CRP/3796/2026 of R.Ramesh Vs G.Jayaraj on 27 August 2026

ORDER

This revision petition has been filed to set aside the order dated 19.06.2026 in E.P.No.7 of 2026 in COS.No.24 of 2025 on the file of the Commercial Court (District Judge cadre), Coimbatore.

2. I have heard Mr.G.Vikram, learned counsel for the revision petitioners and Mr.R.Vidhyashankar, learned counsel for the respondent.

3. The judgment debtors are the revision petitioners, aggrieved by the order of attachment passed by the Commercial Court.

4. The admitted fact are as follows: The respondent, as plaintiff, filed a commercial suit in C.O.S.No.24 of 2025, before the Commercial Court, Coimbatore. Pending the said suit, the parties reached a settlement agreement on 17.11.2025, in and by which, the petitioners agreed to pay a sum of Rs.1,68,84,000/-, in full and final settlement, on or before 15.12.2026. The said amount due was further broken down to 13 instalments, payable beginning 31.12.2025 and ending 15.12.2026.

5. According the learned counsel for the respondent, not even one instalment was complied with by the petitioners. He would also invite my attention to the default clauses set out and agreed by the petitioners themselves in Clauses 5 and 6 of the said settlement agreement dated 17.11.2025. The petitioners have bound themselves to a default clause, in and by which, they have committed that if there is any default in payment of the instalments, as agreed in clause 2, then the respondent would be entitled to stake a claim for the entire suit claim, together with accrued interest.

6. Admittedly the petitioners have committed a default and therefore, the respondent has proceeded to execute the decree, pursuant to the settlement agreement in his favour. The Executing Court has also ordered attachment. At that stage, the petitioners moved this Court. While admitting the revision, this Court directed the petitioner to deposit a sum of Rs.60,00,000/-, as a condition to grant an interim stay of the attachment order. Admittedly, the said conditional order has been complied with by the petitioners by depositing Rs.60,00,000/- to the credit of C.O.S.No.24 of 2025. I do not find any merit in the arguments of the learned counsel for the petitioners that if they are really willing to pay the balance, in terms of the settlement agreement dated 17.11.2025, even though not complying with the timelines and keeping the deadlines, still the petitioners can take benefit of the said settlement agreement.

7. Therefore, the respondent is not entitled to show any further concession to the petitioners and the respondent was justified and entitled to execute the decree in terms of the original suit claim, dehors the concession shown and recorded in the settlement agreement dated 17.11.2025. In such view of the matter, I do not find any error or infirmity committed by the Executing Court in ordering attachment. However, considering the fact that today, the learned counsel for the petitioners, on instructions, states that a further sum of Rs.60,00,000/- will be paid within a period of four weeks from today and the remaining amount of Rs.1.25 crores, which is the amount due as per the calculation, in terms of the decree, considering the default clause, on or before 31.03.2027, the Civil Revision Petition is disposed of, on the following terms:

(1) The order of attachment in E.P.No.7 of 2026 dated 19.06.2026 shall be kept in abeyance, subject to the following, (i) the petitioner paying Rs.60,00,000/- on or before 30.09.2026; (ii) The remaining amount of Rs.1.25 crores shall be paid in two equal instalments, one by end of December 2026 and other by end of March 2027; and (iii) The amounts already deposited and to be deposited, in compliance with this order, shall be withdrawn by the respondent, together with accrued interest, if any, and also the future amounts that are to be deposited by the petitioners, in compliance with the orders of this Court.

(2) It is made clear that in the event of the default committed by the petitioners in payment of any of the instalments, the respondent is entitled to proceed with the attachment order in his favour.

(3) It is needless to state that insofar as the instalments payable in December 2026 and March 2027, it shall be paid with accrued interest up to such date of payment and as and when the amounts are deposited, the respondent shall be entitled to seek payment out of the amounts deposited.

(4) No costs. Connected Civil Miscellaneous Petition is closed. 27.08.2026 Index: Yes/No Speaking/Non-speaking order Neutral Citation: Yes/No ATA

P.B.BALAJI, J. ATA To The Commercial Court (District Judge cadre), Coimbatore. CRP No.3796 of 2026 27.08.2026