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Madras High CourtCS/237/2007dismissed as settled out of court

M/S.Allure Fashions v. Mr Prabir Roy

2021-07-05Honourable Mr Justice R. Subramanian13 pages

IN THE HIGH COURT OF JUDICATURE AT MADRAS

(ORDINARY ORIGINAL CIVIL JURISDICTION) MONDAY, THE 5TH DAY OF JULY 2021 THE HON'BLE MR. JUSTICE R.SUBRAMANIAN C.S. No.237 of 2007 M/s.Allure Fashions, Rep by its Managing Partner, Shri Niranjan Mathur, No:A-23, Thiru-vi-ka Industrial Estate, Guindy, Chennai-600 032.

... Plaintiff

Versus

1.Mr.Prabir Roy, No:58 D, Rajaji Nagar Main Road, Thiruvanmiyur, Chennai-600 041.

2.Paroma Shoes Pvt. Ltd., Rep. By its Managing Director Mrs.Tinku Roy, No.30, Officers Lane, Ashoka Road, Pallavaram, Chennai-600 043.

3.M/s.Winners Overseas, Rep. by its Partner Mr.Balachander No.4, P.P.Amman Koil Street, Nagalkeni, Chrompet, Chennai-600 044.

... Defendants Civil suit praying that this Hon'ble Court be pleased to pass a Judgment and Decree against the Defendants:

(a) for a permanent injunction restraining the 1st Defendant from, in any way, dealing in any manner with the existing customers of the Plaintiff,

more fully described in Schedule A hereunder, either directly or indirectly or through agents or 3rd parties or in the name of Defendants 2 and 3 and forbear the 1st Defendant from indulging in any act, either directly or indirectly or through the Defendants 2 and 3 which would adversely affect the interests of the Plaintiff for a period of 24 months from the date of retirement of the 1st Defendant (25.01.2006) from the firm; (b) for a permanent injunction retraining the Defendants 2 and 3 from employing in their services the persons mentioned in Schedule B hereunder or any other employee of the Plaintiff for a period of 24 months from the date of retirement of the 1st Defendant (25.01.2006). (c) directing the Defendants 1,2 and 3 to pay the Plaintiff a sum of Rs.1,00,00,000/- (Rupees One Crore Only) towards damages for loss of reputation and loss of business on account of the breach of trust committed by them;

(d) directing the 1st defendant to pay the Plaintiff a sum of Rs.48,00,000/- (Rupees Forty Eight Lakhs Only) on account of the default committed by the 1st Defendant of the terms and conditions of the Arbitral award dated 24.01.2006 together with interest at 18% per annum from the date of the Plaint till date of realisation;

(e) For cost of this suit;

This suit coming on this day before this court for hearing in the presence of Mr.Kalyan Jhabakh for M/s.Surana & Surana, Advocates for the plaintiff herein and Mr.C.A.Theagarajan, Advocate for the defendants herein and upon reading the plaint filed herein and this court having observed that the parties have settled the dispute amongst themselves, they have entered into a memorandum of compromise, as per the said memorandum of compromise, the parties have given up their claim against each other, and this court doth recording the same, it is ordered as follows:- That the suit in C.S.No.237 of 2007, be and is hereby dismissed as settled out of court.

2)That a certificate under section 69A of Tamil Nadu court fees and Suits Valuation Act, 1955, do issue herein, out of and under the seal of this court in favour of M/s.Allure Fashions, Rep. by its Managing Partner Shri Niranjan Mathur, the plaintiff herein, autherising them to receive from the Pay and Accounts office, High Court, Madras, a sum of Rs.1,55,350/- (Rupees One Lakh Fifty Five Thousand Three Hundred and Fifty only), being entire Court fee paid on the plaint by the plaintiff herein.

3) That a certificate under section 69-A of Tamil Nadu Court fees and suits valuation Act, 1955 do issue herein, out of and under the seal of this court in favour of Prabir Roy, the 1st defendant herein, authorising him

to receive from the pay and accounts office, High Court, Madras, a sum of Rs.1,03,100/- (Rupees One Lakh Three Thousand and One hundred Only) being the entire court fee paid on the counter claim by the 1st defendant herein.

WITNESS THE HON'BLE MR. JUSTICE SANJIB BANERJEE, CHIEF JUSTICE, HIGH COURT AT MADRAS AFORESAID, THIS THE 5TH DAY OF JULY 2021.

