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Generate professional replies to Show Cause Notices, assessment orders, audit objections, and other legal communications using TaxTMI's AI Drafter.
Step 1 – Issue Identification & Review
The AI analyses your query, notice, order, or uploaded documents and identifies the key issues involved.
• Review the issues identified by the AI
• Add, edit, remove, or refine issues as required
Step 2 – Draft Generation
Once you approve the issues, the AI performs issue-wise legal research and prepares a structured draft response.
• Relevant statutory provisions
• Judicial precedents and Supreme Court, High Court and other citations
• Issue-wise legal analysis
• Practical arguments and supporting content
• Professionally structured draft ready for further review. 
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Issues: (i) Whether the respondent proved delivery and installation of the equipment at the lessee's premises; (ii) whether the suit for recovery of lease rentals was barred by limitation and, if not, to what extent the claim was recoverable.
Issue (i): Whether the respondent proved delivery and installation of the equipment at the lessee's premises.
Analysis: The respondent relied on documentary evidence showing purchase of the equipment, the lease agreement, the installation certificate issued by the lessee, entries reflecting receipt of rentals, and other contemporaneous records. The appellant failed to produce the best evidence in its possession, namely the register of plant and machinery, and no explanation was given for its non-production. On the civil standard of proof, the absence of the best available evidence justified an adverse inference and supported the respondent's version.
Conclusion: The respondent successfully proved that the equipment had been delivered and installed at the lessee's premises.
Issue (ii): Whether the suit for recovery of lease rentals was barred by limitation and, if not, to what extent the claim was recoverable.
Analysis: The lease required payment of monthly rentals on fixed due dates. Non-payment of each monthly rental constituted a separate breach, and the cause of action arose on each due date. The claim was therefore not governed by the rules applicable to continuing breach, promissory notes, bonds, or arrears of rent for immovable property. The residual article applied. On that basis, amounts falling due more than three years before the suit were time-barred, while rentals accruing thereafter remained within time. Interest was payable, but the contractual compound-interest stipulation was declined and simple interest was awarded instead.
Conclusion: The suit was partly within limitation and recovery was restricted to the period falling within limitation, with interest as modified.
Final Conclusion: The decree was reduced by excluding time-barred rentals, while maintaining liability for the rentals that accrued within limitation together with awarded interest and costs on the modified basis.
Ratio Decidendi: In a lease requiring periodic payments, default in each instalment gives rise to a separate cause of action on the due date, so limitation runs separately for each unpaid instalment and the residual limitation article applies where no specific article governs the claim.