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AMICUS AI
Citation Codes
Neutral Citations
2001 INSC 441
Equivalent Citations
citation codes
Case Number
Disposition
Attorney(S)
Judges
Acts
  • Sections 17(2) and 17(2-A) of the West Bengal Premises Tenancy Act, 1956
  • Article 227 of the Constitution of India
  • Sections 17(2) and 17(2-A) of the Act
  • Order 6 Rule 17 of the Code of Civil Procedure
  • Section 115-A CPC, Article 227 of the Constitution
  • Section 5, Subsection 2 of the 1983 Income Tax Act
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Cites
Cited by
Citation Codes
Neutral Citations
2001 INSC 441
Equivalent Citations
citation codes
Case Number
Disposition
Attorney(S)
Judges
Acts
  • Sections 17(2) and 17(2-A) of the West Bengal Premises Tenancy Act, 1956
  • Article 227 of the Constitution of India
  • Sections 17(2) and 17(2-A) of the Act
  • Order 6 Rule 17 of the Code of Civil Procedure
  • Section 115-A CPC, Article 227 of the Constitution
  • Section 5, Subsection 2 of the 1983 Income Tax Act
Smart Summary

Factual and Procedural Background

The plaintiff filed a suit seeking eviction of the defendant from the suit premises on grounds of (i) reasonable requirement for building or rebuilding and (ii) default in payment of rent. The defendant, while contesting the suit, moved an application under Sections 17(2) and 17(2-A) of the West Bengal Premises Tenancy Act, 1956, disputing, inter alia, the existence of a landlord-tenant relationship. Subsequently, the defendant sought to amend his written statement under Order 6 Rule 17 of the Code of Civil Procedure (CPC). The trial court rejected the amendment, holding that it was inconsistent with earlier “admissions.”

On revision under Section 115-A CPC, the District Judge reversed the trial court and allowed the amendment. The plaintiff invoked Article 227 of the Constitution before the High Court, which in turn set aside the District Judge’s order, restoring the trial court’s refusal to amend. The defendant (appellant) approached the Supreme Court in Civil Appeal No. 6327 of 2001 (and a companion appeal, Civil Appeal 6328 of 2001, on identical facts). Leave was granted and the present decision ensued.

Legal Issues Presented

  1. Whether the High Court exceeded its jurisdiction under Article 227 of the Constitution by interfering with the District Judge’s order that allowed amendment of the written statement.
  2. Whether the proposed amendment—asserting that one Ala Mohan Dass was a permissive occupier and relying on revenue records—was impermissible on the ground that it withdrew an alleged admission or caused prejudice to the plaintiff.

Arguments of the Parties

Appellant’s Arguments

  • The High Court treated its supervisory power under Article 227 as if it were exercising appellate or revisional jurisdiction, contrary to settled law.
  • No admission had in fact been made by the defendant; the amendment merely elaborated existing defences with reference to revenue records.
  • Delay in seeking amendment, by itself, is not a ground for refusal where no prejudice to the plaintiff is demonstrated.
  • The amendment would promote proper adjudication and prevent multiplicity of proceedings.

Respondent’s Arguments

  • The amendment introduced an inconsistent plea intended to withdraw earlier admissions favourable to the plaintiff.
  • Because of the three-year delay, the defendant should not be permitted to alter the nature of the defence.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Ahmedabad Mfg. & Calico Ptg. Co. Ltd. v. Ram Tahel Ramnand, (1972) 1 SCC 898 Power under Article 227 is to be exercised sparingly and only to keep subordinate courts within jurisdiction. Used to show that the High Court should not have interfered merely to correct an alleged error.
Waryam Singh v. Amarnath, AIR 1954 SC 215 Article 227 power is supervisory, not appellate. Cited in support of limiting supervisory intervention.
Bathutmal Raichand Oswal v. Laxmibai R. Tarte, (1975) 1 SCC 858 High Court cannot use Article 227 to correct errors of fact or act as an appellate court. Reinforced the finding that the High Court exceeded its jurisdiction.
B.K. Narayana Pillai v. Parameswaran Pillai, (2000) 1 SCC 712 Liberal approach to amendments under Order 6 Rule 17; purpose is to avoid multiplicity of litigation. Formed the substantive basis for allowing the amendment.
A.K. Gupta & Sons Ltd. v. Damodar Valley Corpn., AIR 1967 SC 96 Amendment may be allowed if it is no more than an additional approach to the same facts, even after limitation. Supported the view that the proposed amendment did not set up a new cause of action.
Weldon v. Neal, (1887) 19 QBD 394 General rule that amendments should not introduce a new cause of action. Quoted to contrast with situations where amendments are nevertheless permissible.
Charan Das v. Amir Khan, AIR 1921 PC 50 Permits amendments that constitute only a different or additional approach to the same facts. Illustrated flexibility in allowing amendments.
L.J. Leach & Co. Ltd. v. Jardine Skinner & Co., AIR 1957 SC 357 Similar principle favouring allowance of amendments where no new cause of action is introduced. Relied upon to justify the defendant’s additional plea.

