SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2024 Supreme(Mad) 2453

IN THE HIGH COURT OF JUDICATURE AT MADRAS
P. DHANABAL, J.
Munuswamy and Anr. - Petitioners 
Versus
B. Harilal - Respondent 
C.R.P. No. 4261 of 2022 and C.M.P. No. 22369 of 2022
Decided On : 05-07-2024

Advocates Appeared:
For the Petitioners: Mr. M. Ravi Bharathi
For the Respondent: Mr. K. Chandrasekaran

A defendant must establish a valid triable issue to secure leave to defend in a summary suit under the Code of Civil Procedure. Failure to challenge the resulting decree limits further remedies.

Headnote:(A) Code of Civil Procedure, 1908 - Order XXXVII - Summary suit for recovery of money - Petitioners sought leave to defend the suit, alleging lack of execution of promissory note and forgery of documents. Trial Court dismissed the petition, leading to this Civil Revision Petition. (Paras 1, 3, 4, 5, 8)

(B) Leave to defend - The court emphasized the need for triable issues before allowing leave to defend in a summary suit, and the inadequacy of the petitioners' arguments did not warrant reversal of the Trial Court's order. (Paras 9, 10)

Facts of the case:
The respondent filed a summary suit for recovery based on a promissory note, which the petitioners denied executing, citing forged documents and lack of service of proper summons.

Findings of Court:
The court noted that petitioners could challenge the decree resulting from the suit but did not take necessary steps following the Trial Court's ruling.

Issues: The main issues involved the execution of the alleged promissory note, service of summons, and whether there were sufficient triable issues to justify leave to defend.

Ratio Decidendi: The court reasoned that without challenging the ex-parte decree, it could not grant leave to defend and reiterated that the theory of dependent orders may not apply in this context.

Result: Civil Revision Petition dismissed.

Table of Content
1. summary of factual background in the case. (Para 1 , 2 , 3 , 4)
2. arguments regarding executing and serving of summons and validity of promissory note. (Para 5 , 6)
3. court's analysis of pleadings, procedural compliance, and implications of ex-parte decree. (Para 7 , 8 , 9 , 10)
4. final dismissal of the civil revision petition. (Para 11)

ORDER :

P. DHANABAL, J.

1. This Civil Revision Petition has been preferred as against the order passed in I.A. No. 1 of 2021 in O.S. No. 5183 of 2021 on the file of the XIX Assistant City Civil Court at Chennai, wherein the petitioners herein have filed the petition before the Trial Court seeking leave to defend the suit and the same was dismissed. Against which, the present Civil Revision Petition is filed.

2. The petitioners are the defendants in the suit and the respondent herein has filed the suit for recovery of money before the Trial Court as a summary procedure suit, wherein the petitioners have filed petition seeking leave to defend the suit. The respondent-plaintiff, on 30.07.2006, approached the 1st petitioner herein to start the business in the name of M/s. Maha Yoga, for which he needed a commercial place for rent. He also agreed to rent out his first floor building for an amount of Rs. 17,100/- per month and advance amount of Rs. 2,50,000/-. After 11 months, the respondent-plaintiff again wanted to renew the rental agreement and it was orally extended for another 11 months. Thereafter, there was a misunderstanding between them. The matter went up to police station and there the petitioners returned the advance amount and the respondent-plaintiff agreed to vacate the premises. The petitioners never executed any promissory note in favour of the respondent- plaintiff. The alleged pro-note is forged. The documents filed by the respondent are all forged. The petitioners have got valuable defence in the suit to contest on merits and several triable issues arise for consideration before the Court. The respondent conveniently supressed the relationship between him and the petitioners/defendants as tenant and landlord. But the Trail Court dismissed the petition.

3. According to the respondent, the petitioners borrowed a sum of Rs.3,50,000/- as a loan and executed a promissory note and agreed to pay the interest of 18% per annum and thereafter they did not repay the amount and thereby issued legal notice dated 20.11.2019 and the same was received by the petitioners-defendants, but they failed to pay the amount, thereby he filed suit. Before the Trial Court, the petitioners filed petition for leave to defend the case and the same was dismissed for lack of triable issues.

4. Before the Trial Court, no oral or documentary evidences were adduced by either side. The Trial Court after hearing both sides, dismissed the petition.

5. The learned counsel appearing for the petitioners would contend that the respondent herein has filed a suit as against these petitioners for recovery of money based on the promissory note, but the petitioners never executed any such promissory note. They filed petition before the Trial Court under Order XXXVII Rule 3(5) of the Code of Civil Procedure, 1908, seeking leave to defend the suit and the same was dismissed. In fact, the respondent has not served proper summon and the summon does not disclose about the provisions under Order XXXVII and the summon was not served under App.B. Form No. 4 of the Code of Civil Procedure, 1908, but only ordinary summon was served. Since the petitioners denied the execution of pro-note, the Trial Court ought to have allowed the petition. The respondent suppressed that there is a dispute between them in respect of vacating the premises which was rented to the respondent by the petitioners. In the pro-note also there is no reference about the father's name and the address of the parties and thereby the pro-note not at all comes under the definition of negotiable instrument. Therefore, there are triable issues, but the Trial

Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top