HIGH COURT OF JAMMU & KASHMIR AND LADAKH AT SRINAGAR
SANJAY DHAR, J
Ahsan Ahmad Malik – Appellant
Versus
Basharat Feroz Ganie – Respondent
| Table of Content |
|---|
| 1. suit for recovery (Para 1) |
| 2. application for recall (Para 2 , 3 , 4 , 5) |
| 3. impermissible dismissal (Para 6 , 7 , 8) |
| 4. options for defendant (Para 9 , 10) |
| 5. consideration of merits (Para 11) |
| 6. trial court's obligation (Para 12) |
| 7. failure of justice (Para 13 , 14 , 15 , 16 , 17 , 18 , 19 , 20) |
JUDGMENT :
2. It appears that the respondent/plaintiff had filed a suit for recovery of an amount of Rs.7,32,000/ against the appellant/defendant by invoking the provisions contained in Order 37 of the Code of Civil Procedure. According to the respondent/plaintiff, the appellant/ defendant had purchased cardboard boxes from him and after settlement of accounts, the defendant had to pay an amount of Rs.7,82,000/ to the plaintiff. In discharge of the said debt, the defendant is stated to have issued six cheques for a total amount of Rs.7,82,000/ on different dates but when these cheques were presented for encashment, the same were returned unpaid to the plaintiff on account of insufficiency of funds. A legal notice of demand is stated to have been served by the plaintiff upon the defendant but he paid only an amount of Rs.50,000/ to the plaintiff and rest of the amount i.e. Rs.7,
A defendant's application for leave to defend must be considered on its merits and cannot be dismissed for non-prosecution.
Setting aside of ex parte judgment and decree – Defendant is obliged to apply for leave to defend only after he has been served with summons for judgment.
The court ruled that failure to serve summons for judgment invalidates an ex parte judgment, emphasizing the mandatory nature of procedural requirements under Order 37 of the CPC.
The court upheld the dismissal of the petitioner's application to set aside an ex parte decree, finding no sufficient cause for his absence during proceedings.
The main legal point established in the judgment is that appeal is a statutory right and must be explicitly provided for in a statute. The judgment also emphasizes the principles governing a suit und....
The failure to demonstrate 'special circumstances' under Order 37 Rule 4 of the CPC precludes a party from setting aside an ex parte decree for non-appearance.
Point of Law : Order of the learned Trial Judge rejecting the application for leave to defend on merits, ought to be substituted by an order rejecting that application as premature.
Failure to file an application for leave to defend within the prescribed period results in dismissal of the appeal and upholding of the decree.
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