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  • Section 12, Cl. (ii), and Section 10 of the Cl. (ii) of the Court-fees Act,
  • provisions of O. 7, R. 11 read with Section 107(2) of the CPC.
  • S. 12(ii) and Section 10(ii) of the Court-fees Act,
  • Order 7, R. 11 or to Section 107(2) of the CPC
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Citation Codes
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citation codes
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  • Section 12, Cl. (ii), and Section 10 of the Cl. (ii) of the Court-fees Act,
  • provisions of O. 7, R. 11 read with Section 107(2) of the CPC.
  • S. 12(ii) and Section 10(ii) of the Court-fees Act,
  • Order 7, R. 11 or to Section 107(2) of the CPC
Smart Summary

Judgment Summary — Ramaswami, J., with Das, C.J. and Jamuar, J. concurring

Factual and Procedural Background

Pandit Radhanath Jha (the petitioner) presented Second Appeal No. 956 of 1952 to the Patna High Court against a judgment of the Additional Subordinate Judge of Darbhanga (filed 15-9-1952). A Stamp Reporter found that the court-fee on the memorandum of appeal was insufficient and that court-fees on the plaint and the memorandum of appeal in the lower appellate court were also insufficient. The deficit in court-fee was reported as Rs. 309-6-0 for all three Courts.

On 11-8-1953 the High Court granted two months' time to pay the deficit court-fees, warning that the memorandum of appeal would "stand dismissed without further reference to a Bench" if the fees were not paid. The petitioner did not pay within that time and, consequently, the appeal stood dismissed on 11-10-1953. The petitioner then filed an application under Section 151 of the Civil Procedure Code (CPC) seeking restoration of the appeal. The central procedural question posed to the Court was whether an application under Section 151 was a competent remedy for restoration in these circumstances.

Legal Issues Presented

  1. Whether an application under Section 151 of the CPC is competent for the restoration of an appeal to the High Court that was dismissed for default of payment of deficit court-fee on the memorandum of appeal (and related deficits in lower courts).
  2. If Section 151 is not competent, whether the appropriate remedy is an application for review under Order 47, Rule 1 of the CPC on payment of the proper court-fee.

Arguments of the Parties

Petitioner's Arguments

  • Counsel for the petitioner relied upon the Full Bench decision in Ramkhelawan Singh v. Monilal Sahu (AIR 1939 Pat 678), which held that an application to set aside an order dismissing an appeal for non-filing could be entertained under Section 151 where there was no corresponding Code provision and a lacuna existed.
  • The petitioner also relied on the Division Bench decision in Mt. Bibi Aliqunnissa v. Md. Shafique (AIR 1950 Pat 358), in which a Division Bench had held that an application under Section 151 for restoration of a second appeal dismissed for default of court-fee was maintainable (the bench in that case distinguished earlier decisions).
  • As an alternative, counsel asked that the Section 151 application be treated as an application for review and sought one month's time to pay the deficit court-fee.

