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Karur Jai Hind Pictures v. A.M. Shahul Hameed
Structured Summary of the Opinion
Factual and Procedural Background
The petitioner (originally the defendant) was sued in small cause suit No. 2737 of 1953 in the Sub-Court, Tiruchirapalli, by the respondent for recovery of Rs. 825-9-9 (the balance of a Rs. 1,000 deposit under an alleged contract for screening a picture). The petitioner had earlier filed O.S. No. 411 of 1952 in the District Munsif's Court, Tiruchirapalli, claiming substantial damages on the same contract.
The District Judge, acting under Section 24, C.P.C., transferred the small cause suit to be tried together with the original suit by the District Munsif. The District Munsif gave the respondent a decree in the small cause suit but dismissed the petitioner's original suit.
The petitioner filed A.S. No. 356 of 1954 against that dismissal in the Additional Sub-Court, Tiruchirapalli, and C.M.P. No. 10321 of 1954 seeking that the appeal be transferred to the High Court to be heard along with C.R.P. No. 1477 of 1954 (a civil revision petition filed against the decree in the suit originally instituted as a small cause suit).
Legal Issues Presented
- What procedure is to be adopted when two suits are pending in different courts — one instituted as a small cause suit and the other an original suit — where both raise common issues on the same evidence between the same parties?
- Whether a small cause suit loses its character as a small cause suit when withdrawn to the original side and tried along with an original suit, and if so whether the decree in that transferred suit is appealable under Section 96, C.P.C., or is subject only to revision under the Provincial Small Cause Courts Act (Section 25) or similar provisions.
- How Sub-section (4) of Section 24, C.P.C. should be interpreted and applied in cases where a small cause suit is transferred to a court that does not, in general, have small cause jurisdiction of the requisite pecuniary limit.
- What procedure should be followed to deal with connected appellate and revision remedies (i.e., whether appeals and revision petitions arising from a common judgment should be heard by the same court and how consolidation or sequencing should be achieved)?
Arguments of the Parties
The opinion does not contain a detailed account of the parties' legal arguments.
Table of Precedents Cited
| Precedent | Rule or Principle Cited For | Application by the Court |
|---|---|---|
| 'Kandaswami Mudaliar in re' (referred to as (A)) | Held that a small cause suit loses its character as such when withdrawn to the original side and tried along with an original suit; therefore, appeals should be treated/arranged as appeals (e.g., the High Court was directed to admit revision petitions as appeals on payment of ad valorem fees). | The Full Bench reviewed this view (attributed to Mack J.) and considered it but ultimately found it impossible to agree with that view in light of Sub-section (4) of Section 24, C.P.C., and contrary authorities. The Full Bench therefore rejected this as a general rule. |
| 'Gopalarao v. Seetharamiah' (referred to as (B)) | Raghava Rao J.'s view that where a small cause suit is transferred and tried along with original suits, only a revision (and not an appeal) would lie from the decree passed in the suit originally filed as a small cause suit. | The Full Bench contrasted this view with (A) and engaged with the conflict; it ultimately accepted the legal position consistent with the rule expressed in related Madras decisions that transferred small cause suits remain small cause suits for appeal/revision purposes. |
| 'Sankararama v. Padmanabha', AIR 1916 Mad 891 (2) (referred to as (C)) | Held that a suit instituted as a small cause suit, when transferred and tried in another court, results in a decree that is to be treated as a decree of a court of small causes and that no appeal lay against such a decree; interpreted Sub-section (4) of Section 24, C.P.C. to mean the transferee court is deemed to be a court of small causes for that suit. | The Full Bench expressed entire concurrence with this decision and relied upon its reasoning to conclude that Sub-section (4) of Section 24, C.P.C. renders the transferee court a court of small causes for the purposes of the transferred suit, meaning appeals may be barred and revision (under the Small Cause Courts Act) is the remedy in many cases. |
| 'Murugesa Mudaliar v. Kesavalu Chetti', AIR 1929 Mad 513 (referred to as (D)) | Ananthakrishna Aiyar J.'s view that an order of transfer under Sub-section (4) of Section 24, C.P.C. cannot invest a court not having small cause jurisdiction with such jurisdiction; the High Court had no power to transfer a suit to a District Munsif whose small cause pecuniary jurisdiction was less than the suit's value. | The Full Bench discussed and distinguished this decision, noting it is opposed to the weight of authorities and the statutory purpose of Sub-section (4); the Full Bench considered the decision but did not adopt its restrictive view. |
