Bombay High Court: The Court ruled that the delay of commercial suit will be accepted with the sufficient cause under the provision of Limitation Act, 1908.

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The Bombay High Court has focused on the allowance of the commercial suit file under the commercial dispute which itself doesn’t prescribe the period of limitation and stated that the limitation act will be applied. 

• The Appellant is the original plaintiff filed a commercial suit in the District Court, dismissed on 6^th may, 2022.
• The Original defendant made the counter claim upon this suit, it was also dismissed by the district Judge.
• The Appeal was filed under the section 13 of the Commercial Courts Act, 2015 pertains to the recovery of amount of Rs. 1,70,16, 342/-.
• The maintainability and the allowance of the suit itself is in question. Because, it was filed with the delay of 156 days from the order of dismissal.
• The voluminous record is submitted to justify the grounds of delay in order to maintain the suit.

The Court highlighted that the rules of limitation are not means to destroy the rights of the parties, rather than means that it is made for the general welfare that a period be put to litigation. It also finds that the section 13 of the Commercial Courts Act will fall under the period of the limitation act.

The Court reminded that the delay of the suit with the sufficient cause will be acceptable and paves the way for the maintainability of the suit.

Justice Nitin W. Sambre and Abhay J. Mantri held that the section 5 of the limitation act attracts the commercial suit and the present Commercial appeal against the judgement of the district court is allowed and said that both the parties are aggrieved by the district court.

In addition, the High Court directed the appellant to pay the Rs.10,000 to the defendant.

CASE NAME: CEAT Limited V. Viren Mishra

NAME: Viswa ganesh K, BALLB (Hons.), School of Excellence in Law, Dr. Ambedkar Law University, INTERN UNDER LEGAL VIDHIYA.

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