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Steel Authority Of India Ltd. And Ors. vs Rameshwar Dass Bishan Dayal And Anr. on 1 September, 1995

4. I have heard the arguments on behalf of both the parties and carefully perused the record. It is pertinent to note that a suit can be rejected under Order 7 Rule 11 CPC only when the plaint does not disclose a cause of action. It has been reiterated in a number of authorities that averments of the WS are not to be gone into when deciding the application under Order 7 Rule 11 CPC. The question whether plaint discloses any cause of action is to be decided by looking in Suit no. 230/10 Page no. 2 of 5 the plaint itself. What is to be seen is whether or not meaningful reading of the plaint discloses the cause of action. It has been held that while considering the application under this provision, strengths and weaknesses of the case of the plaintiff is not be seen. Reliance is placed on Steel Authority of India vs. Ramesh War Dass Bishan Dayal reported as 60 (1995) DLT 271, 278 (DB) and Punjab National Bank vs. Britannia Industries Ltd. reported as 20021 (3) CCC 358 (373).
Delhi High Court Cites 4 - Cited by 16 - M J Rao - Full Document

M/S. Crescent Petroleum Ltd. vs M.V. "Monchegorsk" & Another on 23 September, 1999

In case of Crescent Petroleum Ltd. vs. M.V. "Monchegorsk" reported as AIR 2000 Bombay 161(168) it was held that the phrase "does not disclose the cause of action" has to be very narrowly construed. The rejection of the plaint at the threshold entails very serious consequences and hence, the provision must be resorted to only in cases where the plaintiff does not have an arguable case at all.
Bombay High Court Cites 11 - Cited by 25 - S S Nijjar - Full Document
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