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Smart Summary

Factual and Procedural Background

This opinion concerns an appeal by M/s. EMESS Advertising Service (appellant-defendant) against an order dated 31 January 1996 of the learned single Judge dismissing an application (I.A. 2026/91) under Order IX Rule 13 read with Section 151 CPC to set aside an ex parte decree dated 5 February 1991 in Suit No. 227/88. The suit for recovery (filed by Hindustan Times Limited on 15 January 1988) sought recovery of money claimed for advertisement dues.

The appellant alleges that it became aware of the suit only on the evening of 5 February 1991 when the proprietor's husband contacted an advocate, who informed them that a case was pending and listed in the High Court. On 6 February 1991 the husband engaged counsel; an application for inspection was filed on 7 February 1991 and inspection occurred on 12 February 1991. The opinion also records that the application to set aside the decree is said (in the text) to have been filed on 25 February 1991 and elsewhere mentions that the application was filed on 5 March 1991.

Prior proceedings show multiple unsuccessful attempts to serve summons on the appellant. The respondent obtained an order on 6 March 1990 under Order V Rule 20 CPC directing service by publication for a hearing fixed for 26 July 1990. The summons by publication was published in the Statesman dated 9 April 1990, and a copy of that newspaper was sent by certificate of posting on 9 April 1990 to the appellant at the address shown in the plaint (2881, Hardhian Singh Road, Karol Bagh, New Delhi). No one appeared for the appellant on the specified date, the respondent led evidence on affidavits, and an ex parte decree for recovery (recorded in the opinion as Rs. 7,09,491/62 p with interest at 12% per annum) was passed on 5 February 1991.

Legal Issues Presented

  1. Whether the ex parte decree dated 5 February 1991 could be set aside under Order IX Rule 13 read with Section 151 CPC on the grounds of non-intentional non-appearance by the appellant.
  2. Whether service by publication (under Order V Rule 20 CPC) and the certified postal copy to the address in the plaint sufficed to attract the presumption of service in favour of the respondent under Section 114 of the Evidence Act.

Arguments of the Parties

Appellant's Arguments

  • The application states that Smt. Vimla Sharma (proprietor) was not aware of the pendency of the suit until the evening of 5 February 1991.
  • Upon learning of the listing, the appellant promptly engaged counsel (on 6 February 1991), applied for inspection (7 February 1991) and inspected the file (12 February 1991), and thereafter moved to set aside the decree—asserting that non-appearance was not intentional.
  • Prayed for setting aside the ex parte decree and for time to file a written statement.

Respondent's Arguments

  • The respondent contended the appellant had been keeping vigil on the court proceedings without causing an appearance and was aware of the suit's pendency earlier than alleged.
  • It denied that the appellant was informed of the listing only on 5 February 1991 and asserted that the non-appearance was intentional and deliberate.
  • Maintained that the application to set aside the decree should be dismissed, and sought costs.

Table of Precedents Cited

No precedents were cited in the provided opinion.

Court's Reasoning and Analysis

The court reviewed the procedural history and the material placed on record. Key points of the court's analysis were:

  1. The respondent's suit (No. 227/88) for recovery was filed on 15 January 1988. After six unsuccessful attempts to serve the summons, the respondent obtained an order under Order V Rule 20 CPC (I.A. 307/90) on 6 March 1990 permitting service by publication, with summons to be deemed served for the hearing on 26 July 1990.
  2. The record showed that summons by publication appeared in the Statesman dated 9 April 1990 and that a copy of that newspaper was sent by certificate of posting on the same date to the appellant at the address stated in the plaint (2881, Hardhian Singh Road, Karol Bagh, New Delhi).
  3. The affidavits supporting I.A. 2026/91 (by Smt. Vimla Sharma and Shri Yograj Sharma, Advocate) were silent as to two critical matters: that the address in the plaint was not the appellant's address when the suit was instituted, or that the Statesman issue of 9 April 1990 (containing the summons) was not delivered to the appellant at that address.
  4. Because those facts were not rebutted, the court held that the statutory and evidentiary presumption (referred to in the opinion as arising under Section 114 of the Evidence Act) favoured the respondent — i.e., the presumption that service by publication and posting had occurred. In consequence, the application for setting aside the ex parte decree did not disclose sufficient grounds for relief under Order IX Rule 13 read with Section 151 CPC.
  5. On this basis the learned single Judge's dismissal of I.A. 2026/91 was held to be justified.

