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Tamiz Bano v. Nand Kishore

Allahabad High Court
Feb 23, 1927
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Structured Summary of the Opinion

Factual and Procedural Background

The plaintiffs sued the heirs-at-law of Abdul Qayum on a bond dated 16 March 1921 for Rs. 300, after Abdul Qayum died. Among the heirs was Musammat Tamiz Bano (the original appellant), a widow of the deceased who later died during the appeal; some of her heirs continued the appeal. Musammat Tamiz Bano denied that her late husband had executed the bond and asserted that on his death she was due a dower (claimed at Rs. 25,000) and that, in lieu of dower, the other heirs had sold Abdul Qayum's property to her. She contended that, on that account, no property of Abdul Qayum remained in the hands of his heirs and the suit could not be maintained against her or the others.

At trial the Munsif decreed the suit, observing that the Rs. 25,000 debt had not been proved and indicating nothing prevented plaintiffs from proceeding against property then in the hands of the defendants as assets of Abdul Qayum. On appeal the Subordinate Judge doubted the genuineness of the alleged transfer in lieu of dower but declined to decide the widow's dower, and dismissed the appeal. The matter proceeded to this Court by second appeal.

Legal Issues Presented

  1. Whether a decree for money can be validly entered against the legal representatives (heirs) of a deceased debtor when it is not proved that they are in possession of any assets of the deceased.
  2. Whether the lower appellate court was bound to decide the question of the alleged sale in lieu of dower (i.e., the existence and amount of the widow's dower) at the stage of the appeal before a decree was passed.
  3. Whether legal representatives who are in possession of assets may exercise the rights of retainer and preference to pay the widow's dower, and whether the plea of plene administravit (that the assets have been duly applied) can be raised in the suit (as a defence) or only in execution proceedings.
  4. If the defendants were held to have wrongly applied assets, whether the decree should be confined to execution against the deceased's assets or should be a personal decree against the defendants jointly and severally.

Arguments of the Parties

Appellant (Musammat Tamiz Bano) — principal contentions

  • Denied that her late husband Abdul Qayum executed the bond sued upon.
  • Asserted that on the husband's death she was entitled to a dower of Rs. 25,000.
  • Alleged that the remaining heirs sold the deceased's property to her in lieu of dower, implying that no property of Abdul Qayum remained with the heirs and therefore the suit should not be maintainable against her or the other heirs.

Plaintiffs / Respondents

  • Brought suit for Rs. 300 under the bond against Abdul Qayum's legal representatives.
  • The plaint included an allegation (paragraph 2) that defendants Nos. 1 to 5 were in possession of property left by Abdul Qayum (a factual assertion relied on to pursue execution against assets).

Other parties / procedural posture

  • The other defendants (besides the widow) did not contest the suit at trial.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Girdharlal Krishnavalabh v. Bai Shiv and Lallu Bhagvan v. Tribhuvan Motiram Supports the view under the earlier Code of Civil Procedure (1882) that a decree may be taken against a legal representative without showing that the deceased left property then in possession of the defendant; i.e., a creditor may obtain a decree then seek execution remedies. Mukerji, J. relied on these authorities to show that a decree can be entered against legal representatives even where it is not shown that assets remain in their possession, and that execution and pleas regarding due application of assets are matters for execution proceedings.
Seth Kastur Chand v. Mangal Sen Cited as Indian authority supporting the proposition that legal representatives in possession of assets may show preference in payment of debts (right of preference / retainer). Ashworth, J. cited this case among others to support his conclusion that the right of retainer and preference exists in India and that legal representatives in possession of assets may prefer certain claims (e.g., dower).
Haji Saboo Sidick v. Ally Mahommed Cited as Indian precedent supporting the right of preference / retainer by legal representatives in possession of assets. Used by Ashworth, J. to support the view that legal representatives may retain or prefer debts (such as a widow's dower) when in possession of estate assets.
Veerasokkaraju v. Papiah Cited as Indian precedent supporting the right of preference / retainer by legal representatives in possession of assets. Relied upon by Ashworth, J. as part of a group of Indian authorities indicating that the right of preference exists in India.
Oxenham v. Clapp Establishes that the plea of having fully administered (plene administravit) was allowed even to an executor de son tort — supporting availability of the plea beyond strictly formal executors. Ashworth, J. invoked this English authority to support the argument that the plea of plene administravit can be a defence to a creditor's claim and should not be denied to legal representatives in India merely because section 52 refers to the plea in execution proceedings.
Nathuram Siriji Sett v. Kutti Haji Cited on the point that where defendants are found to have assets and to have wrongly applied them, a decree may properly be personal against them (jointly and severally) rather than confined to execution against the deceased's assets. Ashworth, J. relied on this case (along with the next) to conclude that the decree should have been a personal decree against the defendants jointly and severally because they admitted a share of the assets excluding the claimed debt.
Mihi Lal v. Babu Lal Similar to the immediately preceding authority — cited for the proposition that where defendants have assets and have wrongly applied them, a personal decree against them may be appropriate. Ashworth, J. used this authority to support his view that the decree should have been personal against the defendants jointly and severally, rather than limited to execution against the deceased's assets.

