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Veeline Holdings Private Limited vs Khetawat Properties Limited
2025 Latest Caselaw 3515 Cal/2

Citation : 2025 Latest Caselaw 3515 Cal/2
Judgement Date : 17 December, 2025

[Cites 14, Cited by 0]

Calcutta High Court

Veeline Holdings Private Limited vs Khetawat Properties Limited on 17 December, 2025

Author: Aniruddha Roy
Bench: Aniruddha Roy
                  In The High Court at Calcutta
                      Ordinary Original Civil Jurisdiction
                            [Commercial Division]
                                   Original Side

     Present: The Hon'ble Justice Aniruddha Roy

                              IA NO. GA-COM/2/2025
                               In CS-COM/825/2024


                       VEELINE HOLDINGS PRIVATE LIMITED
                                         VS
                        KHETAWAT PROPERTIES LIMITED


     For plaintiff:                 Mr. Moti Sagar Tiwari, Adv.
                                    Ms. Soumili Paul, Adv.


     For defendant/applicant:       Mr. Pranit Bag, Barrister-at-law
                                    Mr. Anuj Kumar Mishra, Adv.
                                    Mr. R. R. Modi, Adv.
                                    Ms. Amani Kayan, Adv.


     Reserved on : 03.12.2025

     Judgment on : 17.12.2025

     ANIRUDDHA ROY, J.:

In Re: IA NO. GA-COM/2/2025 Facts:

1. The master summons and the supporting affidavit in IA NO.GA-

COM/2/2025 has been taken out by the defendant with the following

prayers :-

(a) Leave to file the written statement in the instant suit as the same is being filed within the statutory mandate of 120 days;

(b) Such further and/or other Order/(s) and/or Direction/(s) be given and/or made as to this Hon'ble Court may deem fit and proper;

2. Record shows that the master summons was taken out on August 19,

2025. For the purpose of adjudication of this application, the merits of

the plaint case or the facts stated in the plaint are not relevant to be

discussed, as such, those are not stated.

3. The writ of summons, as per the report of the office of the Deputy

Sheriff dated November 26, 2025 was served upon the defendant on

April 18, 2025. The mandated 30th day under the amended provision

of Rule 1 to Order VIII of Code of Civil Procedure (for short CPC) from

the date of service of writ of summons had expired on or before May 17,

2025.

4. The mandated 120th day had expired on or about August 17, 2025.

The matter was mentioned before the Coordinate Bench on behalf of the

defendant on August 06, 2025, when 'leave was granted to submit

the written statement in the department in course of this day,

subject to acceptance by this Court'. The endorsement on the fiat of

the original written statement shows as such.

5. In the conspectus of the above facts, the defendant has taken out the

master summons praying for extension of time to file written statement.

6. Pursuant to the direction of the Court the parties to the instant

application have filed their respective written notes.

Submissions :

7. At the outset, the crux of the submissions made by Mr. Pranit Bag

learned Advocate appearing for the defendant is narrated. He submits IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

that the day when leave has been granted by the jurisdictional court to

submit the written statement in the department in course of the day

and the written statement has been submitted accordingly, it is

sufficient within the meaning and expression of amended Rule 1 to

Order VIII of CPC for filing the written statement and no formal

application is required to be filed or to be on board.

8. Referring to the pre-amended provisions of Rule 1 to Order VIII of CPC

and comparing the same with the amended provisions in view of the

promulgation of the Commercial Court Act, 2025 (for short CC Act),

he submits that in a non-commercial suit, the defendant shall, within

30 days from the date of service of summons on him present written

statement of his defense. It is also provided that where the defendant

fails to file the written statement within the said period of 30 days, he

shall be allowed to file the same on such other day, as may be specified

by the Court, for reasons to be recorded in writing, but which shall not

be later than 90 days from the date of service of summons. Whereas the

amended provisions applicable for commercial suit specifically provides

that where the defendant fails to file the written statement within the

period of 30 days, he shall be allowed to file 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 120 days from the date of service of

summons and on expiry of 120 days from the date of service of

summons, the defendant shall forfeit the right to file the written

IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

statement and the Court shall not allow the written statement to be

taken on record.

