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Smart Summary

Structured Summary of the Opinion (Ramaswami, J.)

Factual and Procedural Background

Plaintiffs sued for redemption of a rehan bond, alleging they had deposited the redemption money in court under section 83 of the Transfer of Property Act and had caused notice to be served on the defendant. The defendant refused to give possession, and the plaintiffs claimed mesne profits for the period after the deposit. The defendant contested the plaintiffs' right to redeem.

The trial court granted a decree for redemption but rejected the claim for mesne profits because there was no evidence proving the date of deposit. The defendant appealed; the plaintiffs filed a cross-objection seeking mesne profits which had been disallowed at trial.

The District Judge fixed the hearing for 16 September 1947. On that day the appellant's counsel stated the appellant had only reached Arrah around 11 a.m. and counsel was not ready to argue; an adjournment was refused and the appeal was dismissed for default. The cross-objection was heard ex parte and the respondent was granted mesne profits to be ascertained later.

The appellant applied under Order 41 Rule 19 for rehearing; the District Judge refused the application for want of sufficient cause. The appellant then appealed to the High Court (the present appeal).

Legal Issues Presented

  1. Whether an appeal dismissed for default in circumstances where counsel declines to proceed (despite the party or counsel being physically present) is competent to be restored under Order 41 Rule 19 of the Code of Civil Procedure.
  2. Whether the appellant in the present facts has shown sufficient cause to justify restoration of an appeal dismissed for default.
  3. Whether, where an appeal dismissed for default had resulted in the trial court allowing a respondent's cross-objection ex parte, the Appellate Court may, upon restoring the appeal, also direct that the cross-objection be reheard under the plenary powers granted by Order 41 Rule 33.

Arguments of the Parties

Appellant's Arguments

  • The appellant urged that sufficient cause existed to restore the appeal because he missed the earlier train and a morning train on the hearing day was three hours late; he met his pleader only around noon and the plea was that the pleader was therefore not ready to argue when the appeal was called.
  • It was also pointed out that the cross-objection had been admitted earlier (26 June 1947) and the appeal had been adjourned multiple times (to 21 August 1947 and then to 16 September 1947) before the dismissal had occurred.
  • The appellant relied on the contention that, given the circumstances, he should not be held responsible for the delay in instructing his pleader and that this constituted sufficient cause to restore the appeal.

