Calcutta High Court Dismisses NTC Industries' Plea for Extension to File Written Statement

Court Upholds Validity of Summons Service by Post, Orders Suit to Proceed as Undefended

In a significant ruling, the Calcutta High Court, presided over by Justice Aniruddha Roy, dismissed an application by NTC Industries Limited seeking an extension to file a written statement in a commercial suit filed by MSC Mediterranean Shipping Company S.A. The court found that the summons served on NTC Industries' registered office by post on November 14, 2024, was valid, and the subsequent application for extension filed on March 20, 2025, was beyond the permissible 120-day period.

The case revolved around a dispute where MSC Mediterranean Shipping Company sought recovery of demurrage charges amounting to over Rs. 2 crore. NTC Industries contended that the summons service was not valid as it was not delivered to a designated person as per the Civil Procedure Code (CPC), 1908. However, the court clarified that under Order XXIX, Rule 2 of the CPC, service of summons on a corporation can be effected either through designated individuals or by post to the registered office, with the two methods being independent of each other.

Justice Roy emphasized that the provisions under Order XXIX, Rule 2(a) and (b) of the CPC are disjunctive, meaning service by post at the registered office suffices without the need for delivery to a specific individual. The court further noted that NTC Industries did not dispute the receipt of the summons at their registered office on November 14, 2024, thus marking the start of the 120-day period for filing a written statement.

The court referred to several precedents, including M/s Shalimar Rope Works Ltd. v. M/s. Abdul Hussain H. M. Hasanbhai Rassiwala, which supported the validity of postal service to a corporation's registered office as effective service.

With the mandated period having expired without a valid extension, the court ordered that the suit proceed as undefended, as NTC Industries forfeited its right to submit a written statement. The application by NTC Industries was dismissed, and the case will now move forward without a defense from the company.

Bottom Line:

The service of writ of summons on a corporation can be validly effected either through designated persons as per Rule 2(a) of Order XXIX CPC or by sending it to the registered office by post under Rule 2(b). The provisions are disjunctive and independent.

Statutory provision(s): Order XXIX, Rule 2, Civil Procedure Code, 1908; Order VIII, Rule 1, Civil Procedure Code, 1908

MSC Mediterranean Shipping Company S.A. v. NTC Industries Limited, (Calcutta) : Law Finder Doc Id # 2812509