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  • Code of Civil Procedure under Order XIV, Rule 2,
  • provisions of Section 115, Civil P.C
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Citation Codes
Equivalent Citations
citation codes
Case Number
Advocates
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  • Code of Civil Procedure under Order XIV, Rule 2,
  • provisions of Section 115, Civil P.C
Smart Summary

Factual and Procedural Background

The petitioners filed a suit for a permanent injunction seeking to restrain the New Delhi Municipal Committee (respondent) from recovering a disputed amount. Along with the suit they applied for an ad interim injunction under Order XXXIX, Rules 4 and 2 of the Code, which was dismissed; the petitioners thereafter deposited the disputed amount with the respondent. After filing of the written statement, issues were framed on May 31, 1978, including Issue No. 3: “Has the suit become infructuous by payment of the tax due?” The plaintiffs were permitted under Order VI, Rule 17 to amend the plaint to one for declaration and injunction. In the amended written statement it was admitted that the defendant had recovered the suit amount during the pendency of the suit. The trial Court directed Issue No. 3 to be treated as a preliminary issue and, after arguments, decided it against the plaintiffs on the ground that payment had rendered a suit for declaration and injunction infructuous and not maintainable; the trial Court found that only a suit for recovery would be maintainable and dismissed the suit by judgment dated April 4, 1979. The petitioners filed this revision petition under Section 115, Civil P.C., seeking to set aside that judgment.

Legal Issues Presented

  1. Whether the revision petition under Section 115, Civil P.C. is maintainable in view of Sub-section (2) of Section 115 (i.e., whether the petitioners were obliged to challenge the trial Court's dismissal by filing an appeal instead of revision).
  2. Whether the trial Court correctly decided Issue No. 3 as a preliminary issue under Order XIV, Rule 2 of the Code, given that after amendment only issues of (a) jurisdiction or (b) a bar to the suit may be tried as preliminary issues.

Arguments of the Parties

Respondent's Arguments

  • Mr. Bikramjit Nayyar, for the respondent, raised a preliminary objection that the revision petition is not maintainable because the plaintiffs could have challenged the trial Court's dismissal by filing an appeal; Sub-section (2) of Section 115 makes revision inappropriate where an appeal lies.

Petitioners' Arguments

  • Mr. M.L. Bhargava, for the petitioners, argued that the petitioners are entitled to challenge the trial Court's decision on Issue No. 3 as illegal and contrary to law, resulting in a failure to exercise jurisdiction. He contended they were not obliged to attack only the consequential decree dismissing the suit.
  • He relied on the Division Bench decision in Siri Krishan Bhardwaj…Petitioner v. Manohar Lal Gupta & Another…S, AIR 1977 Delhi 226, for the proposition that when a subsequent order is consequential to an earlier order, setting aside the earlier order requires that the consequential order/decree also fall or be modified.
  • He further submitted that, under the amended Code (Order XIV, Rule 2), only issues of jurisdiction or of a statutory bar can be tried as preliminary issues; Issue No. 3 did not fall within those categories. He relied on Hardwari Lal v. Pohkar Mal, AIR 1978 Punj and Har 230 to support that position.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Siri Krishan Bhardwaj…Petitioner v. Manohar Lal Gupta & Another…S, AIR 1977 Delhi 226 The principle that when a subsequent order (even a decree) is consequential to an earlier order, reversal of the earlier order requires that the consequential order/decree also be reversed or rendered of no effect. The Court relied on this decision to hold that a revision under Section 115 is maintainable against the impugned earlier order without separately attacking the consequential decree; it rejected the respondent's contention that the precedent was limited to suits under Order XXXVII.
Hardwari Lal v. Pohkar Mal, AIR 1978 Punj and Har 230 Support for the view that under the amended Order XIV, Rule 2 only two categories of issues can be decided as preliminary: (a) jurisdiction of the Court, and (b) a bar to the suit created by law. The Court invoked this authority to conclude that Issue No. 3 did not fall within the permissible categories of preliminary issues and that the trial Court had therefore not properly exercised its jurisdiction in deciding that issue as preliminary.

Court's Reasoning and Analysis

The Court first addressed the respondent's preliminary objection regarding maintainability of the revision petition under Section 115(2). It examined the Division Bench decision in Siri Krishan Bhardwaj and concluded that where an impugned order is earlier and a subsequent decree is consequential upon it, a revision under Section 115 challenging the earlier order is maintainable; if the earlier order is set aside the consequential decree must also fall. The Court rejected the respondent's argument that the cited decision was confined to suits under Order XXXVII.

The Court then considered the scope of Order XIV, Rule 2 as amended. It noted that the amended provision permits only two categories of preliminary issues (jurisdiction or statutory bars). Relying on Hardwari Lal v. Pohkar Mal, the Court found that Issue No. 3 (“Has the suit become infructuous by payment of the tax due?”) did not fall within those two permissible categories. The Court concluded that by treating and deciding Issue No. 3 as a preliminary issue, the trial Court had not properly exercised its jurisdiction; allowing that order to stand would cause failure of justice and irreparable injury to the petitioners.

On that basis the Court held the revision maintainable, found the impugned order revisable, set aside the order dated April 4, 1979, and directed that any consequential decree dismissing the suit also be set aside. The matter was remanded to the lower Court for trial in accordance with law on 25-2-1980. There was no order as to costs.

