Court Allows Clerical Amendment to Loan Agreement in Pending Suit.
10 January 2024
Civil Suits >> Civil & Consumer Law
This Interim Application of Kyoorius Communications Private Limited v/s Datalink Multi Trading Private Limited & Others., seeks to amend the plaint in a suit by correcting a clerical error in Exhibit A. The amendment proposes replacing the wrong document annexed with the correct version of the Loan Agreement, particularly concerning the interest rate. The Plaintiff argues that the amendment does not affect the core of the suit, which seeks to recover only the principal amount, and that the amendment merely corrects the interest rate from 1% to 12.5%, as originally agreed between the Plaintiff and Defendant No. 1.
Defendant No. 2 opposes the amendment, arguing that the amendment is unnecessary, as the Defendant was assigned only the principal amount and not the interest. They also claim that the interest rate is not the central issue in the suit.
The Court, referencing the case of Kisandas Rupchand vs. Rachappa Vithoba Shilvant, applied the legal principle that amendments can be allowed unless they place the opposing party at an unmitigable disadvantage. The Court found that the amendment simply corrects a clerical error and does not affect the substance of the suit. Since no writ of summons has been issued yet, and the Defendants will still have an opportunity to respond after the amendment, the Court allowed the application for amendment. The amendment must be carried out within two weeks, and all parties' contentions on the merits are left open for future consideration.