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Case Summary — Appeal by Plaintiff against dismissal for alleged invalid notice under Section 80 CPC

Factual and Procedural Background

A consignment consisting of 40 drums of cocoanut oil and 11 bags of turmeric was consigned from Nimtala station on the B. & A. Railway to Mugma station on the E.I. Railway. On delivery it was discovered that four casks of cocoanut oil had been cut, resulting in a shortage of 20 maunds 8 seers of cocoanut oil. The plaintiff took delivery under a qualified receipt and claimed Rs. 1,287/1/- as damages.

The plaintiff served notices under section 77 of the Indian Railways Act and under section 80, Civil Procedure Code, addressed to the Secretary, Central Government, New Delhi, seeking compensation for short delivery.

At trial (Munsif), the court found that the loss was occasioned by the negligence/misconduct of the railway authorities and that the plaintiff was entitled to compensation; the amount claimed was held fair and reasonable. However, the trial court disallowed interest and dismissed the suit on the ground that the notice under section 80 CPC was invalid because it was not addressed to the Governor-General in Council.

On appeal to the Additional Subordinate Judge, the appellate court affirmed the trial court's dismissal on the same ground concerning the section 80 notice. The appellate court did not reconsider the trial court's findings on liability and quantum because those findings were not challenged before it.

The plaintiff appealed further to the court of two judges (Manohar Lall and Mahabir Prasad, JJ.), which is the subject of this opinion.

Legal Issues Presented

  1. Whether a notice under section 80, Civil Procedure Code, addressed to the Secretary to the Central Government (i.e., delivered to or left at that Secretary's office) is a valid compliance with section 80 when a suit against the Central Government names the Governor-General in Council (or its statutory successor) as defendant.
  2. Whether, having held at trial that the plaintiff proved liability and quantum against the railway, the respondent (defendant) could raise challenges to those findings at this stage when it had failed to contest them on the intermediate appeal.

Arguments of the Parties

Appellant's Arguments (Mr. A. N. Lal)

  • The notice under section 80 CPC in this case fully complied with the statutory requirements because it was addressed to the Secretary to the Central Government (i.e., delivered to the correct office), and therefore was valid.
  • Given the trial court's unchallenged findings that the railway was liable and the amount claimed was reasonable, the plaintiff's suit should have been decreed by the courts below.

Respondent's Arguments (Mr. Nitai Chandra Ghosh / Mr. N. C. Ghosh)

  • The courts below were correct to hold the section 80 notice invalid because it was not addressed to the Governor-General in Council (the defendant named under section 79 CPC).
  • After this Court holds the section 80 notice valid, the matter should be remanded to the Court of Appeal below for hearing on the merits because the appellate court had not decided the merits (liability and quantum) when it dismissed the suit for invalid notice.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Governor-General in Council v. T. M. Krishnaswami Pillai Discussed the formal sufficiency of a section 80 notice where a suit was originally instituted against a named official (Secretary of State for India) and subsequently amended to name the Governor-General in Council; the Madras High Court held the notice invalid in that case because it did not state the relief claimed against the Governor-General in Council after the amendment. The present court distinguished that decision on its facts: in T.M. Krishnaswami Pillai the person to be impleaded as defendant changed by reason of amendment to section 79, and the notice did not refer to the Governor-General in Council (nor state the relief as against that defendant). The present case did not involve such a change and therefore the considerations in that decision did not make the notice here invalid.
Governor-General in Council v. Amilal (Reuben, J.) Held that a section 80 notice need not mention the exact style under which the defendant will be impleaded; it is sufficient if it is clear against whom the suit is to be filed and, in the case of the Central Government, the notice required by section 80 may be delivered to or left at the office of the Secretary to that Government. The contents required by section 80 are: the cause of action, particulars of the plaintiff, and the relief claimed. The court adopted and expressly agreed with Reuben, J.'s observations in Amilal, holding that the present notice complied with section 80 because it stated the cause of action, identified the plaintiff and the relief claimed, and was served at the office of the Secretary to the Central Government. On that basis the court held the notice valid.

