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Name of the Case

Valo Automobile Pvt. Ltd. v. Sprint Cars Pvt. Ltd.

Background

  • A suit was filed by the petitioner against the Sprint Cars Pvt. Ltd. for recovering Rs. 31,65,271/- including interest and certain documents and statement of accounts were placed on record.
  • An application was filed later by the petitioner to amend the plaint under Order VII Rule 14 of CPC to enhance the suit claim to Rs. 39,03,396/-.
  • The application was rejected on the ground that it would result in allowing a claim relinquished at the time of filing the plaint.
  • The documents could not be filed as the amendment was dismissed, according to Order XI Rule 5 of CPC.

Submissions by parties

  • The Counsel for the petitioner submitted that the only change was the enhancement in the amount of claim and not in the nature of the suit filed.
  • The Trial Court had been misdirected in holding that the petitioner had relinquished the claim that it was belated in seeking incorporation in the plaint.
  • Since the matter was pending before the Mediation Court, the amendment had been submitted as earliest as possible.
  • After a thorough search invoices were discovered which showed that the respondents had more amount to pay to the petitioners.
  • The counsel for respondents however stated that the petitioners had filed for a lower claim amount despite having all the documents so the decision of the Court was correct and appropriate.

Court’s Observation

  • The District Judge of Commercial Court had dismissed the applications for placing additional documents on record which the plaintiff had not produced when the plaint was filed.
  • The amendment can be allowed even after the Trial has commenced on satisfaction of the averments sought to be introduced.
  • The case is in the preliminary stage and trial has not started yet and since the amendment did not seek to change the nature of the suit, the petitioner can make a change to the claim amount.
  • Order II Rule 2 has no application in deciding an application under Order VI Rule 17 CPC and cannot be used for denying correction of claims.
  • The Trial Court had referred to Order XI Rule 5 but overlooked Order XI Rule 1 (1)(c)(ii) which allows filing documents in answer to the defendant after filing the suit.

Court Order

  • The Court held that according to Order VI Rule 17 CPC, amendments to pleading to determine the real question in controversy can be allowed.
  • The Court has the power under Order XI Rule 5 of the Civil Procedure Code to grant leave to the plaintiff for filing documents that were not initially mentioned while filing the plaint.
  • The petitioner was given an opportunity to produce the documents and statement of truth within 2 weeks before the Commercial Court but at a cost of Rs. 10,000/- payable to the respondent’s counsel.

Do you think that the filing of documents should be allowed after the plaint has been filed? Tell us in the comments section below!

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