S KUNJAN PILLAI Vs. PEIRCE LESLIE AND CO

JUDGEMENT

(1.) This is an appeal by the unsuccessful plaintiff against the decree and judgment dated 30th April 1952 in O.S. No. 2/51 on the file of the court of the Subordinate Judge, Fort Cochin substantially dismissing the plaintiffs claim.

(2.) The suit out of which this appeal arises was commenced by the plaintiff for recovery from the defendant of a sum of Rs. 9538, stated to be the balance of the price of coir yarn supplied by the plaintiff to the defendant company.

(3.) The substantial contention raised by the defendant respondent was that the dealers who sell coir yarn to the defendant are allowed to land yarn and the defendant gives advances against such yarn on the specific understanding that in those cases the defendant has the right to purchase the coir yarn as and when required by the defendant at the prevailing market rate to be agreed upon by the defendant and the dealer. The defendant also contended that in accordance with such understanding, K.C. Ayyappan Pillai, agent of the plaintiff landed yarn on the dates mentioned in the plaint and got an advance of Rs. 17700. The said Ayyappan Pillai on behalf of the plaintiff, along with the other dealers, agreed on 30th June 1950 to the defendants purchasing the plaint goods at the then prevailing rate of Rs. 335 per candy with the usual variations for higher and lower rates. In accordance with the agreements so arrived at, the defendant exercised the option vested in them and has accordingly purchased the goods on 30th June 1950 from the plaintiff and the plaintiff has no further rights as against the defendant. The defendant, however, admitted that only a sum of Rs. 549 was due to the plaintiff as per account submitted to the plaintiff on 1st December 1950 (Vide Para.3, 5, 9 & 10 of written statement).