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Citation Codes
Equivalent Citations
citation codes
Case Number
Advocates
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  • Order XLV, rules 15 and 16 read along with sections 38, 39 and 42, Civil Procedure Code.
  • section 234 of the Code of 1882 (corresponding to section 50
  • SECTION 42 CIVIL PROCEDURE CODE
  • Order XXI, rule 16, or section 50, clause (1),
  • section 37 of the Code
  • Order XLV, rule 15,
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Cites
Cited by
Citation Codes
Equivalent Citations
citation codes
Case Number
Advocates
Judges
Acts
  • Order XLV, rules 15 and 16 read along with sections 38, 39 and 42, Civil Procedure Code.
  • section 234 of the Code of 1882 (corresponding to section 50
  • SECTION 42 CIVIL PROCEDURE CODE
  • Order XXI, rule 16, or section 50, clause (1),
  • section 37 of the Code
  • Order XLV, rule 15,
Smart Summary

Factual and Procedural Background

The appeal arose from an order of the District Court recognising a transfer of a decree by the Manager and Agent of the estate of the Maharaja of Vizianagaram in favour of the second respondent and allowing that transferee to execute the decree. The original decree had been the subject of appeals reaching His Majesty in Council (the Privy Council) and the Privy Council's order was transmitted via the High Court to the original District Court. Two grounds of appeal were pressed before the Court: (1) that the District Court lacked jurisdiction to recognise the transfer and allow execution because the High Court was the proper forum after the Privy Council's involvement; and (2) that Mr. Fowler, as Attorney under Exhibit A (a Power-of-Attorney), was not expressly authorised to transfer decrees.

Legal Issues Presented

  1. Whether the District Court had jurisdiction to recognise an assignment of a decree and permit execution by a transferee after the decree and appeals had gone up to His Majesty in Council, or whether such an application must be made to the High Court (i.e., proper forum question).
  2. Whether the Power-of-Attorney (Exhibit A) expressly authorised the Attorney (Mr. Fowler) to transfer decrees obtained by the Maharaja, so as to permit a valid transfer of the decree.

Arguments of the Parties

Appellant's Arguments

  • The District Court's order recognising the transfer and permitting execution was made without jurisdiction; the proper Court to pass such an order was the High Court in view of appeals to His Majesty in Council (reliance asserted from Order XLV rules 15–16 read with sections 37–42 of the Civil Procedure Code and related authority).
  • Mr. Fowler, as Attorney under Exhibit A, was not expressly authorised to transfer decrees obtained by his principal (the Maharaja), and therefore the transfer to the second respondent was beyond his authority.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Swaminatha Aiyar v. Vaidyanatha Sastri Held that an application under section 234 of the Code of 1882 (corresponding to section 50 of the present Code) to execute a decree against legal representatives must be made to the Court which passed the decree and not to the Court to which it has been transferred for execution. The Court distinguished that authority: the position of an original Court receiving a Privy Council order transmitted by the High Court is different from that of a transferee Court to which a decree is sent for execution.
Hurrish Chunder Chowdhry v. Kalisimderi Debi Cited as an instance involving the High Court disposing of a similar question arising in execution of an order of His Majesty in Council. The Court observed the case did not concern recognising a transfer of a decree but whether one co-plaintiff could execute without the other; it was not treated as controlling here.
Hurrish Chunder Chowdhry v. Kalisunderi Debi Related Privy Council consideration about High Court jurisdiction in execution matters and execution by one plaintiff. The Court noted the Privy Council refrained from deciding usurpation of jurisdiction and set aside the order on other grounds (error as to execution only as a whole); therefore it did not establish the rule contended for by appellant.
Premlall Mullick v. Sumbhoonath Roy Observation that the act of the High Court in receiving and filing an order of the Privy Council is a purely ministerial function. The Court relied on this principle to treat the High Court as an intermediary that transmits the Privy Council's order to the Court which passed the first decree.
Palaniappa Chettiar v. Arunachella Chettiar Authority on strict construction of a Power-of-Attorney where scope was held to be limited and lacking a comprehensive clause conferring plenary powers. The Court distinguished that case: Exhibit A in the present matter was far more comprehensive and conferred plenary powers; Palaniappa did not control here.
Venkataramana Iyer v. Narasinga Row Cited "contra" in arguments regarding the scope of authority under a Power-of-Attorney. The opinion only records the citation; no substantive application of its principle to the Court's reasoning is elaborated in the text.

Court's Reasoning and Analysis

The Court addressed the two grounds in turn.