9. Mr. Pranit Bag, learned Advocate then refers to the Calcutta High Court

amendment vide a notification no.9681-G dated December 6, 2006,

published in the Calcutta Gazette extraordinary, Part-I dated

December 7, 2006 which has inserted two provisions under Order VIII

Rule 1 of Code of Civil Procedure. The second proviso provides that the

Court can in exceptional cases extend the time beyond 90 days from the

date of service of summons if the defendant proves to the satisfaction of

Court that due to unforeseen circumstances he was prevented from

filing the written statement within the said time. The other proviso

provides that Court should in no case extend such time beyond 120

days from the service of summons unless it is proved to the satisfaction

of the Court that the defendant was prevented from filing written

statement earlier due to the circumstance beyond his control. According

to him, a conjoint reading of the said two provisions show that in non-

commercial matters where written statement is filed within 120 days,

the first proviso to Order VIII Rule 1 of the Code applies and no

obligation is placed on the defendant to file a separate application for

the written statement to be accepted by the Court. However, the first

proviso is silent with regard to a situation when the written statement is

filed beyond 120 days and the said circumstance is guided by the

second and third proviso.

10. Learned counsel for the defendant then submits that second and third

proviso to Order VIII Rule 1 of CPC casts an obligation on the defendant

IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

to prove to the satisfaction of the Court that due to unforeseen

circumstance he was prevented from filing the written statement within

the time frame. As such, an application will be required to explain the

delay in such circumstance, since the obligation to explain the delay is

cast on the defendant. In contrast there is no obligation casts on the

defendant under the first proviso to Order VIII Rule 1 of CPC. Mr. Bag

further submits that on and from October 23, 2015, pursuant to the

amendment through Section 16 of the CC Act, the discretion of

imposing cost by the Court has been incorporated and the ceiling limit

for filing written statement is provided as 120 days from the date of

service of writ of summons. As such, there is no provision for filing

written statement beyond 120 days which, therefore, mandates that in

commercial suits, there is no provision provided in the statute for filing

an application in line within the second and third proviso to Order VIII

Rule 1 of CPC, when the obligation is casted on the defendant to prove

to the satisfaction of the Court that written statement could not be filed

within the time frame for unforeseen circumstance.

11. On facts, Mr. Bag learned Advocate submits that the written statement

filed by the defendant contains an explanation in it for the delay and

the Coordinate Bench upon considering the oral submissions granted

leave to file the written statement on August 06, 2025, when the

written statement was submitted before the department. He submits

that the submission of written statement pursuant to the leave granted

by the Coordinate Bench is in fulfilment of the mandate under the first

proviso to Order VIII Rule 1 of CPC as amended in view of the CC Act.

IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

12. Mr. Bag then submits that there is no provision for acceptance of

written statement and the law provides for filing of the same and as

such, when the written statement has been submitted in the

department with the leave of Court, the same cannot be revisited by this

Court to impose costs on the defendant or otherwise. The reasons to be

recorded in writing, is the discretion of the Court. For the expression

"shall" is held to be discretionary, the reasons to be recorded in writing

is also discretion of the Court. On the other hand, if the expression is

held to be mandatory, there is no scope of disallowing a written

statement filed by the defendant within the mandated 120 days from

the date of service of summons. It is also submitted that there is

provision for condonation of delay in filing the written statement to the

proviso to Order VIII Rule 1 of CPC. The application filed on August 19,

2025, according to Mr. Bag learned Advocate, is misconceived and

although filed by abundant caution would not be required in the facts of

the instant case. He further submits that the plaintiff has also filed an

application for judgment upon admission and has relied on the written

statement which has been filed by the defendant. As such, the plaintiff

is now estopped from challenging the acceptance of written statement

by the department.

