1977 (2) TMI 125 - SC - Indian Laws

Summary

Issues Involved:
1. Valuation and Certificate of Fitness
2. Plaintiff's Claim and Legal Fallacy
3. Defendant's Counter-Claim and Set-Off
4. Composite Account of Transactions
5. Jurisdiction and Remand Order
6. Final Decree and Costs

Summary:

1. Valuation and Certificate of Fitness:
The High Court granted a certificate of fitness u/s Article 133(1)(a) of the Constitution. The appellant, as kartha of a joint Hindu family, was running a business with two shops in Khamgaon and Bombay. The respondent had dealings with the plaintiff at both places between October 1947 and May 1948.

2. Plaintiff's Claim and Legal Fallacy:
The plaintiff claimed Rs. 11,401-7-9 from the Khamgaon shop, excluding amounts due from the Bombay branch, aiming to claim a larger sum. This exclusion was admitted as a mistake by the plaintiff's counsel. The plaintiff's strategy backfired, leading to disaster in the High Court.

3. Defendant's Counter-Claim and Set-Off:
The defendant argued that six bars of silver deposited with the Khamgaon shop were sold through the Bombay branch, and the proceeds should be accounted for in the Khamgaon khata. The trial court took a commonsense view, commingling the business accounts of the same parties, which was upheld as good law.

4. Composite Account of Transactions:
The trial court framed issues reflecting the integrated nature of dealings between the two shops. The District Judge found that the shops, though located at different places, were owned by the same family, and set-off was permissible. The court decreed a net sum due to the plaintiff, less than what he had sued for.

5. Jurisdiction and Remand Order:
The High Court, in its remand order, directed the trial court to decide the amount due to the defendant from the plaintiff, focusing on the set-off claim. The trial court, however, investigated the Bombay accounts comprehensively, leading to a decree for the net balance of Rs. 7,464/4/- in favor of the plaintiff.

6. Final Decree and Costs:
The Supreme Court held that the trial court's comprehensive investigation of accounts was justified. The trial court's judgment was restored, decreeing Rs. 7,464/4/- in favor of the plaintiff. The plaintiff was denied costs for the amount decreed but allowed costs for the defendant to the extent of Rs. 4,535/12/-. No interest was awarded on the decreed amount due to the long lapse of time and the plaintiff's dubious attitude.