Holding and Implications

Appeal dismissed.

Direct effect: The impugned order dismissing the application to set aside the ex parte decree is upheld and the ex parte decree dated 5 February 1991 remains in force. The appeal was dismissed with no order as to costs.

No broader implications or new legal precedents are discussed in the opinion; the decision resolves the dispute between the parties on the specific facts and procedural record presented.

    M/S. Emess Advertising Service v. The Hindustan Times Ltd. .

    K.S GUPTA, J.:— This appeal by M/s. EMESS Advertising Service, appellant-defendant, is against the order dated January 31, 1996 passed by learned single Judge dismissing application (I.A 2026/91) under Order IX Rule 13 read with Section 151 CPC filed in Suit No. 227/88 seeking to set aside ex parte decree dated February 5, 1991.

    2. The application was filed on March 5, 1991 by Smt. Vimla Sharma, claiming herself to be the proprietor of the appellant, on the allegations that the Hindustan Times Limited. respondent, filed a suit for recovery of Rs. 7,55,648/15P against the appellant. After the appellant was served with the summons by publication, an ex parte decree was passed against it on Februery 5. 1991. She was not aware of the pendency of the suit before the evening of February 5, 1991 when her husband got in touch with Shri Yograj Sharma, Advocate, on telephone to find out as to in what connection he had telephoned him in the morning. It was revealed by Shri Yograj Sharma, Advocate, that a case was pending against the appellant and listed in the High Court. On February 6, 1991, her husband instructed Shri Yograj Sharma to engage Shri J.P Gupta, Advocate, to conduct the case. An application for inspection was filed on February 7, 1991. Inspection of the file was carried out on February 12, 1991. Application for setting aside the decree was thus filed on February 25, 1991. It is alleged that non appearance of the appellant in the suit was not intentional. Consequently, it was prayed that the ex parte decree dated February 5, 1991 may be set aside and the appellant may be granted time to file the written statement.

    3. Respondent contested the application alleging that the appellant was keeping a vigil on the court proceedings in this suit without causing appearance and was aware about the pendency of the suit. It is denied that the appellant was informed only on February 5, 1991 about the listing of the case as alleged. It is asserted that the non-appearance of the appellant in the suit was intentional and deliberate and the application is liable to be dismissed with costs.

    4. We have heard the learned counsel for the parties.

    5. It is not in dispute that Suit No. 227/88 for recovery of Rs. 7,55,648/15P towards advertisement dues and interest was filed by the respondent on January 15, 1988. After six attempts made to serve the appellant with the summons failed, the respondent filed I.A 307/90 under Order V Rule 20 CPC which was allowed on March 6, 1990 and the appellant was ordered to be served by publication in Statement for July 26, 1990. Since no body put in appearance on behalf of the appellant on the specified date despite service by publication (sic) Respondent was permitted to lead evidence on affidavits. Affidavits of J.K Bhatnagar, Accountant and Naresh Mohan, Executive President of the respondent were filed. An ex parte decree for recovery of Rs. 7,09,491/62 p with interest pendente lite and future @ 12% per annum till payment, was passed on February 5, 1991 against the appellant.

    6. Suit file reveals that summons for July 26, 1990 was published in the issue dated April 9, 1990 of the ‘Statesman’. A copy of the newspaper was simultaneously sent under certificate of posting on April 9, 1990 itself to the appellant on its address at 2881. Hardhian Singh Road, Karol Bagh, New Delhi, which was the address of the appellant as shown in the plaint. Significantly I.A 2026/91, which is supported by the affidavits of Smt. Vimla Sharma and Shri Yograj Sharma, Advocate, is completely silent either that 2881, Hardhian Singh Road, Karol Bagh, New Delhi, was not the address of the appellant at the time the suit was instituted or that the issue dated April 9, 1990 of ‘Statesman’ wherein the summon was published, was not delivered to the appellant on the said address. That being the position, the appellant failed to rebut the presumption under Section 114 of the Evidence Act arising in respondent's favour regarding service of summons through publication for July 26, 1990. Aforementioned application, thus, did not disclose sufficient ground to set aside the ex parte decree dated February 5, 1991. Learned single Judge thus was fully justified in dismissing the application in terms of the impugned order.

    7. Appeal has no force and is, therefore, dismissed but with no order as to costs.

    Appeal dismissed.
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    Comments

    M/S. Emess Advertising Service v. The Hindustan Times Ltd. .
    (Mar 10, 1997)