GP BHATIA Vs. DEE KAY INC

JUDGEMENT

(1.) The petitioner is aggrieved by the impugned order dated 29.09.2011 whereby the application filed by the defendant seeking leave to defend had been allowed; leave to defend had been granted to the defendant in the pending suit filed by the plaintiff under Order XXXVII of the Code of Civil Procedure (hereinafter referred to as the 'Code').

(2.) Record shows that the present suit has been filed by the plaintiff seeking recovery of Rs. 12,65,044/-. Contention of the plaintiff was that the parties had business dealings with one another; the plaintiff was a wholesale dealer of various products including push buttons and cordless phones for reputed companies; the director of defendant No. 1 was purchasing goods from the plaintiff for and on behalf of defendant No.1; the parties had business dealings; plaintiff was maintaining a running account. In March, 2007, the defendant started defaulting in payment. Certain amounts were paid thereafter; balance confirmations were executed by the defendant on 15.07.2006 and 01.06.2009. Legal notice dated 22.12.2009 was sent by the plaintiff to the defendants calling upon them to pay the aforenoted amount of Rs. 12,65,044/- along with interest. Reply to the legal notice is relevant. This is dated 15.01.2010. Paras 2 & 4 of the reply have admitted the liability on the part of the defendants; contention being that the amounts have been paid; further contention in para 4 of the reply being that apart from the amount of Rs. 12,65,044/-, no further amount of Rs. 10 lacs as claimed by the plaintiff is to be paid by the defendants; contention being that this amount has been mentioned in the legal notice only to put pressure upon the defendant. Further contention in para 5 of the reply being that the details of the bills and vouchers have not been given. From a perusal of this reply sent by the defendant to the plaintiff, it is clear that the defendant has admitted his liability of Rs. 12,65,044/-; his contention is that no additional amount apart from Rs. 12,65,044/- as has been claimed in the legal notice is due.

(3.) Thereafter, the present suit had been filed by the plaintiff; this was accompanied by a ledger account of the plaintiff wherein a sum of Rs. 12,65,044/- has been noted in his ledger books as amounts due from the defendant. This was a suit under Order XXXVII of the Code.