| Case ID |
25c7be1a-12f0-4aed-b75c-5e716455fd90 |
| Body |
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| Case Number |
Regular First Appeal No.415 of 1998 |
| Decision Date |
Apr 08, 2002 |
| Hearing Date |
Apr 08, 2002 |
| Decision |
The Lahore High Court granted leave to the appellants to defend the suit under the condition of depositing Rs.3 million within one month. The court noted that the entire principal amount had been paid by the borrower, alongside an additional Rs.1 million. The High Court observed that the contention of the borrower regarding the agreements between the parties did raise substantial questions needing resolution, thus allowing the appeal. In case of failure to deposit the amount, the leave granting order would be recalled. The court emphasized the importance of the agreements entered into between the parties concerning profit and loss sharing and the necessity for a final rendition of accounts. |
| Summary |
In the case of Regular First Appeal No.415 of 1998, the Lahore High Court addressed a dispute involving financial agreements between Hotel Kashmir Palace (PVT.) Limited and First Elite Capital Modaraba. The case arose after First Elite Capital filed a suit for recovery of a substantial amount, claiming default by Hotel Kashmir Palace in adhering to the terms of two Musharka agreements. The court found that the principal amount had been settled, but disputes regarding the sharing of losses and the validity of interest charges persisted. The decision emphasized the importance of proper account renditions in financial agreements, a crucial aspect for businesses involved in profit-sharing arrangements. The court's ruling to allow the appeal under specific conditions highlights the complexities of financial law and the need for careful examination of agreements in corporate finance. This case serves as a significant reference point in understanding the legalities surrounding financial recovery and contractual obligations, making it a valuable resource for legal professionals and businesses alike. |
| Court |
Lahore High Court
|
| Entities Involved |
Hotel Kashmir Palace (PVT.) Limited,
First Elite Capital Modaraba
|
| Judges |
MAULVI ANWARUL HAQ,
PERVEZ AHMAD
|
| Lawyers |
Malik Muhammad Nawaz,
Haq Nawaz Chattha
|
| Petitioners |
Messrs HOTEL KASHMIR PALACE (PVT.) LIMITED
|
| Respondents |
Messrs FIRST ELITE CAPITAL MODARABA
|
| Citations |
2002 SLD 2207,
2002 CLD 983
|
| Other Citations |
Not available
|
| Laws Involved |
Modaraba Companies and Modarabas (Floatation and Control) Ordinance,
Banking Companies (Recovery of Loans, Advances, Credits and Finances) Act
|
| Sections |
30,
10
|