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citation codes
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  • Rule 6A of Order 8. Those provisions
  • judgments.5. Rule 6F and O. XX R. 19
  • incompetent.10. Section 47 C.P.C
  • O. 8, Rule 6C
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Cites
Cited by
Citation Codes
Equivalent Citations
citation codes
Case Number
Attorney(S)
Judges
Acts
  • Rule 6A of Order 8. Those provisions
  • judgments.5. Rule 6F and O. XX R. 19
  • incompetent.10. Section 47 C.P.C
  • O. 8, Rule 6C
Smart Summary

Factual and Procedural Background

Execution of a money decree against two defendants resulted in the sale of an item of immovable property which was purchased by a stranger who subsequently took delivery. The purchaser (plaintiff in the later suit) filed a suit against the judgment-debtor seeking an injunction against trespass concerning the identical property and damages for unauthorised plucking of coconuts.

The defendants resisted that suit on the ground that the property sold in execution was another item belonging to the second defendant and that the purchaser had wrongly obtained delivery of a different property which belonged to the first defendant. Under Order VIII, Rule 6A of the Code of Civil Procedure the first defendant filed a petition raising a counter-claim that he must be given delivery of the disputed property on the strength of his title. The Munsiff heard three additional preliminary issues on this contention.

The Munsiff held that a counter-claim could be had only in a money suit and therefore the counter-claim was not maintainable in law; by a separate order the petition under Order VIII, Rule 6A was also dismissed. The defendants/petitioners sought revision of those two orders by filing civil revision petitions in the revisional court.

Legal Issues Presented

  1. Whether a counter-claim under Order VIII, Rule 6A of the Code of Civil Procedure is limited to suits for recovery of money.
  2. Whether a defendant can raise a counter-claim for delivery and declaration of title to immovable property (the identity of which was disputed after an execution sale) under Order VIII, Rule 6A.
  3. Whether the relief sought by the first defendant (declaration of title and delivery) could be pursued only in execution proceedings under Section 47 C.P.C. rather than by a separate suit.
  4. Whether the Munsiff's orders dismissing the counter-claim and petition under Order VIII, Rule 6A should be revised.

Arguments of the Parties

Plaintiff / Auction Purchaser

  • The purchaser had bought the property in execution of a decree, taken delivery and therefore sought relief in the form of an injunction against trespass and damages for unauthorised plucking of coconuts.

Defendants / Judgment-debtors

  • Contended that the property sold in execution was a different item belonging to the second defendant and that the purchaser had wrongly obtained delivery of the first defendant's property.
  • The first defendant, relying on Order VIII, Rule 6A, sought a counter-claim directing delivery of the disputed property to him on the strength of his title.
  • Also raised preliminary issues of maintainability of the counter-claim, competency to raise it, res judicata and limitation.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Jashwant Singh v. Smt. Darshan Kaur, AIR 1983 Patna 132 Authority on limitation of counter-claims to money suits (as relied upon by the Munsiff). The Munsiff relied solely on this decision to conclude that counter-claims under Rule 6A are limited to money suits. The revisional court found that reliance misplaced because contrary authorities exist.
Laxmidas v. Nanabhai, AIR 1964 SC 11 Authority indicating that the contention that Rule 6A applies only to money suits is not correct. The revisional court noted this Supreme Court decision (and treated it as contrary to the Munsiff's conclusion). It was not, however, brought to the notice of the Munsiff.
Roman Sukumaran v. Madhavan, 1982 Ker Lt 376; AIR 1982 Kerala 253 Authority (single Judge of the High Court) following the same view as Laxmidas that Rule 6A is not limited to money suits. The revisional court observed that this decision followed the Supreme Court view and was not brought to the Munsiff's notice; it supports the broader interpretation of Rule 6A.
Raveedran v. Mruthynjayan, 1986 Ker LT 1305 Authority holding that a counter-claim can be in respect of a claim that could be the subject-matter of a separate suit (i.e., broader scope of counter-claims). The revisional court stated that this point "is not a matter that comes up for consideration in this case" but referred to Order VIII, Rule 6C as giving the court discretion to exclude counter-claims that should be decided in independent proceedings.