1. Jurisdiction/proper forum: The Court found no direct authority supporting the appellant's contention and rejected the inference drawn from Order XLV rules 15–16 read with sections 37–42 of the Civil Procedure Code. It distinguished the position of (a) a Court to which a decree has been transferred for execution and (b) the original Court which passed the decree and later receives the Privy Council's order transmitted by the High Court. The Court relied on provisions allowing execution either by the Court which passed the decree or the Court to which it is sent (Order XXI rule 16; section 38) and on the statutory definition in section 37 that “the Court which passed a decree” includes the Court of first instance where there has been an appeal. The Court treated the High Court's reception and filing of the Privy Council's order as a ministerial intermediary act (citing Premlall Mullick v. Sumbhoonath Roy). The High Court had transmitted the Privy Council's order without directing acceptance of the transferee's locus; the District Court's permitting the transferee to execute the decree was therefore not irregular, and no objection had been raised by the original decree-holder.

2. Power-of-Attorney (Exhibit A): The Court considered the authorities on strict construction of powers of attorney (notably Palaniappa Chettiar) but emphasised that each document must be construed by its terms. It examined Exhibit A's language and concluded that its broad words conferring power "to conduct and manage all other the estate property, moneys, affairs and concerns of the zamindari … in all respects as fully and absolutely as the principal himself is empowered to do" conferred plenary powers on the manager, including the power to transfer decrees for a proper purpose. The separate observation by Sadasiva Ayyar, J. added that Clause 24 of Exhibit A empowered the manager to execute deeds and conveyances necessary to effectuate such transfers incidental to estate management. The Court also noted the principal had, by conduct, ratified the transfer and received the purchase money.

Holding and Implications

HOLDING: The appeal was dismissed with costs.

Implications: The District Court's action in recognising the transfer and permitting the transferee to execute the decree was upheld; Exhibit A was held to confer sufficient authority on the Maharaja's manager to transfer decrees for proper purposes. The decision disposed of the parties' dispute between them; the opinion does not purport to establish any broader new precedent beyond the application of the statutory provisions and the construction of the particular Power-of-Attorney in this case.

    L. Krishna Bhoopathi Deo Garu v. Sri Mirza Sri Pasupati Vijiarama Gajapathiraja Maharaja Manya Sultan Bahadur Garu, Raja Of Vizianagaram

    The Judgment of the Court was delivered by

    Spencer, J.:— Two grounds of appeal are pressed. It is contended (1) that the order of the District Court recognising the transfer of the decree by the Manager and Agent of the estate of the Maharaja of Vizianagaram in favour of the second respondent and allowing the latter to execute the decree was an order made without jurisdiction, the proper Court which should pass such an order in a case, which had gone up to the Privy Council in appeal from a decree of the High Court which confirmed the original decree of the District Court, being the High Court; (2) that Mr. Fowler as Attorney of the Maharaja was not expressly authorised under the Power, which is Exhibit A, to transfer decrees obtained by his principal for less or indeed for any amounts.

    No direct authority has been quoted in support of the first proposition. It is sought to be inferred from the language of Order XLV, rules 15 and 16 read along with sections 38, 39 and 42, Civil Procedure Code. Reference has also been made in the arguments to the decision in Swaminatha Aiyar v. Vaidyanatha Sastri(1), in which it was held that an application under section 234 of the Code of 1882 (corresponding to section 50 of the present Code) to execute a decree against the legal representatives of a deceased judgment-debtor must be made to the Court which passed the decree and not to the Court to which it has been transferred for execution; and the decision in Hurrish Chunder Chowdhry v. Kalisimderi Debi is cited as an instance of the High Court disposing of a similar question arising in the execution of an order of Her Majesty in Council. But in my opinion the position of an original Court, which itself passed a decree against which appeals have been carried up to the Privy Council, when it receives the order of His Majesty in Council transmitted to it by the High Court, is not to be compared with the position of a Court to which the decree of another Court has been transferred for execution. They are totally different positions.

    Order XXI, rule 16, permits a transferee of a decree to apply for execution of the decree to the Court which passed it. Section 38 permits a decree to be executed either by the Court which passed it or by the Court to which it is sent for execution. Section 37 defines the expression “Court which passed a decree” as including the Court of first instance where there has been an appeal. Similar words are used in Order XLV, rule 15, where it is provided that the Court from which an appeal to His Majesty has been preferred shall transmit the order of His Majesty in Council to the Court which passed the first decree appealed from. The act of the High Court in receiving and filing an order of the Privy Council is a purely ministerial function [vide observation in Premlall Mullick v. Sumbhoonath Roy(2)]. It is so provided that the High Court should act as an intermediary for carrying out the orders of His Majesty in Council, because the Privy Council does not deal direct with subordinate Courts.

