THIRUVENKIDAM Vs. QUILON PENCIL FACTORY

JUDGEMENT

(1.) Respondent defendant is a firm manufacturing and selling pencils. Appellant plaintiff was engaged by the firm as its agent for selling pencils on commission basis in Tamil Nadu and Karnataka. The arrangement with him was ultimately terminated. He filed the suit for rendition of accounts and realisation of the commission due to him as well as for injunction to restrain the respondent from appointing anybody else in his place.

(2.) Appellant says that he is an employee. But the respondent's contention is that he is only a commission agent and the agency could be terminated at any time. Trial Court accepted the contention of the respondent and held that the termination is valid and proper. The prayer for injunction was refused. That part of the decree is not under challenge and has become final.

(3.) For each year, upto the end of 1976, there was a written agreement incorporating the terms evidenced by Exts.A12 and B1. Rate of commission agreed was 5% for Kerala Pencils and 6 1/4% for other pencils. While the case of the appellant is that it was enhanced by a subsequent oral agreement to 7% and 7 1/2% respectively, respondent says that there was no such agreement and the same rate continued. The appellant's contention that his services were terminated when he refused to accept reduction of commission back to 5% and 61/4% was denied and it is said that termination was only because he unauthorisedly rejected the statement of accounts furnished to him. The plea that there was a subsequent agreement by which commission was increased was also rejected by the Trial Court, which further held that the plea is not available on account of S.92 of the Evidence Act.