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MITC Rolling Mills Private Limited and Anr. vs M/S. Renuka Realtors and Ors.

Not available · 2025 INSC 1300Decided 10 Nov 2025
Not available
Justice Vikram Nath · Justice Sandeep Mehta

Background

The appellant-company had sued for recovery of about Rs. 2.52 crore for unpaid supply of TMT/Fe-500 steel material. The respondents applied under Order VII Rule 11 CPC to reject the plaint on the ground that the mandatory Pre-Institution Mediation and Settlement under Section 12A of the Commercial Courts Act had not been undertaken, and the trial court accepted this and rejected the plaint. When the appellant-company appealed under Section 13(1A) of the Commercial Courts Act, the Bombay High Court dismissed the appeal itself as not maintainable, reasoning that an order rejecting a plaint is not one of the orders listed in Order XLIII of the CPC that can be appealed under that section.

Decision Breakdown

The Supreme Court held the High Court was wrong to treat the appeal as non-maintainable. It reasoned that under Section 2(2) of the CPC, the term "decree" expressly includes the rejection of a plaint, and an order rejecting a plaint under Order VII Rule 11 is therefore appealable as a decree, distinguishing it from orders merely rejecting applications under Order VII Rules 10/11(d), which are not listed in Order XLIII and would instead require a revision or Article 227 petition. The Court held that a plaintiff aggrieved by rejection of the plaint cannot be left without a remedy or forced to file a fresh suit. It quashed the High Court's order, restored the appellant-company's appeal to the High Court's file, and directed the High Court to decide it on merits.

Lesson Learnt

An order rejecting a plaint under Order VII Rule 11 CPC is treated in law as a "decree," so it can be challenged through a regular appeal: a litigant whose case is thrown out at the threshold is not left without an appellate remedy.

Official source (sci.gov.in)View Judgment (PDF)

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