Karnataka High Court

M/S Pebble Jungle Lounge ... vs M/S Nu-Air Cafes And Facilities ... on 17 June, 2022

Bench: B.M.Shyam Prasad

                            -1-



        IN THE HIGH COURT OF KARNATAKA AT BENGALURU

           DATED THIS THE 17TH DAY OF JUNE, 2022

                          BEFORE

         THE HON'BLE MR.JUSTICE B.M.SHYAM PRASAD

       MISCELLANEOUS FIRST APPEAL NO.4269/2022 (CPC)

BETWEEN:

1.     M/S PEBBLE JUNGLE LOUNGE
       (PAE-CANTEEN) A COMPANY INCORPORATED
       AND REGISTERED HAVING ITS OFFICE
       AT NO.3 PRINCESS ACADEMY
       PALACE GROUND, BANGALORE-80
       REPRESENTED BY ITS PARTNER
       SRI SYED HAFIZ ALI
       S/O SYED SHAH ALI
       AGED ABOUT 62 YEARS.

2.     MR HARIS ALI
       S/O SYED HAFIZ ALI
       AGED ABOUT 38 YEARS
       RESIDING AT NO.103
       2ND MAIN ROAD
       1ST AA CROSS OPP BDA PARK
       KASTURI NAGAR, KALYANNAGAR
       BANGALORE - 560 043
       CAN ALSO BE SERVED AT NO.
       PRINCESS ACADEMY
       PALACE GROUND, BANGALORE-80.
                                          ... APPELLANTS

(BY SRI. SHAMANTH NAIK, ADVOCATE)

AND:

M/S NU-AIR CAFES AND FACILITIES
MANAGEMENT LLP
PARTNERSHIP LLP INCORPORATED
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AND REGISTERED HAVING ITS
OFFICE AT NO.65, 4TH FLOOR COLES ROAD
FRAZER TOWN, BANGALORE - 560 005
REPRESENTED BY ITS MANAGING PARTNER
SRI MOHAMMED IKRAM
S/O IFTAQAR AHMED
AGED ABOUT 30 YEARS
NO.65, 4TH FLOOR
COLES ROAD, FRAZER TOWN
BANGALORE - 560 005.

                                   ... RESPONDENTS
(BY SRI.S. ISMAIL ZABIULLA, ADVOCATE)

     THIS MISCELLANEOUS FIRST APPEAL IS FILED
UNDER ORDER 43 RULE 1(r) OF CPC, PRAYING TO SET
ASIDE THE ORDER DATED 09.06.2022 PASSED IN
O.S.NO.3031/2022 ON THE FILE OF THE XII ADDITIONAL
CITY CIVIL AND SESSIONS JUDGE, (CCH-27).

    THIS MISCELLANEOUS FIRST APPEAL COMING ON
FOR ORDERS THIS DAY, THE COURT DELIVERED THE
FOLLOWING:

                       JUDGMENT

The defendants in O.S.No.3031/2022 on the file of

the XII Additional City Civil and Sessions Judge,

Bengaluru (for short, 'the civil Court') have filed this

appeal calling in question the civil Court's order dated

9.6.2020. The civil Court has restrained the appellants

from interfering with the respondent's conduct of the

Hotel and Shisha business in the suit schedule

property. The respondent has not only filed this suit

but it has also filed another suit in O.S.No.25858/2022

for injunction.

The learned counsel for the parties have filed an

application (IA No.3/2022) under Order XXIII Rule 3

read with Section 151 of the Code of Civil Procedure

1908 reporting settlement. The terms of the settlement

read as under:

a. It is agreed between the Appellants and Respondent that the services between the parties stands cancelled and terminated. Consequently, all the rights and interest the Respondent/Plaintiff in respect of the schedule premises and the business stands rescinded. Henceforth the Respondent/Plaintiff has no manner of right, claim, interest etc. in respect of the schedule premises and the business of Appellants/Defendants.