Sd./- ASSISTANT REGISTRAR (Comm.Cases) //Certified to be true copy// Dated at Madras this the day of 2021. COURT OFFICER(O.S.) From 25th Day of September 2008 the Registry is issuing certified copies of the Orders/Judgments.

VSP 09/08/2021 C.S. No.237 of 2007

ORDER

DATED : 05.07.2021 THE HON'BLE MR.JUSTICE R.SUBRAMANIAN FOR APPROVAL:08/10/2021 APPROVED ON: 12/10/2021

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 05.07.2021

CORAM:

THE HONOURABLE MR.JUSTICE R.SUBRAMANIAN C.S.No.237 of 2007 M/s.Allure Fashions, Rep. By its Managing Partner, Shri Niranjan Mathur, No.A-23, Thiru-Vi-Ka Industrial Estate, Guindy, Chennai - 600 032.

...Plaintiff Vs.

1.Prabir Roy, No.58 D, Rajaji Nagar Main Road, Thiruvanmiyur, Chennai - 600 041.

2.Paroma Shoes Pvt. Ltd., Rep. By its Managing Director, Mrs.Tinku Roy, No.30, Officers Lane, Ashoka Road, Pallavaram, Chennai - 600 043.

3.M/s.Winners Overseas, Rep. By its Partner, Mr.Balachander No.4, P.P.Amman Koil Street, Nagalkeni, Chrompet, Chennai - 600 044.

...Defendants Prayer: Plaint filed under Order IV Rule 1 of the Original Side rules r/w. Order VII Rule 1 of C.P.C., praying as follows:-

a) for a permanent injunction restraining the 1st defendant from, in any way, dealing in any manner with the existing customers of the plaintiff, more fully described in Schedule A hereunder, either directly or indirectly or through agents or 3rd parties or in the name of the Defendants 2 and 3 and forbear the 1st defendant from indulging in any act, either directly or indirectly or through the defendants 2 and 3 which would adversely affect the interest of the plaintiff for a period of 24 months from the date of retirement of the 1st defendant (25.01.2006) from the firm; b)for a permanent injunction restraining the defendants 2 and 3 from employing in their services the persons mentioned in Schedule B hereunder or any other employee of the plaintiff for a period of 24 months from the date of retirement of the 1st defendant (25.01.2006; c)directing the defendants 1, 2 and 3 to pay the plaintiff a sum of Rs.1,00,00,000/- (Rupees One Crore only) towards damages for loss of reputation and loss of business on account of the breach of trust committed by them;

d)directing the 1st defendant to pay the plaintiff a sum of Rs.48,00,000/- (Rupees Forth Eight Lakhs only) on account of the default committed by the 1st defendant of the terms and conditions of the Arbitral award dated 24.01.2006 together with interest at 18% per annum from the date of the plaint till date of realisation;

e) for cost of this suit; and f) pass such other or further orders as this Hon'ble Court may deem fit and proper under the facts and circumstances of the case and thus render justice.

For Plaintiff : Mr.Kalyan Jhabakh for M/s.Surana & Surana For Defendants : Mr.C.A.Theagarajan

J U D G M E N T

The parties have settled the dispute amongst themselves. They have entered into a memorandum of compromise. As per the said memorandum of compromise, the parties have given up their claim against each other. 2.The said memo is recorded and this suit is dismissed as settled out of Court.

3.In view of the said settlement arrived at by them, Mr.Kalyan Jhabakh, learned counsel appearing for the plaintiff and Mr.C.A.Theagarajan, learned counsel appearing for the 1st defendant would submit that the Court fees paid on the plaint as well the counter claim should be refunded in view of the Section 69-A of the Tamilnadu Court Fees and Suits Valuation Act, 1955. They would also rely upon the

judgment of the Hon'ble Supreme Court in The High Court of Judicature of Madras, Rep. by its Registrar General Vs. M.C.Subramaniam and Others reported in 2021 SCC Online SC 109 wherein, the Hon'ble Supreme Court had held that the provisions of Section 89 of C.P.C., and Section 69-A of the Tamilnadu Court Fees and Suits Valuation Act should be interpreted liberally and on a purposive and broad construction of the said provision, refund of Court fee can be made even in cases where, settlement is arrived at after recording of evidence without going through any of the modes prescribed under Section 89 of the Code of Civil Procedure.

