ANANT RAJ AGENCIES Vs. INDERJIT

JUDGEMENT

(1.) This is a suit for recovery of Rs.2,54.538.00 from the defendants with a pendente life and future interest at the rate of 21 per cent per annum.

(2.) The plaintiff is a registered Partnership Firm, of which Shri Anil Sarin is a registered partner. The plaintiff firm is engaged, inter alia, in the business of construction. The plaintiff firm for the purpose of cam-ing out some construction works awarded to it. required bricks and accordingly entered into an agreement with the defendant No. 1 who is engaged in the business of manufacture for supply of 20 lakhs 1st Class bricks at the rate of Rs.350.00 per thousand bricks, inclusive of Sales Tax, Cartage, etc. The plaintiff at the request of defendant No. 1 advanced a sum of Rs.60.000.00 to defendant No. 1 vide Cheque No, P 600956 dated 13/12/1985 drawn on State Bank of Patiala. Hauz Khas, New Delhi and the said cheque was duly encashed by the defendant No. 1. Defendant No. 1 through its representative again approached the plaintiff for advancing Rs.27,000.00 which was urgently required bv it to enable it to purchase coal for supplying the bricks and the plaintiff advanced a sum of Rs.27.000.00 vide Cheque No. 175401 dated 26.12.1985. which was also encashed by the defendant No. 1. The defendant No. 1. however. issued a cheque bearing No. 994965 drawn on State Bank of Patiala dated 3.1.1986 purporting to return the sum of Rs.27.000.00 which was advanced by the plaintiff at the request of defendant No. 1, but the said cheque was returned unencashed with the endorsement "not arranged for'.

(3.) It is further averred in the plaint that the defendant in complete breach of the agreement failed to supply 20 lakh bricks as agreed upon to be supplied and when inspite of waiting by the plaintiff for the defendant No. 1 to make such supplies till May, 1986, the plaintiff made purchase from the open market at the risk and cost of the defendant by making purchase of the said bricks at the rate of Rs.340.00 to Rs.350.00. per thousand bricks. In that manner, the plaintiff purchased 19 lakh bricks costing in all Rs.8,36,000.00 at the rate varying from Rs.430.00 to Rs 450.00, whereas, the rate agreed with the defendant was Rs.350.00 per thousand bricks. It was further stated that the defendant No. 1 advanced a total sum of Rs.87,000.00 and suffered a loss of Rs. 1,71,000.00 on account of breach of the defendant and accordingly the present suit has been filed seeking to recover the aforesaid amount of Rs.2.54,538.00 seeking a decree thereof