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2018 (4) TMI 1667 - NATIONAL COMPANY LAW TRIBUNAL, SINGLE BENCH, CHENNAIPossession of materials by the respondent belonging to the applicant - Whether the Applicant has any locus standi to file the Application and claim the materials from the Corporate Debtor? Held that:- According to general rule of contract law in India, only parties to a contract may sue and may be sued in relations to the breach of the contract. This rule is based upon the doctrine of privity to contract. The doctrine of privity to contract says that only parties to a contract can sue and be sued in relation to breach or enforcement of the contract. According to Section 148 of the Indian Contract Act, 1872, a “bailment” is the delivery of goods by one person to another for some purpose, upon a contract that they shall, when the purpose is accomplished, be returned or otherwise disposed of according to the directions of the person delivering them. The person delivering the goods is called the “bailor”. The person to whom they are delivered is called the “bailee”. However, in the present case, the steel plates are reported to have been delivered by M/s. GB Engineering Enterprises limited to M/s. Diinepro Private limited, which they later claims to have been delivered to the Corporate Debtor. The Applicant has never had the possession of the materials in question - also there are conflicting claims on materials which the Corporate Debtor actually did not possess. Thus, the claim of the Applicant is not substantiated by any valid documentary evidence. There is no evidence to establish that the Corporate Debtor is holding the possession of any materials belonging to the Applicant either under trust or contractual arrangements including bailment, as has been claimed by the Applicant - application dismissed.
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