Corporation of India Ltd. Sindri Vs. Jagdish Prasad Kesharwani  INSC 426
(12 October 1993)
R.M. (J) SAHAI, R.M. (J) ANAND, A.S. (J) CITATION: 1994 SCC Supl. (2) 531
1.The only question that arises for consideration in this appeal is if the
order passed in first appeal accepting the claim of plaintiff-respondent and
decreeing the suit for damages suffers from any error of law.
respondent filed suit for recovery of damages which he claims to have suffered
on account of breach of a contract caused by the appellant and also for the
loss of his reputation and goodwill. The claim was resisted as the tender
offered by the respondent was accepted subject to certain terms and conditions
and as the respondent did not comply with it the cancellation of the contract
was in consonance with the termination clause and, therefore, the suit for
damages for breach of contract was liable to be dismissed. It has been found,
both, by the trial court and the High Court that the letter dated August 10, 1968 Exhibit 3-B issued by the appellant
resulted into a concluded contract. The courts below have further held that the
appellant was responsible for breach of contract. But the trial court decreed
the claim for refund of security only.
High Court allowed the appeal and decreed the claim for damages. The claim for
loss of goodwill etc. was dismissed.
finding recorded by the High Court both on concluded contract and damages has
been assailed vehemently by the learned counsel for the appellant. But a
perusal of Exhibit 3-B indicates that the tender was accepted by the appellant
therefore, the courts below did not commit any error of law in recording the
finding that it was a case of concluded contract. It has been found by the High
Court that it was an admitted position that the appellant made an alteration in
the price but no notice of this was served on the respondent, yet, the contract
was cancelled. Therefore it was clear that the breach was committed by the
finding is supported by material on record. The learned counsel for appellant
could not persuade us to interfere with this finding recorded by the High
the findings of concluded contract and its breach by the appellant do not
suffer from any error of law the appeal is without any merit. It is accordingly
there shall be no order as to costs.