13. Referring to the endorsement of the Assistant Registrar on the fiat of the

written statement, learned counsel Mr. Bag submits that the Court has

recorded an order in course of the proceeding without any specific

application being disposed of or being considered in each order and as

such, if the Court wants to record the reasons, the same may be done

IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

in an order without any specific application since the prayer for leave to

file the written statement is in the nature of an oral prayer which when

being considered by the Court, it is the prerogative of the Court to

record reasons in an order if the Court so desire.

14. In support of his contention that no formal application is required in

condoning the delay, in his alternative argument, Mr. Bag has relied

upon the following decisions :-

i) In the matter of: Sesh Nath Singh vs. Baidyabati

Sheoraphuli Coop. Bank Ltd., reported at (2021) 7 SCC

313;

ii) In the matter of: Dwarika Prasad (D) vs. Prithvi Raj Singh,

reported at 2024 SCC OnLine SC 3828;

and

iii) In the matter of: Bhagmal vs. Kunwar Lal, reported at

(2010) 12 SCC 159.

15. With reference to the amended provisions under Rule 1 to Order VIII of

CPC, learned counsel for the defendant submits that an application

beyond the mandated 120 days and after filing of written statement in

the department cannot lead to forfeiture of right by the defendant to file

written statement. In support, he has relied upon the following

decisions :-

i) In the matter of: A. P. Distributors vs. OK Play India (P)

Ltd., reported at 2022 SCC OnLine SC 1512;

and

IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

ii) In the matter of: M/s OK Play India Private Limited vs.

A.P. Distributors - Review Petition 131/2021 & CM

No.28320/2021.

16. On the expression "leave granted" as it appears on the fiat of the

original written statement, learned counsel for the defendant submits

that such expression defines an order as judicial or ministerial direction

or conclusion on matters outside the records. In this regard he places

reliance upon the relevant portion from the Stroud's Judicial

Dictionary of Words and Phrases, volume two, ninth edition (Pages

1753 and 1755). He also places reliance on the relevant portion from

Black's Law Dictionary, 10th edition at page 1027 which defines

'leave' as a permission given by the Court. Leave of Court is defined to

mean judicial permission to follow a non-routine procedure. The

dictionary at its page 1270 defines the expression "order" to mean any

command, direction or instruction given by the Court upon some

subsidiary collateral matter arising in an action not disposing of the

merits but directing some steps in the proceedings.

17. Mr. Pranit Bag, learned counsel for the defendant then submits that

since leave has been granted by the Coordinate Bench without imposing

costs, the same should not be modified by this Court. He reiterates that

there is no application filed for revocation of leave by the plaintiff and

once the leave is granted, this Court should not exercise its discretion

for imposing costs as the stage for such imposition would be at the first

instance of consideration in the matter. There is no provision for

acceptance of the written statement already filed by the defendant and

IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

filing of the written statement in the department pursuant to the leave

granted by the Court tantamount to the written statement having been

taken on record. The steps towards revisiting the said leave, which

would be an order of this Court, to impose costs or to revoke the leave

would be prejudicial to the defendant.

18. Accordingly, learned counsel Mr. Pranit Bag, appearing for the

defendant submits that the written statement already submitted in the

department should be accepted and taken on record as if the defendant

has filed its written statement in accordance with law.

19. Mr. Moti Sagar Tiwari, learned counsel appearing for the plaintiff at the

outset submits that the leave was granted by the Coordinate Bench on

119th day without any notice to the plaintiff. There was no prayer for

condonation of delay made by the defendant neither the delay beyond

30th day from the date of service of writ of summons has been condoned

while granting the leave. Admittedly, on August 06, 2025, when leave

was granted, the instant application was not filed. The instant

application has been filed on August 19th 2025 which is beyond 120th

day from the date of service of summons.

20. Referring to the statements made in the instant application, Mr. Moti

Sagar Tiwari, learned Advocate for the plaintiff submits that the entire

argument made by the learned counsel for the defendant is not pleaded

in his petition but has been made from the bar.

