TODARMAL TEJMAL AND ANR. Vs. CHIRONJILAL, GOPILAL AND ANR.

JUDGEMENT

(1.) THIS is an appeal by the Plaintiffs from a decision of the Civil Judge First. Class Shivpuri, dismissing the Plaintiff's suit for the recovery of Rs. 5225/8/ - due on the basis of adjustment of accounts signed by the Defendants. The suit was dismissed on the ground that there had been a novation of the contract sued upon and that the suit, was, therefore, not maintainable.

(2.) THE Plaintiffs case was that after adjusting the accounts of mutual dealings between the parties, the Defendants signed the Plaintiff's' ledger on 20 -10 -1933 acknowledging a sum of Rs. 5697/8/ - as due from them; that thereafter the Defendants paid Rs. 36/11/9 on 9th February 1934 and Rs. 250/ - on 6th March 1934; that by documents dated 15 -3 -1934, 18 -3 -1934, 27 -3 -1934 and 2 -4 -1934 the Defendants undertook to repay the Plaintiff's amount by the sale of certain properties specified in the document dated 15 -3 -1934; that on 9 -4 -1934 the Defendants credited to their account Rs. 1208/7/ being the proceeds of some property and that there after the Defendants did not pay any amount to the Plaintiffs and hence the suit.

(3.) THE Court below rejected the plea of the Defendants that the accounts were not explained to them and that no suit could be based merely on an acknowledgment of debt. Their plea that subsequent to the acknowledgment, there was a, complete contract extinguishing the old contract and bringing into existence a new one was, however, accepted by the learned Civil Judge with the result that the Plaintiffs' suit based on the acknowledgment was dismissed.