Legal Case Summary

Case Details
Case ID 173ba560-2cc7-4556-8fa3-4c4ef576b73d
Body View case body.
Case Number K-171 of 1983
Decision Date Sep 01, 1983
Hearing Date Sep 01, 1983
Decision The Supreme Court modified the conditions imposed by the High Court requiring the petitioner to furnish security of Rs. 2,80,000 to the satisfaction of the Nazir of the High Court within a period of two months. The Court held that the petitioner has made out a case that raises triable issues and the High Court had not properly appreciated the principles of law regarding the grant of unconditional leave. The Court emphasized that the discretion to impose conditions should not be applied arbitrarily and should consider the context of the case. The final decision allowed the petitioner to defend the suit upon furnishing the specified security.
Summary In the case of Abdul Karim Jaffarani vs. United Bank Ltd., the Supreme Court of Pakistan addressed significant issues regarding the grant of leave to defend in suits involving negotiable instruments. The case arose from a suit filed by United Bank for recovery of a substantial amount under a promissory note. The petitioner contested the imposition of conditions for leave to defend, arguing that the promissory notes had been filled out improperly and contained inflated figures. The Supreme Court emphasized the importance of a fair trial and the need for courts to exercise discretion judiciously when imposing conditions on leave to defend. This ruling is critical for understanding the balance between expeditious litigation and the rights of defendants in commercial disputes, particularly in cases involving financial instruments. The decision underscores the necessity for courts to consider the factual context of each case when determining whether to grant unconditional or conditional leave to defend.
Court Supreme Court of Pakistan
Entities Involved Not available
Judges S. A. NUSRAT, ZAFFAR HUSSAIN MIRZA, M. S. H. QURAISHI
Lawyers J. H. Rahimtoola, Advocate Supreme Court, A. Aziz Khan, Advocate-on-Record, Mamoonul Hassan, Advocate Supreme Court, M. S. Ghaury, Advocate-on-Record
Petitioners ABDUL KARIM JAFFARANI
Respondents Respondent 2, UNITED BANK LTD., Respondent 3
Citations 1984 SLD 567, 1984 SCMR 568
Other Citations Fine Textile Mills Ltd. v. Haji Umar P L D 1963 S C 168, Kadak Alpha Film Corporation (1930) 2 K B 340, Dorab Shah B Dalal V Messrs Premier Bank Ltd. 1976 SCMR 67, Muslim Commercial Bank Ltd. v. Tayab Sharif 1975 SCMR 398, Karim v. Zikar Abdullah 1973 SCMR 100
Laws Involved Constitution of Pakistan (1973), Civil Procedure Code (V of 1908), Negotiable Instruments Act (XXVI of 1881)
Sections 185(3), 199, O. XXXVII, r. 3, 4, 118