AMICUS AI
Citation Codes
Neutral Citations
2006 INSC 950
Equivalent Citations
citation codes
Case Number
Disposition
Attorney(S)
Judges
Acts
  • Article 91 of the Limitation Act
  • Articles 68, 69 and 91 of the Limitation Act
  • Section 5, Subsection 2 of the 1983 Income Tax Act
  • Section 22 of the Limitation Act, 1963
Are you a practicing lawyer?
Enhance your digital presence and reach by creating a Casemine profile.
Upload pleading to use the new AI search
Cites
Cited by
Citation Codes
Neutral Citations
2006 INSC 950
Equivalent Citations
citation codes
Case Number
Disposition
Attorney(S)
Judges
Acts
  • Article 91 of the Limitation Act
  • Articles 68, 69 and 91 of the Limitation Act
  • Section 5, Subsection 2 of the 1983 Income Tax Act
  • Section 22 of the Limitation Act, 1963
Smart Summary

Factual and Procedural Background

The dispute arose among siblings over their residential house at P-824, New Alipore, Kolkata. On 16-3-1987, the appellant allegedly locked a room occupied by his sister, Respondent 1 (Banjula Dastidar), thereby detaining her movable belongings. An inventory of the room’s contents was later prepared by an Advocate Commissioner in a prior suit concerning declaration of title to the property.

The appellant subsequently instituted another suit. In that action, Respondent 1 filed a counterclaim on 24-6-1992 seeking:

  • Rs 88,000 for loss alleged to have occurred because a National Saving Certificate could not be renewed while her goods were detained, and
  • Rs 50,000 as damages for wrongful detention of her personal effects.

The original suit was withdrawn, but the counterclaim was treated as an independent suit and decreed in favour of Respondent 1. On appeal, a Division Bench of the Calcutta High Court held that the counterclaim-turned-suit was not barred by limitation, applying Section 22 of the Limitation Act, 1963. The present Supreme Court appeal challenges that finding.

Legal Issues Presented

  1. What is the applicable period of limitation for a counterclaim alleging wrongful detention of movable property?
  2. Is the wrongful detention in this case a “continuing wrong” within the meaning of Section 22 of the Limitation Act, 1963, thereby extending the limitation period?

Arguments of the Parties

The opinion does not contain a detailed account of the parties' legal arguments.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Sarat Chandra Mukherjee v. Nerode Chandra Mukherjee, AIR 1935 Cal 405 Obstruction of a right of way constitutes a continuing wrong, so limitation runs afresh each day the obstruction continues. The High Court relied on this decision to classify the detention as a continuing wrong. The Supreme Court distinguished it, holding that wrongful detention of goods, unlike obstruction of a right of way, is not a continuing wrong once the initial act is complete.

Court's Reasoning and Analysis

The Supreme Court framed its analysis around the Limitation Act, 1963:

  • Articles 68, 69 and 91 govern suits relating to specific movable property. Article 91 specifically covers suits for compensation for wrongfully taking, injuring or detaining such property; limitation begins when the property is wrongfully taken or when the detainer’s possession becomes unlawful.
  • The lock was placed on 16-3-1987, making that date the point at which Respondent 1’s cause of action arose. The counterclaim was filed on 24-6-1992, five years later, exceeding the three-year period prescribed by Article 91.
  • Section 22, which postpones limitation for continuing wrongs, was inapplicable because wrongful detention of goods is not a continuing wrong once the possession is initially taken. The Court emphasized that the injury was complete on 16-3-1987, even though damage may have continued thereafter.
  • The Court distinguished Sarat Chandra Mukherjee, noting that continuous obstruction of a right of way differs fundamentally from a one-time act of conversion or detention of movables.
  • If Article 91 did not apply, the residuary article would still bar the claim within three years from the same starting point; hence the suit was time-barred under any view.

Holding and Implications

APPEAL ALLOWED; HIGH COURT JUDGMENT SET ASIDE.

Consequences: Respondent 1’s counterclaim (treated as a suit) is barred by limitation and therefore fails. The Court made no order as to costs. The decision clarifies that wrongful detention of movable property is not a “continuing wrong” for the purpose of Section 22, reaffirming that Article 91 (or the residuary article) governs limitation in such cases. No new precedent was expressly created, but the ruling underscores a strict application of limitation provisions to one-time torts involving movables.

To access the original judgment, please Sign In or Subscribe.

    Sankar Dastidar v. Banjula Dastidar (Smt) And Another

    S.B Sinha, J.— Leave granted.

    2. What would be the period of limitation for raising a counterclaim in respect of wrongful detention of goods is the question involved in this appeal which arises out of a judgment and order dated 19-1-2005 passed by the High Court of Calcutta in FA No. 71 of 2002.

