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Corporate Law

Karnataka HC Quashes Permission for Additional Written Statement in Old Suit

Case Law Details

TaxGuru Citation
2025 taxguru.in 6593
Case Name
Zillion Infraprojects Private Limited Vs Tenova Technologies Private Limited (Karnataka High Court)
Date of Judgement/Order
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Zillion Infraprojects Private Limited Vs Tenova Technologies Private Limited (Karnataka High Court)

The Karnataka High Court has intervened in a protracted commercial dispute between Zillion Infraprojects Private Limited and Tenova Technologies Private Limited, which has been ongoing since 2009. The case, Zillion Infraprojects Private Limited Vs Tenova Technologies Private Limited, involved a challenge to an order from the Commercial Court dated May 31, 2024. This order had permitted the respondent-plaintiff, Tenova Technologies, to file an additional written statement in response to a counter-claim by Zillion Infraprojects. The litigation had a complex history, including parallel proceedings under the Corporate Insolvency Resolution Process (CIRP) before the National Company Law Tribunal (NCLT).

The High Court had previously allowed the defendant’s counter-claim to proceed while the plaintiff’s original plaint was not permitted, in light of the NCLT proceedings. The plaintiff then sought to introduce a new plea via an additional written statement to its counter-claim, which was at the argument stage. The High Court, while acknowledging the long duration of the case, found the lower court’s decision to permit a written statement at such a late stage to be problematic. The court disposed of the petition by quashing the challenged order. However, it granted the plaintiff the liberty to raise all the contentions from its proposed additional written statement orally during the arguments before the Commercial Court. The High Court directed the Commercial Court to consider these arguments in accordance with the law and to conclude the proceedings within an expedited three-month timeframe. This ruling streamlines the process by avoiding further procedural delays while ensuring both parties have a fair opportunity to present their case.

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Author Info

CA Sandeep Kanoi
Qualification: CA in Job / Business
Company: Taxguru Consultancy
Location: Mumbai, Maharashtra
Articles Published: 19,620

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