Court's Reasoning and Analysis

The revisional court analysed the legal framework and facts step-by-step:

  1. Distinction between set-off and counter-claim:
    • Set-off: a form of defence available only in suits for recovery of money and limited to ascertained sums legally recoverable from the plaintiff (Order VIII, Rule 6).
    • Counter-claim: a substantive cross-suit which need not be analogous to the plaintiff's claim and can assert any claim entertainable by the court.
  2. Interpretation of Order VIII, Rule 6A:
    • The court held that Rule 6A, introduced by the 1976 amendment, enlarged the right of a defendant to make counter-claims beyond the narrow confines of Rule 6. The language of Rule 6A ("in any suit ... any right or claim in respect of a cause of action accruing to the defendant against the plaintiff") does not limit counter-claims to money suits.
    • The phrase "in addition to his right of pleading a set-off under R. 6" in Rule 6A was interpreted as enabling a defendant in a money suit to plead both set-off and a counter-claim, not as a limiting phrase that confines Rule 6A to money suits.
  3. Interaction with other rules (Order XX, Rule 19; Rules 6F and 6D; Order VIII, Rule 6C):
    • Rules dealing specifically with judgments and decrees in money claims (e.g., Rule 6F, Order XX Rule 19) do not curtail the broader scope of Rule 6A. Those provisions address money-specific situations and do not render Rule 6A meaningless.
    • Rule 6D shows that a counter-claim can proceed independently even if the plaint is stayed, discontinued or dismissed, indicating an independent existence of counter-claims.
    • Order VIII, Rule 6C provides the plaintiff and the court discretion to exclude a counter-claim that ought to be left to an independent suit; thus the Code contemplates some counter-claims may be more suitably tried independently.
  4. Application to the present facts:
    • The revisional court accepted that the Munsiff was wrong to hold that a counter-claim is not maintainable merely because it did not relate to a money claim.
    • However, the court proceeded to examine whether the relief sought by the first defendant (declaration of title and delivery of the disputed property) could have been pursued in a fresh suit or whether it fell within the scope of execution proceedings under Section 47 C.P.C.
  5. Section 47 C.P.C. analysis:
    • Section 47 provides that all questions arising between the parties to the suit (or their representatives) relating to the execution, discharge or satisfaction of the decree shall be determined by the court executing the decree and not by a separate suit.
    • For Section 47's purposes, a purchaser at a sale in execution is deemed a party to the suit; questions relating to delivery of possession to such purchaser are deemed to relate to execution within Section 47.
    • The dispute in this case concerned the identity of the property sold and delivered and was between parties to the original suit; on admitted facts, such a dispute could be agitated only in execution proceedings and not by a separate suit.
  6. Conclusion on remand and facts:
    • The court determined that remanding the matter to the trial court would serve no purpose because the salient facts were admitted and no other conclusion was possible; remand would only cause delay and harassment.
    • Accordingly, though not for the reasons assigned by the Munsiff, the revisional court dismissed the revision petitions on the basis that the dispute about identity and delivery of the property must be raised in execution proceedings under Section 47 C.P.C.

Holding and Implications

Both civil revision petitions are dismissed.

Implications and immediate consequences:

  • The revisional court held that Order VIII, Rule 6A is not restricted to money suits; a counter-claim under that rule is not confined by the limitations applicable to set-off under Rule 6.
  • Nevertheless, where the dispute concerns the identity of property sold in execution and delivery of possession to an auction purchaser (a matter between parties to the original decree), such questions fall within Section 47 C.P.C. and must be determined by the court executing the decree and not by a separate suit.
  • On the admitted facts of this case, the defendant's claim to declaration of title and delivery could only be agitated in execution proceedings; consequently the revision petitions seeking to revise the Munsiff's orders were dismissed. No costs were awarded.

    Pathrose Samual And Another v. Karumban Parameswaran .

