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Supreme Court of India 2019-07-01 allowed

Madhav Prasad Aggarwal & Anr vs Axis Bank Ltd. & Anr

Bench: 2 — <UNKNOWN>, <UNKNOWN>

In Brief

The Supreme Court held that a civil plaint cannot be rejected partially against only one defendant while allowing it to proceed against others. Where a statutory bar (such as Section 34 of the SARFAESI Act) applies to one defendant but not others, the bar does not justify partial plaint rejection. The Court found that plaint rejection is an indivisible remedy that must be applied to the entire suit or not at all. Any attempt to reject a plaint against only selected defendants constitutes a jurisdictional error and the relevant notice of motion was dismissed with liberty to pursue other remedies.

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Civil Procedure Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act (SARFAESI) Plaint Rejection Jurisdictional Bar Banking Law

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