Court’s Reasoning and Analysis

The Supreme Court closely examined both the original pleading and the proposed amendment. It found:

  • No express admission by the defendant that would be withdrawn by the amendment; describing Ala Mohan Dass as a permissive occupier was merely an elaboration, not a retraction.
  • The amendment was based on revenue-record entries and intended to support an existing defence, hence essential for full adjudication and avoidance of further litigation.
  • No accrued or vested right of the plaintiff was shown to be lost, nor any serious prejudice demonstrated.
  • Even if some admission could be inferred, a defendant is entitled to explain or clarify it through amendment.
  • Delay of three years, absent demonstrable prejudice, is not a sufficient ground to refuse amendment; any inconvenience can be addressed by permitting a reply from the plaintiff.
  • The High Court misapplied Article 227 by substituting its own view for that of the District Judge in the absence of jurisdictional error, thereby acting beyond supervisory limits defined in prior Supreme Court jurisprudence.

Holding and Implications

HELD: The appeals are allowed; the High Court’s orders are set aside and the District Judge’s orders permitting amendment are restored. No costs.

Implications: The decision reinforces (a) the liberal standard for amendments to pleadings—particularly written statements—where no new cause of action or substantial prejudice arises, and (b) the narrow supervisory scope of Article 227, cautioning High Courts against re-appraising factual or discretionary determinations of subordinate courts absent jurisdictional error. No new legal doctrine was created, but existing principles on both points were emphatically reaffirmed.

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    Estralla Rubber v. Dass Estate (P) Ltd. .

    Shivaraj V. Patil, J.—

    Civil Appeal No. 6327 of 2001 [arising out of SLP (C) No. 3581 of 2001]

    1. Leave granted.

    2. This appeal is by the defendant in the suit, aggrieved by and directed against the order dated 15-9-2000 made in CO No. 665 of 2000. The plaintiff filed suit against the defendant in respect of suit property for eviction on the ground of reasonable requirement for building or rebuilding and on the ground of default in payment of rent. The defendant filed an application under Sections 17(2) and 17(2-A) of the West Bengal Premises Tenancy Act, 1956 (for short “the Act”) raising certain contentions including that the relationship of landlord and tenant did not exist between the parties. Thereafter the defendant filed an application for amendment under Order 6 Rule 17 of the Code of Civil Procedure. The said amendment application was contested by the plaintiff. The trial court rejected the application, taking the view that the proposed amendment would be inconsistent and it will have the effect of displacing the plaintiff from admission made by the defendant. The defendant filed a revision petition against the said order under Section 115-A CPC before the District Judge who allowed the revision petition, reversed the order of the trial court and allowed the amendment application filed by the defendant. It is, thereafter, the plaintiff filed petition under Article 227 of the Constitution of India before the High Court. The High Court set aside the order of the District Judge. Hence this appeal.

    3. The learned counsel for the appellant strongly contended that the High Court was not right and justified in exercising power under Article 227 of the Constitution of India as an appellate or a revisional court without bearing in mind that the power under Article 227 is one of superintendence; it was not correct to say that the defendant wanted to withdraw the so-called admission said to have been made in favour of the plaintiff, when no such admission was there as a matter of fact. He added that the proposed amendment was only to support the defence already taken by elaboration based on the revenue records. It was not shown as to how any prejudice would be caused to the plaintiff by allowing the amendment; a mere delay in filing application for amendment is itself not a ground to reject the same; the proposed amendment was necessary to adjudicate the dispute between the parties and to avoid further litigation.