    3. The appellant and late Kamakshya Kumar, husband of Dipti Dasgupta, Respondent 2 herein are brothers. Banjula Dastidar, Respondent 1 herein is their sister. They had one more sister Bulbul Dastidar (who died in November 1987). A suit was filed by Respondent 1 against the appellant inter alia for declaration of title in regard to their residential house situate at P-824, New Alipore, Kolkata. Allegedly, the appellant had put a lock on 16-3-1987 in a room where Respondent 1 Banjula used to stay. An inventory was made in the said suit by appointing an Advocate Commissioner. A suit was filed by the appellant thereafter. A counterclaim was filed by Respondent 1 in the said suit claiming damages for wrongful detention of her belongings on 24-6-1992. The amount of claim was purported to have been made on an allegation that validity of a National Saving Certificate could not be renewed and, thus, she had suffered a loss of Rs 88,000. She also claimed damages to the tune of Rs 50,000 for wrongful detention of her belongings including garments and personal effects. The suit was withdrawn. The counterclaim, however, was treated to be a suit. It was decreed.

    4. One of the questions which was raised in the appeal was as to whether the said counterclaim was barred by limitation.

    5. The Division Bench of the High Court on the premise that Section 22 of the Limitation Act, 1963 shall be applicable proceeded to hold that the suit was not barred by limitation.

    6. One of the learned Judges of the Division Bench although opined that a completed tort is not a continuing wrong, but held:

    “… It is of the very essence of a continuing wrong that it is an act which creates a continuing source of injury and renders the doer of the act responsible and liable for the continuance of the injury. If the wrongful act causes an injury which is complete, there is no continuing wrong though the damage resulting from the act may continue.”

    7. In support of its judgment, the Division Bench has placed strong reliance upon a Division Bench decision of the Calcutta High Court in Sarat Chandra Mukherjee v. Nerode Chandra Mukherjee AIR 1935 Cal 405. It was a suit for declaration of the plaintiff's right in respect of user of the lands on which certain sheds had been created as a passage which was obstructing thereto. It was in that premise held to be a continuing wrong.

    8. A suit for damages, in our opinion, stands on a different footing vis-à-vis a continuing wrong in respect of enjoyment of one's right in a property. When a right of way is claimed whether public or private over a certain land over which the tortfeasor has no right of possession, the breaches would be continuing one. It is, however, indisputable that unless the wrong is a continuing one, period of limitation does not stop running. Once the period begins to run, it does not stop except where the provisions of Section 22 would apply.

    9. Articles 68, 69 and 91 of the Limitation Act govern suits in respect of movable property. For specific movable property lost or acquired by theft, or dishonest misappropriation or conversion; knowledge as regards possession of the party shall be the starting point of limitation in terms of Article 68. For any other specific movable property, the time from which the period begins to run would be when the property is wrongfully taken, in terms of Article 69. Article 91 provides for a period of limitation in respect of a suit for compensation for wrongfully taking or injuring or wrongfully detaining any other specific movable property. The time from which the period begins to run would be when the property is wrongfully taken or injured or when the detainer's possession becomes unlawful.

    10. The possession was said to have been taken over the entire property on 16-3-1987 when the appellant had put a lock in the room. The counterclaim was filed by Respondent 1 on 24-6-1992 i.e five years after the alleged detention. In the peculiar facts and circumstances of a case of this nature, if Article 91 of the Limitation Act would not apply, the residuary provision would. The fact that the plaintiff had locker in the room where the almirah containing the goods belonging to Respondent 1 was stored was known to Respondent 1 on 16-3-1987. She knew thereabout. If she had to claim damages for that act on the part of the appellant, she should have filed a suit within a period of three years from the said date. Furthermore, Respondent 1 knew about the purported alleged wrongful act on the part of the appellant. She filed an application in the nature of pro interesse suo in the earlier suit. The same was rejected. Her cause of action was different and distinct from that of her brother. One lis was in relation to the declaration of title as also possession, another one was in respect of damages for wrongful detention of specific movable properties. Only because in another legal proceedings by and between the appellant and Respondent 2, an Advocate Commissioner was appointed and inventory of the goods of the said room was prepared, the same, in our opinion, would not give rise to a fresh cause of action for laying a claim for damages. The matter might have been different if a suit for possession of the goods had been filed.

    11. We, therefore, are of the opinion that the impugned judgment cannot be sustained which is set aside accordingly. The appeal is allowed. However, in the facts and circumstances of this case, there shall be no order as to costs.

    Use AI to get other relevant cases.

    Comments

    Sankar Dastidar v. Banjula Dastidar (Smt) And Another
    (Dec 5, 2006)