Introduction
The case concerns a commercial dispute between Curewin Hylico Pharma Pvt. Ltd. (petitioner/defendant) and Curewin Pharmaceuticals Pvt. Ltd. (respondent/plaintiff), primarily involving issues of delay in filing a written statement, proper institution of suit, and payment of appropriate court fees under the Commercial Courts Act, 2015 and CPC provisions.
Factual Background
The plaintiff filed a commercial suit in 2021 against the defendant for copyright infringement relating to the artistic work on a product called "ENERZY." The plaintiff initially paid a nominal court fee with an undertaking to pay the full amount later.
Procedural History
The petitioner challenged the suit under Order VII Rule 11 of the CPC for undervaluation and insufficient court fee. The trial court upheld the objection and directed the plaintiff to deposit the ad valorem court fee. The plaintiff amended the plaint and deposited the requisite court fee in May 2024. Subsequently, the trial court struck off the petitioner’s right to file a written statement, accepting the plaintiff’s application under Order VIII Rule 10 of the CPC, citing expiry of 120 days from service of summons.
Legal Issues
1. Whether the suit could be treated as properly instituted before payment of ad valorem court fee.
2. Whether the 120-day limitation for filing a written statement in a commercial suit begins from the date of service of summons or from the date of proper institution upon payment of the full court fee.
3. Whether striking off the defence under Order VIII Rule 10 CPC was justified.
Submissions
The petitioner argued that the suit was properly instituted only after payment of the correct court fee, and thus the 120-day timeline to file the written statement should begin from that date. The plaintiff contended that the deadline is fixed and not extendable under commercial suit procedure.
Judicial Reasoning
The High Court held that a commercial suit is not duly instituted until proper court fees are paid and pre-institution mediation (if not exempted) is complied with. Relying on precedents and provisions of the Commercial Courts Act and CPC, the Court ruled that in such a scenario, the countdown for filing a written statement starts only after proper institution of the suit. Since the petitioner filed the written statement within 120 days of the payment of full court fees, the defence could not have been struck off.
Final Decision
The High Court allowed the petition, set aside the Commercial Court's order dated 07.11.2024, and restored the petitioner’s right to file a written statement.
Case Title: Curewin Hylico Pharma Pvt. Ltd. Vs Curewin Pharmaceuticals Pvt. Ltd. and Others
Date of Order: 22 April 2025
Case No.: Misc. Petition No. 6965 of 2024
Neutral Citation: 2025:MPHC-IND:10912
Court: High Court of Madhya Pradesh, Indore Bench
Hon'ble Judges: Justice Vivek Rusia and Justice Gajendra Singh
