| Case ID |
42f4e0cd-be3e-4a9c-834d-ae0f0ea183c6 |
| Body |
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| Case Number |
Suit No. 196 of 1996 |
| Decision Date |
Jan 18, 2017 |
| Hearing Date |
Dec 07, 2016 |
| Decision |
The Sindh High Court determined that the suit for recovery of money filed by the Trading Corporation of Pakistan was maintainable despite the defendant's objections regarding the authority of the person who signed the plaint. The court found that the objection raised by the defendant was highly technical and irrelevant given that the plaintiff corporation had merged into another entity. The amended plaint was duly signed by an authorized official of the merged corporation, which rectified any initial concerns about authorization. The court declined to dismiss the suit based on the lack of authorization and instead ruled in favor of the plaintiff, allowing the case to proceed. |
| Summary |
This case revolves around a suit filed by the Trading Corporation of Pakistan against Messrs Rahat and Company for the recovery of a significant sum of money due to unsatisfactory handling of rice stocks. The primary legal issue was whether the suit was competently filed without the necessary authorization from the Board of Directors of the Rice Export Corporation of Pakistan, which had subsequently merged into the Trading Corporation. The court evaluated the technical objections raised by the defendant regarding the authority of the individual who filed the suit. Ultimately, the court found that the objections were not substantial enough to warrant dismissal of the suit, especially after an amended plaint was filed by an authorized officer of the Trading Corporation. The ruling emphasizes the importance of corporate authority in legal proceedings while also addressing the complexities involved in corporate mergers and the continuity of legal actions post-merger. This case highlights key aspects of civil procedure and corporate law, making it a significant reference for similar future cases. |
| Court |
Sindh High Court
|
| Entities Involved |
Trading Corporation of Pakistan,
Rice Export Corporation of Pakistan,
Messrs Rahat and Company
|
| Judges |
AZIZ-UR-REHMAN
|
| Lawyers |
Ghulam Hyder Shaikh,
H.A. Rehmani,
Ms. Naheed Akhtar
|
| Petitioners |
TRADING CORPORATION OF PAKISTAN
|
| Respondents |
MESSRS RAHAT AND COMPANY
|
| Citations |
2018 SLD 1392,
2018 PLD 285
|
| Other Citations |
Not available
|
| Laws Involved |
Civil Procedure Code (V of 1908)
|
| Sections |
14,
15,
5,
1
|