    1. In execution of a money decree against two defendants an item of immovable property was sold and purchased by a stranger who took delivery. Thereafter he filed the present suit against the self-same judgment-debtor seeking injunction against trespass concerning the identical property and for realisation of damages for unauthorised plucking of coconuts. The suit was resisted on the contention that though the property sold is another item belonging to the second defendant, plaintiff/auction purchaser wrongly obtained delivery of the suit property which belongs to the first defendant. Under O. 8, R. 6A of the Code of Civil Procedure first defendant filed a petition raising a counter claim that he must be given delivery of the suit property from the plaintiff on the strength of his title. After raising three additional issues on this contention the Munsiff heard them preliminarily. On the ground that a counterclaim could be had only in a money suit the Munsiff held that the counter-claim is not maintainable in law. By a separate order the petition under O. 8, R. 6A was also dismissed. Defendants seek to revise those two orders in these civil revision petitions.

    2. The incorrectness of the reasoning of the Munsiff was never in dispute before me. In arriving at the conclusion that the right of a defendant to raise a counter-claim under O. 8 R. 6A is limited by the Code to case where the dispute to only in respect of a money claim the Munsiff was guided solely by the decision in Jashwant Singh v. Smt. Darshan Kaur, AIR 1983 Patna 132. The decision of the Supreme Court in Laxmidas v. Nanabhai; AIR 1964 SC 11 and the decision in Roman Sukumaran v. Madhavan, 1982 Ker Lt 376; (AIR 1982 Kerala 253) rendered by a single Judge of this Court following the same, holding that the contention that R. 6A can apply only to suits for recovery of money has to fail, were not brought to the notice of the Munusiff.

    3. There is definitely some difference between ‘set-off and ‘counter-claim’. Set-off is also in a sense a counter-claim against the plaintiff, but in essence it is a form of defence in which the defendant while acknowledging the justice of the plaintiff's claim sets up a demand of his own to counter-balance it either I wholly or in part. Written statement containing particulars of the debt sought to be set-off has also the same effect as a plaint in a cross-suit. The underlying policy is to settle all disputes between the plaintiff and the defendant at one time. The conditions to be satisfied before a defendant's claim to set-off can be entertained by the court are (1) the suit must be one to recover money, (2) the cross-claim sought to be set-off must be an ascertained sum of money, (3) the sum must be such as could be legally recoverable by the defendant from the plaintiff, (4) the claim should not exceed the pecuniary limit of the jurisdiction of the court, and (5) in respect of both claims the parties should fill the same character. Counter-claim is substantially a cross-suit. It is really a weapon of fence and enables a defendant to enforce a claim against the plaintiff as effectively as in an independent action. It need not be an action of the nature as the original action or even analogous thereto even though the claim has to be one entertainable by the court. According to the dictionary meaning it is a claim made to offset another claim especially in law whereas set-off is something that counter-balances or makes up for something else.

    4. It is very difficult to accept the proposition that a counter-claim can be made only in a suit for money. It is true that Rules 6A to G were inserted in the Code only by the amendment of 1976. But even before Rules A to G were introduced there were instances of counter-claims being allowed even in suits other than money suits and there was nothing in the earlier Code prohibiting the same. There is nothing in R. 6A also limiting such claims to money suits in order to contend that what could be claimed is only the execess a mount due to the defendant after setting off what is due to the plaintiff under Rule 6. The words “in addition to his right of pleading a set-off under R. 6” appearing in R. 6A are not capable of making such a restriction. Rule 6 specifically says that plea of set-off is available only in suits for recovery of money and that too only regarding any ascertained sum of money legally due from the plaintiff. But R. 6A provides that counter-claim is available in any suit regarding any right or claim in respect of a cause of action accruing to the defendant against the plaintiff. There cannot be any dispute that by introduction of new rule 6A, the right of a defendant to make a counter-claim has been enlarged to cover cases which could not have been covered by R. 6. None of the restrictions in R. 6 are there in R. 6A. The words “in addition to his right of pleading a set-off under R. 6” appearing in R. 6A need only be understood as enabling a defendant in a money suit also to plead not only set-off under R. 6 but also make a counterclaim for what is due to him after set-off. A different interpretation will only defeat the purpose and object of the provision to avoid multiplicity of litigations by clubbing causes of actions and counter-claims similar or identical in nature and disposing them of by common judgments.

