JUDGEMENT
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(1.)Leave granted.
(2.)This appeal is preferred against the judgment and order dated December 19, 2011 passed by the High Court of Karnataka at Bangalore in Regular First Appeal No.1033 of 2005 partly allowing the appeal filed by the respondent herein and partly decreeing the Original Suit being O.S. No. 4763 of 1986 filed by the respondent being the original plaintiff. The said original suit was dismissed by a judgment and decree dated March 17, 2005.
(3.)Pre-liberalization, till 1996 all the coffee grown in India was pooled with the appellant-Board which is a statutory body under the Coffee Act, 1942. The appellant-Board (hereinafter referred to as "Board") marketed the pooled coffee and distributed the net realization to the growers in proportion the quantity pooled by them. The Board marketed the pooled coffee by means of auctions and separate auctions were held for export and domestic market. Only registered exporters are allowed to participate in the said auctions and the successful bidders amongst them enter into contracts with the Board for the purchase of the coffee. The Board is a member of the International Coffee Organization (hereinafter referred to as "ICO") which is the main intergovernmental organization controlling and regulating the global coffee export and import. Majority of the coffee growing and consuming countries are members of the ICO. The import and export of coffee is regulated by ICO by fixing quotas on the member countries in accordance with the quantum produced. As per the then International Coffee Agreement of 1983 the export quota system was supported by an obligatory system of controls. Each export by a Member was covered by a Certificate of Origin. Importing Members did not admit coffee from Members unless the Certificate was validated by coffee export stamps issued by the Organization. When quotas were in effect importing Members were required to limit their imports from non-members and exports to non-members were closely monitored.
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