    4. Per contra, the learned counsel for the respondent made submissions supporting the impugned order passed by the High Court. He urged that in the proposed amendment application, the defendant has taken an inconsistent plea; he wanted to take away the effect of admission made earlier in favour of the plaintiff.

    5. We have considered the submissions made on behalf of either side. The High Court set aside the order passed by the learned District Judge stating that the proposed amendment will have the effect of displacing the plaintiff from admission made by the defendant in its petition filed under Sections 17(2) and 17(2-A) of the Act and that such admission could not be permitted to be withdrawn. We have perused the relevant records including the original application and the proposed amendment. We are not able to see any admission made by the defendant as such, which was sought to be withdrawn. By the proposed amendment the defendant wanted to say that Ala Mohan Dass was a permissive occupier instead of owner. The further amendment sought was based on the entries made in the revenue records. It is not shown how the proposed amendment prejudiced the case of the plaintiff. It is also not the case of the plaintiff that any accrued right to it was tried to be taken away by the proposed amendment. The proposed amendment is to elaborate the defence and to take additional plea in support of its case. Assuming that there was some admission indirectly, it is open to the defendant to explain the same. Looking to the proposed amendment, it is clear that it is required for proper adjudication of the controversy between the parties and to avoid multiplicity of judicial proceedings. The High Court also found fault with the defendant on the ground that there was delay of three years in seeking amendment to introduce new defence. From the records, it cannot be said that any new defence was sought to be introduced. Even otherwise, it was open for the defendant to take alternative or additional defence. Merely because there was delay in making the amendment application, when no serious prejudice is shown to have been caused to the plaintiff so as to take away any accrued right, the application could not be rejected. At any rate, it cannot be said that allowing the amendment caused irretrievable prejudice to the plaintiff. Further, the plaintiff can file his reply to the amended written statement and fight the case on merits. The impugned order passed by the High Court exercising jurisdiction under Article 227 of the Constitution to set aside the order passed by the learned District Judge in revision under Section 115-A CPC allowing the amendment application filed by the defendant, is patently erroneous and unsustainable. In the impugned order the High Court observed that the order of the learned District Judge was apparently wrong but in our view it is otherwise.

    6. The scope and ambit of exercise of power and jurisdiction by a High Court under Article 227 of the Constitution of India is examined and explained in a number of decisions of this Court. The exercise of power under this article involves a duty on the High Court to keep inferior courts and tribunals within the bounds of their authority and to see that they do the duty expected or required of them in a legal manner. The High Court is not vested with any unlimited prerogative to correct all kinds of hardship or wrong decisions made within the limits of the jurisdiction of the subordinate courts or tribunals. Exercise of this power and interfering with the orders of the courts or tribunals is restricted to cases of serious dereliction of duty and flagrant violation of fundamental principles of law or justice, where if the High Court does not interfere, a grave injustice remains uncorrected. It is also well settled that the High Court while acting under this article cannot exercise its power as an appellate court or substitute its own judgment in place of that of the subordinate court to correct an error, which is not apparent on the face of the record. The High Court can set aside or ignore the findings of facts of an inferior court or tribunal, if there is no evidence at all to justify or the finding is so perverse, that no reasonable person can possibly come to such a conclusion, which the court or tribunal has come to.

    7. This Court in Ahmedabad Mfg. & Calico Ptg. Co. Ltd. v. Ram Tahel Ramnand (1972) 1 SCC 898, AIR 1972 SC 1598 in AIR para 12 has stated that the power under Article 227 of the Constitution is intended to be used sparingly and only in appropriate cases, for the purpose of keeping the subordinate courts and tribunals within the bounds of their authority and, not for correcting mere errors. Reference also has been made in this regard to the case Waryam Singh v. Amarnath AIR 1954 SC 215, 1954 SCR 565. This Court in Bathutmal Raichand Oswal v. Laxmibai R. Tarte (1975) 1 SCC 858, AIR 1975 SC 1297 has observed that the power of superintendence under Article 227 cannot be invoked to correct an error of fact which only a superior court can do in exercise of its statutory power as a court of appeal and that the High Court in exercising its jurisdiction under Article 227 cannot convert itself into a court of appeal when the legislature has not conferred a right of appeal. Judged by these pronounced principles, the High Court clearly exceeded its jurisdiction under Article 227 in passing the impugned order.

