ROLLON STEELS Vs. A P TRANSCO LTD

JUDGEMENT

(1.) The respondent herein filed O.S. No. 858 of 1984 in the Court of the II Senior Civil Judge, City Civil Court, Hyderabad, against the appellant for recovery of a sum of Rs. 9,36,329/-. The trial Court decreed the suit through judgment, dated 21.10.1998. Hence, this appeal. The background of the case is as under:

(2.) After the work was executed to certain extent, the respondent noticed that the appellant did not supply the finished product for the corresponding raw material supplied to it. The value thereof was found to be Rs. 6,82,124/-. A notice was issued to the appellant requiring it to pay the interest. Since the appellant did not pay the amount, the respondent filed the suit for recovery of Rs. 9,36,329/-, which include the cost of the raw material as well as the interest.

(3.) The appellant filed a written statement. The principal contention advanced was that I.H. Abidi, who was the Managing Partner when the contract was entered into, ceased hold that position and that his letter of retirement was also forwarded to the Registrar of Firms. An objection was raised as to the maintainability of the suit on the ground that a retired partner was shown as Managing Partner. Other contentions were also advanced on merits. As observed earlier, the suit was decreed.