| 'Chockalinga v. Palaniappa', AIR 1932 Mad 683 (referred to as (E)) | Contains observations (including an obiter by Krishnan Pandalai J.) and a holding that a suit within small cause jurisdiction of a Subordinate Judge but beyond that of a District Munsif may be transferred to the District Munsif; transfer was treated as valid and the transferee court may be competent within Section 24(1). | The Full Bench cited this as supportive of the view that transferred suits are to be treated for the purposes of the transferred suit as within the transferee court's small cause jurisdiction; the decision assisted the Full Bench in rejecting the overly restrictive view (D). |
| 'Kamalathammal v. Harihara', AIR 1941 Mad 103 (referred to as (F)) | Relied on AIR 1932 Mad 683 for the proposition that a District Court may transfer proceedings from a court of small causes to a court not having adequate small cause powers and that the latter court shall be deemed to be a court of small causes for the transferred suit. | The Full Bench referenced this decision as part of the line of authorities supporting the view that Sub-section (4) must be given effect by treating the transferee court as a court of small causes for the transferred suit. |
| 'Bhagavati Pande v. Badri Pande', AIR 1931 All 574 (Full Bench) (referred to as (G)) | Considered Section 35 of the Provincial Small Cause Courts Act and Section 24(4), C.P.C., and concluded that a court to which a suit is transferred under Section 24, C.P.C., would dispose of the suit as a court of small causes and no appeal would lie from its decree even if it lacks general jurisdiction for similar-value small cause suits. | The Full Bench cited this Full Bench authority as consonant with the Madras line of authorities and used it to support the conclusion that transferred small cause suits retain their character and the transferee court is to be treated as a small cause court for that suit. |
Court's Reasoning and Analysis
The opinion sets out a conflict of judicial opinion on the legal consequences of transferring a small cause suit to a court which does not generally possess small cause jurisdiction of the requisite pecuniary limit and trying it along with an original suit on common evidence. The court proceeded in the following analytical steps (as reflected in the opinion):
- Identification of the conflict: The Court identified two contrary lines of authority. One line (represented by Mack J.'s view in (A)) held that a small cause suit loses its character when withdrawn to the original side and tried with an original suit and thus becomes appealable as an original suit (appeal under Section 96, C.P.C.). The other line (represented by decisions such as (C), (E), (G) and the approach in (B)) held that Sub-section (4) of Section 24, C.P.C. deems the transferee court to be a "court of small causes" for the purposes of that suit and therefore the decree should be treated as a small cause decree (with the attendant limitation on appeals).
- Statutory focus on Sub-section (4) of Section 24, C.P.C.: The Court emphasised the language of Sub-section (4), noting that it expressly provides that "the court trying any suit transferred or withdrawn under this section from a court of small Causes shall, for the purposes of such suit, be deemed to be a court of small causes." The Court observed that Mack J.'s opinion apparently did not consider the effect of this provision and found it impossible to agree with his conclusion in light of the clear statutory language.
- Comparative analysis with Section 35 of the Provincial Small Cause Courts Act: The Full Bench compared Section 24(4), C.P.C. with Section 35 of the Provincial Small Cause Courts Act, showing the different consequences where a small cause court ceases to exist (Section 35) versus an express statutory transfer under Section 24(4). The Court noted that under Section 24(4) a transferee court must be deemed a court of small causes for the transferred suit, whereas under Section 35 the suit goes to the court that would have jurisdiction had the small cause court ceased to exist (and that latter decision is appealable).
- Reliance on precedent trend: The Full Bench surveyed Madras decisions and other High Court decisions (including Full Bench decisions) which have interpreted Sub-section (4) to mean that transferred suits retain their small cause character and the transferee court disposes of them as a court of small causes (thus limiting appeals). The Court stated it was "in entire concurrence" with the principal decision in AIR 1916 Mad 891 (2) and with other supporting authorities.
- Rejection of the restrictive view: The Court analysed Ananthakrishna Aiyar J.'s narrower construction (AIR 1929 Mad 513) which suggested that a transfer cannot invest the transferee court with small cause jurisdiction beyond its usual pecuniary limits, and the Full Bench concluded that this view is opposed to the trend of authorities. The Court reasoned that Sub-section (4) presupposes want of small cause jurisdiction in the transferee court and that the deeming provision was enacted precisely to meet that eventuality.
- Practical conclusion and procedural direction: Having resolved the interpretive conflict in favour of the view that transferred small cause suits remain small cause suits for appellate/revision purposes (i.e., the transferee court is deemed a court of small causes for that suit), the Full Bench addressed the specific procedural question in the case: rather than ordering transfer of the connected appeal, the Court considered it preferable to direct the Additional Subordinate Judge, Tiruchirapalli to dispose of A.S. No. 356 of 1954 expeditiously so its result may operate as res judicata if no second appeal is filed. The Court further provided that if a second appeal is filed that appeal may be heard along with C.R.P. No. 1477 of 1954, and that C.R.P. No. 1477 would be adjourned until that procedure is completed.
Holding and Implications
Core Holding: The Full Bench held that the civil revision petition was properly filed and that, for the purposes of a suit transferred under Section 24(4), C.P.C., the court to which the suit is transferred is to be deemed a court of small causes for that suit.
Direct orders and immediate consequences for the parties (as stated in the opinion):
- The court directed that the Additional Subordinate Judge, Tiruchirapalli, should dispose of A.S. No. 356 of 1954 as expeditiously as possible and specifically before 30-7-1955.
- C.R.P. No. 1477 of 1954 (the civil revision petition) was adjourned until the outcome of the directed disposal; if a second appeal is filed, that second appeal can be heard along with C.R.P. No. 1477 of 1954.
Broader implications noted by the Court (limited to what is stated in the opinion):
- The Full Bench accepted the view that where connected suits are tried and decrees are passed on the footing of a single judgment, it is desirable that appeals and revision petitions arising from the common judgment be heard by one and the same court (either by withdrawing an appeal to be heard with a revision petition or by sending down a revision petition for disposal as a first appeal along with the connected appeal).
- The opinion resolves the conflict of authority in favour of the line of decisions treating the transferee court as a court of small causes for the transferred suit, thereby limiting the availability of an appeal in many such transferred cases and reinforcing the applicability of revision remedies under the Provincial Small Cause Courts Act (as reflected in the cited authorities).
The opinion does not expressly state that it establishes a novel precedent beyond applying and preferring one line of earlier authority; it resolves the conflict in the authorities and gives directions in the specific case before the Court.
1. The petitioner in this revision petition was the defendant in a small cause suit No. 2737 of 1953 in the Sub-Court, Tiruchirapalli, filed by the respondent for recovery of Rs. 825-9-9-, the balance of a deposit of Rs. 1,000 under an alleged contract for screening, a picture. The petitioner filed a. suit, O. S. No. 411 of 1952, in the District Munsif's Court, Tiruchirapalli, claiming substantial damages on the same contract. The District Judge, under Section 24, C.P.C., transferred the small cause suit to be tried along with the original suit by the District Munsif, who gave the respondent a decree in the small cause suit, but dismissed the original suit filed by the petitioner.
The petitioner has filed A.S. No. 356 of 1954 against that dismissal in the Additional Sub-Court, Tiruchirapalli, and. in C.M.P. No. 10321 of 1954 asks for a transfer of that appeal to this court to he heard along with C.R.P. No. 1477 of 1954, which he has filed against the decree against him in the suit originally filed as a small cause suit.
2. As regards the procedure to be adopted in these cases, there is a difference of judicial opinion. In -- 'Kandaswami Mudaliar in re', (A), I took the view that a small cause suit loses its character as such when withdrawn to the original side and tried along with an original suit in a common trial in which a common issue or issues arise for determination.
The learned advocates in that case both agreeing, a direction was given to the District Court to admit three civil revision petitions arising out of three small cause suits, on being property stamped with ad valorem court-fee and to give them a disposal along with the main regular appeal in the original suit pending on its file.