    8. It is fairly settled in law that the amendment of pleadings under Order 6 Rule 17 is to be allowed if such an amendment is required for proper and effective adjudication of controversy between the parties and to avoid multiplicity of judicial proceedings, subject to certain conditions such as allowing the amendment should not result in injustice to the other side; normally a clear admission made conferring certain right on a plaintiff is not allowed to be withdrawn by way of amendment by a defendant resulting in prejudice to such a right of the plaintiff, depending on the facts and circumstances of a given case. In certain situations, a time-barred claim cannot be allowed to be raised by proposing an amendment to take away the valuable accrued right of a party. However, mere delay in making an amendment application itself is not enough to refuse amendment, as the delay can be compensated in terms of money. Amendment is to be allowed when it does not cause serious prejudice to the opposite side. This Court in a recent judgment in B.K Narayana Pillai v. Parameswaran Pillai (2000) 1 SCC 712 after referring to a number of decisions, in para 3 has stated, thus:

    “3. The purpose and object of Order 6 Rule 17 CPC is to allow either party to alter or amend his pleadings in such manner and on such terms as may be just. The power to allow the amendment is wide and can be exercised at any stage of the proceedings in the interests of justice on the basis of guidelines laid down by various High Courts and this Court. It is true that the amendment cannot be claimed as a matter of right and under all circumstances. But it is equally true that the courts while deciding such prayers should not adopt a hypertechnical approach. Liberal approach should be the general rule particularly in cases where the other side can be compensated with the costs. Technicalities of law should not be permitted to hamper the courts in the administration of justice between the parties. Amendments are allowed in the pleadings to avoid uncalled-for multiplicity of litigation.”

    In para 4 of the same judgment this Court has quoted the following passage from the judgment in A.K Gupta and Sons Ltd. v. Damodar Valley Corpn. AIR 1967 SC 96, (1966) 1 SCR 796: (AIR pp. 97-98, para 7)

    “The general rule, no doubt, is that a party is not allowed by amendment to set up a new case or a new cause of action particularly when a suit on new case or cause of action is barred: Weldon v. Neal (1887) 19 QBD 394. But it is also well recognized that where the amendment does not constitute the addition of a new cause of action or raise a different case, but amounts to no more than a different or additional approach to the same facts, the amendment will be allowed even after the expiry of the statutory period of limitation: See Charan Das v. Amir Khan AIR 1921 PC 50 and L.J Leach and Co. Ltd. v. Jardine Skinner and Co. AIR 1957 SC 357, 1957 SCR 438”

    This Court in the same judgment further observed that the principles applicable to the amendment of the plaint are equally applicable to the amendment of the written statement and that the courts are more generous in allowing amendment of the written statement as the question of prejudice is less likely to operate in that event. It is further stated that the defendant has a right to take alternative plea in defence which, however, is subject to an exception that by the proposed amendment the other side should not be subjected to serious injustice and that any admission made in favour of the plaintiff conferring right on him is not withdrawn.

    9. Applying the abovestated principles to the case on hand, we have no hesitation to state that the impugned order of the High Court is unsustainable.

    10. In view of what is stated above, this appeal is entitled to succeed. Accordingly it is allowed, the impugned order is set aside and the order passed by the learned District Judge is restored. No costs.

    Civil Appeal No. 6328 of 2001 [arising out of SLP (C) No. 8737 of 2001]

    11. Leave granted.

    12. The facts stated and contentions raised in this appeal are similar to those in Civil Appeal No. 6327 of 2001 [arising out of SLP (C) No. 3581 of 2001] relating to amendment. Hence this appeal is also allowed. The impugned order of the High Court confirming the order of the courts below is set aside and the amendment application filed by the defendant is allowed. No costs.

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    Comments

    Estralla Rubber v. Dass Estate (P) Ltd. .
    (Sep 12, 2001)