21. The provisions relating to non-commercial suit as provided under Order

VIII Rule 1 of CPC is directory and not mandatory, where the Court can

grant extension even after 90 days from the date of service of writ of

IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

summons upon sufficient cause being shown to the satisfaction of the

Court. Referring to the second proviso being, the amended provision,

applicable for commercial suits, the defendant was obliged to file an

application for extension of time if the written statement is to be filed

beyond the mandated 30 days from the date of service of writ of

summons but before mandated 120 days. In the instant case,

admittedly, no application has been filed by the defendant on or before

mandated 120th day. The time frame under the amended provisions of

Order VIII Rule 1 of CPC is a mandate to the Court which should be

followed strictly. In support, he has relied upon a decision of the

Hon'ble Supreme Court In the matter of: Desh Raj vs. Balkishan

(Dead) Through proposed legal representative Ms Rohini, reported

at (2020) 2 SCC 708.

22. In the light of the above, Mr. Moti Sagar Tiwari, learned Advocate for the

plaintiff submits that, the leave granted by the Coordinate Bench in

pursuance whereof, the written statement has been submitted before

the department was subject to satisfaction of the Court, it means, the

satisfaction of the Court should be recorded on the basis of the causes

shown in the formal application required to be filed by the defendant.

He submits that the instant application is without any merit and is not

tenable in law, since the same has been filed beyond the mandated time

frame under the law and the same should be dismissed with cost.

23. He further submits that consequently, the written statement of the

defendant submitted in the department should be directed to be taken

IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

off the file and no cognizance shall be taken thereupon as the defendant

has forfeited its right to file written statement.

Decision:

24. After considering the rival contentions of the parties and on perusal of

the materials on record, at the outset, this Court proceeds to discuss

the relevant provisions for filing written statement in a commercial suit.

25. After promulgation of the C. C. Act, an amendment has been effected

under the provisions of Rule 1 to Order VIII of CPC. The relevant

provision for the commercial suit is quoted below :-

". . . .

. . . .

Provided that where the defendant fails to file the written statement with the said period of thirty days, he shall be allowed to file 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, 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."

26. The above amended provision, inter alia, stipulates the following

mandates :-

(i) Where the defendant fails to file written statement within the said period of 30 days from the date of service of summons, he shall be allowed to file the written statement on such other day, as may be specified by the Court, for the reasons to be recorded in writing and payment of such costs as the Court deems fit;

(ii) The written statement shall not be filed later than 120 days from the date of service of summons; and

(iii) On expiry of 120 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.

IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

27. The above mandates, therefore, stipulate that the defendant first will

have the opportunity to file written statement within 30 days from the

date of service of writ of summons and thereafter, subject to the

satisfaction of the Court by recording reasons but within the mandated

120 days from the date of service of summons and not beyond the said

120 days. Beyond the said mandated 120 days, the defendant by itself

shall forfeit the right to file written statement by operation of law and

Court shall not allow the written statement to be taken on record. The

expression is the common being "shall" used by the legislature while

enacting the said amended provisions for commercial suit. The

expression "shall" in both the places that the defendant "shall" forfeit

the right to file written statement and Court "shall" not allow the

written statement to be taken on record, impose a clear and specific

mandate on both the defendant and the Court. The power, authority

and jurisdiction of Court to extend the time to file written statement

mandatorily ceases after the said mandated 120 days. The object and

purpose of the C.C. Act is to ensure that commercial Courts to dispose

of the commercial matters expeditiously, fairly and at reasonable costs

to the litigant.

