LAWS(P&H)-2025-5-46

RUCHI ENTERPRISES Vs. SUBHASH CHANDER

Decided On May 23, 2025
Ruchi Enterprises Appellant
V/S
SUBHASH CHANDER Respondents

JUDGEMENT

(1.) This order shall dispose off both the above-noted revision petitions as they involve common questions of law and fact. For the sake of convenience, factual matrix and arguments are being taken from CR1106-2024.

(2.) Instant petition has been filed by the petitioners/defendants assailing order dtd. 23/1/2024, Annexure P6, passed by the learned Additional Civil Judge (Sr.Divn.), Ludhiana, whereby an application filed under Ss. 4 & 9 CPC read with Order 7 Rule 11 (d) CPC for rejection of the plaint, has been dismissed.

(3.) Counsel for the petitioners submits that respondent No.1/plaintiff No.1 as well as petitioner No.1/defendant No.1 are registered under the Micro, Small and Medium Enterprises Development Act, 2006 (for brevity hereinafter referred to as "the MSMED Act"). He submits that on an application filed, respondents produced a copy of Export Promotion Capital Goods (EPCG) licence on 14/11/2023, which shows that it has been issued in the name of respondent No.1 under the MSMED Act. Counsel submits that respondents have filed a suit, Annexure P1, for recovery of Rs.28,55,250.00 besides interest, against petitioners, but it is not maintainable in view of specific bar under Ss. 18 and 24 of the MSMED Act. He urges that as the respondents have an alternate remedy of referring the dispute to the Facilitation Council under Sec. 18, ibid, and without availing that remedy, they cannot approach the Civil Court. He has placed reliance upon: