The New Friends Co-Operative House ... vs Rajesh Chawla And Ors

The Supreme Court held that the High Court erred in adjudicating the status of respondents as defaulters in a writ petition, as such matters should be resolved through appropriate statutory forums under the governing laws of co-operative societies. The Court emphasized that the determination of defaulter status affects substantial civil rights and should not be summarily decided in election-related proceedings. Consequently, the judgment of the Delhi High Court was set aside, reinforcing the need for proper inquiry into the defaulter status before any electoral decisions.