Respondents' Arguments

  • A preliminary objection was raised that the appeal was incompetent because, it was said, the District Judge had not dismissed the appeal for default within the meaning required for Order 41 Rule 19 to apply — respondents argued the appellant (and his counsel) were present and counsel withdrew only after adjournment was refused.
  • Respondents relied on authorities (cited in the opinion) to argue that the mere presence of a party or of counsel, or an appearance not amounting to a proper appearance under the relevant provisions of the Code, could render the remedy inapplicable in the appellant's favour.
  • Respondents further contended that no appeal had been preferred against the District Judge's order allowing the cross-objection (mesne profits), and therefore that order had become final and could not be interfered with by the High Court. They relied on Hira Nand v. Mahbub Elahi for the proposition that restoration of an appeal does not automatically set aside an order which was passed on a cross-objection unless steps have been taken to vacate that order.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Mathura Das v. Narain Das Cited by respondents to support their preliminary objection concerning appearance and applicability of rules on dismissal for default. The Court noted it was cited but treated this authority as part of a body of cases with varying approaches; it did not accept the respondents' submission based solely on this case.
Mowar Raghubar Singh v. Gouri Charan Singh Cited by respondents alongside Mathura Das for the same purpose. The Court observed divergent authorities in different High Courts and did not allow this citation to be decisive against applying Order 41 Rule 19.
A.I.R. 1940 Allahabad 248 Contains an observation that where an appellant appears in person but is not prepared to argue, Order 41 Rule 17 might not be applicable. The Court acknowledged the observation but held it to be inconsistent with decisions of other High Courts (Patna, Calcutta, Madras) and therefore not decisive in the present matter.
A.I.R. 1918 Patna 259 Decision concerning setting aside an order made in terms of a compromise petition — considered by the Court in discussing comparable doctrines about setting aside orders. The Court noted the facts of that case were obviously different from the present and therefore not directly controlling.
Lalji Sahu v. Lachmi Narain Singh Held that a plaintiff's presence in court is not an "appearance" within the meaning of the relevant order if the plaintiff's pleader is absent. The Court relied on this authority to support the proposition that physical presence of a party does not necessarily constitute an appearance.
Shaikh Muhammad Bakar Ali v. Chulhai Mahto Illustrates that if a pleader appears but is not duly instructed or able to proceed, dismissal may be under a particular rule (Order 17 Rule 2 rather than Rule 3) and no appeal lies from such an order. The Court used this to explain that a pleader's presence must amount to a proper appearance and be backed by instruction to conduct the case; otherwise a party is treated as having failed to appear.
Mahant Damodar Das v. Rajkumar Das Shows that the mere presence of a party or a pleader not instructed to conduct the case does not preclude an ex parte decree which may be set aside for sufficient cause. The Court regarded this case as closely parallel and supportive of the proposition that lack of readiness by counsel can render a dismissal for default that is restorable.
Gopala Row Gadai Row Saheb v. Maria Susaya Pillai Held that where the pleader declines to proceed and the party present takes no steps, the suit may be dismissed for default; the plaintiff "fails to appear" within the meaning of the relevant provision even if physically present. The Court treated this authority as consistent with the Patna High Court practice and supportive of allowing restoration where counsel declines to proceed.
Satish Chandra Mukerjee v. Ahara Pd. Mukerjee (Full Bench, Calcutta) Supported the view that a party's physical presence does not prevent a dismissal for default if the pleader declines to proceed. The Court cited the Full Bench as reinforcing the position taken by Patna and other courts.
Robinson v. Chadwick (English authority) English decision where counsel applied for adjournment, it was refused, counsel declined to proceed and the case was treated as if the plaintiff had not appeared. Used to show that similar principles have been adopted in English courts, supporting the view that a refusal by counsel to proceed can produce a dismissal for default.
Hira Nand v. Mahbub Elahi Addresses consequences of restoring an appeal where an ex parte order on a cross-objection remains undisturbed; held restoration of appeal does not ipso facto set aside such an order. The Court distinguished the present case from Hira Nand and considered the question whether Order 41 Rule 33 empowered the appellate court to direct rehearing of the cross-objection as well.
Jawahar Bano v. Shujaat Husain Beg Cited as authority supporting a wide reading of Order 41 Rule 33 where further interference is required to adjust rights after appellate interference. The Court relied on it to show precedent for exercising Rule 33 powers to do complete justice between parties.
Gangadhar Muradi v. Banabashi Padihari Cited for the proposition that Rule 33's wide language allows interference to adjust parties' rights when necessary. The Court used this to support exercising discretion under Rule 33 in the present facts.
Abjal Majhi v. Intu Bepari (Sir Asutosh Mookerjee) Advocated for a broad view of Rule 33's discretionary powers. The Court cited this opinion to reinforce the wide scope of Rule 33.
Subramania Chettiar v. Sinnammal (Full Bench) Full Bench decision holding Rule 33 confers wide powers and should not be limited to cases where further interference is required only to adjust rights. Relied on to show authority for the appellate court's broad jurisdiction under Rule 33, supporting the Court's exercise of that power here.

Court's Reasoning and Analysis

The Court proceeded in two main stages: first addressing the preliminary objection about the competence of the appeal under Order 41 Rule 19, and second considering whether, if the appeal were restored, the court could and should also direct rehearing of the cross-objection under Order 41 Rule 33.

Regarding competence under Order 41 Rule 19, the Court examined the factual question whether the appellant (or his counsel) had in law "appeared" on the day of hearing. It reviewed a number of authorities from Patna, Calcutta, Madras and English courts which supported the proposition that mere physical presence of a party or even of a pleader does not necessarily constitute an appearance within the meaning of procedural rules unless the pleader is duly instructed and ready to conduct the case on that occasion. The Court emphasized that where counsel declines to proceed (or is not instructed to proceed), the dismissal can be treated as one for default and is amenable to restoration under Rule 19.

Applying these principles to the present facts — counsel's statement that the appellant had only just reached, the plea that counsel was not ready to argue and declined to proceed after the adjournment was refused — the Court concluded that the appeal was competent for restoration under Order 41 Rule 19 and that the respondents' preliminary objection must fail.

On the substantive question of whether sufficient cause had been shown for restoration, the Court reviewed the appellant's factual account (missed train on the earlier date; a morning train three hours late; meeting pleader at about noon and pleader not being ready), observed that the District Judge had not specifically disbelieved the train delay plea, and concluded that, on the whole, the appellant had made out sufficient cause for restoration. The Court did observe some possible negligence in missing an earlier train but found the totality of circumstances sufficient.

The respondents' objection that the order allowing the cross-objection had become final and could not be disturbed was considered in light of Hira Nand v. Mahbub Elahi. The Court distinguished that case: the issue here was whether the High Court, exercising its power under Order 41 Rule 33, could direct not only that the appeal be reheard but also that the cross-objection (which had been allowed ex parte) be reheard after vacating the order passed on it.

