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Delhi High Court Overturns Dismissal of Commercial Suit Due to Procedural Non-Compliance

LAW FINDER NEWS NETWORK | March 23, 2026 at 2:19 PM
Delhi High Court Overturns Dismissal of Commercial Suit Due to Procedural Non-Compliance

Court Grants Plaintiff Opportunity to Rectify Procedural Defect and Seek Fresh Decree


In a recent judgment, the Delhi High Court overturned a decision by the Learned District Judge, Central District, Tis Hazari Court, which had dismissed a commercial suit solely due to procedural non-compliance under Order VI Rule 15A of the Code of Civil Procedure, 1908. The case, titled "Ms. Shashi Garg v. Ms. Renu Garg (Since Deceased)," involved a dispute over unpaid goods totaling Rs. 45,35,025.


The High Court bench, comprising Justices Anil Kshetarpal and Amit Mahajan, ruled that the procedural defect of not filing a Statement of Truth was not fatal to the suit, as it did not cause irremediable prejudice to the defending party. The court emphasized that procedural laws are meant to aid justice and should not eclipse substantial rights unless the defect affects the court's jurisdiction or causes significant prejudice.


The original suit was dismissed by the district judge due to non-compliance with the procedural requirements for commercial suits, despite findings in favor of the plaintiff on the merits of the case. The High Court noted that the dispute had been fully adjudicated on evidence, and it would be unjust to dismiss it based on a curable procedural defect.


Acknowledging the plaintiff's willingness to rectify the defect, the High Court allowed Ms. Shashi Garg to file an appropriate application within four weeks to comply with the procedural requirements. Upon compliance, the district judge is directed to issue a fresh decree based on the previously returned findings, including determining the plaintiff's entitlement to pendente lite and future interest.


The judgment underscores the High Court's commitment to ensuring justice is not impeded by procedural technicalities, reaffirming the principle that the law should serve as a handmaid of justice.


Bottom Line:

Procedural defect under Order VI Rule 15A of CPC in commercial suits - Non-compliance does not eclipse substantial rights if no prejudice is caused to the defending party, and the defect is curable.


Statutory provision(s): Order VI Rule 15A of the Code of Civil Procedure, 1908, Section 138 of the Negotiable Instruments Act, 1881, Section 19 of the Limitation Act, 1963.


Ms. Shashi Garg v. Ms. Renu Garg (Since Deceased), (Delhi)(DB) : Law Finder Doc id # 2857714

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