2024 Supreme(Online)(MP) 11166
IN THE HIGH COURT OF MADHYA PRADESH AT INDORE BEFORE HON'BLE SHRI JUSTICE ANIL VERMA ON THE 13 TH OF AUGUST, 2024 FIRST APPEAL No. 819 OF 2015 ( M/s Corteva Agriscience India Private Limited Vs M/s Innovative Retail Constructing (P) Ltd.)
Appearance:
(Shri S.C. Bagadiya Senior Advocate with Shri Rohit Saboo, advocate for appellant)
(Shri Vishal Baheti, Advocate for respondent)
Ramesh Kumar Saboo,
JUDGMENT
1/ The appellant has preferred this First Appeal under Section 96 of the Code of Civil Procedure (in short CPC) being aggrieved by the impugned judgment and decree dated 23.9.2015 passed by 8th Additional District Judge Indore in civil suit No. 6B/2014 whereby the summary suit filed by respondent/plaintiff has been allowed and an application under Order 37 Rule 4 CPC for leave to defend filed by appellant/defendant has been dismissed and he was directed to pay total amount of Rs. 4,47,11,687/- with interest @ 12% per annum from
10.11.2011 and 25.12.2012 till its realization.
2 Brief facts of the case are that the appellant/defendant is a multinational company duly incorporated under the provisions of Companies Act 1956 having its registered office at Gudgaon Haryana. The company is engaged in the business of innovative products, material and services in the field of agriculture, nutrition etc. The respondent/plaintiff is also a company incorporated under the provisions of Companies Act. On 13.6.2011 plaintiff and defendant had entered into a marketing promotional services agreement (for short agreement) whereby the respondent/plaintiff undertook to provide certain specific services for defendant and in consideration of same, the defendant would be liable to pay to the plaintiff 4.6% commission of total revenue on the annual sale of appellant's product. It is also agreed between the parties that payment shall be made to the respondent within a period of 15 days of receipt of invoices generated by the respondent/plaintiff. The defendant did not provide correct sale figures to plaintiff, but despite the same, raised invoices for the months of June, July, August and September 2011 and also received payment for the same. The respondent further raised invoice for the month of October of Rs. 1,02,09,755/- on 10.11.2011 but did not receive any amount for the said invoice. Due to lackadaisical attitude of the defendant, the plaintiff was constrained to terminate its agreement with defendant and gave three month's notice to him on 10.11.2011.
3 Further case of the respondent/plaintiff is that he gave reminders to the appellant to clear invoices for the month of October 2011 but defendant did not respond for any such communication. Thereafter vide letter dated 13.2.2012, the appellant/defendant accepted the termination notice. Thereafter plaintiff raised an invoice for the month of November 2011 to January 2012 amounting to Rs. 3,45,01,932/- on 25.2.2012 but the appellant/defendant failed to make any payment for total invoices generated on 10.11.2011 and 25.2.2012 an amount of Rs. 4,47,11,687/- is due to plaintiff from appellant. Being aggrieved by the same respondent/plaintiff filed a suit for recovery of money claiming interest of 18% on the outstanding amount with total amount of Rs.
6,37,00,000/- on 9.5.2014.
4 The appellant/defendant entered appearance in this summary suit before the trial court and filed an application under Order 37 Rule 4 CPC for grant of leave to defend himself.
5 The learned trial court vide judgment and decree dated 23.9.2015 decreed the summary suit filed by respondent/plaintiff and rejected the application filed by appellant/defendant. Being aggrieved by the same, the appellant has preferred this first appeal.
6 Learned counsel for appellant submits that the impugned judgment and decree passed by the trial court is against law and fact. The respondent/plaintiff suit is not maintainable on the ground of territorial jurisdiction. The trial court does not have any jurisdiction as per clause 16 of the agreement. As per agreement between both the parties any dispute raised between the parties shall be liable to be decided by the court having exclusive territorial jurisdiction at Gudgaon Haryana. The appellant/defendant raised a triable issue. The trial court has failed to decide the triable issue raised by the appellant and erroneously recorded that the defence of appellant qua the high season and low season w