The Court examined the text and object of Order 41 Rule 33 (quoted in the opinion), noting its recent introduction in the Code of 1908 and its wide terms designed to enable the appellate court to do complete justice. The Court concluded that Rule 33 confers broad discretionary powers and may, in a proper case, be exercised to pass any decree or make any order necessary to prevent injustice. The Court cited authorities supporting a wide construction and emphasized that the discretion must be exercised with regard to special facts and circumstances.

On the facts of the present case the Court was satisfied that the District Judge's orders (dismissing the appeal ex parte and allowing the cross-objection) were interdependent and incapable of being dissociated. Because the ex parte dismissal was being set aside and the appeal restored, "further interference" with the order allowing the cross-objection was required to adjust rights between the parties. Consequently, the Court held it appropriate to exercise the power under Rule 33 to set aside the order on the cross-objection as well and to restore both the appeal and the cross-objection for rehearing.

Holding and Implications

HOLDING: The High Court allowed the appeal. The orders of the District Judge dated 16th and 17th September 1947 dismissing Title Appeal No. 162 of 1947 ex parte and allowing the respondents' cross-objection were set aside. Both the appeal and the cross-objection were restored and the District Judge was directed to dispose of them according to law after further hearing, which should be conducted with expedition.

Implications:

  • The direct effect is that the District Judge's ex parte dismissal and the consequential order allowing the cross-objection are vacated and both matters must be reheard on their merits.
  • The Court exercised a broad discretionary power under Order 41 Rule 33 to ensure complete justice between the parties where orders were interdependent; the opinion emphasizes the wide scope of Rule 33 but does not purport to lay down a rigid rule of universal application — it is to be applied with judicial discretion depending on facts.
  • The opinion does not claim to establish any sweeping new legal rule beyond applying existing authorities and the plain language of Rule 33 to the particular interdependent facts of this case. The added concurrence (Sarjoo Prasad, J.) notes that, even if Rule 33 were inapplicable, the Court's inherent powers could justify setting aside subsequent dependent orders.

Disposition: Appeal allowed.

    Ganesh v. Baikunthesh

    Ramaswami, J.:— This appeal is presented against the order of the District Judge of Shahabad refusing to restore an appeal which had been dismissed for default.

    The plaintiffs had brought a suit for redemption of a rehan bond alleging that they had deposited the amount in court under section 83 of the Transfer of Property Act and had also caused a notice thereof served upon the defendant. In spite of the service of the notice the defendant refused to give possession of the land and the plaintiffs, therefore claimed mesne profits for the period subsequent to the date of the deposit of the rehan money. The defendant contested the suit on the ground that the plaintiffs had no right to redeem. The trial court granted a decree for redemption but rejected the claim for mesne profits on the ground that there was no evidence adduced to prove that plaintiffs had made the deposit on the alleged date. Against this decree the defendant filed an appeal. The plaintiffs filed a cross-objection with respect to the claim for mesne profits which had been disallowed by the trial court.

    The learned Judge fixed 16th September 1947 for hearing the appeal. On that date Counsel for the appellant stated that his client reached. Arrah at 11 a.m and so he was not ready to argue the appeal Learned Counsel asked for a short adjournment but the court rejected the petition and also dismissed the appeal for default of the appellant. The court heard the cross-objection of the respondents ex parte and granted him a decree for mesne profits which should be ascertained in future proceedings.

    The defendant then applied under order 41 rule 19 for rehearing the appeal. The learned District Judge rejected this application on the ground that nr sufficient cause was shown for the non-appearance of the appellant on the date fixed for hearing.

