Bombay High Court
VAIBHAV ASHOK AHERversusVISHNU SUKDEO BASTE AND ORS
- Decided
- Disposal
- Disposed Off
Holding
The High Court quashed the order granting unconditional leave to defend the summary suit and remitted the application for fresh consideration in accordance with Order XXXVII of the CPC and binding Supreme Court precedents.
Summary
The petitioner, Vaibhav Ashok Aher, filed a suit for recovery of Rs.67,00,000 claimed to be a hand loan advanced to the respondents. The Civil Judge, Senior Division, Niphad, had earlier granted unconditional leave to defend the summary suit on a bare statement that the defendants raised substantial issues, without providing reasons or applying Order XXXVII of the Code of Civil Procedure, 1908. The petitioner challenged this order by filing a writ petition. The High Court held that the lower court failed to consider the statutory test and binding Supreme Court precedents (IDBI Trusteeship Services Ltd. v. Hubtown Ltd and B.L. Kashyap & Sons Ltd. v. M/s Jms Steels & Power Corp.) and therefore quashed the order. The matter was remitted to the Civil Judge to reconsider the application for leave to defend afresh, adhering to Order XXXVII and the cited precedents. The writ petition was allowed and the order set aside.
Issues considered
- Whether the Civil Judge correctly exercised jurisdiction in granting unconditional leave to defend a summary suit without applying Order XXXVII of the CPC.
- Whether the defendants raised a substantial defence or triable issue warranting leave to defend.
- Whether the order granting leave should be quashed and the matter remitted for fresh consideration.
Legislation cited
- Code of Civil Procedure, 1908 — s. Order XXXVII
Subjects
- summary suit
- leave to defend
- Order XXXVII CPC
- substantial defence
- civil procedure
- quash order
- remand
Judgment
29 WP-9004-26.DOC
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
CIVIL APPELLATE JURISDICTION
WRIT PETITION NO. 9004 OF 2026
Vaibhav Ashok Aher ..Petitioner
Versus
Vishnu Sukdeo Baste & ors. …Respondents
Mr. Sachin Gite, for the Petitioner.
Mr. Girish Agrawal, a/w Mr. Shubham Jangam, for the
Respondent Nos. 1 to 5.
CORAM : N. J. JAMADAR, J.
DATE : 22nd SEPTEMBER 2026
SAINATH
SANJAY
Oral Order :-
BODKHE
Digitally signed by
SAINATH SANJAY
BODKHE
Date: 2026.09.24
17:54:10 +0530 1. Heard the learned Counsel for the parties.
2. The challenge in this petition is to an order dated 18 th
April, 2026 passed by the learned Civil Judge, Senior Division,
Niphad, whereby an application preferred by the plaintiff to
recall the order passed below Exh. 30 in Summary Suit
No.3/2025 dated 09th January, 2026 thereby granting an
unconditional leave to defend the summary suit, came to be
rejected.
SAINATH, PA 1/4
29 WP-9004-26.DOC
3. The petitioner has instituted the suit for recovery of a sum
of Rs.67,00,000/- which was advanced by the petitioner to the
defendants by way of a hand loan through banking channel.
4. By the impugned order dated 09th January, 2026, the
learned Judge was persuaded to grant unconditional leave to
defend the suit by a single line reason that, the defendants have
raised substantial issues in respect of the claim amount.
5. The impugned order is sans reasons. The learned Judge
has not adverted to the provisions contained in Order XXXVII of
the Code of Civil Procedure, 1908 (“Code, 1908”) nor has
consulted the binding precedents which guide the Courts in the
matter of grant of leave to defend a summary suit.
6. The tests for deciding an application for grant of leave to
defend a summary suit have been reformulated by the Supreme
Court in the case IDBI Trusteeship Services Ltd. Vs. Hubtown
Ltd1. In the case B. L. Kashyap & Sons Ltd. Vs. M/s Jms Steels
& Power Corporation & anr.2, the Supreme Court has further
expounded the factors which ought to weigh with the Court in
granting or refusing to grant leave to defend the summary suit.
7. Without satisfying himself as to whether the defendant
has raised a substantial defence or triable issues or for that
1 (2017) 1 SCC 568
2 (2022) 3 SCC 294
SAINATH, PA 2/4
29 WP-9004-26.DOC
matter, the defence raised by the defendants is sham or bogus,
the learned Judge has granted an unconditional leave to defend
the suit.
8. In this view of the matter, without delving into the merits
of the case, this Court considers it appropriate to remit the
matter back to the learned Civil Judge for deciding the
application for grant of leave to defend the summary suit afresh.
9. Hence, the following order :-
:: ORDER ::
i) The Writ Petition stands allowed.
ii) The impugned order stands quashed and
set aside.
iii) The application for grant of leave to
defend the summary suit (Exh.30) stands
restored to file of learned Civil Judge, Niphad.
iv) The learned Civil Judge is requested to
hear and decide the application for leave to
defend the summary suit afresh, after
adverting to the provisions contained in Order
XXXVII of the Code, 1908 and the binding
judicial precedents, as expeditiously as
possible and, preferably, within a period of 2
SAINATH, PA 3/4
29 WP-9004-26.DOC
months from the date of communication of this
order.
The Writ Petition stands disposed.
[N. J. JAMADAR, J.]
SAINATH, PA 4/4
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