ARIHANT RICE INDUSTRIES Vs. SHUBHALAXMI VENKATESWARA TRADERS

JUDGEMENT

(1.) The present appellant was the defendant in the Court of Civil Judge (Sr. Dn.) at Gangavathi (henceforth for brevity referred to as "the Court below") against whom the present respondent as a plaintiff had instituted a suit in O.S.No.73/2003 for the recovery of money. The Court below by its judgment and decree dated 17.07.2006 decreed the suit for a sum of Rs.2,01,400/- with future interest at the rate of 18% p.a. from the date of filing of the suit till realization against the defendant therein. Being aggrieved by the said judgment and decree, the said defendant has preferred this appeal.

(2.) In its memorandum of appeal, the appellant has taken a contention that the Court below has failed to appreciate the provisions of Section 69(2) of the Indian Partnership Act, 1932 (henceforth for brevity referred to as "the Partnership Act"), according to which, no suit to enforce the right arisen from a contract shall be instituted by or on behalf of a firm against any third party, unless the firm is registered. In the instant case, the plaintiff is not a proprietorship concern and the partnership firm was an unregistered one, as such, the suit itself was not maintainable. Thus, the Court below ought to have dismissed the suit on the ground that the suit was filed by a wrong plaintiff.

(3.) In response to the notice, the respondent has appeared and is being represented by its counsel. The lower court records were called for and the same are placed before this Court.