    On behalf of the respondents a preliminary objection is raised that this appeal is incompetent since the learned District Judge had not dismissed the appeal for default and order 41 rule 19 was therefore not applicable. It was pointed out on the respondents' behalf that both the appellant and his Counsel were present in court and after the petition for adjournment had been rejected the Counsel for the appellant I withdrew on the ground that he was not ready to argue the case. In support of his argument learned Counsel cited Mathura Das v. Narain Das(1) and Mowar Raghubar Singh v. Gouri Charan Singh(2). In the Allahabad case A.I.R 1940 Allahabad 248 there is no doubt an observation that in the case of an appearance by an appellant who was not preparer to argue the appeal order 41 rule 17 would not be applicable. But this authority is inconsistent with the current of decisions of the Patna, Calcutta and Madras High Courts as will be presently shown. In A.I.R 1918 Patna 259 the question to be decided was whether a compromise petition according to which the parties had agreed that the suit should be dismissed could be set aside by an application under order 9 rule 9. It should be added that according to the terms of the compromise petition the Subordinate Judge had dismissed the suit and the plaintiffs alleging that by practice of fraud their thumbmarks were taken on the compromise petition had applied for setting aside the order of dismissal. A Bench of this Court held that neither the compromise petition nor the order of dismissal in accordance with the terms incorporated therein could be set aside or reviewed in accordance with the procedure laid down in order 9 rule 9. Obviously the material facts in the present case are different. On the other hand in Lalji Sahu…Plaintiff Applicant; v. Lachmi Narain Singh…Opposite Party.(3) it was held that the presence of the plaintiff in court was not an appearance within the meaning of order 9 rule 8 if the pleader of the plaintiff was absent. In Shaikh Muhammad Bakar Ali v. Chulhai Mahto the defendant was ready on the date to which the suit had been adjourned but the plaintiff's pleader appeared and stated that he was unable to adduce any evidence and it was ordered that the suit be dismissed for default of the plaintiff. Upon these facts the learned Judges held that the dismissal was dismissal under order 17 rule 2 and not under rule 3, and therefore, no appeal lay from the order. In order that, there may be an appearance within the meaning of order 9 or order 17 by a pleader the pleader must be duly instructed and able to answer all material questions. If a party to a suit is represented by a pleader the presence of such party in court would not constitute an appearance. In Mahant Damodar Das v. Rajkumar Das the facts are almost parallel with the present case. In that case the defendant was personally present at the hearing but the pleader took no part in the trial saw to ask for air adjournment which was reed. Thereafter the court after hearing the plaintiff's evidence and arguments decreed the suit. Dawson Miller, C.J held that the decree was ex parte and was liable to be set aside for sufficient cause under order 9 rule 13. The eminent Judge observed, that the mere presence of party in court unless he is there for the purpose of conducting his case, is not an appearance within the meaning of the Code of Civil Procedure: nor does the presence of his pleader who has been instructed to represent him on previous occasions constitute an appearance unless he is instructed to represent him on the occasion in question and attends for that purpose.

    The cursus curae of the Patna High Court is consistent with Gopala Row Gadai Row Saheb v. Maria Susaya Pillai in which the plaintiff's pleader appeared on the date on which the suit was posted for hearing. He applied for adjournment which was refused by the court. The pleader declined to proceed with the suit and the plaintiff who was present in court took no steps. Thereupon the suit was dismissed. It was held in these circumstances that the dismissal of the suit was a dismissal for default and that the plaintiff could apply for restoration of the suit. The High Court observed that a plaintiff “fails to appear” within the meaning of section 102 (of the old Code) when his pleader declines to proceed with the suit and it made no difference that the party was present in court. A similar view was taken by a Full Bench of the Calcutta High Court in Satish Chandra Mukerjee v. Ahara Pd. Mukerjee.

    It should be stated that a similar rule has been adopted in English courts. In Robinson v. Chadwick the plaintiff did not appear in person, but counsel appeared on his behalf and asked for an adjournment; the application was refused; thereupon counsel for the plaintiff declined to proceed. Mr. Justice Fry held that he could only deal with the case as if the plaintiff had not appeared at the trial, as indeed, in substance, he had not; and the learned Judge made an order for dismissal under rule 19 of order 36 of the old Supreme Court Rules.

    For these reasons I hold that the appeal is competent under order 41 rule 19 and the preliminary objection taken on behalf of the respondents must fail.

    For the appellant it was contended that sufficient cause had been shown for restoring the appeal. It was pointed out that the cross objection was admitted on 26th June 1947 and the appeal was adjourned to 21st August 1947 for hearing on this, date the court was engaged in sessions and so the hearing was adjourned to 16th September 1947. For the appellant evidence was given that he missed railway train on the previous date and the morning train by which he reached Arrah on 16th September 1947 was three hours late. The appellant met his pleader at about 12 noon. As the appeal was called on for hearing soon after, it was argued for the appellant, that the pleader was not ready to argue the appeal. The learned District Judge has not specifically disbelieved the plea of the appellant that the morning train was late. If this part of the case be true it is obvious that the appellant cannot be held responsible for the delay in reaching, the court for giving instructions to his pleader. There may be some amount of negligence on the appellant's part for having missed the train on the previous date. But upon the whole I consider that sufficient cause has been made out by the appellant for restoration of the appeal.