Court's Reasoning and Analysis

The opinion contains two concurring judgments with different principal lines of reasoning.

Mukerji, J. — principal reasoning

  1. Mukerji, J. framed the preliminary procedural question: whether it was necessary at the stage of the suit and appeal to determine whether the legal representatives of the deceased were in possession of assets of the deceased (and thus whether a decree could be entered against them).
  2. He examined the statutory definition of "legal representative" in section 2(11) of the Code of Civil Procedure and concluded that a legal representative is defined as the person on whom the estate devolves; that definition does not require that the representative be in possession of any property. Hence it is not necessary for a plaintiff to plead that the defendants are in possession of property left by the deceased in order to sue them as legal representatives.
  3. Mukerji, J. analysed section 52 of the Code of Civil Procedure, which provides for execution of a decree against a legal representative by attachment and sale of the deceased's property and contemplates a defence in execution proceedings that the judgement-debtor has duly applied such property (plene administravit).
  4. From section 52 he inferred that a decree may be obtained against a legal representative even if no property remains in the possession of the judgement-debtor at the time of the decree; remedies and defences about application of assets arise at the execution stage when attachment is sought.
  5. He relied on precedent (Girdharlal Krishnavalabh and Lallu Bhagvan) as indicating the same view under the earlier Code.
  6. Applying those principles to the case, Mukerji, J. held that the lower appellate court was right in not deciding the alleged sale in lieu of dower at that stage: the stage for such a decision (and for the defendants to establish due application of assets) had not yet arisen. He concluded it would be neither lawful nor expedient to dismiss the suit merely because one legal representative alleged no assets were available; a creditor is entitled first to obtain a decree and then seek execution within the statutory period.

Ashworth, J. — principal reasoning (concurring only in result)

  1. Ashworth, J. agreed with the ultimate result (dismissing the appeal) but differed on reasoning. He began by accepting that legal representatives in possession of assets have, in English law, the rights of retainer and preference and that corresponding principles apply in India.
  2. He cited English authorities (Jenks' Digest and Stephen's Commentaries) and several Indian cases (Seth Kastur Chand v. Mangal Sen, Haji Saboo Sidick v. Ally Mahommed, Veerasokkaraju v. Papiah) to support that legal representatives in possession of assets may retain debts due to themselves and prefer some claims (for example, a widow's dower).
  3. Ashworth, J. then addressed whether the plea of plene administravit (that assets have been duly applied) can be raised in the suit itself or only in execution proceedings under section 52(2). He observed that section 52 permits the plea in execution, but he rejected the argument that this excludes raising the plea earlier in the suit. He relied on English authority (Oxenham v. Clapp) to show that the plea of full administration can be a defence to a creditor's claim.
  4. He reasoned that denying the plea in the suit because section 52 mentions it in execution would be an overly strict application of the maxim expressio unius exclusio alterius; the plea is one of fact (that the representative has duly applied the available assets) and can be proved and adjudicated in the suit where appropriate.
  5. Ashworth, J. concluded that the lower courts were obliged to decide whether the defendants had duly applied the assets that came into their hands, which required a factual determination as to the existence and amount of the dower debt.
  6. Turning to facts, he found that the trial court had effectively found no dower debt proved and the appellate court had found no dower debt of a specific amount proved; those factual findings are binding in second appeal. Consequently, the decree for the plaintiffs was rightly entered.
  7. However, because the lower courts had held that the defendants had assets and had wrongly applied them, Ashworth, J. reasoned that the proper form of decree should have been a personal decree against the defendants jointly and severally (they admitted a share of the assets excluding the debt claimed). He nevertheless noted no appeal had been taken by the plaintiffs against the form of decree, and thus he concurred in dismissal with costs.

Holding and Implications

APPEAL DISMISSED.

