2000 (8) TMI 976 - HC - Companies Law

Summary

Issues Involved:
1. Dispute over the advocate's fee for defending a suit on behalf of a company in liquidation.
2. Allegation of an ex parte order passed without notice or opportunity to the advocate.
3. Request to set aside the ex parte order and enforce the earlier fee order.

Analysis:
1. The case involves a dispute over the advocate's fee for representing a company in liquidation in a suit filed by a bank. The advocate prepared a detailed written statement and faced complex issues during the case. The Official Liquidator engaged the advocate under specific fee guidelines. However, the advocate claimed that he was not paid the full fee as per the contract, leading to a petition against the Official Liquidator and the company in liquidation.

2. An ex parte order was passed fixing the advocate's fee at a significantly lower amount without providing notice or an opportunity to be heard. The advocate contested this order, arguing that it was unjust and lacked proper procedural fairness. The Official Liquidator admitted the oversight and expressed willingness to settle the matter amicably, acknowledging the administrative nature of the issue.

3. The advocate sought to set aside the ex parte order and enforce the original fee agreement. The Court considered the arguments from both sides and decided to recall the ex parte order, ordering the Official Liquidator to pay the advocate a revised fee amount in full settlement of his claim. The Court directed the payment to be made promptly from the company's funds held by the Official Liquidator, ensuring fair compensation for the advocate's services.

This detailed analysis highlights the key legal issues, procedural irregularities, and the Court's decision to resolve the dispute over the advocate's fee in a fair and just manner.