Curable defect in corporate plaint signing may be validated by ratification and amendment; costs accepted without prejudice did not bar revision.

Acceptance of costs without prejudice did not bar the revision because the applicant's reservation of rights was supported by affidavit and was not effectively rebutted. A defect in the institution and signing of a plaint by an unauthorised corporate manager was treated as curable where the company's articles authorised the manager to commence proceedings and the board later ratified the act. The Court regarded the defect as formal rather than fatal and upheld amendment of the plaint. The commentary notes that the challenge based on an alleged forged resolution was not pressed and could be raised before the trial court if advised.

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Issues: (i) whether acceptance of costs without prejudice barred the revision application; (ii) whether the defect in institution and signing of the plaint by an unauthorised manager could be cured by subsequent ratification and amendment.

Issue (i): whether acceptance of costs without prejudice barred the revision application

Analysis: The acceptance of costs was found to have been made without prejudice to the applicant's right to pursue the revision. The statement was supported by affidavit and was not effectively rebutted by the opposite side.

Conclusion: The preliminary objection was rejected and the revision was held maintainable.

Issue (ii): whether the defect in institution and signing of the plaint by an unauthorised manager could be cured by subsequent ratification and amendment

Analysis: The provisions distinguishing institution of a suit from signing and verification of pleadings were considered together with the company's articles of association. The Court held that, unlike cases where the original act was void ab initio, the bank's articles empowered the Manager to commence proceedings with authority, and the subsequent ratification by the board cured the initial defect. The defect was treated as formal rather than fatal, and amendment was held proper. The Court also noted that the challenge based on an alleged forged resolution was not pressed and could be raised before the trial court if advised.

Conclusion: The amendment allowing the plaint to stand was upheld and the defect was treated as curable.

Final Conclusion: The revision failed because the amendment of the plaint was rightly allowed and the institution defect was not treated as one requiring dismissal of the suit.

Ratio Decidendi: A defect in the institution or signing of a plaint by a corporate officer, where the corporation's governing instrument permits such authority and the act is subsequently ratified, is a curable formal defect and may be validated by amendment.

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