Professional Documents
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Kavita Muthappa
IN THE COURT OF SHRI INDER JEET SINGH, ADDL. DISTRICT JUDGE03,
SOUTH DISTRICT, SAKET COURTS, NEW DELHI
In the matter of
Suit No. 347/2010
M/s. Rimika Enterprises Private Ltd.,
F3, 1st Floor, Arjun Palace,
B45, Greater KailashI,
New Delhi – 110048.
.....Plaintiff
Versus
Ms. Kavita Muthappa,
Proprietor M/s. Creative Concepts,
No. 3, Curly Street, Richmond Town,
Bangalore – 560025, Karnataka.
.....Defendant
Plaint Presented on : 25.10.2010
Date of Institution : 26.10.2010
Decision Reserved on : 10.03.2011
Date of Decision : 23.03.2011
CS No. 347/2010 Page 1 of 5
M/s. Rimika Enterprises Private Ltd. vs. Ms. Kavita Muthappa
JUDGMENT
(on Suit for Recovery of Rs. 9,60,333/)
incorporated (by certificate, now Ex. PW1/2) and Suit for Recovery has been
authored by its Managing Director Shri Vikas Verma (since he has been
authorized by Resolution dated 11.08.2010, now Ex. PW1/1 by the Board of
Company). The plaintiff carries on business, interalia of establishing, running
and operating “Paintyourceramic studios” under the name and style “The
Colour Factory”, which is a creative hobby center offering creative activities
such as ceramic painting, mosaic tile making, photo framing, bead work,
cookie, chocolate and cake making, aero modeling, clay modeling, sculpting,
painting, sketching and all other creative and hobby activities in Delhi, NCR
and many other prominent cities of the country of its own and by granting a
licence to franchisee to implement and use business format.
agreement dated 04.12.2006 at New Delhi (now Ex. PW1/2A) for establishing
Factory” in Bangalore in the State of Karnataka and defendant was permitted
to operate and run the retail business of the plaintiff under the
aforementioned name and style. Pursuant to such agreement and establishing
CS No. 347/2010 Page 2 of 5
M/s. Rimika Enterprises Private Ltd. vs. Ms. Kavita Muthappa
the establishment, the plaintiff has been accepting the orders placed by
defendant for various material required and plaintiff supplied them for
defendant. The plaintiff also carried radio campaign and other printed leaflets
for spending and marketing help to the defendant for promotion of
defendant’s business, although it was not either the obligation of the plaintiff
or part of franchise agreement.
However, the defendant failed to discharge her obligations under
the agreement and as on 06.08.2008, a sum of Rs 6,31,521.75p (inadvertently, in
the notice dated 17.02.2009 (now Ex. PW1/15), it was mentioned as Rs.
6,33,139/) are outstanding, which the defendant failed to pay. The plaintiff
apprised the defendant about outstanding amount through various written
PW1/3 to Ex. PW1/6) and defendant admitted, from time to time, the
outstanding amount through written communication (now Ex. PW1/7 to Ex.
26.11.2008, 10.01.2009 and 20.01.2009. Lastly, the plaintiff was compelled to
defendant has been served with the legal notice dated 17.02.2009 but no result
and plaintiff, in order to extend help to the defendant, has also asked her to
amount and to lessen her financial burden but no result. Thence, the present
CS No. 347/2010 Page 3 of 5
M/s. Rimika Enterprises Private Ltd. vs. Ms. Kavita Muthappa
suit for Rs. 9,60,333/.
1.3 The defendant was proceeded exparte on 20.12.2010, since she
name and postal authorities had informed the defendant about the articles in
her name and lastly, the same were returned to the Court with such report.
2.1 Shri Vikas Verma, Managing Director, sole witness / PW1 of the
plaintiff company stepped into the witness box and deposed along with his
affidavit A1 and then concluded the evidence.
2.2 Shri Vikram Bhatia, Advocate for the plaintiff argued on the lines
of pleadings and documents tendered through witness PW1.
3. (Findings) – The pleadings, evidence – oral and documentary, are assessed.
Paragraphs 1.1 and 1.2, above are hybrid pleadings and documents. The
statement of PW1 is on the lines of pleadings and supporting documents. In
addition, the plaintiff has elucidated that the amount to be recovered are
comprising franchisee fee, royalty and balance amount. The testimony of
PW1 remained unchallenged for want of appearance of defendant visavis
his cross examination on behalf of defendant. The plaintiff has also produced
defendant’s reply dated 05.06.2009 (Ex. PW1/16) to notice (Ex. PW1/15) and
CS No. 347/2010 Page 4 of 5
M/s. Rimika Enterprises Private Ltd. vs. Ms. Kavita Muthappa
in the reply, defendant’s claim that franchisee agreement was terminated by
her because of plaintiff’s failure to supply requisite agreed amount. However,
this plea remained unproved because of nonappearance of the defendant.
The plaintiff has succeeded to prove its case.
The plaintiff claims interest @ 24% per annum on the outstanding
amount, whereas as per invoices, the interest @ 18% per annum was
stipulated on delayed payments.
coupled with cost of suit along with interest @ 18% per annum from
25.10.2010, date of institution of suit till realization of amount, in favour of
plaintiff and against the defendant.
Decree sheet be drawn accordingly.
File is consigned to record room.
Announced in the open Court (INDER JEET SINGH)
rd
on 23 March, 2011 Additional District Judge 03,
South District, Saket Courts,
New Delhi
N
CS No. 347/2010 Page 5 of 5