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2011 Supreme(All) 2368

ALLAHABAD HIGH COURT
Prakash Krishna, J.
Haji Barkaullah and Sons and another -Appellant
Versus
Karnataka State Silk Co-operative Marketing Fede., and others -Respondent
Writ C. No. 54827 of 2008
Decided On : 25-08-2011

Iqbal Ahmad Siddiqui, Arvind Srivastava, I.M.Siddiqui, Advocates, for the petitioner, S.A.M.Firdausi, Purushottam Pandey, R.S.Maurya, Advocates, for the respondent.

Service of summons on one partner is sufficient service on the firm, and the decree is binding on the partners.

Headnote:

Delay Condonation - Service of Summons - Order 30 of CPC - [Firm Impleaded as Defendant] - [Order 30 Rule 3 CPC] - [Summary: The court discussed the legality of orders refusing to condone the delay in filing an application for setting aside an ex parte money decree. The court analyzed the service of summons on the firm and its partners, and the applicability of Order 30 Rule 3 of CPC. The court relied on the provisions of Order 30 and the Gambhir Mal Pandiya case to conclude that service of summons on one partner is sufficient service on the firm, and the decree is binding on the partners.]

Fact of the Case:

The petitioners filed a writ petition questioning the legality of orders refusing to condone the delay in filing an application for setting aside an ex parte money decree. The suit was brought against a partnership firm and its partners for non-payment of credit purchases. The petitioners claimed they were not served with summons, and therefore, the delay in filing the application should be condoned.

Finding of the Court:

The court found that service of summons on one partner is sufficient service on the firm, and the decree is binding on the partners. The court relied on Order 30 of CPC and the Gambhir Mal Pandiya case to reject the petitioners' arguments. The court also dismissed the writ petition and vacated the stay order with costs payable by the petitioners to the respondent.

Issues: The main issue was whether the delay in filing the application for setting aside the ex parte money decree should be condoned due to alleged non-service of summons on the petitioners.

Ratio Decidendi: The court's decision was based on the interpretation of Order 30 Rule 3 of CPC and the principles established in the Gambhir Mal Pandiya case, which held that service of summons on one partner is sufficient service on the firm, and the partners cannot raise individual defences against the firm.

Final Decision: The writ petition was dismissed, and the stay order was vacated with costs payable by the petitioners to the respondent.

Prakash Krishna, J.;-

Questioning the legality and validity of the orders dated 27th of August, 2008 passed by the Additional District Judge, Court no.1, Varanasi in Misc. Case No.115 of 2004 and order dated 7th of May, 2004 passed by Civil Judge (Sr. Division), Court No.3, Varanasi in Misc. Case No.5 of 1995, the present writ petition has been filed also for quashing the judgment and decree dated 25th of October, 1986.

2. The only point involved in the present writ petition is whether the Courts below have committed any illegality in refusing to condone the delay of about ten years in filing the application for setting aside the exparte money decree.

3. The petitioner no.1 is a partnership firm and the petitioner no.2 is one of its partners. The other partners have been impleaded as respondent nos.2 to 6 herein as proforma defendant respondents.

4. The original suit no.544 of 1983 was instituted by the Karnataka State Silk Co-operative, Marketing Federation Ltd. Against M/s. Hajee Barkatullah & sons, a partnership firm, through its one of partners Nooruddin. The partners of the Firm were also impleaded as defendant nos.2 to 7. The suit was brought on the allegations that the defendants in connection with their business purchased silk goods of the value of Rs.1,46,674.71 on credit on different dates, as described in the various paragraphs of the plaint. But they have failed to pay the same. The cheques have been dishonoured. A decree for a sum of Rs.2,07,039.36 including interest as also pendentelite and future interest was claimed. The summons and notices were issued to the defendants of the suit. The notice was served personally on Nooruddin (petitioner no.2) herein. It was also served on the other defendants. Service of notice on other defendants is not a matter of dispute. It appears that Mohd. Asraf and Mohd. Mustaq who were impleaded as defendant nos.6 and 7 came out with the case that they have nothing to do with the said firm as they are not partners on the relevant dates. The suit was contested by the defendant nos.6 and 7 namely Mohd. Asraf and Mohd. Mustaq by filing written statement. The issues were struck. As many as five issues were framed in the light of pleadings of the parties and the suit was ultimately decreed on 25.10.1986 against the defendant nos.1 to 5. It was dismissed against the defendant nos.6 and 7 on the finding that their names were not included as partners in the certificate of registration of the firm with the Registrar of the Firms, Chits and Funds.

5. On 20th of January, 1995 the petitioners herein filed an application which was registered as Misc. Case No.5 of 1995 under Order 9 Rule 13 C.P.C for setting aside the exparte decree on the allegations that the petitioner no.2 when he came to Varanasi on 21.12.1994 was told that an execution case No.20 of 1989 is going on. The house property no.J.1/130-A, Sheshman Bazar, Varanasi and property no. J.4/39 Hanstal, Varanasi are reported to have been auctioned in the said case. He thereafter examined the record of the execution case and filed an application. It was set out therein that the petitioner no.2 was never served with any summons in the Original Suit No.544 of 1983 nor with any notice in the execution case. It was further pleaded that on the inspection of the file of the original suit it also transpired that summon is reported to have been delivered to him. But the said report of the process server is false, fabricated and forged in as much as the signature appearing purported to have been signed by him on the receipt of the summon is not his signature and the said signature is forged. Plea that the opposite party nos.4 to 6 (Aminuddin, Mohd. Asraf and Mustaq Ahmed) are not on good terms with him and they have been acting in collusion with the decree holder against him was also put forward. No application for condonation of delay was filed.

6. The proceedings were contested by the plaintiff by denying the contents of the application and the affidav






































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