Mr. Balwant Singh Virdhee vs Mr. Ashwanit Kumar
2001 Latest Caselaw 341 Del

ORDER J.D. Kapoor, J. (Oral)

1. This is a suit under Order xxxvII CPC for recovery of Rs.8,10,000/- with future interest @ 24% per annum from the date of institution of the suit till realisation.

2. The plaintiff is an Electrical Contractor and undertakes electrical contracts on behalf of various Government and private companies. The defendant is also engaged in the business of undertaking electrical contracts.

3. The plaintiff was awarded the contract by the Central Public Works Department of the Govt. of India for providing floor lighting vide award letter dated 29th September, 1994. The defendant approached the plaintiff for assigning of the contract in his favor. The Written Contract was entered between the plaintiff and defendant. As per agreement defendant agreed to execute to entire work on behalf of the plaintiff and also agreed to pay a sum of Rs.5,00,000/- inclusive of security deposit. The defendant executed the said work and received a sum of Rs.14,54,558/- from the CPWD. The defendant paid only a sum of Rs. 50,000/- as against the agreed amount of Rs.5,00,000/ thus leaving a balance of Rs.4,50,000/- as the amount due to the plaintiff as per the written contract. The plaintiff made various demands to the defendant to pay the same but the defendant failed to pay the same. Hence this suit.

4. The defendant was duly served with summons of the suit as prescribed under Order 37 CPC by way of publication and affixation also on 10th October, 2000 but failed to enter into appearance.

5. As per provision of Rule 3 under Order xxxvII CPC, the defendant is required to enter an appearance either in person or by pleader and, in either case, he shall file in Court an address for service of notices on him within ten days of service of the summons prescribed under Rule 2.

6. As per rule 2(3) of Order xxxvII CPC, the defendant cannot be allowed to defend the suit unless he enters an appearance and in default of his entering an appearance the allegations in the plaint shall be deemed to be admitted and the plaintiff shall be entitled to a decree for any sum, not exceeding the sum mentioned in the summons together with interest at the rate specified, if any, up to the date of the decree and such sum for costs as may be determined by the Court from time to time by rules and such decree may be executed forthwith.

7. Since the defendant has not put in appearance within the prescribed ten days, the suit is hereby decreed for a sum of Rs.8,10,000/- with future interest at the rate of 24% per annum till date and with costs of the suit to the plaintiff.

8. The suit is decreed.