1. This appeal arises out of a suit instituted in the Court of the Principal Munsiff, Bellary in O. S. No. 802 of 1964 by the plaintiff for recovery of Rs. 3909-93 due on a promissory note executed by the defendant for Rs. 3550-63 on 15-8-1962 with interest of Rs. 358-50 thereon and a sum of Rs. 0-80 Ps. towards demand charges. In paragraph 3 of the plaint, this is what the plaintiff stated :
"The defendant was borrowing sums now and then from the plaintiff's shop for his family necessity. After settlement of the entire account and account was stated between the parties on 15-8-62, the defendant became due in a sum of Rs. 3550-63 nP. for which consideration, the defendant executed a promissory note in favour of the plaintiff on that date agreeing to repay the same on demand together with interest at 12% per annum. Till now, the defendant failed to pay any amount towards the suit pronote debt."
In effect, what the plaintiff thereby meant was that the promissory note on the basis of which the suit was instituted was one which came into existence in lieu of the earlier transactions between the plaintiff and the defendant under which certain sum of money was found to be due after looking