Respondent / Government Advocate's Arguments

  • The Government Advocate relied upon prior decisions of the Court to the contrary, contending that Section 151 was not the appropriate remedy where an appeal had been dismissed for non-payment of court-fee; the appropriate remedy was review under Order 47, Rule 1. Specific contrary cases were referred to in argument, though the opinion largely identifies and analyses those authorities rather than setting out an extended factual narrative of the Government's submissions.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Ramkhelawan Singh v. Monilal Sahu, AIR 1939 Pat 678 (Full Bench) (A) Held that an application to set aside an order dismissing an appeal for non-filing of appellant's list could be entertained under Section 151 where dismissal was under a High Court rule and there was no corresponding Code provision. The Court distinguished this Full Bench decision on the facts: in the present case dismissal was under O.7, R.11 read with Section 107(2) CPC, so the Full Bench ratio did not assist the petitioner.
Gajadhar v. Moti Chand, AIR 1941 Pat 108 (B) Supports the view that Order 7, Rule 11 applies to memoranda of appeal (as relevant under Section 107(2)). Relied upon to establish that O.7, R.11 applies to memorandum of appeal; used to show dismissal was made under statutory Code provisions.
Rampati Singh v. Shitab Singh, AIR 1939 Pat 432 (C) Also cited as authority that O.7, R.11 applies to memoranda of appeal. Used in the same way as Gajadhar to demonstrate the statutory basis of the dismissal order.
Rameshwerdhari Singh v. Sadhu Saran, AIR 1923 Pat 354 (D) Division Bench held a Subordinate Judge had no power to restore a plaint rejected for deficit court-fee by virtue of inherent jurisdiction (S.151). Followed and relied upon: treated as authority that S.151 cannot be used to restore proceedings dismissed for default of payment of court-fee.
Mahanth Ram Das Chela v. Ganga Das, 1954 BLJR 600 (E) Followed Rameshwerdhari Singh; held that the Court has no power under S.151 to restore an appeal dismissed for default of payment of court-fee on the memorandum of appeal. Adopted as supporting recent authority consistent with the same principle.
Civil Revision Case No. 2 of 1943 (Pat) (F) Fazl Ali J. held the Full Bench principle did not apply where an appeal dismissed for failure to pay deficit court-fee was sought to be restored; remedy should be under Order 47, R.1. Relied on as authority that restoration in such cases should proceed by Order 47, R.1 (review) rather than S.151.
Canga Prasad v. Sm. Girja Devi, AIR 1949 Pat 366 (G) Agarwala C.J. expressed the view that a plaint rejected for non-payment of court-fee could not be restored under S.151 and the proper procedure was review on payment of proper court-fee. Used to show judicial support for the proposition that S.151 is not available for restoration after dismissal for non-payment of court-fee.
Mt. Bibi Aliqunnissa v. Md. Shafique, AIR 1950 Pat 358 (H) A Division Bench held an application under S.151 for restoration of a second appeal dismissed for default of court-fee was maintainable; distinguished earlier cases. The Court in the present opinion found that decision not authoritative on the present facts and declined to follow it, explaining reasons of distinction and asserting it did not lay down the correct law.
Second Appeal No. 503 of 1947 (Pat) (I) A Division Bench (Shearer and Reuben JJ) held an appeal dismissed for non-payment of court-fee could not be restored under S.151; relied upon AIR 1923 Pat 354. Referred to as consistent authority supporting the view that S.151 is not the correct remedy where dismissal followed non-payment of court-fee.
Misc. Judicial Case No. 178 of 1948 (Pat) (J) Referenced in argument as part of the body of authority addressed in submissions. Mentioned among the decisions considered in argument; no separate legal principle extracted beyond its role in the arguments recited.

Court's Reasoning and Analysis

The Court's analysis proceeds from the statutory and procedural basis of the dismissal to the competence of Section 151 as a remedy:

  1. Identification of the statutory source of dismissal: The Court finds that the dismissal of the appeal resulted from non-payment of deficit court-fee and that the dismissal order was made under the provisions of Order 7, Rule 11 read with Section 107(2) of the CPC. The Court relies on prior decisions (Gajadhar v. Moti Chand and Rampati Singh v. Shitab Singh) to support that O.7 R.11 applies to memoranda of appeal.
  2. Legal consequence of dismissal under O.7 R.11: The Court notes that dismissal under O.7 R.11 for non-payment of court-fee is tantamount to a decree under Section 2(2) of the CPC. It also cites Order 20, Rule 3 (which states that judgment once signed in open court shall not afterwards be altered except as provided by S.152 or on review), to underline the finality and limited avenues for interference with such orders.
  3. Distinguishing precedents relied on by the petitioner: The Full Bench decision in Ramkhelawan Singh (AIR 1939 Pat 678) was examined but distinguished on its facts — there the dismissal arose under a High Court rule (R.23) in a gap in the Code, allowing inherent jurisdiction; here the dismissal rests squarely on a Code provision (O.7 R.11 read with S.107(2)), so that rationale does not apply. The Division Bench decision in AIR 1950 Pat 358 (Mt. Bibi Aliqunnissa) was considered and treated as not authoritative for the present circumstances because, in the view of the Court, its facts and reasoning did not displace the established line of authority that disfavors the use of S.151 in cases of dismissal for non-payment of court-fee.
  4. Reliance on consistent authorities against the use of S.151: The Court cites and relies upon earlier Division Bench and other authorities (notably AIR 1923 Pat 354 and the subsequent 1954 BLJR decision, as well as Canga Prasad AIR 1949 Pat 366 and Civil Revision No.2 of 1943) that hold or express the view that a plaint or appeal dismissed for default of payment of court-fee cannot be restored by an application under S.151, and that the correct remedy lies in review under Order 47, Rule 1 on payment of proper fees.
  5. Conclusion on competence: Given that the dismissal was effected under statutory Code provisions and considering the binding effect of the cited authorities and the limits of inherent jurisdiction in such circumstances, the Court concludes that it has no jurisdiction to entertain the petitioner's application under Section 151 and that the application is therefore incompetent.
  6. Relief by way of limited indulgence: Although the Section 151 application is held incompetent, Ramaswami, J. (with concurrence) grants the petitioner one month's time to pay the deficit court-fee, on the condition that failure to pay within that period will result in the application being dismissed without further reference to a Bench. Jamuar, J. explicitly records that the appropriate remedy for restoration is by way of review under Order 47, Rule 1 of the CPC upon payment of the requisite court-fee.

