M/S BANARSI DASS DHANPAT RAI Vs. SEHDEV

JUDGEMENT

(1.) RESPONDENT filed a suit for recovery of an amount of Rs. 10,900/- on account of balance, out of advance amount of Rs. 20,000/- and also interest accrued thereon. It was case of the respondent that he entered into an agreement with sole selling agent of the appellant on 7.7.1977 for supply of 50,000 kgs. of dyed staple mixed hosiery yarn and in pursuance to that agreement, he deposited an amount of Rs. 20,000/- as an advance vide different cheques, subject to an understanding that the amount would be adjusted towards the price of the goods supplied under the aforesaid agreement. When the appellant failed to supply the entire material and also to make adjustment as agreed, respondent filed a suit for recovery which was decreed by the trial Court to the extent that the respondent was held entitled to recover an amount of Rs. 7,656/-. Both the appellant and the respondent feeling dissatisfied went in appeal. Their appeals were dismissed on 29.1.1980. Hence, this Regular Second Appeal.

(2.) APPELLATE Court below after analysing evidence on record has observed as under :-