Full Order Text
Order 1 · 06 Dec 2021 · CNR MHCC010071332018
Order Details: Ex-parte Judgement Pdf Text: 1 Comm.SU No.1452021 MHCC010071332018 Presented on : 14062018 Registered on : 16082018 Decided on : 06122021 Duration : Y03, M05, D22 IN THE CITY CIVIL COURT AT GREATER BOMBAY COMMERCIAL SUIT NO.145 OF 2021 M/s. H.R. Organo Chem Pvt. Ltd., ] A company incorporated and registered ] under the Companies Act 1956, and having its ] Registered office at 110114, Rewa Chambers ] 31, New Marine Lines, Mumbai400 020 ]...Plaintiff V/s Akhil Raj Sole Proprietor of M/s J & R Associates (N), ] having office at Door No.KP.11/454, ] KurikkathoorKunnamangalam, ] MIEPO, Calicut673 571 ]...Defendant APPEARANCE: Adv. Udaya Sankar Samudrala for the plaintiff. Defendant Exparte. CORAM : RAJESH A. SASNE ADHOC JUDGE (C.R.No.32) DATED : 06th December, 2021 EXPARTE JUDGMENT This is suit under Section 2(1)(c)(i) of the Commercial Courts Act, 2015 for recovery of amount from the defendant against the -- 1 of 7 -- 2 Comm.SU No.1452021 materials sold, supplied and delivered by the plaintiff to the defendant. In brief, the plaintiff's case is as under : 2. The plaintiff is a Private Limited Company, engaged in manufacturing and selling chemicals and chemical products. The defendant is the sole proprietor of M/s. J.R. Associates (N), who is dealing in chemicals and chemical products. From time to time, the defendant has purchased Titanium Dioxide Rutile LCR821 from the plaintiff. On 20.09.2016 and 31.10.2016, the plaintiff has sold, supplied and delivered said chemicals to the defendant. Accordingly, invoices for amount of Rs.3,12,610/ and Rs.3,08,060/ were raised. The defendant has accepted the delivery of these goods without any demur. The defendant was liable to make payment within 30 days from the date of invoice. The defendant has made part payment of Rs.25,000/ against the total due Rs.6,20,670/. Therefore, balance amount of Rs.5,95,670/ is due and payable by the defendant to the plaintiff. 3. The defendant was required to furnish 'C' Forms, but has failed to furnish it. Due to same, the Government authorities levied tax, interest and penalty. The plaintiff was required to make payment of the same. Due to noncompliance of the defendant, there will be liability of Rs.1,96,396.52/ towards levy of interest and penalties. The defendant is liable to furnish 'C' Forms or in default liable to pay for reimburse the interest and penalties which may be levied by the Government. 4. The plaintiff by notice dated 22.11.2017 called upon the defendant to make payment of Rs.5,95,670/ with interest at the rate of 24% p.a. from the date of invoices. The defendant, failed to make the payment. The plaintiff also called upon the defendant to furnish Form -- 2 of 7 -- 3 Comm.SU No.1452021 'C' or to pay Rs.1,39,630.85. By its reply dated 27.12.2017, the defendant claimed that there were defects in quality of goods. It is also alleged that the plaintiff's representative has agreed to settle the amount for 50% of the invoice. It is further alleged that the defendant has not made the payment of Rs.2,85,335/ as the defendant did not receive the terms in writing. The defendant has shown the interest in making payment of Rs.2,85,335/ as settlement amount. The plaintiff has replied said letter of the defendant and called upon the defendant to make the payment of Rs.5,95,670/ and also to make compliance of 'C' forms. The defendant has received said letter but failed to make the payment. Hence, the plaintiff by filing this suit has prayed for decree in sum of Rs.7,98,197/ alongwith interest at the rate of 24% p.a. on principal amount of Rs.5,95,670/ from the date of filing of this suit till realisation. The plaintiff also prayed for decree directing the defendant to comply with furnishing 'C' form or to pay Rs.1,96,396.52. 5. By my Predecessor's order dated 22.04.2021, the suit is proceeded exparte against the defendant. 