Holding and Implications

Holding: The application under Section 151 of the CPC for restoration of the appeal dismissed for default of payment of court-fee is incompetent and is dismissed.

Implications and Direct Consequences:

  • The Court determined that where an appeal is dismissed for non-payment of deficit court-fee and the dismissal is under Order 7, Rule 11 read with Section 107(2) CPC, Section 151 is not the proper vehicle for restoration.
  • The proper remedy, as articulated in the opinion and expressly by Jamuar, J., is an application for review under Order 47, Rule 1 of the CPC, coupled with payment of the requisite court-fee for restoration.
  • Although the Section 151 application was held incompetent, the petitioner was granted one month's time to pay the deficit court-fee; failure to do so will result in dismissal of the application without further reference to a Bench.
  • No novel legal principle was created: the Court's decision aligns with earlier authorities holding that inherent jurisdiction under Section 151 is not available to restore proceedings dismissed for non-payment of court-fee where dismissal rests on statutory Code provisions; the opinion distinguishes contrary decisions and explains why they do not govern the present case.

Order accordingly.

    Radhanath Jha v. Bacha Lal Jha And Others Opposite Party.

    Ramaswami, J.:— The question involved in this case is whether the petitioner could maintain an application under Section 151 of the CPC, for the restoration of an appeal preferred, in the High Court which was dismissed for default of payment of court-fee. The petitioner Pandit Radhanath Jha filed Second Appeal No. 956 of 1952 in the High Court against the decision of the Additional Subordinate Judge of Darbhanga on 15-9-1952. It was found by the Stamp Reporter that the court-fee on the memorandum of appeal was insufficient and also that the court-fees on the plaint and the memorandum of appeal in the lower appellate court were similarly insufficient. It was reported by the Stamp Reporter that the petitioner was liable to pay deficit court-fee of Rs. 309-6-0 for all the three Courts. On 11-8-1953, the High Court granted two months' time to pay the deficit court-fees due “failing which the memo of appeal will stand dismissed without further reference to a Bench.” The petitioner did not pay the deficit court-fee within the time fixed and in consequence, the appeal stood dismissed on 11-10-1953. Thereafter, the petitioner has made this application for restoration of the appeal under the provisions of Section 151 of the CPC. The question for decision is whether such an application is competent.

    2. In support of the application, Counsel for the petitioner relied upon the decision of the Full Bench in — ‘Ramkhelawan Singh v. Monilal Sahu’, AIR 1939 Pat 678 (FB) (A). It was held in that case that an application to set aside an order dismissing an appeal for non-filing of the appellant's list within the time allowed could not be entertained under O. 47, R. 1 of the CPC but could be entertained under Section 151 of the CPC. But I do not think that the ratio of this case affords any assistance to the petitioner. The basis of the decision was that the appeal preferred to the High Court was dismissed not under any specific provision of the Code of Civil Procedure but one of the rules framed by the High Court, namely, R. 23 of Chapter IX, Part II. It was observed by Fazl Ali J. (as he then was), who pronounced the opinion of the Full Bench, that there was no rule corresponding to O. 12, R. 19 of the Code of Civil Procedure and since there was an obvious lacuna, the High Court could act in its inherent jurisdiction and pass the requisite order for the proper administration of justice. In the present case the material facts are wholly different. The appeal preferred to the High Court was dismissed for non-payment of deficit court-fee. The order of dismissal was made under the provisions of O. 7, R. 11 read with Section 107(2) of the CPC. It is settled, so far as this High Court is concerned, that O. 7, R. 11 applies to the case of a memorandum of appeal — See the decisions reported in — ‘Gajadhar v. Moti Chand’, AIR 1941 Pat 108 (B) and — ‘Rampati Singh v. Shitab Singh’, AIR 1939 Pat 432 (C). It is also clear that thje dismissal of an appeal under O. 7, R. 11 for non-payment of court-fee is tantamount to a decree under Section 2(2) of the CPC. Reference should also be made in this connection to O. 20, R. 3 which is in the following terms:

    “The judgment shall be dated and signed by the Judge in open Court at the time of pronouncing it and, when once signed, shall not afterwards be altered or added to, save as provided by S. 152 or on review.”

