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Tuesday, May 17, 2011

Contracts and change in law

Contracts already entered into giving rise to accrued rights and interest are not disturbed by change in law (esp designated legislation)

See


Parag Milk Foods P Ltd v. Union of India, WP No. 2231/2011 (pending)
Parag Milk Foods P Ltd v. Union of India, 2007 Vol. 109 (3) Bom LR 1774 (para 10c, 8c)
Eurotex Industries v. Exports Limited, (2011) 113 (2) Bom LR 0834 (para 33)
Union of India v. Asian Food Industries, (2006) 13 SCC 542 (para 48)
Agri Trade India Services P Ltd v. Union of India, 132 (2006) DLT 500 (para 48)

Southern Petrochemical Industries Co Ltd v. Electricity Inspector, (2007) 5 SCC 447 (para 127)

Vishwant Kumar v. Madan Lal Sharma, (2004) 4 SCC 1 (para 4) - there is a difference between a mere right and what is right accrued or acquired.



Authorisation to sue

Suit filed by a person authorised by Chief Executive Officer does not constitute authority to sign and verify plaint in absence of resolution of board of directors. Letter of authority is not sufficient.
(2011) 163 Comp Cas 37 (SC)


Tuesday, May 10, 2011

Director's capacity to file pleadings

(2011) 163 Comp Cas 37 (SC)

Even a director will need to be authorised by a board resolution to file pleadings, and a letter of authority is insufficient

Provisions of the CPC not considered though.

RTI - information relating to corruption and human rights is not exempt

2011 (266) ELT 456 (Mad.)
Superintendent of Police v. R. Karthikeyan

Especially statistical information cannot be refused.


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Foreign Guarantee and FEMA

If the said guarantee declaration had been executed by the respondent in breach of any provisions of FEMA or FERA, the respondent could be prosecuted for the same. But, it could not be said that the guarantee was null, void or could not be enforced on that ground.

There was no doubt that a debt was owed by the respondent to the petitioner and, further the petitioner did not have to wait to obtain a decree from civil court on the basis of the guarantee declaration.

[2011] 106 SCL 433 (delhi)



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Pleadings are foundation of a case

Pleadings are foundation on which evidence can be lead. Opportunity of proof and evidence need not be given if pleading to effect are not there. 2011 (2) Bom CR (OS) 266


Guarantee - when the debt accrues

The liability of the guarantor would not arise until (a) the borrower has failed; and (b) a notice of demand has been served on the guarantor. Only then can it be said that the debt would accrue. 1981 51 comp cases 301


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