Case Note & Summary
The case involved an appeal filed by Kamal and Company against Antwerpse Dimant Bank N.V. concerning the execution of a decree from a summary suit. The Supreme Court, upon hearing the parties, decided to stay the execution of the decree passed by the learned Single Judge in Summary Suit No.3297 of 1999. The court stipulated that the stay would be conditional upon the appellant depositing Rs.50 lac with the Prothonotary & Senior Master of the Bombay High Court. It was noted that the appellant's counsel indicated that the deposit had already been made. Furthermore, the court allowed the respondent to withdraw the deposited amount, provided they furnished a bank guarantee from a scheduled bank in Bombay, which would remain valid until the appeal was resolved by the Division Bench of the High Court. The appeal was thus disposed of with these directions.
Headnote
A) Civil Procedure - Stay of Execution - Conditions for Stay - Code of Civil Procedure, 1908, Order 41 Rule 5 - The court granted a stay on the execution of the decree provided the appellant deposited a specified amount with the court. The respondent was permitted to withdraw the amount upon furnishing a bank guarantee, ensuring security until the appeal's resolution. Held that conditions for stay were met (Paras 3-4).
Issue of Consideration
Whether the execution of the decree should be stayed pending the appeal
Final Decision
The Supreme Court granted a stay on the execution of the decree, conditional upon the appellant depositing Rs.50 lac with the court. The respondent was allowed to withdraw the amount upon providing a bank guarantee from a scheduled bank in Bombay.
Law Points
- Stay of execution
- deposit requirement
- bank guarantee
- appeal process