Direct effects and practical consequences, as stated in the opinion:

  • The decree in favour of the plaintiffs (for the bond debt) stands and the appeal by the defendants is dismissed with costs.
  • Mukerji, J. held that it was unnecessary at the suit/appeal stage to decide whether the legal representatives were in possession of assets or whether a sale in lieu of dower had occurred; a creditor may obtain a decree against legal representatives and later seek execution against assets (section 52 contemplates application of defences at execution stage).
  • Ashworth, J. held that legal representatives in possession of assets may exercise rights of retainer or preference and that the plea of plene administravit can, in principle, be raised in the suit (it is not limited to execution proceedings); nonetheless, on the facts the trial court's finding that no dower debt was proved was binding and sustained the decree.
  • The form of the decree: Ashworth, J. observed that because defendants were found to have had assets and to have wrongly applied them, the decree should properly have been framed as a personal decree against the defendants jointly and severally. However, because the plaintiffs did not appeal on that point, the existing decree stands as drawn and the plaintiffs are deemed satisfied with it.

The opinion does not announce any explicit novel legal precedent beyond the application and reconciliation of existing statutory provisions and authorities to the case facts; it confirms (1) the procedural correctness of suing legal representatives without proving present possession of assets for the purpose of obtaining a decree, and (2) the availability of the factual defence that assets have been duly applied (plene administravit), which according to Ashworth, J. may properly be adjudicated where raised.

By the Court.— The appeal is dismissed with costs. — Appeal dismissed.
Show all summary ...

Mukerji, J.:— The facts involved in this appeal are briefly these. A certain person, Abdul Qayum, whose heirs-at-law the defendants are, borrowed, on a bond, on the 16th of March, 1921, a sum of Rs. 300 from the plaintiffs. He having died before the institution of the suit it was filed against his heirs. Among the heirs was the original appellant to this court, Musammat Tamiz Bano who was a widow of the deceased and is since dead. She denied the execution of the bond by, her late husband and said that, on the death of her husband Abdul Qayum, her dower of Rs. 25,000 was due to her and that consequently the remaining heirs of Abdul Qayum sold his property to her in lieu of her dower. She did not say exactly what the effect of her defence was, but clearly she contemplated that the suit could not be maintained as no property of Abdul Qayum was left in the possession of his heirs.

The other defendants did not contest the suit.

The Munsif decreed the suit. He did not come to any very definite finding as to the allegation of sale in lieu of dower. He said:

“I am not inclined to hold that the debt of Rs. 25,000 had been proved. There is nothing to prevent the plaintiff from proceeding against the property at present in the hands of the contending defendants as assets of Abdul Qayum.”

On appeal the learned Subordinate Judge doubted that the transfer was really a genuine transaction, but he said that he was not going to decide What was Musammat Tamiz Bano's dower and he dismissed the appeal.

In this Court it is said that the lower appellate court should have come to a clear decision as regards, the alleged transfer in lieu of dower and that no decree could be passed against the original appellant, Musammat Tamiz Bano, so long as it was not proved that she was in possession of any asset of her husband. I might mention here that Musammat Tamiz Bano having died pending the appeal, some of the original defendants are now prosecuting the appeal as her heirs.

It appears to me that the question whether the legal representatives of a deceased debtor are or are not in possession of any asset of the deceased need not be tried at the present stage of the litigation. When deceased debtor dies a suit has to be brought against his legal representative. For this proposition no authority need be quoted. The expression “legal representative” has now been defined in the Code of Civil Procedure in section 2, clause (11), as follows:—

“Legal representative means a person who represents the estate of a deceased person and includes any person who intermeddles with the estate of the deceased, and where a party sues or is sued in a representative character the person on whom the estate devolves on the death of the party suing or sued.”

It will be noticed that where a party is sued in a representative character the legal representative is the person on whom the estate devolves. It is not necessary for his character as legal representative that he should be in possession of any property of the deceased. All that is necessary is that he should be a person on whom the estate would devolve. It is only when a third party intermeddles with the estate of a deceased person that he can be treated as a legal representative and it is then alone that the question of possession arises. In this view it was not necessary for the plaintiffs to say, as they did in paragraph 2 of the plaint, that the defendants Nos. 1 to 5 were in possession of any property left by the deceased Abdul Qayum.