    5. Rule 6F and O. XX R. 19 are also not capable of abridging the scope and ambit of Rule 6A of Order 8. Those provisions deal with only cases of judgments and decrees in money claim where set-off or counter-claims in terms of money are allowed. That does not mean that in all cases counter-claims could only be in terms of money. Such an interpretation will render the conscious difference in the language of Rr. 6 and 6A nugatory. The wordings ‘in a suit’ and ‘any right or claim in respect of a cause of action accruing to the defendant against the plaintiff in Rule 6A will be rendered meaningless and absurd if such a restricted interpretation is given. So also Rule 6D makes it clear that the counter-claim can independently proceed even if the suit of the plaintiff is stayed, discontinued or dismissed. That means the counter-claim has an independent existence of its own irrespective of the plaint claim.

    6. Whether the counter-claim can be in respect of any claim that could be made the subject matter of a separate suit in relation to any cause of action accruing to the defendant against the plaintiff independent of and unconnected with the plaint claim or cause of action as held in Raveedran v. Mruthynjayan, 1986 Ker LT 1305 is not a matter that comes up for consideration in this case. Suffice it to say that O. 8, Rule 6C gives the right to plaintiff to contend and the court to decide that any such counter-claim should not be entertained and decided in the suit but left to be decided in an independent proceeding. On the application of the plaintiff the Court is given the discretion to exclude any counter-claim which it thinks proper to be decided only in an independent suit. That means the code contemplated claims which could not and need not be entertained as counter-claims but left to be decided in independent suits as the Court considering the counter-claim deems fit. What those categories of counter-claims are need not be gone into here. So far as this case is concerned the counter-claim relates to the same property over which the plaintiff claims relief and the claim is counter to the title claimed by the plaintiff. The Munsiff was clearly wrong when he held that counter-claim is not maintainable for the reason that it did not relate to a money claim.

    7. The additional issues considered by the Munsiff related to maintainability of the counter-claim, competency to raise such a counter-claim, res judicata and limitation. Though the Munsiff has not entered findings on all the issues he held that the counter claim is not maintainable. Though not for the reasons stated by the Munsiff the finding will have to stand on admitted facts.

    8. The court sale and delivery were admittedly in execution of the decree in O.S 185 of 1977 of the Sherthallai Munsiff Court. The revision petitioners were the defendants and judgment-debtors who were parties to the decree and execution proceedings in which sale was conducted and the property purchased and taken delivery of by the plaintiff who was the stranger auction purchaser in that case. The contention is only that though the property sold was another item belonging to the second defendant, the plaint property which belongs to the first defendant was wrongly taken delivery of. What the first defendant wants is declaration of his title on the finding that this is not the property sold and delivery was of the wrong property. On that finding he wants recovery on the strength of title.

    9. This is the counter-claim and it has to be treated as the plaint in a cross-suit. The question is whether the first defendant could have filed a fresh suit for that relief. If that is not possible a counter-claim by way of written statement must also be held incompetent.

    10. Section 47 C.P.C provides that all questions arising between the parties to the suit in which the decree was passed, or their representatives, and relating to the execution, discharge or satisfaction of the decree, shall be determined by the court executing the decree and not by a separate suit. For the purpose of S. 47, a purchaser of property at a sale in execution of a decree shall be deemed to be a party to the suit in which the decree passed. So also all questions relating to delivery of possession of such property to such purchaser or his representative shall be deemed to be questions relating to the execution, discharge or satisfaction of the decree within the meaning of S. 47. In the matter of the plaint and the counter-claim, the dispute is regarding identity of the property sold and delivered over and it is between parties to the suit. On admitted facts the counter-claim is a matter that could be agitated only in execution and not by a separate suit. Simply on account of the fact that this aspect was not adverted to by the trial court, I do not think that the matter has to be remanded because such a course will not serve any purpose other than delay and harassment. Such a course is not necessary also because facts are admitted and no other conclusion is possible.

    The result is that, though not for the reasons assigned by the Munsiff both the civil revision petitions are dismissed. No costs.

    Petitions dismissed.

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    Comments

    Pathrose Samual And Another v. Karumban Parameswaran .
    (Jun 10, 1987)