Holding and Implications

Core Ruling: The Court held the revision petition to be maintainable and set aside the impugned order dated April 4, 1979; it also set aside any consequential decree dismissing the suit.

Direct consequences: the case is remanded to the trial Court to be tried in accordance with law on 25-2-1980, and there is no order as to costs. The opinion does not discuss broader legal implications beyond the direct effect on the parties; the decision entails that the trial Court must re-try the matter without having treated Issue No. 3 as a permissible preliminary issue under Order XIV, Rule 2.

    Bhupinder Kamal And Another v. The New Delhi Municipal Committee

    This revision petition under S.115 Civil P.C seeks setting aside of the judgement passed on April 4, 1979 by Shri R.N Jandai, Subordinate Judge. I Class, Delhi dismissing the petitioners' suit on the ground that it was not maintainable.

    2. The petitioners had filed the suit for permanent injunction praying that the New Delhi Municipal Committee (respondent herein) be restrained from recovering the suit amount from them. Along with the suit, the petitioners had made an application for the grant of an ad interim injunction under O.39, Rr.4 and 2 of the Code. The said application was dismissed and, therefore, the disputed amount was deposited by the petitioners with the respondent.

    3. After the filing of the written statement certain issues were framed on May 31. 1978. It is the admitted case of the parties before me that issue No. 3 was as follows :

    “Has the suit become infructuous by payment of the tax due ?”

    4. On an application made by the plaintiffs under O.6, R.17, Civil P. C., the plaintiffs were permitted to amend the suit to one for declaration and injunction. To this amended plaint, an amended written statement was filed wherein it was admitted that the suit amount had been recovered by the defendant from the plaintiffs during the pendency of the suit. The issue, quoted above, was directed to be treated as a preliminary issue by the trial Court and after arguments it has been decided against the petitioners/plaintiffs on the ground that after the payment by them of the amount in question, the suit for mere declaration and injunction has become infructuous and was not maintainable, The finding of the trial Court is that after the said payment a suit for recovery of that amount is only maintainable.

    5. Mr. Bikramjit Nayyar, learned counsel for the respondent, has raised a preliminary objection to the maintainability of this revision petition. He submits that the suit having been dismissed by the impugned order, the plaintiffs/petitioners could challenge the same by filing an appeal against it. The revision petition is thus not competent in view of Sub-S. (2) of S.115 of the Code.

    6. Mr. M.L Bhargava, learned counsel for the petitioners, however, urges that he is entitled to challenge the judgement of the trial Court on the ground that its decision on issue No. 3 is illegal and contrary to law resulting in failure of the exercise of the jurisdiction vested in the trial Court. The petitioners, according to him, are not obliged to challenge the consequential judgement and decree dismissing the suit. In support of his contention he has cited a Division Bench judgement of this court reported in Siri Krishan Bhardwaj…Petitioner v. Manohar Lal Gupta & Another…S, AIR 1977 Delhi 226, wherein it has been, inter alia, held that : “When a subsequent order, even if it be a decree, is a consequential order to an earlier order and the earlier order is set aside the latter order must also fall and directions to that effect have to be given. Therefore, if the impugned order is reversed or modified the consequential order or decree will also have to be modified or directions will have to De given that the same is of no effect.”

    7. From the above decision it is clear that under the provisions of Section 115, Civil P.C a revision petition against such an order as is impugned is maintainable without attacking the consequential decree which decree would have to be reversed or modified if the order is revised. Mr. Nayyar's contention that the said Division Bench judgement of this Court refers only to a suit under Order XXXVII, Civil P. C., is, in my view, not correct. The law laid down in the said decision cannot be construed to relate only to suits filed under Order XXXVII, Civil P.C The revision is, therefore, maintainable.

    8. There is another aspect urged by Mr. Bhargava which has to be borne in mind. In the amended Code of Civil Procedure under Order XIV, Rule 2, only two categories of issues can be decided as preliminary issue. Those issues of law relate to (a) the jurisdiction of the Court or (b) a bar to the suit created by any law for the time being in force. Apart from those issues, no other issues can be tried as preliminary issues by the Court. I am fortified in the view which I have taken by a judgement of the Punjab and Haryana High Court reported in Hardwari Lal v. Pohkar Mal, AIR 1978 Punj and Har 230.

    9. The issue, which has been decided as a preliminary issue noticed earlier, does not fall in the category of the preliminary issues which are permissible to be tried as such under the provisions of Order XIV. The jurisdiction vested in the trial Court has not been properly exercised while deciding the said issue The order, deciding that issue, if allowed, would occasion a failure of justice and in any case cause irreparable injury to the petitioners.

    10. I therefore, hold that the present petition is maintainable and the impugned order is revisable. As the learned trial Court has not properly exercised its jurisdiction in deciding the issue as preliminary issue. I set aside the order dated April 4, 1979. I further direct that the decree, if any dismissing the suit consequent to the order deciding the preliminary issue be also set aside.

    11. The case is remanded to the lower Court for 25-2-1980 to be tried in accordance with law. There will be no order as to costs.

    Case remanded.
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    Comments

    Bhupinder Kamal And Another v. The New Delhi Municipal Committee
    (Feb 5, 1980)