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Issues involved: Suit for recovery of principal amount and interest on stationery goods supplied, limitation period for filing the suit.
Summary: Issue 1: Recovery of principal amount and interest on supplied goods The Plaintiffs supplied stationery goods to the Defendants' Regional Office and claimed interest at 19.5% on the principal amount if payment was not made within 7 days of delivery. The Defendants did not file any reply to the summons for judgment. The court held that the suit based on acknowledgments and receipts of goods is maintainable, as per the Evidence Act. The suit was not disputed and deemed maintainable. The Defendants' objection was overruled, and the court granted summons for judgment in favor of the Plaintiffs. Issue 2: Limitation period for filing the suit The Defendants argued that the suit was barred by limitation due to the first delivery chalan dated 16.12.2005, and the suit being filed on 5.01.2009. However, the court noted that as per the Limitation Act, the suit for the price of goods sold and delivered needed to be filed after the expiry of a fixed grace period of 7 days. The court found that the suit was filed within the limitation period, as the three-year limitation would have expired during the Christmas vacation until 31 December 2008. Therefore, the suit filed on 5.01.2009 was within the limitation period. Conclusion The court granted the summons for judgment in favor of the Plaintiffs for the recovery of the principal amount and reduced the interest rate to 9% per annum instead of 19.5% as claimed. The decree was drawn accordingly, and no costs were awarded in the matter.
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