The same conclusion may be drawn from an examination of section 52 of the Code of Civil Procedure. That section says that where a decree is passed against a party as the legal representative of a deceased person and the decree is for payment of money out of the property of the deceased it may be executed by attachment and sale of any such property. Further, it says, where no such property remains in the possession of the judgement-debtor and he fails to satisfy the court that he has duly applied such property, he would be liable to the extent of the property as to which he has failed to satisfy the court. The section shows that there may he a decree passed against the legal representative of a deceased person without showing that the deceased left any property and the legal representative got that property. A suit may be brought against the legal representative of a deceased person oven after such person has duly applied the property he inherited and has, therefore, ceased to be further liable for payment of any debt. A creditor has a perfect right to obtain a decree for his debt and then to find out how he would realize it. Till he has obtained his decree he cannot seek any remedy to enforce payment. His remedy to enforce a decree for money is indicated by section 52. That remedy is by attachment and sale of an asset of the deceased debtor. When an application for attachment is made it is open to the legal representative to prove either that the property sought to be attached is not the, property of the deceased or that he has sufficiently accounted for such property of the deceased as came into his possession. But in any case till a decree has been obtained by the creditor, he has no remedy. The same view was taken in Girdharlal Krishnavalabh v. Bai Shiv and Lallu Bhagvan v. Tribhuvan Motiram, , under the Code of Civil Procedure of 1882.

In the circumstances I think the lower appellate court was right in not deciding the question of sale in lieu of dower. The stage for any such decision has not arisen. Even if there be no immovable property left, such as may be taken in execution of the decree, the plaintiffs, if they be armed with a decree, might seek out, in the course of twelve years within which they can execute the decree under the law, any movable property that may still be available. I am strongly of opinion that it is neither lawful nor expedient to throw out the suit altogether simply because one of the legal representatives alleges and seeks to prove that no assets are available.

In this view of the case the appeal must fail as no other point has been urged. I would dismiss the appeal with costs.

Ashworth, J.:— I concur in the finding but not with the reasons of my learned brother. This second appeal arises out of a suit brought by the respondents against three persons, the present appellant. Musammat Tamiz Bano, widow of Abdul Qayum, and his two sons as legal representatives of Abdul Qayum, on a bond debt of Rs. 300. There was an allegation in the plaint that they were in possession of the property left by Abdul Qayum. Only the widow defended the suit and her main plea, the only one with which we are concerned in this appeal, was that the whole of the assets of Abdul Qayum were used by herself and the two other defendants to pay her, dower debt.

Both the lower courts held that this disposal of the assets was designed to defeat the creditors including the plaintiffs. The trial court doubted the existence, of any dower debt and the lower appellate court the existence of one of this magnitude. They decreed the suit against all three appellants as against “the assets of Abdul Qayum and at present in the hands of the widow defendant.”

In this second appeal the pleas pressed are that the lower courts should have come to a clear finding as to the existence and amount of the dower debt and that the suit should have been dismissed if the dower debt exceeded the assets, since the defendants were entitled to use the assets for satisfaction of the dower debt.

The first question, therefore, to decide in this appeal is whether the defendants, as legal representatives of the deceased Abdul Qayum, were entitled to use his assets to pay the defendant widow her dower, if proved. There can, in my opinion, be no doubt that they were. In English law the widow would possess this right of retainer and the other two-defendants this right of preference. The law is stated in Jenks' “Digest of English Law” (1st edition), paragraphs 2165 and 2166, pages 1378 and 1379 and supported by reference to numerous authorities. In Stephen's “Commentaries” (1st edition), volume II, pages 651 and 652, the right of retainer is based on the consideration

“that a personal representative in his personal capacity could not sue himself at law in his representative capacity and that it would be hard that this difficulty should deprive him of the natural advantages of his position.”

The right of preference (pages 652 and 653 ibid) is said to have arisen thus:

“Inasmuch as any creditor of the deceased could sue the personal representative and get judgement from him, unless the representative was in a position to plead plene administravit the only remedy of the representative at common law was to pay the debt and avoid further consequences.”

And if he could do that after action was brought, was he bound to wait (if he was satisfied of the genuineness of the debt) until action was brought and costs incurred? Thus, it is said, the personal representative acquired his peculiar right, which is obviously liable to abuse and collusion. These considerations apply equally in India, Indeed the right of preference is the natural consequence of a legal representative possessing the privileges of the deceased; and the right of retainer is only a form of the right of preference. I would refer to the following Indian cases in support of this view:—Seth Kastur Chand v. Mangal Sen and Haji Saboo Sidick v. Ally Mahommed and Veerasokkaraju v. Papiah. I hold, therefore, that legal representatives in the possession of assets (not being executors or administrators appointed by or subject to an administration order of a court) may show preference in the payment of debts and may retain a debt due to themselves. With this view my learned brother agrees, I understand, although lie considered that the question did not arise in the suit.

