GREEN GOLD TIMBER PVT. LTD. vs SHIPRA OCEAN TRADE PVT. LTD.

The Supreme Court held that in accordance with the precedent set in M/s. Mechalec Engineers & Manufacturers vs. M/s. Basic Equipment Corporation, AIR 1977 SC 577, if the defendant demonstrates a triable issue, they are entitled to unconditional leave to defend the suit. The Court allowed the appeal and set aside the trial court's condition requiring a bank guarantee of Rs. 60 lacs for the appellant to defend the suit, directing the trial court to dispose of the suit within one year from the receipt of this order.