28. A perusal of the statements of objects and reasons of the C. C. Act and

the various amendments to Civil Procedure Code and insertion of new

rules to Civil Procedure Code applicable to suits for commercial

disputes shows that, it has been enacted for the purpose of providing

an earlier disposal of high value commercial disputes. A purposive

interpretation of the statements of objects and reasons and various

IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

amendments of Civil Procedure Code leaves no room for doubt that

provisions of the Act is required to be strictly construed. If the

provisions are given a liberal interpretation, the object behind

constitution of commercial division of courts for speedy result in

commercial disputes will be defeated. On a close perusal at the

statements of objects and reasons, words such as "early" and "speedy"

have been incorporated and reiterated. The object shall be fulfilled only

if the provisions of the Act are interpreted in a narrow and not

hampered by usual procedural delays plaguing the existing traditional

legal system.

29. On a meaningful reading of the amended provisions under rule 1 to

Order VIII of CPC clearly shows that if the defendant is to file its written

statement beyond the mandated 30 days but within the mandated 120

days from the date of service of writ of summons, then the Court has to

extend the time by recording its satisfaction with reasons in writing in

conjunction with the provision on payment of costs as the Court deems

fit. When the expression "writing" is used in the provision, the Court is

obliged to pass an order containing the reasons for extension beyond

the mandated 30 days but within the mandated 120 days. When the

Court is duty bound to give its reasons in writing, it is imperative and a

necessity/requirement for the defendant to file a formal application in

writing stating the reasons and causes which prevented the defendant

not to file written statement within the mandated 30 days, otherwise the

reasons necessarily to be recorded in writing by the Court will be an

illusory exercise without any foundation. It cannot be conceived or

IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

perceived of that when the statute mandates the Court to record

reasons in writing, the causes on which the reasons to be given by the

Court would be merely by way of an oral application without showing

the causes on record. Therefore, if the defendant applies for extension of

time to file written statement beyond the mandated 30 days, such an

application has to be, must be and should be a formal application in

writing.

30. On the fiat of the written statement leave granted by the Coordinate

Bench to submit the written statement is quoted below in verbatim :

"Leave granted to submit the written statement in the department in course of this day, subject to acceptance by this Court.

Assistant Registrar High Court, O.S., Calcutta"

31. The above endorsement shows that leave was granted to submit the

written statement in the department, subject to acceptance by the

Court. This is not an unconditional leave. The language itself shows the

leave granted was subject to the acceptance by the Court. Merely

submitting the written statement with the department is not an

acceptance by the Court, neither it means filing of written statement in

accordance with law. At the highest, it may be construed as depositing

the written statement with the department and if the Court accepts the

same then only the written statement will be taken on the suit record

permanently. The expression used "acceptance" shall have to be

understood and read in the light of the relevant provisions laid down

under the amended rule 1 to Order VIII of CPC. Acceptance by the

Court means acceptance of the causes to be shown by the defendant,

IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

when it prays for extension of time to file written statement beyond the

mandated 30 days. The acceptance of Court will be conclusive when the

Court by recording its reasons in writing will accept the causes shown

by defendant in a formal written application filed by the defendant.

Grant of leave by the Court to submit the written statement in the

department subject to acceptance by the Court is a procedural act of

Court, which subsequently ought to be qualified and ratified by

following the specific provisions of law laid down under the statute in

that regard, the amended rule 1 to Order VIII of CPC, in the instant

case. Thus, the written statement submitted by the defendant with the

leave of Court cannot be construed or accepted as filing of written

statement beyond the mandated 30 days. With the said endorsement

when the written statement has been submitted in the department, the

same would not mean filing of written statement in strict compliance of

amended provisions of rule 1 to Order VIII of CPC.

