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citation codes
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  • Sections 16 to 19 of the CPC. According to Section 16(c) of CPC,
  • provisions of Section 20 and Section 16(c) CPC
  • Section 16 (c) CPC, Section 20 CPC
  • provisions of Section 16(c) CPC
  • Section 16(c) of the CPC
  • Section 16(c) CPC
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Citation Codes
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citation codes
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  • Sections 16 to 19 of the CPC. According to Section 16(c) of CPC,
  • provisions of Section 20 and Section 16(c) CPC
  • Section 16 (c) CPC, Section 20 CPC
  • provisions of Section 16(c) CPC
  • Section 16(c) of the CPC
  • Section 16(c) CPC
Smart Summary

Factual and Procedural Background

The Plaintiff filed a suit seeking recovery of Rs. 7 lacs with pendente lite and future interest under Order XXXIV of the Code of Civil Procedure (CPC) by way of sale of mortgaged property. The Defendants 4, 5, 6, and 7 raised a preliminary objection challenging the jurisdiction of this Court, contending that the mortgaged property is situated in Mathura, Uttar Pradesh, and therefore the suit should be filed in the Court having jurisdiction over that location. The Defendants argued that Section 16(c) CPC, which governs suits relating to foreclosure, sale, or redemption of mortgaged immovable property, restricts jurisdiction to the Court where the property is situated.

Legal Issues Presented

  1. Whether the suit for recovery by sale of mortgaged property falls exclusively under Section 16(c) CPC, thereby limiting jurisdiction to the Court within whose local limits the mortgaged property is situated.
  2. Whether Section 20 CPC can be invoked to establish jurisdiction based on the residence or business location of the Defendants, notwithstanding the provisions of Section 16(c) CPC.
  3. Whether the proviso to Section 16(c) CPC, allowing suits where relief can be obtained through the personal obedience of the Defendant, applies to the present suit.

Arguments of the Parties

Defendants' Arguments

  • The Court lacks jurisdiction because the mortgaged property is located in Mathura, Uttar Pradesh.
  • Section 16(c) CPC applies exclusively to suits for recovery by sale of mortgaged property, restricting jurisdiction to the Court where the property is situated.
  • Section 20 CPC is subject to the limitations of Sections 16 to 19 CPC and cannot be invoked to establish jurisdiction in this matter.
  • Reliance placed on the precedent of Mrs. Rosy Joseph & Ors. v. Union Bank of India, AIR 1978 Kerala 209, which supports this jurisdictional limitation.

Plaintiff's Arguments

  • Admitted that the property is situated in Mathura, Uttar Pradesh.
  • Relied on the proviso to Section 16(c) CPC, claiming that the relief sought can be obtained entirely through the personal obedience of the Defendants, which would permit jurisdiction outside the property's location.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Mrs. Rosy Joseph & Ors. v. Union Bank of India, AIR 1978 Kerala 209 Establishes that suits for recovery by sale of mortgaged property must be instituted in the Court within whose local limits the property is situated. The Court applied this precedent to affirm that jurisdiction lies exclusively with the Court at Mathura, Uttar Pradesh, where the mortgaged property is located, thereby negating jurisdiction of the present Court.

Court's Reasoning and Analysis

The Court analyzed the interplay between Section 16(c) and Section 20 of the CPC. Section 16(c) restricts suits for foreclosure, sale, or redemption of mortgaged immovable property to the Court within whose jurisdiction the property lies, except in cases covered by its proviso. The proviso applies only to suits seeking compensation or other relief obtainable entirely by personal obedience of the Defendant, which does not include suits for recovery by sale of mortgaged property.

Section 20 CPC permits suits to be instituted where the Defendant resides or conducts business, but it is expressly subject to the limitations imposed by Sections 16 to 19 CPC. Therefore, Section 20 cannot override the jurisdictional bar created by Section 16(c) in this context.

Given that the suit involves recovery by sale of mortgaged property located in Mathura and does not fall within the proviso exception, the Court concluded that only the Courts at Mathura have jurisdiction. The Plaintiff’s reliance on the proviso was rejected as inapplicable. The Court’s reasoning was supported by the precedent in Mrs. Rosy Joseph’s case.

Holding and Implications

The Court held that it has no jurisdiction to entertain the suit because the mortgaged property is situated in Mathura, Uttar Pradesh, and the suit falls under Section 16(c) CPC which restricts jurisdiction accordingly.

