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PETITIONER: GORDHANDAS PURSHOTTAMDAS SONAWALA AND ANOTHER
Vs.
RESPONDENT: THE EASTERN COTTON COMPANY
DATE OF JUDGMENT: 31/03/1958
BENCH: BHAGWATI, NATWARLAL H. BENCH: BHAGWATI, NATWARLAL H. KAPUR, J.L. GAJENDRAGADKAR, P.B.
CITATION: 1958 AIR 713 1959 SCR 346
ACT: Cotton Contracts-Cotton Association-Statute Providing for cotton contracts to be in accordance with the by-laws of the Association -By-laws prescribing Forms of Contract Substantial compliance with Form Validity of the contracts- Bombay Cotton Contracts Act,1932 (Bom. IV Of 1932), s. 8(1).
HEADNOTE: Sub-section (1) of s. 8 of the Bombay Cotton Contracts Act, 1932, provides: " Save as hereinafter provided in this Act, any contract .... which is entered into after the date on which this Act comes into operation and which is not in accordance with the by-laws of any recognized cotton association shall be void ". In respect of the transactions in cotton entered into between the parties, the appellants had to pay the respondents a sum of money for failure to give delivery of the cotton bales under the 347 contracts, but the payment was made without prejudice to the rights and contentions of the parties. Subsequently, the appellants sued the respondents for recovery of the amount on the footing that the contracts were void under s. 8(...