    For the respondents however an important objection is raised that no appeal had been preferred, by the appellant from the order of the learned District Judge allowing the cross-objection with respect to the mesne profits. It was contended for the respondents that in the absence of such an appeal the order of the District Judge granting mesne profits has become final and cannot be interfered with by the High Court. Learned Counsel relied upon Hira Nand v. Mahbub Elahi. In that case the District Judge had dismissed an appeal for default and had allowed cross-objection preferred by the respondent. The plaintiff appellant then made an application for restoring the appeal but this was disallowed by the District Judge. Against this order dismissing his application for restoring the appeal the plaintiff moved the High Court and Beckett, J., held that there was sufficient ground for restoration. The appeal was therefore restored and sent to the District Judge for decision on its merits. When the appeal came for rehearing before the District Judge an objection was raised on behalf of the defendant-respondent that, inasmuch as the court had, at the time of allowing his cross-objection, come to the conclusion that the plaintiff had failed to establish the contract and that order had not been set aside, the decision allowing the cross-objection must be held to have become final and operated as res judicata between the parties. This objection prevailed before the District Judge and the appeal was dismissed. A second appeal was preferred in the High Court which held that the order for restoration of the appeal would not have resulted ipso facto in setting aside the order of dismissal passed in the cross-objection. Unless steps were taken to get rid of the order passed on the cross-objection that order, continued to be binding upon the parties and was bound to affect the decision of the appeal if in disposing of the cross-objection it was necessary for the court to come to a decision on facts which would affect the merits of the appeal itself. But this case is not quite relevant for the decision of the present appeal for the question in debate is not what would be the effect of an order which does not set aside the decree of the learned District Judge allowing mesne profits to the respondents, but the question is whether we should in exercise of the jurisdiction conferred by order 41 rule 33 direct not only that the appeal should be reheard but also that the cross-objection should be reheard after we had previously vacated the order of the learned District Judge passed thereon.

    Order 41 rule 33 is to the following effect:

    “The appellate court shall have power to pass any decree and make any order which ought to have been passed or made and to pass or moke such further or other decree or order as the case may require and this power may be exercised by the court notwithstanding that the appeal is as to part only of the decree and may be exercised in favour of all or any of the respondents or parties, although such respondents or parties may not have filed any appeal or cross-objection”.

    The rule has been newly introduced in the Code of 1908. Its object is clearly to enable the court to do complete justice between the parties; Its terms are very wide and in a proper case it gives the appellate court ample discretion to pass any decree or make any order to prevent the ends of justice from being defeated. Having regard to the wide language of the rule it is not expedient to lay down any hard and fast rule regarding its true scope. Involving as it does the exercise of judicial discretion the question whether the court should exercise the powers in a particular case would no doubt depend upon the special facts and circumstances of the case. It may be conceded that the discretion is not to be exercised in an arbitrary manner nor in such a way as to abrogate the other provisions of the Code with respect to the institution of appeals and cross-objections and the like. But there is ample authority for the view that the power contained in rule 33 extends to those cases where as a result of the appellate court's interference with the decree in favour of the appellant further interference is required in order to adjust the rights of the parties in accordance with justice, equity and good conscience [see, for instance, Jawahar Bano v. Shujaat Husain Beg, and Gangadhar Muradi v. Banabashi Padihari]. In the latter case Jenkins, C.J, observes “There is no doubt that the words of that rule are widely expressed, but they must be applied with discretion” and later on the learned Judge adds that no hard and fast rule could be laid down. A similar opinion was pressed by Sir Asutosh Mookerjee in Abjal Majhi v. Intu Bepari. In a Full Bench case Subramania Chettiar v. Sinnammal(4) it was held that rule 33 conferred wide powers upon the appellate court and there was no warrant for limiting the application of the rule only to cases where further interference was required to adjust rights between the parties. In any event upon the facts disclosed in the present case I am satisfied that the order of the District Judge dismissing the appeal and allowing the cross-objection was interdependent and incapable of being dissociated from each other. That being so it is manifest that we ought in this case to exercise the discretion conferred by rule 33 for further interference is required in order to adjust rights between the parties which further interference has been rendered necessary because the ex parte order dismissing the appeal is set aside and it is being restored for rehearing.

    For the reasons set forth I should allow this appeal, set aside the order of the learned District Judge dated the 16th and 17th September 1947 dismissing Title Appeal no. 162 of 1947 ex parte and allowing the cross-objection filed by the respondents. Both the appeal and the cross-objection are restored and the learned District Judge should dispose of them according to law after further hearing. It is desirable that the rehearing should be done with as great expedition as possible.

    Sarjoo Prasad, J.:— I agree. Even if it be assumed for the sake of argument that order 41 rule 33 has no application to the case there is no reason why under our inherent powers we could not direct all orders passed subsequent to the order under appeal and depending thereon to be set aside.

    G.N.P
    Appeal allowed.

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    Comments

    Ganesh v. Baikunthesh
    (Apr 13, 1950)