An Economic Analysis of Check Bounce Cases : In India Check Bounce | Page 12
A LEGAL SOLUTION TO THE PROBLEM
Order 37 of the Civil procedure Code provides summary procedure in suits based on negotiable in-
struments or where the plaintiff seeks to recover debt or liquidated amount. The essence of summa-
ry suits is that the defendant is not, as in an ordinary suit, entitled as of right to defend the suit. He
must apply for leave to defend within the stipulated period of ten days. Such leave will be granted
only if the affidavit filed by the defendant discloses such facts as will make it incumbent upon the
plaintiff to prove consideration or such other facts as the curt may deem sufficient. The provisions
of Order 37 are merely rules of procedure. They do not alter the nature of the suit or jurisdiction of
the court.
Order 37 Rule 2 and Rule 3 provide the procedure of summary suits. Rule 2 provides that after the
summons of the suit has been issued to the defendant, the defendant must appear and the plaintiff