32. On a close reading of the amended provisions under rule 1 to Order 8 of

CPC, this Court is of the firm and considered view that beyond the

mandated 30 days therein, if the defendant wishes to file its written

statement, it should mandatorily file a formal application in writing by

showing the causes as to why the defendant was prevented not to file

the written statement within the said mandated 30 days. In the event,

the Court is satisfied with the causes shown in the written application,

then the Court by recording reasons in writing may allow the written

statement to be taken on file, subject to its satisfaction. Such an

application as of right of the defendant can be filed till the mandated

IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

120 days from the date of service of summons is expired for

consideration by the Court. So, the defendant has a right to file such an

application within the mandated 120 days under the amended rule 1 to

Order VIII of CPC. Immediately upon expiry of the said mandated 120

days, the statute clearly specifies that the defendant shall forfeit its

right to file written statement. The said provision for forfeiture of right

read with the expression used under amended rule 1 to Order VIII of

CPC that "Court shall not allow the written statement to be taken

on record" makes it evident that it is also a mandate on the Court that

the Court will loose its jurisdiction and becomes functus officio

immediately upon expiry of the said mandated 120 days. Therefore, no

application for extension of time to file written statement shall be filed

before the Court or shall be taken on the board by the Court beyond the

said mandated 120 days as provided under the amended rule 1 to

Order VIII of CPC. It is equally a mandate provided under the said

amended provisions of CPC that beyond 30 days, if time to file written

statement is extended upon satisfaction of the Court by recording

reasons in writing, awarding of costs on the defendant by Court is an

obligation and duty of the Court in law and there is no discretion or

power of Court to waive the same.

33. The law is equally well settled that when a specific provision is laid

down under a statute, the same shall override the general provisions or

procedures of law, even though laid down in the statute. The specific

provision of the statute will have to be specifically applied in the matters

IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

where it is applicable and no other provisions can be applied. All other

modes for application of other provisions are expressly forbidden.

34. Dealing with the amended provisions under rule 1 to Order VIII of CPC,

the Hon'ble Supreme Court In the matter of: SCG Contracts (India)

Private Limited vs. K.S. Chamankar Infrastructure Private Limited

and Ors., reported at (2019) 12 SCC 210 had observed as under :-

8) The Commercial Courts, Commercial Division and Commercial Appellate Division of High Courts Act, 2015 came into force on 23-10-2015 bringing in their wake certain amendments to the Code of Civil Procedure. In Order V, Rule 1, sub-rule (1), for the second proviso, the following proviso was substituted:

"Provided further that where the defendant fails to file the written statement within the said period of thirty days, he shall be allowed to file the written statement on such other days, 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 and 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."

Equally, in Order VIII Rule 1, a new proviso was substituted as follows:

"Provided that where the defendant fails to file the written statement within the said period of thirty days, he shall be allowed to file 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 and twenty days from the date of service of summons and on expiry of one hundred and 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."

This was re-emphasized by re-inserting yet another proviso in Order VIII Rule 10 CPC, which reads as under:-

"10. Procedure when party fails to present written statement called for by Court.- Where any party from whom a written statement is required under Rule 1 or Rule 9 fails to present the same within the IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

time permitted or fixed by the Court, as the case may be, the Court shall pronounce judgment against him, or make such order in relation to the suit as it thinks fit and on pronouncement of such judgment a decree shall be drawn up.

Provided further that no Court shall make an order to extend the time provided under Rule 1 of this Order for filing of the written statement."

A perusal of these provisions would show that ordinarily a written statement is to be filed within a period of 30 days. However, grace period of a further 90 days is granted which the Court may employ for reasons to be recorded in writing and payment of such costs as it deems fit to allow such written statement to come on record. What is of great importance is the fact that beyond 120 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. This is further buttressed by the proviso in Order VIII Rule 10 also adding that the Court has no further power to extend the time beyond this period of 120 days.

.....

.....

10) Several High Court judgments on the amended Order 8 Rule 1 have now held that given the consequence of non- filing of written statement, the amended provisions of the CPC will have to be held to be mandatory. See Oku Tech Private Limited vs. Sangeet Agarwal & Ors. by a learned Single Judge of the Delhi High Court dated 11.08.2016 in CS (OS) No. 3390/2015 as followed by several other judgments including a judgment of the Delhi High Court in Maja Cosmetics vs. Oasis Commercial Pvt. Ltd.

