A. KULASEKARAN, J. :- Plaintiff is the appellant.

2. The suit was filed for recovery of a sum ofRs.1,87,322.40 together with interest on Rs.1,11,335.75 at 19.5% per annum, from the date of plaint till the date of realisation. The factual matrix of the case is as follows :-

The defendant has placed orders on 20-2-1985 and 28-2-1985 for supply of five machines with the plaintiff, subject to the terms and conditions that if supply was not effected on or before 15-3-1985, penalty of 1% on the total value of the supply would be imposed for every three days of delay subject to the maximum of 10%. The plaintiff has also intimated by letter dated 5-3-1985 that the penalty clause was not agreeable to them as the machines ordered are special in nature, however, agreed to supply the same within the stipulated period and the defendant has sent a reply dated 15-3-1985 intending to relax the penalty clause provided the machines were kept ready for inspection within three months. The Plaintiff has sent a letter dated 14-6-1985 and sought for further extension and not to apply penalty clause. On 1-7-1985, the defendant has sent a letter to the plaintiff extending the time for supply of the