4.In view of the said judgment of the Hon'ble Supreme Court, the prayer for refund of Court fee is allowed. Registry is directed to refund the entire Court fee paid on the plaint and the counter claim. Sd./-R.S.M.J 05.07.2021 List of witness examined on the side of the plaintiff: Niranjan Mathur (PW1) List of documents filed on the side of the plaintiff: S.No.

Description of Documents Exhibit The original partnership deed between the plaintiff and 1st defendant dated 19.08.2002.

Ex.P1 The photo copy of draft memorandum of understanding between the plaintiff and 1st defendant dated 07.09.2005. Ex.P2 The photo copy of memorandum of agreement between the plaintiff Ex.P3

S.No.

Description of Documents Exhibit and 1st defendant dated 02.12.2005.

The photo copy of Award passed by the Arbitrator dated 24.01.2006. Ex.P4 The original of letter format which the 1st defendant agreed to send dated 24.01.2006.

Ex.P5 The photo copy of Reconstituted Partnership deed dated 25.01.2006. Ex.P6 The original of solemnly declaration of Oath by 1st defendant dated 25.01.2006.

Ex.P7 The original e-mail from Lloyd Shoes to plaintiff dated 24.01.2006. Ex.P8 The photocopy of Mail from 1st defendant, sent to the customers(altered) dated 08.02.2006.

Ex.P9 The photocopy of Mail from Lloyds shoes to the plaintiff dated 24.02.2006.

Ex.P10 The print out copy of Mail from Hogl (Shoe Fashion Group) and subsequent orders by fax received dated 07.03.2006. Ex.P11 The photocopy of mail from Mr.Chandrashekar forwarding the mail sent by the defendant dated 07.03.2006.

Ex.P12 The photocopy of Mail from Mr.Chandrashekar forwarding the mail sent by the defendant dated 13.03.2006.

Ex.P13 The original Resignation letter of Mr.J.Jayavardhan submitted to plaintiff and settlements made dated 12.04.2006 Ex.P14 The original Resignation letter of Mr.R.V.Subramaniam submitted to plaintiff and settlements made dated 19.04.2006. Ex.P15 The photocopy of letter from the defendant to the plaintiff dated 28.04.2006.

Ex.P16 The photocopy of Reply letter from the plaintiff to defendant dated 17.05.2006.

Ex.P17 The photocopy of Detailed reply letter from the plaintiff to defendant dated 31.05.2006.

Ex.P18 The photocopy of Bio-data of Mr.Arivalagan showing he was reporting to 1st defendant in Winners Overseas dated 26.06.2006. Ex.P19 The photocopy of letter from 1st defendant to the plaintiff dated 26.07.2006.

Ex.P20 The print out copy of E-mail from Lloyd shoes to plaintiff dated 07.08.2006.

Ex.P21 The photocopy of Mail from Lloyds shoes to the plaintiff dated 30.08.2006.

Ex.P22 The photocopy of Registered reply sent by the 1st plaintiff to the 1st defendant dated 31.08.2006.

Ex.P23

S.No.

Description of Documents Exhibit The photocopy of Letter from the 1st defendant to the plaintiff for the return of company car and camera dated 31.08.2006. Ex.P24 The photocopy of mail from plaintiff to Lloyds dated 01.09.2006 and photocopy of mail from Lloyds shoes to the plaintiff dated 04.09.2006.

Ex.P25 The photocopy of Mail from Lloyds shoes to the plaintiff dated 04.09.2006.

Ex.P26 The print out copy of Reply from Lloyd Shoes to plaintiff dated 05.09.2006.

Ex.P27 The photocopy of Covering letter sent by the plaintiff to the 1st defendant for the first installment made dated 06.09.2006. Ex.P28 The photocopy of Letter from the defendant returning the car dated 15.09.2006.

Ex.P29 The photocopy of Letter from the first defendant to the plaintiff dated 20.09.2006.

Ex.P30 The photocopy of Covering letter sent by the plaintiff to the 1st Ex.P31 defendant for the second installment made with reply to the letter sent by the 1st defendant to the plaintiff dated 03.10.2006. The photocopy of Letter from the 1st defendant acknowledging the receipt of cheque dated 18.10.2006.

Ex.P32 The print out copy of E-mail from ERAM to the plaintiff and subsequent orders received dated 27.10.2006.

Ex.P33 The photocopy of Covering letter sent by the plaintiff to the 1st defendant for the third installment made dated 07.11.2006. Ex.P34 The photocopy of search report conducted at Registrar of Companies dated 14.11.2006.

