2009 (12) TMI 483 - HC - Customs

Court condones appeal delay due to illness, stresses practicality for small businesses

The High Court condoned the delay in filing an appeal by a proprietorship firm due to the illness of the manager, who was the husband of the proprietor. ... Delay in filling appeal – Reason for delay is - Affairs of the firm is run by husband of the proprietor in his capacity as Manager and he was ill – Held that: - Tribunal is directed to decide the appeal on merits. Issues: Condonation of delay in filing appeal due to illness of the manager of a proprietorship firm.In this case, the appellant, a proprietor firm, filed an appeal against an order of the Custom Excise & Service Tax Appellate Tribunal, New Delhi, which was dismissed due to a delay of 73 days. The appellant argued that the affairs of the firm were managed by the husband of the proprietor, who was ill during the crucial period. The High Court noted that the Tribunal had observed that the manager was not the only person responsible for filing the appeal, but acknowledged that in the absence of the husband, it might have been difficult for the proprietor to institute the appeal. The Court emphasized the need for a liberal approach in such matters and decided to condone the delay, setting aside the Tribunal's order and directing it to decide the appeal on merits. The Court emphasized that a proprietorship firm, especially when managed by a single individual, may face challenges in such situations, warranting a compassionate view towards condoning delays caused by unforeseen circumstances like illness. The judgment underscores the importance of considering the practical difficulties faced by small businesses and proprietorship firms in legal proceedings.