An unregistered firm purchased goods worth ₹1,000 from W in whole favour a cheque was issued which was dishonoured. At the same time, this firm sold other goods worth ₹600 to W. W sued the unregistered firm for the recovery of ₹1,000. The firm pleaded that W also owed ₹600 to the firm, the
same should be adjusted against the claim in question. Is W’s suit maintainable? is the contention of the unregistered firm correct?
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1
Answer:
$3200 is the correct answer
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Explanation:
Well if the unregistered firm has taken the money for the goods amounting to 600 from W, then W can claim for his 1000 but in case if W has also not given the amount then the firm can surely plead that W also owed ₹600 to the firm, the same should be adjusted against the claim in consideration. It all depends on the transactions that have been done between the two companies
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