Can a creditor file summary suit even when amount is below 1 crore

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A summary suit is instituted by presenting a plaint in the court containing the following specification ;

It must mention that the suit is filed under summary procedure and below the title of the suit it should be inscribed "Under Order XXXVII of code of Civil Procedure, 1908".

It must state that no relief, which does not fall within the ambit of this rule, has been claimed.

Then the summons of the suit are to be issued to the defendant, which should be in prescribed from no. 4, accompanied with a copy of plaint and Annexures.

When the defendant appears, he is required to enter his appearance within 10 days of receipt of summons. On default of his appearance it is assumed that he has admitted the allegations made in the plaint and the plaintiff gets entitled to a final order granting him the sum as mentioned in the plaint along with interest at the specified date and costs if the Court thinks it appropriate. (Rule 2)

Where the defendant enters an appearance, the plaintiff is required to serve on him the summons for judgment in Form no. "4A) accompanied with an affidavit verifying the cause of action and the amount which is claimed in the plaint, and a statement to the effect that there is no defence to the suit.

Then, the defendant may apply for leave to defend the suit within 10 days from the date of service of summons, disclosing by way of an affidavit, such facts which he believes to be sufficient to entitle him of the right to defend himself.

The Court shall not refuse permission to the defendant to defend the suit unless it believes that the disclosure by the defendant does not show that he has any substantial defence to raise or that it is frivolous.

Advocate Siddhant Sharma LawRato