RAMKRIPAL SHEOPRASAD Vs. MUNICIPAL COMMITTEE

JUDGEMENT

(1.) THIS is an appeal by the defendants in Civil Suit No. 7-B of 1957, which was instituted by the respondent Municipal Committee, Bilaspur, for recovery of amount due on the basis of a contract. The claim was decreed by the trial Court in full.

(2.) THE following facts are not in dispute. The respondent Municipal Committee had imposed fees on the sale of cattle in bilaspur at the rate of three pies per rupee on the sale price of such cattle. The right to realise these fees was sold by auction and appellant No. 1 Ramkripal offered a bid of Rs. 50,050/- which was accepted. The contract was duly reduced into writing and appellant No. 1 thus became entitled to realise the fees for the period 1-4-1954 to 31-3-1955. The other appellants stood sureties for appellant no. 1 for payment of the amount due under the contract. Appellant No. 1 paid a sum of Rs. 12,512/- at the time of the auction. He further paid a sum of Rs. 7,299-4-0 till 23-8-1954. The amount under the contract was to be paid in four equal quarterly instalments. The amount payable on 1-7-1954 was not fully paid and the Municipal Committee therefore granted time to appellant No. 1 to pay the balance in three monthly instalments. Even then the amount was not paid and on 8-9-1954 the Municipal Committee gave a notice to appellant No. 1 terminating the contract with immediate effect.

(3.) THE respondent Municipal Committee's case is that the right to realise the fees for the rest of the year was again put to auction and it was sold to Nathu Panwala for Rs. 15,500/ -. The Committee therefore claimed the loss caused on resale.