As a consequence, the plaint along with original documents was ordered to be returned to the Plaintiff for presentation before the appropriate Court within 10 days. No new precedent was established; the decision reaffirms the established jurisdictional principle under Section 16(c) CPC.

    D.K. Bhargava v. Maya Devi

    Sharda Aggarwal, J.— The present suit has been filed by the Plaintiff for recovery of Rs. 7 lacs with interest pendilite and future interest under Order XXXIV Code of Civil Procedure (for short CPC) by way of sale of mortgaged property. The Defendants 4, 5, 6 and 7 have raised a preliminary objection by way of moving the present application stating that this Court has no jurisdiction to entertain the present suit, as the property alleged to be mortgaged in favour of the Plaintiff is situated in Mathura, Uttar Pradesh.

    2. The contention of learned counsel for the Defendants is that in a suit for recovery by way of sale of mortgaged property the provisions of Section 16(c) CPC are applicable and the suit can only be instituted in the Court within the local limits of whose jurisdiction the property in suit is situated. It is contended that in a case which is covered by Section 16 (c) CPC, Section 20 CPC cannot be called in aid. Section 20 CPC is specifically stated to be subject to the limitations laid down in Sections 16 to 19 CPC. Reliance is placed on Mrs. Rosy Joseph & Ors. v. Union Bank of India, AIR 1978 Kerala 209, where a similar question had arisen and it was held that a suit to recover money by sale of mortgaged property could only be instituted in the Court within the local limits of whose jurisdiction the mortgage property was situated.

    3. Learned counsel for the Plaintiff admits that the property in suit is situated in Mathura, Uttar Pradesh, however, reliance is placed by him on the proviso to Section 16(c) CPC claiming that relief sought by the Plaintiff can be entirely obtained through the personal obedience of the Defendants.

    4. The Defendants in this case are admittedly the sons and daughters of one Smt. Bhagwan Devi who had allegedly taken a loan from the Plaintiff by allegedly mortgaging her property at Mathura, Uttar Pradesh by way of security. Defendants No. 1 and 3 to 6 are residents of Bombay where as Defendants 7 and 8 residents of Mathura, Uttar Pradesh and Defendants 2 and 9 are residing in Delhi.

    5. The short question to be decided is as to whether the suit filed by the Plaintiff squarely falls under Section 16(c) of the CPC or aid can be called for from section 20 of the cpc. a perusal of section 20 of the cpc shows that it permits suits to be instituted in Courts within the local limits of whose jurisdiction the Defendant actually and voluntarily resides or carries on business or personally works for gain or the cause of action wholly or in part arises but the provisions of the Section are expressly stated to be subject to the limitations laid down in Sections 16 to 19 of the CPC. According to Section 16(c) of CPC, a suit for foreclosure, sale or redemption in the case of a mortgage or charge upon immovable property can be instituted in the Court within the local limits of whose jurisdiction the property in suit is situated. The only exception is with respect to cases covered by the proviso to the said Section. The proviso covers only suits to obtain compensation for wrong to immovable property or other relief in respect of immovable property where the relief sought can be entirely obtained through the personal obedience of the Defendant.

    6. In this case, the property situated at Mathura, Uttar Pradesh is alleged to be mortgaged and the Plaintiff claims recovery of Rs. 7 lacs by sale of the said property. This suit does not fall within the scope of the proviso to Section 16 CPC. The suit could have been instituted in the Court within the local limits of whose jurisdiction the immovable property forming the subject matter of the mortgage was situated. Reading of the provisions of Section 20 and Section 16(c) CPC and applying the same to the allegations in the plaint the conclusion is that the suit is governed by Section 16(c) CPC and the Courts at Mathura, Uttar Pradesh where the properly alleged to be mortgaged is situated, alone, have the jurisdiction to entertain the present suit. Mrs. Rosy Joseph's case (supra) relied by the Defendants fully applies to the facts of this case. Hence, this Court has no jurisdiction to entertain this suit.

    7. The Plaint along with the original documents is, accordingly, ordered to be returned to the Plaintiff for presentation to the proper Court. However, the Plaintiff will be at liberty to present the plaint before the appropriate court within a period of 10 days from the date of return of the plaint.

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    Comments

    D.K. Bhargava v. Maya Devi
    (Jan 23, 2001)