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1 - 4 of 4 (0.19 seconds)The Negotiable Instruments Act, 1881
Section 23 in The Indian Contract Act, 1872 [Entire Act]
M/S Pt. Munshi Ram & Associates (P) Ltd vs Dda on 22 July, 2010
7. Coming now to the aspect of interest. Although,
Plaintiff has claimed the interest @ 24% per month, the same
seems to be exorbitant. The Hon'ble Division Bench of the
Hon'ble High Court of Delhi in the case of Pt. Munshi Ram &
Associates (P) Ltd. Vs. DDA, 2010 SCC Online Del 2444, has
held that higher rates of interest, which are against public policy,
can be struck down by the Court by finding such rates of interest
to be against the public policy. Any Contract, which is against the
public policy, is void under Section 23 of the Indian Contract
Act, 1872. The said Judgment was also relied upon by the
Hon'ble Single Bench of the Hon'ble High Court in case bearing
R.F.A. No. 823 of 2004, titled as Shri Sanjay Mittal Versus Sunil
Jain decided on 07/12/2018. The Hon'ble Single Bench has
granted 9% p.a. interest instead of 24% per annum i.e. 2% per
month.
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