https://www.taxtmi.com/caselaws?id=199021 Under Order XXXVII Rule 3 CPC, a defendant is not entitled to unconditional leave to defend where the defence is only plausible but improbable, or where the Court doubts its good faith. The amended provision requires the Court to assess whether there is a substantial defence, a fair or reasonable defence raising triable issues, or no genuine defence at all, and the earlier Mechelec approach is no longer controlling. On the facts, alleged FEMA and FDI policy illegality was not clearly established at this stage, so leave to defend was granted only on condition of deposit or security to protect the plaintiff. The appeal was allowed and the suit was permitted to proceed on those terms. en-us Tue, 15 Nov 2016 00:00:00 +0530 Sat, 17 Feb 2018 06:40:52 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=199021 Under Order XXXVII Rule 3 CPC, a defendant is not entitled to unconditional leave to defend where the defence is only plausible but improbable, or where the Court doubts its good faith. The amended provision requires the Court to assess whether there is a substantial defence, a fair or reasonable defence raising triable issues, or no genuine defence at all, and the earlier Mechelec approach is no longer controlling. On the facts, alleged FEMA and FDI policy illegality was not clearly established at this stage, so leave to defend was granted only on condition of deposit or security to protect the plaintiff. The appeal was allowed and the suit was permitted to proceed on those terms. Case-Laws Indian Laws Tue, 15 Nov 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=199021