b. The Goods and Services Agreement dated 16.10.2020 is not admitted by the

Defendants. However, to give a quietus, it is agreed by both parties that the agreement shall be ineffective, unenforceable and inoperative without conferring any manner of right, claim or interest over the Schedule Property (including the kitchen) and the entire business. The Plaintiff further agrees and undertakes that it shall make no more claims under purported agreement dated 16.10.2020 before any court or forum or authority concerned and not to initiate any proceedings in the future and unto eternity.

c. The Respondent/Plaintiff admits all the averments made in the written statement of the Appellants/Defendants.

d. That the appellants/Defendants shall paid a sum of Rs.33,00,000/- (Rs. Thirty three lakhs) by virtue of Demand Draft dated 17.06.2022, bearing No. 060037, drawn on HDFC Bank, R.T. Nagar Branch in favour of the Respondent/Plaintiff as one time settlement amount for all the investment, expenses incurred by the Respondent/Plaintiff towards renovation,

beautification, purchasing necessary furniture, kitchen item, fabrication work, construction of cabanas, advertisement etc and also towards goodwill of the business which has been done at the schedule property.

e. Thus, having received the settlement amount the Respondent/Plaintiff has no manner of rights or claims whatsoever in the business of the Appellant and henceforth, the Appellants can continue their business without the interference from the Plaintiff/Respondent and hence there are no claims between the parties and dispute between both the parties has been settled.

f. The Respondent/Plaintiff agrees that it does not have any claim over the renovation, beautification, purchasing necessary furniture, kitchen items fabrication work, construction of cabanas, advertisement etc and also towards goodwill of the business which has been done at the schedule property.

g. The Plaintiff/Respondent hereby admits that NU Air Restaurants LLP and NU Air products and Facilities India LLP are sister concerns of the Plaintiff/Respondent and that the sister concerns of the Plaintiff/Respondent also have no claim whatsoever over the Schedule Property, improvements made therein, business, assets etc. The Defendants can continue to run their business without interference from the plaintiff or its sister concerns.

h. The Plaintiff/Respondent hereby agrees to indemnify the Defendants/Appellants against all third-party claims including vendors and NU Air Restaurants LLP and NU Air products and Facilities India LLP.

i. That the Respondent/Plaintiff shall withdraw both injunction suits which it has instituted against the Appellants/Defendants in O.S.No.3031/2022 pending on the file of the City Civil Court, Bangalore CCH-27 and also O.S.NO. 25858/2022 pending on the file of City Civil court, Bangalore at Mayohall CCH-58 Bangalore, without liberty.

j. Having settled the dispute the criminal case and the FIR registered by and between the Appellants/Defendants and Respondent/Plaintiff at Sadashivanagar Police station and also Pulakeshi nagar Police station are also agreed to be withdrawn voluntarily. Both parties are hereby mutually agreed to help and assist each other either to withdraw or get said FIRs quashed which has been registered by and between both the parties.

k. It is agreed that any objection given by the Plaintiff/Respondent and its sister concerns to any of the authorities in relation to the business of the Defendant, stand withdrawn and the Defendant shall be free to manage, administer and run their business without any such interference.

i. That there shall not be any claim/s whatsoever either by the Respondent/Plaintiff company or other companies of NU AIR and its sister concern, in respect of the business. The one time settlement amount agreed by the

Respondent/Plaintiff on its behalf and on behalf of other companies of NU AIR and its sister concern.

m. There is no compulsion, coercion or undue influence of whatsoever nature and the present Compromise petition is entered into between the Appellants and Respondents in their sound state of mind and out of their free volition.

The parties are present and are identified by their

respective counsels and in fact a copy of the Resolution

dated 23.4.2022 (mentioned only as 23rd April) is placed

on record to substantiate that Mr.Mohammed Ikram,

one of the partners of the defendants, is authorized for

settlement. As is obvious from the above, the parties

have settled the mutual claim and the respondent has

agreed to withdraw both the suits in

O.S.Nos.3031/2022 and 25858/2022 [as mentioned in

clause (i)]. The parties have thus agreed to fully and

legally settle all their disputes.

For these reasons, the Court is persuaded to