    3. In view of this provision it is clear that there is no jurisdiction in this Court to interfere with the order of dismissal of the appeal passed on 11-8-1953. In other words, the application filed on behalf of the petitioner for restoration of the appeal under Section 151 of the CPC, is incompetent.

    4. A similar view was expressed by a Division Bench of the Patna High Court in — ‘Rameshwerdhari Singh v. Sadhu Saran’, AIR 1923 Pat 354 (D). In that case the plaintiff had failed to make good the deficit court-fee due on the plaint and thereupon the Subordinate Judge rejected the plaint but later on restored the suit under Section 151 of the CPC. Against this order, the defendants applied to the High Court and it was held by the Division Bench that the Subordinate Judge had no power to restore the suit by virtue of its inherent jurisdiction. This case was followed with approval by another Division Bench in a recent case in — ‘Mahanth Ram Das Chela v. Ganga Das’, 1954 BLJR 600 (E). It was held in that case that the Court has no power under Section 151 of the CPC, to restore an appeal which was dismissed for default of payment of court-fee on the memorandum of appeal.

    5. Indeed, Fazal Ali, J. (as he then was), who pronounced the opinion of the Full Bench in AIR 1939 Pat 678 (A), held in a susbsequent case, namely, Civil Rev. Case No. 2 of 1943 Pat (F), that the principle of the Full Bench case did not apply where an appeal which had been dismissed for failure to pay deficit court-fee was sought to be restored and that in such a case the petitioner must apply under Order 47, R. 1 of the CPC. The same view has been expressed by Agarwala, J., who was also one of the Judges constituting the Full Bench in AIR 1939 Pat 678 (A). In — ‘Canga Prasad v. Sm. Girja Devi’, AIR 1949 Pat 366 (G), Agarwala, C.J, expressed the view that a plaint which was rejected for non-payment of court-fee could not be restored by an application under S. 151 and the proper procedure for restoration was by way of review on payment of proper court-fee. Agarwala C.J observed that the Full Bench case was not a case of dismissal for non-payment of deficit court-fees but was a case of dismissal for non-filing of plaintiff's list.

    6. Counsel for the petitioner referred in support of his argument to the case of — ‘Mt. Bibi Aliqunnissa v. Md. Shafique’, AIR 1950 Pat 358 (H) which is a decision of Reuben aud Jamuar JJ. In that case, a second appeal had been dismissed because the appellant had not filed the deficit court-fee due on the plaint and the memorandum of appeal in the lower appellate court. It was held by the Division Bench that an application under S. 151, Civil P.G, for restoration of the appeal was maintainable. Reference was made to the Division Bench case in AIR 1923 Pat 354 (D) and also in AIR 1949 Pat 366 (G), but these cases were distinguished on the ground that they were cases “in which a plaint was dismissed for default in paying the deficit court-fee on the plaint itself.” It was also observed by the Division Bench that the High Court should not have passed an order of dimissal of the second appeal but should have passed an order of dismissal of the suit and the appeal itself should have been dismissed on the ground of having become infructuous in consequence.

    7. In my opinion, the decision of this case is not authoritative. The learned Judges who decided that case were bound by the authority of the decision of the Division Bench in AIR 1923 Pat 354 (D) for the material facts in both the cases were almost identical. It is true that in AIR 1950 Pat 358 (H) the second appeal was dismissed for default, but in substance the order of the High Court was tantamount to an order of dismissal of the suit for failure to pay deficit court-fee. I see no reason why the ‘ratio decidendi’ of AIR 1923 Pat 354 (D) was not applicable. I, therefore, consider (with great respect) that the decision of the Bench in AIR 1950 Pat 358 (H) does not lay down the Correct law. In this connection, I should state that in Second Appeal No. 503 of 1947 (Pat) (I), a Division Bench consisting of Shearer and Reuben JJ., held that an appeal which was dismissed for non-payment of court-fee could not be restored by an application made under Section 151 of the CPC. In taking this view, the learned Judges who constituted the Division Bench relied upon the authority of AIR 1923 Pat 354 (D).