3. A different view was taken by Raghava Rao J. in -- 'Gopalarao v. Seetharamiah', (B), in which, following a" Bench decision in -- 'Sankararama v. Padmanabha', AIR 1916 Mad 891 (2) (C) he held that in such a case only a revision petition and not an appeal would lie from the decree passed in a suit originally filed as a small cause suit. That was a case in which a small cause suit filed in the District Munsif's Court at Eluru was transferred by the High Court to the Subordinate Judge's court at Eluru for disposal along with two other original suits.
4. In AIR 1916 Mad 891(2)(C), Sundara Aiyar and Sadasiva Aiyar JJ, considered a case in which a suit which was instituted as a small cause suit in a subordinate court.was transferred by the District Court to the District, Munsif's Court for trial as an original suit and was again transferred to another District Munsif's court for trial and disposal. It was held that the decree passed by the latter District Munsif's Court was a decree of a Court of Small Causes and that no appeal lay against such a decree. Section 24, Clause 4 does create a difficulty of interpretation and application in cases of this kind.
It lays down that
"the court trying any suit transferred or withdrawn under this section from a court of small Causes shall, for the purposes of such suit, be deemed to be a court of small causes."
5. In -- 'Murugesa Mudaliar v. Kesavalu Chetti, AIR 1929 Mad 513 (D), Ananthakrishna Aiyar J. explained and distinguished this Bench decision in holding that an order of transfer passed under Section 24(4), C.P.C. cannot invest a court not having small cause jurisdiction with it, and that such an order did not enable a Judge having small cause jurisdiction up to a particular limit to try as a small cause suit a suit exceeding that limit and, therefore, the High Court had no power to transfer a small cause suit pending cm the file of a Subordinate Judge to the court of a District Munsif where the small cause jurisdiction of the District Mnnsif is less than the value of the small cause suit.
6. In the case before me, the District Munsif clearly had no small cause jurisdiction to try this suit instituted as a small cause suit in the Sub-Court. What then is the procedure to he adopted when there are two suits pending in two different courts, one a small cause suit and the other an original suit, both, raising common issues on the same evidence between the same parties? The view that took in (A) was that in such eases, the small cause suit loses its small cause character when transferred for disposal along with the original suit on this ground, and that Section 24(4) had application to this type of case.
In view of the conflict between my decision in (A) and that of Raghava Rao J. in (R) and the difficulty of reconciling the decision of Ananthakrishna Aiyar J. in AIR 1929 Mad 513 (D) with this type of case, I think the difficulty should be resolved by a reference to a Full Beach so that the correct procedure to be adopted in such cases which are not of infrequent occurrence may be indicated.
When once two suits like these have been tried and decrees passed on the footing of a single judgment, it seems to bo necessary that appeals and revision petitions arising out of the common judgment should be heard by one and the same court, the alternatives learned advocates stressed before me being either that the appeal should be withdrawn to be heard along with the civil revision petition or that the civil revision petition be sent down for disposal as a first appeal along with the connected appeal.
Opinion of the Full Bench Govinda Menon J.
7. In the view of Mack J. a small cause suit transferred to another court not having power to try that suit as a court of small causes, when tried along with a connected original suit loses its character as a small cause suit and the decree passed in such a suit is appealable under Section 96, C.P.C., and no revision lies to the High Court under Section 25 of the Provincial. small Cause Courts Act. This is the view expressed by him in (A). The view of Raghava Rao J. in (B) is to the contrary, and we have now to decide which of the two views is correct.
The judgment in (A) was delivered at the admission stage of three civil revision petitions which arose out of three small cause suits filed originally in a court of small causes but withdrawn to be tried along with an original suit in the District Munsif's Court of Vellorc where the District Munsif tried all the four suits together on common evidence and gave a decree jointly in favour of the plaintiffs and some of the defendants against some Other defendants. An appeal was filed against the decree in the original suit before the District Court, Vellore, and revision petitions under Section 25 of the Provincial Small Cause Courts Act were filed before the High Court against the decrees in the Small Cause suits.
When these revision petitions came up for admission the learned Judge directed the papers to be returned to the advocate so that the same may be re-presented after affixing proper court-fee as appeals before the District Judge, for in the opinion of Mack J. before whom these revision petitions came up for admission a small cause suit loses its character as such immediately it is withdrawn to the original side and tried along with an original suit. He also rested his decision on common sense and practical view. With due and profound respect to the learned Judge we are tumble to agree, with the view taken by him.
