IN THE HIGH COURT OF DELHI
Manmohan, Navin Chawla, JJ.
Mittal Electronics - Appellant
Versus
Sujata Home Appliances Private Limited - Respondent
FAO(OS) (COMM) 153 of 2020 & CM Appls. 30023-25 of 2020 and 30354-55 of 2020
Decided On : 09-02-2022
| Table of Content |
|---|
| 1. challenging the order from a single judge. (Para 1) |
| 2. contentions regarding suppression of material facts. (Para 2 , 3 , 4) |
| 3. judicial findings on material facts. (Para 5) |
| 4. order to expedite hearing and maintain accounts. (Para 6) |
JUDGMENT
Manmohan, J.: (Oral)-- The hearing has been done by way of video conferencing.
1. Present appeal has been filed challenging the order dated 9th September, 2020 passed by learned Single Judge disposing of I.A. No. 1751/2020 filed under Order XXXIX Rules 1 and 2 of the Code of Civil Procedure, 1908 (in short, `CPC') and I.A. No. 4098/2020 filed under Order XXXIX Rule 4 of CPC in CS (Comm) No. 60/2020.
2. After some arguments, learned senior counsel for the appellant- plaintiff states that the appellant would be satisfied in the event, this Court were to direct the learned Single Judge to expedite the disposal of the suit i.e. CS (Comm) No. 60/2020) and also direct the respondents-defendants to maintain accounts with regard to goods manufactured and sold by them bearing the mark SUJATA.
3. Learned senior counsel for the appellant-plaintiff also states that learned Single Judge has erroneously presumed and concluded that there had been suppression and/or concealment of material facts in the plaint on the part of the appellant-plaintiff.
4. Learned counsel for the respondents-defendants states that the respondents-defendants have no objection to the hearing of the suit being expedited as well as if a direction is issued to the respondents-defendants to maintain accounts with regard to the goods manufactured and sold bearing the mark SUJATA. He, however, states that the finding of the learned Single Judge with regard to the suppression and/or concealment by the appellant- plaintiff was justified.
5. We have heard the learned counsel for the parties at some length. We are of the view that at this stage, in the facts of the present case, the learned Single Judge could not have finally concluded that the appellant-plaintiff had concealed material facts and indulged in clever drafting. The said conclusive findings could have been reached only after a full trial. Consequently, the issue of suppression and/or concealment is left open to be decided after a full trial by the learned Single Judge.
6. As agreed, the present appeal and applications are disposed of with a direction to the learned Single Judge to expedite the hearing of the suit i.e. CS (Comm) No. 60/2020. The respondents-defendants are also directed to maintain and file books of accounts quarterly with regard to the goods manufactured and sold by them bearing the mark `SUJATA' till the disposal of the suit.
Conclusive findings regarding suppression of material facts should not be made in interim proceedings and require a full trial to evaluate evidence comprehensively.
Concealment of material facts and alternative effective remedy for challenging ex parte interim relief orders.
A party seeking discretionary relief must approach the court with clean hands and disclose all relevant facts; failure to do so may invite sanctions under Section 340 of Cr.P.C.
It is bounden duty of court to uphold truth and do justice.
Fraud must involve suppression of a material fact that could affect the outcome of legal proceedings; mere claims of fraud are insufficient to warrant review of a judgment.
Interim injunction refused for material concealment of prior compromise; courts deny equitable relief to unclean hands, no interference absent perversity when actions per settlement cause no prejudic....
A litigant who approaches the court with unclean hands, by concealing material facts, is not entitled to any relief.
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