NINA INDUSTRIES LTD. vs E.F — 2023 CLC 1684 KARACHI-HIGH-COURT-SINDH

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NINA INDUSTRIES LTD. VS E.F.U. GENERAL INSURANCE LIMITED O.XXXVII, R. 2---Suit for recovery of money---Leave to defend suit, grant of---Dishonored cheques---Conditional leave---Principle---Appellant/defendant was not granted leave to defend the suit and suit was decreed in favour of respondent/plaintiff---Validity---Defence set up by appellant/defendant was neither fake nor without any material to support or just bald allegations without any substance---At worst, even if appellant's/defendant's defence was treated as vague or unsatisfactory or there was a doubt as to its genuineness or it appeared to be very weak or a sham one, then leave to defend should have been granted conditionally putting him on terms to either furnish security or deposit the amount claimed by respondent / plaintiff in summary suit---Factual premise on which Judge in Chambers of High Court predicated his judgment was fallacious on account of misreading and non-reading of pleadings and/or documentary record---Plausible defence was made out by appellant / defendant and triable issues had been raised which required determination by Trial Court---Facts narrated and documents produced in summary suit by appellant / defendant showed that there was a substantive dispute which merited deeper enquiry and required grant of leave so that the relevant material could come on the record through process of evidence---Granting of leave to defend application did not mean that respondent / plaintiff was being non-suited---Non-granting of leave to defend application was fatal for appellant / defendant who would be left with no recourse to establish its case---Division Bench of High Court set aside judgment and decree passed by Judge in Chambers of High Court, granted conditional leave to defend the suit and remanded the matter for trial in accordance with law---Appeal was allowed accordingly.

NINA INDUSTRIES LTD. vs E.F — 2023 CLC 1684 KARACHI-HIGH-COURT-SINDH

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