Case Note & Summary
The dispute arose from a suit filed by the respondent against the appellant, a corporation, claiming damages for non-delivery of goods. The respondent filed the suit on 24-2-1975, and summons was purportedly served on an office assistant, Shri Navlakha, on 17-3-1975. The appellant did not appear in court, leading to an ex-parte decree on 22-4-1975. The appellant became aware of the decree only on 29-7-1975, prompting them to file an application under Order 9 Rule 13 of the Code of Civil Procedure to set aside the decree. The trial court found that the summons was not validly served, as Navlakha was not an authorized officer to receive summons. However, the High Court reversed this decision, leading to the appeal. The Supreme Court held that service on a non-authorized person does not constitute valid service on the corporation, restoring the trial court's decision. The court emphasized that the summons must be served on a principal officer or in accordance with the provisions of the Code, and the failure to do so invalidated the ex-parte decree. The appeal was allowed, and the High Court's judgment was set aside, allowing the suit to proceed (Paras 1030-1034).
Headnote
A) Civil Procedure - Service of Summons - Validity of Service on Non-Authorized Personnel - Code of Civil Procedure, 1908, Order 29 Rule 2 - Service on an office assistant who is not an authorized officer does not constitute valid service on the corporation. The court held that the summons was not duly served as it was delivered to a mere office assistant, not a principal officer, and thus the ex-parte decree was set aside (Paras 1030-1033).
Issue of Consideration
Whether the service of summons on an office assistant constituted valid service on the corporation under the Code of Civil Procedure.
Final Decision
The Supreme Court allowed the appeal, set aside the High Court's judgment, and restored the trial court's decision, stating that the summons was not validly served on the corporation.
Law Points
- Service of summons
- Corporations
- Code of Civil Procedure
- 1908
- Order 29 Rule 2
- Order 5 Rule 17
- Ex-parte decree
- Juristic person
