summons were served. However, in the present case, summons were never served as the defendants had appeared in response to the information furnished in compliance of Order XXXIX Rule 3 CPC. Thus, according to the learned counsel, in actual fact, there is no delay in filing of the written statement.
5. Learned counsel for the defendants has also relied on the judgment dated 23rd September, 2021 of the Supreme Court in Cognizance For Extension of Limitation, In re. (2020) 9 SCC 468 [Misc. Appl. No.665/2021 in SMW(C) 3/2020], to contend that the limitation period has been extended for all purposes. He has further relied on the judgment of the Division Bench of this court in Rohit Sharma v. A.M. Market Place Pvt. Ltd., 2021 SCC OnLine Del 3092 (of which I was a Member). Learned counsel submitted that the delay be condoned and the written statement be taken on record.
6. Per contra, Mr. Vivek Ayyagori,
Sagufa Ahmed vs. Upper Assam Polywood Products Private Limited and Others. (2021) 2 SCC 317
AI
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Active participation in litigation negates claims of non-service of summons, thus preventing the condonation of delay in filing a written statement.
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The court may condone delays in filing written statements due to extraordinary circumstances, such as the Covid-19 pandemic, emphasizing the need for flexibility in applying limitation laws.
The Commercial Courts Act brings about a substantial change in the provisions relating to the period of filing of the written statement and the power of the Court to condone the delay in filing of th....
The court reinforced that the obligation to file a written statement timely is critical, and mere claims of non-service of summons do not justify excessive delays.
The main legal point established in the judgment is the requirement for the defendant to file the written statement within the prescribed period, the consequences of failing to do so, and the applica....
The main legal point established is that while the time schedule for filing a written statement should generally be honored, exceptional situations may warrant an extension to ensure a fair trial and....
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