6. Heard the learned Advocate for the plaintiff. No argument of the defendant. Points for determination along with my findings thereon with reasons are as follows: POINTS FINDINGS 1. Whether the plaintiff proves that the defendant has purchased material amounting Rs.6,20,670/ from the plaintiff? Yes 2. Whether the plaintiff proves that the defendant has failed to pay due amount of Rs.5,95,670/? Yes -- 3 of 7 -- 4 Comm.SU No.1452021 3. Whether the plaintiff is entitled to recover amount of Rs.7,98,197/ alongwith interest @ 24% p.a. on principal amount of Rs.5,95,670/? Yes 4. Whether the plaintiff is entitled for the reliefs in respect of directions against the defendant to comply with respect to the submission of form C or in default to pay Rs.1,96,396.52? No 5. What order and decree? Suit is partly decreed REASONS AS TO POINT NOs.1 TO 3: 7. Point Nos.1 to 3 are interlinked with each other, hence they are taken together for consideration. The plaintiff has examined Aelred (PW1) at Exh.06. He deposes in support of the contentions made in the plaint. The tax invoices at Exh.9 and 11 show that the plaintiff has sold to the defendant Titanium Dioxide Rutile LCR821 amounting to Rs.3,12,610 and Rs.3,08,060/ (Total amount Rs.6,20,670/). The cosigner copy at Exh.10 and 12 shows that these goods are delivered through said cosigner to the defendant. By notice reply dated 27.12.2017 Exh.16 the defendant has admitted the delivery of these goods. It is contented therein that said material was adulterated. The invoices on record at Exh,.09 and 11 shows that these products are sold to the defendant on 20.09.2016 and 30.10.2016. By notice reply Exh.16 in the month of December, 2017 for the first time the defendant has disputed about the quality of the goods sold by the plaintiff to the defendant. 8. In view of Section 42 of the Sale of Goods Act, 1930 the defendant was expected to communicate about the rejection of the -- 4 of 7 -- 5 Comm.SU No.1452021 goods within reasonable time. The communication made by the notice reply dated 27.12.2017 of the goods sold on 20.09.2016 and 30.10.2016 is not within reasonable time. Communication about quality of goods by notice reply is afterthought. Hence, it is deemed that the defendant has accepted the goods without any demur. Therefore, he is liable to make payment for the same. 9. It is the contention in the notice reply of the defendant that the plaintiff's representative has decided to settle the amount for 50% of amount of invoices. No such document to that effect is placed on record by the defendant. Hence, it is not acceptable that there was such settlement agreement. Record shows that the defendant has purchased goods from the plaintiff. The cost of said goods is Rs.6,20,670/. As admitted by the plaintiff, the defendant has made part payment of Rs.25,000/. Hence, the defendant is liable to pay the balance amount of Rs.5,95,670/. 10. As per the agreed terms on invoice, the interest claimed @ 24% is fair. Hence, the defendant is liable to pay amount of Rs.5,95,670/ with interest @ 24% p.a. Hence, the defendant is liable to pay the amount of Rs.7,98,197/ alongwith interest @ 24% p.a on principal amount of Rs.5,95,670/ from the date of filing of suit till realisation. I answer point Nos.1 to 3 accordingly. AS TO POINT NO.4: 11. Except the statement of the penalty for noncompliance as to submission of C form, there is no other document on record to show that the plaintiff has already incurred said amount for default by the defendant. The plaintiff has not produce any notice or demand from the -- 5 of 7 -- 6 Comm.SU No.1452021 Government directing it to deposit said amount. Hence, the relief claimed in that regard cannot be granted. In the result, I answer point No.4 in the negative. AS TO POINT NO.5 : 12. In view of my findings recorded against point Nos.1 to 4, the suit is required to be partly decreed with costs. As the defendant has compelled the plaintiff to file this suit, the defendant shall bear costs of this suit. In the result, in answer to point No.5, I pass the following order. ORDER 1. Suit is partly decreed with costs. 2. The defendant do pay to the plaintiff the amount of Rs.7,98,197/(Rupees Seven Lakh Ninety Eight Thousand One Hundred Ninety Seven Only) alongwith interest at the rate of 24% per annum on the principal amount of Rs.5,95,670/ (Rupees Five Lakh Ninety Five Thousand Six Hundred Seventy Only) from the date of filing of suit till realisation. 3. Decree be drawn up accordingly. (Rajesh A.Sasne) Judge, City Civil & Sessions Court, Date : 06.12.2021 Mumbai. Dictated directly on computer on : 06.12.2021 Typed on : 06.12.2021 Signed by HHJ on : 07.12.2021 -- 6 of 7 -- 7 Comm.SU No.1452021 “CERTIFIED TO BE TRUE AND CORRECT COPY OF THE ORIGINAL SIGNED JUDGMENT/ORDER” 08.12.2021 at 5.27 p.m. UPLOAD DATE AND TIME (Mrs. K.S.Bhosale) NAME OF STENOGRAPHER Name of the Judge HHJ SHRI RAJESH A.SASNE (COURT ROOM NO.32) Date of pronouncement of judgment/order 06.12.2021 Judgment/order signed by P.O. on 07.12.2021 Judgment/order uploaded on 08.12.2021 -- 7 of 7 --
