Delhi High Court

Condonation of delay in commercial appeals is an exception, requiring genuine sufficient cause beyond prescribed timelines.

Pradeep Sharma vs Anil Chandel

Delhi High CourtJUDGMENT: July 13, 20262 MIN READSOURCE JUDGMENT
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The Appellant challenged the judgment dated August 28, 2024, passed by the Commercial Court, Dwarka, which decreed a suit against him for Rs. 8,43,580/- plus interest.

Source reference: p. 1-2

The Trial Court rejected the Appellant’s defense that the Respondent had stolen and misused a blank signed cheque, citing the improbability of such a claim and the Appellant's failure to take timely legal action.

Source reference: para. 44

The current appeal was filed with a delay of 176 days.

Source reference: para. 4

Furthermore, the Appellant failed to comply with a previous interim order of the High Court requiring a 50% deposit of the decretal amount.

Source reference: para. 5
02

Issues

1. Whether the delay of 176 days in filing the appeal under the Commercial Courts Act can be condoned based on the grounds of a family member's brief hospitalization?

Source reference: para. 4, 7

2. Whether the Trial Court’s findings on the merits of the suit regarding the alleged theft of a cheque warrant interference?

Source reference: para. 14
03

Law Applied

Section 13(1) of the Commercial Courts Act, 2015, which prescribes a strict 60-day limitation period for filing appeals.

Source reference: para. 7

The doctrine from Government of Maharashtra v. Borse Brothers Engineers & Contractors Pvt. Ltd. (2021), which established that "sufficient cause" in commercial matters is not elastic and condonation of delay beyond the prescribed period is an exception, not the rule.

Source reference: para. 8-9

Delco Infrastructure Projects Pvt. Ltd. v. Intec Capital Ltd. (2025), reinforcing that causes for delay must be genuine and not a disguise for lack of diligence.

Source reference: para. 10-11
04

Reasoning

The Court found that the Appellant failed to provide a "sufficient cause" for the 176-day delay. The only explanation offered—the hospitalization of the Appellant's wife—occurred after the 60-day limitation period had already expired, leaving the initial delay since August 2024 unexplained.

Source reference: para. 4, 7

Following the objective of "speedy resolution" mandated by the Commercial Courts Act as interpreted in Borse Brothers, the Court held that a delay of this magnitude cannot be condoned where a party has acted negligently.

Source reference: para. 8-11

The Court noted the Appellant's lack of bona fides evidenced by the non-compliance with the 50% deposit condition.

Source reference: para. 12

On merits, the Court briefly reviewed the Trial Court's reasoning regarding the improbable defense of the stolen cheque and found no ground for interference.

Source reference: para. 14
05

Holding

The Court held that the delay was not properly explained and did not meet the rigorous standards for condonation under commercial law.

The Court dismissed the appeal and all pending applications.

Source reference: para. 15

The Respondent was granted liberty to proceed with the execution of the decree in accordance with the law.

Source reference: para. 16
Delhi High Court

Original Court PDF

Pradeep SharmavsAnil Chandel

Delhi High Court · July 13, 2026

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