    8. For these reasons, I hold that the application preferred on behalf of the petitioner under Section 151 of the CPC, for restoration of the appeal should be dismissed as incompetent. Counsel for the petitioner submitted that the application may be treated as an application for review and prayed for a month's time to pay the deficit court-fee. I would grant one month's time to the petitioner to pay the deficit court-fee, failing which the application will stand dismissed without further reference to the Bench.

    Das, C.J:— I agree and wish to add a few words about the decision in AIR 1950 Pat 358 (H), a decision on which Mr. Raghunath Jha has greatly relied. That decision, so far as I have been able to understand it, proceeds on the basis that the necessary court-fees on the memorandum of second appeal presented to this Court were paid. What was not paid, however, was the deficit court-fee in the courts below. The attention of their Lordships was drawn to the decision in AIR 1923 Pat 354 (D) and AIR 1949 Pat 366 (G), and also to Misc. Judicial Case No. 178 on 1948 (Pat) (J) and Second Appeal No. 503 of 1947 (Pat) (I). They distinguished those decisions on the ground that in some of them the plaint itself was dismissed for default in paying the deficit court-fees and in others the deficit in court-fees was on the memorandum of appeal. In that view of the matter their Lordships did not consider the effect of O. 7, R. 11, Cls. (b) and (c) of the CPC.

    9. It is now settled by a number of decisions of this Court that R. 11, of O. 7 applies to memoranda of appeals by reason of the effect of Section 107(2) of the CPC. In AIR 1950 Pat 358 (H), their Lordships referred to Section 12, Cl. (ii), and Section 10 of the Cl. (ii) of the Court-fees Act, and pointed out that the correct order would have been to dismiss the suit for failure to pay deficit court-fees on the plaint and then dismiss the appeal as infructuous. This was not, however, done, and the appeal itself was dismissed for failure to make good the deficit court-fees payable in the Courts below. Their Lordships chose, to interpret the order on its own terms and treating it as an order of dismissal for default, they held that an application under Section 151 of the CPC was maintainable.

    10. I say this with great respect, but the distinction which their Lordships drew is not very clear to me. In any view, it is manifest that the decision which their Lordships gave in AIR 1950 Pat 358 (H) is no authority for holding that where the memorandum of appeal presented to this Court is dismissed for failure to pay deficit court-fee, an application under Section 151 of the CPC, is maintainable.

    Jamuar, J.:— The point arising for decision is whether an application under Section 151 of the CPC, is competent for the restoration of an appeal preferred in the High Court and dismissed for default of payment of the requisite court-fee, or whether the appropriate remedy is by way of an application for review under O. 47, R. 1 of the Code on paying the proper court-fee on such application. In the present case, the appeal has been dismissed for default of payment of the court-fee on the memorandum of appeal filed in this Court as also the court-fee on the plaint and the memorandum of appeal in the lower appellate Court.

    11. Mr. Raghunath Jha for the petitioner in the present case has contended that an application under Section 151 of the CPC, is maintainable, and has relied upon certain decisions and orders of this Court. For the opposite contention also, reliance has been placed by the Government Advocate on some other decisions' of this Court. On the question debated before us, there is undoubtedly conflict of authority.

    12. Since I was a party to a Division Bench decision of this Court in AIR 1950 Pat 358 (H), upon which much reliance was placed by Mr. Jha for the petitioner, it becomes necessary to say a few words in connection with that case. That was a case where the Court-fee on the memorandum of appeal filed in the High Court had been paid, but the deficit court-fee on the plaint and the memorandum of appeal in the lower appellate Court was not paid. The appeal to the High Court, however, stood dismissed for default of payment of the court-fee, as directed, on the plaint and the memorandum of appeal in the Court below. No reference was made in the course of the argument in that case to Order 7, R. 11 or to Section 107(2) of the CPC the argument was with reference to S. 12(ii) and Section 10(ii) of the Court-fees Act, and there was no appearance on behalf of the other side to place the opposite view. In the present case we have had the advantage of listening to arguments in support of both the view-points, and, on further consideration, I agree that, in order to restore such an appeal dismissed for default of payment of the requisite court-fee, the remedy lies in an application for review under Order 47, R. 1 of the CPC, on payment of the requisite court-fee.

    D.S.P

    13. Order accordingly.

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    Comments

    Radhanath Jha v. Bacha Lal Jha And Others Opposite Party.
    (Jan 24, 1955)