    In the present instance the petition of the transferee decree-holder to transmit the order of the Privy Council with a prayer for a direction to bring him on record in that capacity came before a Bench of this Court, and the learned Judges who disposed of his application (the Chief Justice being one of the Bench) expressly refused to make any directions. Without treating him as having no locus standi to make the application they transmitted the order, without prejudice to his right to take and the original decree-holder's right to give an assignment of the decree in question.

    In Hurrish Chunder Chowdhry v. Kalisunderi Debi the question was not one of recognising a transfer of a decree but whether one of two co-plaintiffs ought to be permitted to execute a decree without the concurrence of the other plaintiff. Their Lordships of the Privy Council refrained from deciding whether the learned High Court Judge usurped a jurisdiction which did not belong to him, although they were inclined to think he had not done so. His order was set aside on other grounds, namely, that it was erroneous to suppose that a decree can only be executed as a whole and not partly by one of the plaintiffs.

    I therefore find nothing irregular or contrary to law in the action of the District Court in permitting the transferee to execute the decree, nor has the original decree-holder raised any objection to his doing so;

    In support of the second contention we have been referred to Palaniappa Chettiar v. Arunachella Chettiar and contra to Venkataramana Iyer v. Narasinga Row.

    Every document must be construed with reference to its particular terms, and differently worded documents afford but little assistance for correctly construing the document concerned in this case. We have referred to the Power-of-Attorney concerned in Palaniappa Chettiar v. Arunachella Chettiar and we find that the scope of the agent's powers was far more limited than that of the powers conferred under Exhibit A. The learned Judges who decided that case observed that there was ‘no clause of a comprehensive character which would show that the principal intended to confer phenary powers on his attorney, to deal with all properties and rights belonging to him.’ While it is true, as laid down in that case, that established law requires a Power-of-Attorney to be construed strictly, it is also correct to hold that when an agent has a general Power-of-Attorney to act in some business or series of transactions he may be assumed to have all usual powers.

    I feel no doubt that the words in Exhibit A “to conduct and manage all other the estate property, moneys, affairs and concerns of the zamindari … in all respects as fully and absolutely as the principal himself is empowered to do and (subject as aforesaid) to do, perform and carry out all such acts and deeds and things whatsoever as may be considered requisite for the above purposes as amply and effectually as the principal could do in his own proper person if these presents had not been executed” do confer on the Maharaja's manager such plenary powers as would include the transfer for a proper purpose to another person of decrees obtained in the name of the Maharaja himself, apart from other words which occur later in the same document. I would therefore dismiss this appeal with costs.

    Sadasiva Ayyar, J.:— I entirely agree with the judgment just now pronounced by my learned brother. The appellant's vakil relied on the close similarity between the terms of Order XLV, rule 16, and the terms of the last sentence of section 42 of the Civil Procedure Code. Order XLV, rule 16, says that orders in execution made by the Court which executes the order of His Majesty in Council “shall be appealable in the same manner and subject to the same rules as the orders of such Court relating to the execution of its own decrees.” The last sentence of section 42 of the Civil Procedure Code states that “the orders of a Court executing a decree sent to it for execution by another Court shall be subject to the same rules in respect of appeal as if the decrees had been passed by itself.” On this similarity of wording it was argued that just as a Court to which the decree of another Court, is sent for execution, cannot entertain applications under Order XXI, rule 16, or section 50, clause (1), so even the Court of first instance whose decision ultimately went to the Privy Council, could not entertain such applications because His Majesty's order had to be sent to it for execution by the High Court. I do not think that this argument is sound as it ignores, as pointed out by my learned brother, the principle underlying section 37 of the Code which defines the expression “the Court which passed the decree” as including the Court of first instance so far as the powers of that Court relating to execution of the decrees passed by the Appellate Courts are concerned.

    As regards the construction of the Power-of-Attorney, Exhibit A, I think that the power to manage a big zamindari estate must include the power to transfer for a reasonable consideration a decree amount due to the estate. Clause 24 of the Power-of-Attorney, Exhibit A, confers, in my opinion, on the manager the power to execute deeds and conveyances necessary for the purpose of effectuating such transfers as are incidental to the business of estate management.

    Again, as regards the decision in Palaniappa Chettiar v. Arunachella Chettiar, the principal himself is that case repudiated the acts of his agent as beyond the scope of his authority, whereas in the present case, the principal by his conduct ratified the act of his agent (see paragraph 10 of the lower Court's judgment) and in fact, it was not denied that the principal has received the purchase money for the transfer from his agent's transferee and consented to the transferee executing the decree.

    I, therefore, concur in dismissing the appeal with costs.

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