Sub-section 4 of Section 24, C.P.C. lays down
"that a court trying any suit transferred or withdrawn under the provisions of the earlier clauses in the section from a court of small causes shall for the purposes of such suit, he deemed to be a court of small causes".
No reference has been made to this statutory provision in the judgment of Mack J. for apparently it was not brought to his notice. We find it impossible to agree with the learned Judge in the opinion expressed by him in view of Sub-section (4) of Section 24, C.P.C. When a small cause suit is transferred to a court which as in the present case, docs not have jurisdiction to try it as a small cause, even if the trial is proceeded with along with .an original suit, still the court which tries it shall be deemed to be a court of small causes for the purpose of the transferred suit alone. That being so, if it is a court of small causes then the decree passed by it cannot be a decree in an original suit.
If we compare Section 24, C.P.C., with, Section 35 of Provincial Small Cause Courts Act the difference becomes clear and explicit. Under Section 24(4), C. P, C., if a case is transferred from the existing court of small causes to another ordinary civil court such a suit has to be dealt with as a small cause suit and the court of transfer must be deemed to be a court of small causes. But under Section 35, Provincial Small Cause Courts Act, where a court of small causes has ceased to exist or ceases to exercise such powers, in such a case, without any order of transfer the suit goes to the court which would have jurisdiction to try it if the suit had been filed after the cessation of the Small Cause court.
Therefore the decision by the court to which the small cause suit is transferred is not open to appeal but the decision of the court to which the case gets transferred under Section 35, Provincial Small Cause Courts Act is appealable. The view taken by Mack J. is opposed to the trend of authorities in this regard.
8. In AIR 1916 Mad 891 (2) (C) the matter has been elaborately discussed by Sundara Aiyar and Sadasiva Aiyar JJ., and it has been held that where a suit which was instituted as a small cause suit in a subordinate Judge's court was transferred by the District Court to a District Munsif's Court for trial as an original suit and was again transferred to - another District Munsif's Court for trial and disposal it was held that the decree parsed by the latter District Munsif's Court was a decree of a court of small causes and no appeal lay to the District Court against such a decree.
The learned Judges observed that by the operation or Section 24(4), C.P.C., the court to which a small cause suit is transferred becomes a court of small causes for the purposes of the suit even if it is not a small cause court. As Sundaja Aiyar pointed out at page 894:
"The legislature has thought it proper to give finality to the decisions not only of small cause courts and courts invested with small cause jurisdiction but to decisions of a third class of courts, namely, of courts to which a suit of small cause nature is transferred."
It was further observed that a district court in transferring a small cause suit to a court not having small cause jurisdiction of the requisite amount had no power to direct that the suit should be tried as in original suit. There is nothing wrong in trying an original suit and a small cause suit together where the evidence is the same and the question for decision is also identical but each of the suits retains its character as when instituted which cannot by put an end to by transfer to another court.
We are in entire concurrence with this decision, which has not been seriously assailed for nearly forty years though there is an 'obiter dictum' of Krishnan Pandalai J. at p. 685 in -- 'Chockalinga v. Palaniappa', AIR 1932 Mad 683 (E) where the learned Judge observes thus:
"Therefore, where a suit is transferred to a Small Cause Court there is nothing in the sub-section which requires that Suits of higher value when transferred should be tried as small cause suits or that there shall be no appeal therefrom. This point, however, does not arise in the present petition which only raises the question of the, power of transfer to a Court which has small cause jurisdiction of a suit of higher value than such jurisdiction."
The learned Judge has not dissented in so many words from the observation in AIR 1916 Mad 891 (2) (C) though Jackson J. who was the other Judge of the Bench referred to that decision in another connection and approved of it.
9. Ananthakrishna Iyer J. in AIR 1929 Mad 513 (D) takes the view that an order of transfer passed nder Sub-section (4) of Section 24, G. P.C., cannot invest a court not having small cause jurisdiction "with one; or can such an older enable a Judge having small cause jurisdiction upto a particular limit to try as small cause suites suit exceeding that limit. Therefore the High Court has no power to transfer a small cause suit pending on the file of the court of a Subordinate Judge to the court of a District Munsif where the small cause jurisdiction of the District Munsif is less than the value of the small cause suit.
