Karnataka High Court Dismisses State Commercial Appeal Over 444-Day Delay, Calls Explanation 'Misleading'

The Karnataka High Court on recently (April 28)  refused to condone a 444-day delay by Karnataka Public Works Department authorities in filing a commercial appeal and dismissed the case.

A Division Bench of Chief Justice Vibhu Bakhru and Justice C.M. Poonacha held that the explanation offered by the State authorities for the delay was “inaccurate and misleading.”

“In view of the above, the averment that the notices had not been served on the appellants, is erroneous. Not only was the summons issued after the suit was transferred to the learned Commercial Court, but notices were also issued on more than two occasions and duly served on the defendants. They were also represented by DGP on two occasions. In the aforesaid context, the contention that the appellants (the defendants in the suit) were not aware of the impugned judgment cannot be accepted.”

The dispute arose from a suit filed in 2014 by contractor M. Jagannath against Karnataka Public Works Department authorities before the Senior Civil Judge at Chennarayapatna.

The matter was later transferred to the Commercial Court at Hassan on August 18, 2020, when it had already reached the stage of final arguments. The Commercial Court delivered its judgment on September 11, 2024.

Rejecting the State's plea for condonation of delay, the High Court noted that the defendants had contested the suit, filed written statements, cross-examined the plaintiff's witnesses, and also led evidence.

The Court also noted that after the matter was transferred to the Commercial Court, fresh notices were repeatedly issued and the defendants had appeared through the DGP during the proceedings.

It further observed that the Commercial Court had erroneously granted time to file written statements despite the case already being at the stage of final arguments.

“In view of the above, the application seeking condonation of the delay is rejected. Consequently, the appeal is dismissed as well," the court noted.