The civil remedy for recovery of money is by way of institution of a suit in a court of appropriate jurisdiction. The suit can be instituted under Order IV of the Code of Civil Procedure 1908 (CPC).
Suit can be instituted at the place where:
- the Defendant resides; or
- place where he carries on business or personally works for gain; or
- the cause of action wholly or partly arises.
After determining this territorial jurisdiction, the pecuniary jurisdiction is required to be determined. The value of the suit has to be considered for this purpose. Based on the value the suit can be filed either in the District Court or the High Court.
The suit can be filed within 3 years from the date of cause of action having arisen. The said period of limitation cannot be condoned.
INSTITUTION OF SUITS UNDER ORDER 4 CPC AND ESSENTIALS OF PLAINT:
A suit is instituted by way of a plaint. Plaint is the description of facts of the case and the exact amount being claimed along with any interest.
The Plaint is to be accompanied by the supporting documents viz, written contract, particulars of claim and correspondences if any. This plaint is required to be proved by way of an accompanying affidavit and an appropriate verification of the facts.
Court fee as per the schedule is required to be paid by the Plaintiff. A suit shall be returned in case the same is not filed along with court fee.
Once the said plaint is filed in Court, the same shall be numbered by the Court.
PROCEEDINGS AFTER INSTITUTION:
- Issuance of summons:The Court after examining the plaint and its admissibility shall issue summons which is required to be duly served upon the Defendant/s.
- Written Statement: The Defendant after entering appearance shall be required to file its Defense/ Written Statement within the timeline prescribed.
- Framing of issues, Trial and Arguments:After framing of issues involved in the suit, the trial shall commence. On conclusion of Evidence, the final arguments would be heard and suit decreed.
EXECUTION OF THE DECREE:
Decrees can be executed by way of an Execution Application filed in the jurisdiction of the place where the assets of the Defendant/s are situated. In case of non-satisfaction of decree the code also provides for imprisonment for the Defendant/s.