VARDHICHAND JAIN Vs. MADAN LAL MAHENDRA KUMAR

JUDGEMENT

(1.) This is a first appeal filed by the appellant-defendant against the judgment and decree dated 31-3-1983 passed by the learned District Judge, Udaipur by which he decreed the suit of the plaintiff-respondent for Rs. 11,900.50 along with interest and litigation expenses etc. against the defendant-appellant on the basis of agreement Ex. 3 dated 27-11-1976.

(2.) The first appeal arises in the following circumstances :- The plaintiff-respondent filed a suit on 11-8-1978 against the defendant-appellant for Rs. 12,418/- stating that plaintiff-respondent firm is a registered firm, the Registration Certificate is Ex. 2. The defendant-appellant deals in the business of Kirana and Clothes. There was a Truck RJQ 2587 (hereinafter referred to as 'the Truck') registered in the name of Nazarali and Sobhalal and this Truck was financed by the plaintiff-respondent firm and the defendant-appellant wanted to purchase that Truck in the name of his minor son Ramesh Chandra, but on that Truck, Rs. 10,348/- of plaintiff-respondent firm were due against Nazarali and Sobhalal, therefore, defendant-appellant was ready to make that payment of Rs. 10,348/- which was due in favour of the plaintiff-respondent firm and he wanted to make that payment through twelve monthly instalments of Rs. 864/-. The proposal of the defendant-appellant was accepted by the plaintiff-respondent. Thereafter, defendant-appellant executed agreement dated 27-11-1976 (Ex.3) in favour of the plaintiff-respondent firm stating that he will make payment of Rs. 10,348/- in twelve monthly instalments of Rs. 864/- and in case the defendant-appellant fails to make payment of two instalments, one of the partners of plaintiff-respondent firm Nathulal (PW-1) was authorised to recover the whole amount in one time. The defendant-appellant has not made any payment after execution of the agreement Ex. 3 dated 27-11-1976 and since he has failed to make the payment of two instalments, therefore, the plaintiff-respondent is entitled to recover the whole amount in one time.

(3.) The plaintiff-respondent has charged interest @ 12% p.a. The plaintiff-respondent also gave a notice Ex. 4 dated 9-1-1978 to the defendant-appellant and the same was received by him on 12-1-1978, but no reply was given by the defendant-appellant to that notice. Thereafter, the plaintiff-respondent firm filed this suit against the defendant-appellant in the Court of District Judge, Udaipur for recovery of Rs. 12,418/- (Rs. 10,348 as principal amount and Rs. 2070/- as interest).