The next question is whether by reason of such retainer and preference the defendants were entitled to resist the suit on the ground of plene adminisiravit or, to use the language of section 52(2) of the Code of Civil Procedure, on the ground of having already duly applied such property of the deceased as is proved to have come into their possession. I have not been able to find any decision in India on the point. My learned brother would reply in the negative. It is not that he denies that the plea of plene administravit may be a good plea by which to resist execution against the assets in the hands of the defendants, but he thinks that this plea can only be raised in execution proceedings and not in a suit against a legal representative. For this view he relies on the language of the definition of “legal representative” contained in section 2(11) of the Code of Civil Procedure, and on the provisions of section 52 of the Code. They are as follows: Section 2(11):—

“‘Legal representative means a person who in law represents the estate of a deceased person, and includes any person who intermeddles with the estate of the deceased, and, where a party sues or is sued in a representative character, the person on whom the estate devolves on the death of the party so suing or sued.”

Section 52—

“(1) Where a decree is passed against a party as the legal representative of a deceased person, and the decree is for the payment of money out of the property of the deceased, it may be executed by the attachment and sale of any such property.

(2) Where he such property remains in the possession of the judgement-debtor and he fails to satisfy the Court that lie has duly applied such property of the deceased as is proved to have come into his possession, the decree may be executed against the judgement-debtor to the extent of the property in respect of which lie has failed so to satisfy the Court in the same manner as if the decree had been against him personally.”

His argument is that under the definition the legal representative of a party sued in a representative character is described as “the person on whom the estate devolves” without any such qualifying words as “unless he has duly applied the estate.”. No doubt a legal representative is such, irrespective of whether at the moment of suit he is in possession of or is likely to acquire any assets, and under order XXII, rule 4, he can be brought on the record. It does not follow that there is any right to a decree against every legal representative, or that he cannot plead due application of all the assets of the deceased. As to section 52 the argument appears to be as follows. The section provides for the plea of due application of the assets, i.e, of plene administravit being taken in execution proceedings. Therefore it must be inferred that it cannot be taken at an earlier stage, namely, in the suit.

In English law the plea of plene administrvit could certainly be raised by a legal representative sued on a debt due from the deceased. In Jenks' “Digest of English Law” (1st edition), page 1369, paragraph 3253, it is stated:

“The liability of the personal representative, as such, to pay the debts on legacies of the deceased is primâ facie limited to the amount of the assets which he has received or which but for his wilful default be might have received. And a plea that he has fully administered the assets is, if proved, a defence to any claim by a creditor or a legatee. The liability of the heir, devisee or special occupant is similarly limited.”

And in Oxenham v. Clapp the plea of having fully administered was allowed even to an executor de son tort. Is this plea to be denied a legal representative in India merely on the ground that while section 52 of the Code of Civil Procedure specifically permits it to a legal representative in execution proceedings, there is no section of any Indian Act which either specifically or by implication provides for the plea being taken in the course of the suit on the debt? To hold this would be straining beyond all measure the maxim of unius inclusio alterius exclusio est. The fact that the plea of plene administravit can be taken in execution proceedings when events justifying such a plea may have occurred subsequent to the decree is no reason why it cannot be taken in the suit as a reason for no decree being passed. No doubt there is a presumption that a person who has come into the possession of any assets still has, or will have, assets to meet the claim, but this presumption arises from the burden of proving the contrary hieing on him as the person with special knowledge, of the administration. But the presumption is one, of fact and can be rebutted by evidence of due application of all the available assets. Take the case of an executor who has wound up an estate after advertisement for claims. Is a decree to be passed against him merely because he is the legal representative?

Indeed it would appear than a person sued for a debt as legal representative can resist the suit either on the plea that as the deceased left no assets, he can have no legal representative (since the expression has reference to some estate and does not mean merely a relation who would have been the heir if any property had been left) or again on the plea that he has duly applied all the assets available or proved to be available.

My conclusion then is that the lower courts were bound to decide the question whether the defendants had duly applied the assets that had come into their hands, and this required a decision as to the fact and amount of the dower debt.

Now I think that the trial court intended to find as a fact that there was no dower debt proved, and the lower appellate court that no dower debt of a specific amount was proved, which comes to the same thing. This is a finding of fact by which we are bound in second appeal.

The suit was, therefore, rightly decreed; but as the defendants were held to have had assets and to have wrongly applied them, the decree should have been a personal decree against them, jointly and severally, as they all admit a share of the assets excluding the debt claimed: Nathuram Siriji Sett v. Kutti Haji and Mihi Lal v. Babu Lal. The decree as it stands is wrong as it restricts the plaintiffs to execution against the assets of Abdul Qayum; but as no appeal has been filed by the plaintiffs it must be deemed that they are satisfied with the decree against the assets. I. therefore, concur in dismissing the appeal with costs.

By the Court.— The appeal is dismissed with costs.

Appeal dismissed.