Appeal Dismissed in Summary Suit for Loan Repayment Due to Frivolous Defence.
09 December 2024
Summary Suits >> Civil & Consumer Law
In Sapna & Another Vs Shivesh Gard, the appellants (husband and wife) challenged the judgment and decree passed on 30.05.2024 by the District Judge, Tis Hazari Courts, Delhi, which dismissed their application for leave to defend a suit filed under Order XXXVII CPC. The respondent had filed the summary suit seeking Rs. 7,77,500/- from the appellants, alleging that a loan of Rs. 5,00,000/- was advanced in April 2020, which the appellants had failed to repay, despite issuing a dishonoured post-dated cheque.
The appellants contended that they had repaid the entire loan amount through monthly installments and had requested the return of the cheque and loan agreement. However, the trial court dismissed their plea for leave to defend, citing that the appellants had admitted the loan but failed to provide any documentary evidence or receipts to support their repayment claims.
The Supreme Court's guidelines on the scope of leave to defend under Order XXXVII CPC were referenced, emphasizing that a triable defence must be presented for leave to defend to be granted. In this case, the appellants' defence was found to be implausible, as no receipts or bank transactions corroborated their claims. The court also found their defence to be frivolous and vexatious, leading to the dismissal of the appeal.
Section 84, Code of Civil Procedure (Amendment) Act - 1976