The learned Judge distinguished the case AIR 1916 Mad 891 (2) (C) on the ground that in that case the order of transfer itself directed the suit to be tried as an original suit. It is somewhat difficult to appreciate the distinction matte by Ananthakrishna Aiyar J. Sub-section (4) of Section 24, G.P.G. presupposes want of small cause jurisdiction in the court to which the small cause suit is transferred. That is why the words "Be deemed to be a court of Small Causes" are used If in fact the court is actually one of small causes there is no necessity for the words "deemed to be".
In these circumstances when a small cause suit is transferred to a court not having small cause jurisdiction for the purpose of the trial of that suit the court shall be deemed to be a court of small causes. That is, whatever is done in the trial of that suit by that court would be considered as done by a court of small causes. It is as if for the trial of that particular suit, the court is invested with small cause powers of the requisite pecuniary limit. This is what follows from the decision in AIR 1916 Mad 891 (2) (G).
In AIR 1932 Mad 683 (E), both the learned Judges agreed that the suit which was within the small cause jurisdiction of the Subordinate Judge and beyond the small cause jurisdiction of the District Munsif can be transferred by the District Judge to the file of the District Munsif as the District Munsif was competent to try the suit within the meaning of Section 24(1), C.P.C. Though Jackson I has referred to the decision in AIR 1929 Mad 513 (D) he has not expressly dissented from the view taken by Ananthakrishna Aiyar J. In -- 'Kamalathammal v. Harihara', AIR 1941 Mad 103 (F), Patna jail Sastri J. relies upon AIR' 1932 Mad 683 (E) for concluding that the District Court may transfer any proceeding from a court of small causes to a court riot having adequate small cause powers to deal with it as a court of small causes.
Nevertheless, the latter court shall be deemed to be a court of small causes for the purposes of the suit transferred. The learned Judge has not referred to the decision of Ananthakrishna Aiyar I. in AIR 1929 Mad 513 (D). In the case before Krishnan Pandalai J. in AIR 1932 Mad 683 (E) on account of the abolition of the Subordinate Judge's court which alone had jurisdiction to try the suit as a small cause suit on account of the pecuniary value of the suit, the suit was transferred to the court of the District Munsif by the District Judge and such a transfer was held to be valid. A Full Bench of the Allhabad High Court in -- 'Bhagavati Pande v. Badri Pande', AIR 1931 All 574 (FB) (G) considered the effect of Section 35, Provincial Small Cause Courts Act, and Section 24(4), C.P.C., and Sukiman A. C.J. at pp. 578-579 states that the court to which the suit has been transferred under Section 24, C.P.C. would dispose of the suit as a court of small causes and no appeal would lie from its decree even if it has no jurisdiction to try other small cause suits of equal value.
The view expressed by Anauthakrishna Aiyar J. that a District Judge has no jurisdiction to transfor a small cause suit from the court of the Subordinate Judge to the court of the District Munsif not having adequate pecuniary jurisdiction as a small cause suit is opposed to the current of decisions not only of this court but of other High Courts as well. If the learned Judge's view is correct in our opinion there is no necessity for Sub-section (4) of Section 24, C.P.C. at all.
The reason is that if the court to which the small cause suit is transferred has jurisdiction to try it as a small cause suit then Sub-section (4) of Section 24, C.P.C. becomes redundant, The enactment of Sub-section (4) itself presupposes the non-existence of small cause jurisdiction of the requisite limit.
10. We, therefore, think that in the piesent case a civil revision petition has been properly filed in this court. What then is the procedure to be followed? In our view instead of transferring the appeal that is pending before the lower appellate court in the connected suit it would be better to direct the Additional Subordinate Judge, Tiruchirapalli to dispose of A.S. No. 356 of 1954 as expeditiously as possible so that the result of it might operate as res judicata' if no second appeal is filed against the appellate decree.
On the other had, if a second appeal is filed then the same can be heard along with C.R.P.
No. 1477 of 1954. Till then C.R.P. No: 1477 of 1954 will be adjourned. Therefore the order which we propose to make in C.M.P. No. 10321 of 1954 is that the Additional Subordinate Judge of Tiruchirapalli will be directed to dispose of App. No. 356 of 1954 before the 30-7-1955.
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