11) We are of the view that the view taken by the Delhi High Court in these judgments is correct in view of the fact that the consequence of forfeiting a right to file the written statement; non-extension of any further time; and the fact that the Court shall not allow the written statement to be taken on record all points to the fact that the earlier law on Order 8 Rule 1 on the filing of written statement under Order 8 Rule 1 has now been set at naught."

35. The Hon'ble Supreme Court In the matter of: Desh Raj (supra) had

observed as under :-

"11. Hence, it is clear that post coming into force of the aforesaid Act, there are two regimes of civil procedure. Whereas commercial disputes [as defined under Section 2 (c) IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

of the Commercial Courts Act, 2015] are governed by CPC as amended by Section 16 of the said Act; all other non- commercial disputes fall within the ambit of the unamended )or original) provisions of CPC.

12. The judgment of Oku Tech relied upon by the learned Single Judge is no doubt good law, as recently upheld by this Court in SCG Contracts (India) (P) Ltd. vs. K.S. Chamankar Infrastructure (P) Ltd. But its ratio concerning the mandatory nature of the timeline prescribed for filing of written statement and the lack of discretion with courts to condone any delay is applicable only to commercial disputes, as the judgment was undoubtedly rendered in the context of a commercial dispute quo the amended Order 8 Rule 1 CPC.

13. As regards the timeline for filing of written statement in a non-commercial dispute, the observations of this Court in a catena of decisions, most recently in Atcom Technologies Ltd. v. Y.A. Chunawala & Co. holds the field. The unamended Order 8 Rule 1 CPC continues to be directory and does not do away with the inherent discretion of courts to condone certain delays."

36. In the matter of: Sesh Nath Singh (supra) it was a judgment dealing

with the provisions of the Insolvency and Bankruptcy Code, 2016 (for

short IBC). As there is a specific statute there, namely, C.C. Act and the

specific amendment of CPC is there under amended rule 1 to Order VIII

of CPC, which are applicable for commercial disputes, the ratio decided

in the said judgment has no relevance in the facts and circumstances of

the instant case.

37. In the matter of: Dwarika Prasad (D) (supra), it was a judgment

arising out of a writ petition in connection with the provisions laid down

under Order 9 Rule XIII of CPC, which has got no relevance in the facts

and circumstances of this case. The civil suit involved in the judgment

was a non-commercial suit. The judgment In the matter of: Bhagmal

(supra) was rendered much prior to the C.C. Act came into force and

the subject matter of the said judgment was not a commercial dispute.

IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

Thus, the ratio of the said judgment has no application in the facts and

circumstances of this case.

38. In the matter of: A. P. Distributors and Another (supra), the law laid

down prior thereto In the matter of: SCJ Contracts (India) Private

Limited (supra), was not considered.

39. In view of the forgoing reasons and discussions, this Court finds and

holds:-

(a) A formal application in writing is mandatorily required to be

filed by the defendant, if the defendant prays for extension of

time to file written statement beyond the mandated 30 days

under the amended provisions of rule 1 to Order VIII of CPC;

(b) The extension of time, if granted by the Court beyond the

mandated 30 days, it has to record reasons in writing on the

basis of the causes shown in the formal application required to

be filed by the defendant upon payment of costs; and

(c) Beyond the mandated 120 days from the date of service of

summons, as provided under the amended rule 1 to Order VIII

of CPC, no application for extension of time to file written

statement by the defendant can be filed nor the same can be

accepted and taken on record, as the Court becomes functus

officio then.

40. In view of the above, the written statement submitted with the

department by the defendant without any formal application being filed

by the defendant, is directed to be taken off the file and no cognizance

shall be taken thereupon. The suit register shall be reflected as such.

IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

41. The instant suit, henceforth, shall appear as undefended suit

42. Resultantly, the instant application being GA-COM/2/2025 filed beyond

the mandated 120 days, stands dismissed, without any order as to

cost.

(Aniruddha Roy, J.)

IA No.GA-COM/2/2025 In CS-COM/825/2024 A.R.J.

 
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