INDIAN TELEPHONE INDUSTRIES LIMITED Vs. BANSONS ENGINEERING COMPANY

JUDGEMENT

(1.) BOTH the above regular first appeals have been preferred by the defendant in O. S. No. 10777/1987 and O. S. No. 10778/1987 on the file of the3rd Additional City Civil Judge, Bangalore City. Both the suits were for recovery of money being the Indian Agency Commission payable to the plaintiff. O. S. No. 10777/1987 was decreed for a less sum than what has to be paid for. While, O. S. No. 10778/1987 was decreed as prayed for. Aggrieved by the same, the above regular first appeals have been filed by the defendants. As the facts are common, both the appeals are taken up together and a common judgment is delivered. Both the appeals are confined only against the grant of pre suit interest.

(2.) THE facts of the case in respect of both the suits are same and which is as follows :-

(3.) THE appellant herein, who was defendant before trial Court filed a detailed written statement contending that there is no privity of contract between the parties; in view of the fact that the appellant had placed orders directly on the foreign Principal and despatch instructions were also given. It is also claimed by the appellant that under the terms of the contract, the commission payable to the agents of the foreign principal was included in the price payable to the foreign principal and therefore, the respondent had neither direct nor indirect claim against the appellant. The suit was also resisted on the ground that the claim of the respondent is premature in view of the fact that as on the date of the suit the goods had not even reached the appellant. It was also contended that the appellant had paid a sum of Rs. 87,047-04 paise to the respondent/plaintiff which had been accepted by the respondent without any demur. On the basis of the decree passed by the trial Court for Rs. 11,355-86 paise with interest at the rate of 19. 5% p. a. on the balance commission amount of Rs. 3,501-86, the appellant deposited the principal amount of Rs. 3501-86 paise (in respect of O. S. No: 10777/87) along with Court costs before the trial Court.