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2020 (12) TMI 1311

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..... e it clear that the additional period allowed to a defendant comes into play only after the defendant has failed to file its written statement within the prescribed period under Order VIII Rule 1 which is 30 days. Hence, the 90 days additional window following the prescribed period is the additional period and not the prescribed period of limitation under Order VIII Rule 1. Whether the defendant can take refuge under the order of 23rd March, 2020 passed by the Supreme Court? - HELD THAT:- This Court is therefore of the view that the order of the Supreme Court dated 23rd March, 2020 would apply only to the first 30 days for filing written statement under Order VIII Rule 1 of The CPC and not to the additional 90 days which follows the pr .....

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..... er Order VIII Rule 1 or the amendment thereto or by the orders of the Supreme Court for allowing the application for extension of time to file the written statement - application dismissed. - IA No. GA 2 of 2020 In CS 246 of 2019 - - - Dated:- 24-12-2020 - Hon'ble Justice Moushumi Bhattacharya, J. For the Petitioner : Mr. Zeeshan Haque, Adv., Mr. Saket Chaudhary, Adv. For the Respondent : Mr. Meghajit Mukherjee, Adv., Mr. Ramendu Agarwal, Adv., Ms. Priyanka Sharma, Adv. ORDER The Court : This application is for extension of time to file the written statement affirmed on behalf of the defendant on 22nd June, 2020. The dates relevant for the purposes of this application are as follows : (i) The suit was fi .....

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..... m which date the country went into lockdown due to the outbreak of the pandemic. Counsel submits that there has been no laches on the part of the defendant since the defendant applied before the learned Master of this Court for appropriate orders. Mr. Meghajit Mukherjee, learned counsel appearing for the plaintiff opposes this application on the amendment brought about to Order VIII Rule 1 of The C.P.C. pursuant to The Commercial Courts Act, 2015 and submits that the first step taken by the defendant for filing of the written statement was after the prescribed period of limitation of 30 days had expired on 2nd January, 2020. Counsel relies on an order of the Supreme Court in Civil Appeal 3007-3008 of 2020 dated 18th September, 2020 which .....

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..... the written statement on such other day, as may be specified by the Court, for reasons to be recorded in writing and on payment of such costs as the Court deems fit, but which shall not be later than one hundred twenty days from the date of service of summons and on expiry of one hundred twenty days from the date of service of summons, the defendant shall forfeit the right to file the written statement and the Court shall not allow the written statement to be taken on record . [Vide Act 4 of 2016, S. 16 and Sch. (w.r.e.f. 23-10-2015)] In order to ascertain if the defendant can take recourse to the Supreme Court Order of 23rd March, 2020 by which the limitation period in a large number of actions was extended with effect from 15th M .....

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..... phs extracted) The above observation of the Supreme Court has to be read in the background of the Amendment to Order VIII Rule 1 in matters filed under The Commercial Courts Act, 2015. The Amendment would indicate that the prescribed period of limitation is the initial period of 30 days as provided under Order VIII Rule 1. However, if a defendant fails to file the written statement within the said prescribed period of 30 days, an additional period may be allowed to the defendant for filing of the written statement but which would not extend beyond 120 days from the date of service of summons. The additional period beyond the prescribed period of 30 days can only be allowed upon the Court recording reason for such and on payment of costs .....

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..... cribed period which allows a Court to exercise its discretion on whether to allow or refuse the period in addition to the prescribed period. This Court is therefore of the view that the order of the Supreme Court dated 23rd March, 2020 would apply only to the first 30 days for filing written statement under Order VIII Rule 1 of The CPC and not to the additional 90 days which follows the prescribed period for matters covered by the 2015 Act. Besides the orders of the Supreme Court should be seen in their specific factual context and that the orders were passed in exercise of the power under Article 142 of The Constitution of India. The order dated 18th September, 2020 also restricts the window to vigilant litigants. In this case the applicat .....

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