Ex.P35 The photocopy of application forwarded by one of the employees to our placement consultants that he is reporting to the 1st defendant dated 03.12.2006.

Ex.P36 The photocopy of Covering letter sent by the plaintiff to the 1st defendant for the third installment made dated 07.12.2006. Ex.P37 The photocopy of Minutes of meeting held with Abu Tahir, M/s.TQI India dated 08.12.2006.

Ex.P38 The photocopy of Application forwarded by one of the employee that she is reporting to the 1st defendant dated 08.12.2006. Ex.P39 The photocopy of Quotation sent by Star Cutting dated 12.12.2006. Ex.P40 The photocopy of List of customers sent by Manoj Enterprises dated 15.12.2006.

Ex.P41 The photocopy of a self declaration letter from the employee of the plaintiff that she was offered a job and was instigated to join the 2nd Ex.P42

S.No.

Description of Documents Exhibit defendant company 20.12.2006.

The original of ledger accounts of exports made to Lloyds from the period 01.04.2003 to 31.03.2004.

Ex.P43 The original of ledger accounts of exports made to Lloyds from the period 01.04.2004 to 31.03.2005.

Ex.P44 The original of ledger accounts of exports made to Lloyds from the period 01.04.2005 to 31.03.2006.

Ex.P45 The original of ledger accounts of exports made to Lloyds from the period 01.04.2006 to 31.03.2007.

Ex.P46 The original staff increment for April 2004.

Ex.P47 The original wage fixation of new staff recruited in April 2004. Ex.P48 List of witness examined on the side of the defendants: Prabir Roy (DW1) List of documents filed on the side of the defendants: S.No.

Description of Documents Exhibit The copy of Hindu paper notification dated 05.02.2006 was already marked in the cross-examination of PW1.

Ex.D1 The photocopy of complaint by the 1st defendant to Inspector of Police, Guindy dated 21.07.2005.

Ex.D2 The photocopy of Acknowledgement by Guindy Police dated 21.07.2005 Ex.D3 The photocopy of statement from Eagle's Eye detective to Inspector of Police dated 30.07.2005.

Ex.D4 The photocopy of letter dated 31.07.2005 sent by Eagle's Eye to 1st defendant for acknowledging the money from the plaintiff. Ex.D5 The certified copy of Decree in Application No.3240/2005 of High Court dated 05.08.2005.

Ex.D6 The certified copy of common order passed by High Court in O.A.No.761/2005 in Application No.3239, 3240, 3368 and 3369/2005 dated 12.08.2005.

Ex.D7 The photocopy of Memorandum of Agreement dated 02.12.2005. Ex.D8 The letter format of 1st defendant from 1st defendant to customers Ex.D9

S.No.

Description of Documents Exhibit dated 24.01.2006.

The office copy of letter from Prabir Roy to Niranjan Mathur dated 31.08.2006 with postal receipt.

Ex.D10 The letter from Niranjan Mathur to Prabir Roy dated 31.05.2006. Ex.D11 The printout copy of E-mail from Lloyd Shoes to Prabir Roy dated 04.05.2006.

Ex.D12 The printout copy of E-mail from Michele Mondelli to Prabir Roy dated 15.02.2006.

Ex.D13 The printout copy of E-mail from 1st defendant to Sold Arbitrator dated 08.02.2006.

Ex.D14 The photocopy of letter from Prabir Roy to Niranjan Mathur dated 28.04.2006.

Ex.D15 The office copy of letter from Prabir Roy to Niranjan Mathur dated 26.07.2006 with postal receipt.

Ex.D16 The office copy of letter from Prabir Roy to Niranjan Mathur dated 20.09.2006 with postal receipt.

Ex.D17 The office copy of letter from Prabir Roy to Niranjan Mathur dated 18.10.2006 with postal receipt.

Ex.D18 The letter from Niranjan Mathur to Prabir Roy dated 07.11.2006. Ex.D19 The letter from Niranjan Mathur to Prabir Roy dated 07.12.2006. Ex.D20 The printout copy of E-mail from Chandrasekaran (Arbitrator) to Prabir Roy dated 13.03.2006.

Ex.D21 The letter from Niranjan Mathur to Prabir Roy dated 04.09.2006. Ex.D22 Sd./-R.S.M.J 05.07.2021 //Certified to be true copy// Dated at Madras this the day of 2021. COURT OFFICER(O.S.) From 25th Day of September 2008 the Registry is issuing certified copies of the Orders/Judgments/Decrees in this format.