Court's Reasoning and Analysis

The court undertook a textual and functional analysis of section 80 CPC and the notices actually served in this matter. The key steps in the court's reasoning were:

  1. Examination of the notice (Ext. 6): the text of the notice was quoted and found to state the cause of action (short delivery of 20 maunds 8 seers of cocoanut oil), to identify the plaintiff (name, description and place of residence implied to be present in the notice), and to state the relief claimed (payment of compensation, otherwise suit will be instituted). Thus, the notice prima facie complied with the content requirements of section 80.
  2. Construction of section 80 CPC against section 79 CPC: section 79 prescribes how a plaint against the Central Government is to be framed (by naming the Governor-General in Council or the appropriate statutory successor). The court observed that section 80, which prescribes the notice requirement, requires that the notice be delivered to or left at the office of the Secretary to that Government in the case of the Central Government. The court reasoned that section 80 does not require the notice to be addressed to the defendant by the precise style under which the defendant will be impleaded under section 79.
  3. Distinguishing adverse authority: the court considered Governor-General in Council v. T. M. Krishnaswami Pillai, explaining that in that case the notice was held invalid because, following an amendment, the person to be sued changed and the notice did not refer to the Governor-General in Council nor state relief against that specific defendant. The court found that this factual matrix was not present in the present appeal.
  4. Reliance on supporting authority: the court adopted the reasoning in Governor-General in Council v. Amilal (Reuben, J.), which held that it is sufficient for a section 80 notice to make clear against whom the suit is to be filed and that delivering the notice to the Secretary's office satisfied section 80's delivery requirement; the formal style of naming the defendant is governed by section 79 in framing the plaint.
  5. Conclusion on validity of notice: applying the foregoing analysis to the present notice, the court concluded that the notice addressed to the Secretary, Central Government, was valid under section 80 and therefore the suit should not have been dismissed on that ground.
  6. On whether the merits should be reheard: the court rejected the respondent's contention that the case must be remanded to the Court of Appeal for a fresh hearing on merits. The court held that the respondent could have challenged and supported the decree on the merits in the intermediate appeal but did not do so; therefore the trial court's findings on liability and the amount of compensation, having not been contested on appeal, were binding for purposes of this appeal.

Holding and Implications

Holding: The judgment and decree of the lower courts are set aside, and the plaintiff's suit is decreed with costs throughout.

Implications and direct effect:

  • The court held that a section 80 notice delivered to or left at the office of the Secretary to the Central Government, which states the cause of action, identifies the plaintiff, and specifies the relief claimed, satisfies the requirements of section 80 CPC even though the defendant named in the plaint (under section 79) is the Governor-General in Council (or its statutory successor).
  • Because the trial court's findings on liability and the amount of compensation were not challenged on the intermediate appeal, those findings were allowed to stand and the plaintiff was awarded the relief claimed in the suit (subject to the decree entered).
  • The immediate consequence for the parties is that the plaintiff recovers the relief awarded by the trial court; costs were granted in the plaintiff's favour throughout.

This summary is derived exclusively from the opinion provided and does not add facts or legal conclusions beyond those contained in that opinion.

    B.S Firm v. Governor-General In Council

    Manohar Lall and Mahabir Prasad, JJ.:— This appeal is by the plaintiff from a decision of the Additional Subordinate Judge of Dhanbad confirming a decision of the Munsif of the same place dismissing the suit of the plaintiff for damages against the Governor-General in Council for short delivery of goods consigned to a railway.

    The suit was for recovery of Rs. 1,287/1/- as damages. A consignment of 40 drums of cocoanut oil and 11 bags of turmeric had been consigned from Nimtala railway-station on the B. & A. Railway to Mugma railway-station lying on the E.I Railway. At the time of taking delivery of the consignment it was detected that 4 casks containing the cocoanut oil had been cut, and as a result of this there was a shortage of 20 maunds 8 seers of cocoanut oil. The delivery was taken by the plaintiff under a qualified receipt. The plaintiff sent notices under section 77 of the Indian Railways Act to the various authorities as also a notice under section 80, Civil Procedure Code, addressed to the Secretary, Central Government, New Delhi, claiming damages for short delivery of 20 maunds 8 seers of cocoanut oil.

    The trial Court held that the plaintiff had succeeded in proving that loss of the consignment had been occasioned by the negligence and misconduct of the railway authorities, and the plaintiff, it was held, was entitled to be compensated for the loss. It also found that the amount claimed as damages was quite fair and reasonable. It however, disallowed interest. As it held that the notice under section 80, Civil. Procedure Code, served in this case was not addressed to the Governor-General in Council, and as such it was bad, the suit of the plaintiff was dismissed for want of proper and legal notice under section 80.

    On appeal, the learned Subordinate Judge agreed with the trial Court in its finding regarding the invalidity of the notice under section 80, Civil Procedure Code, and affirmed the decision arrived at by the trial Court. It appears he did not deal with the facts relating to loss sustained by the plaintiff and the amount of compensation claimed by him as the findings of the trial Court in respect thereof were not challenged before him.

    It has been contended before us by Mr. A.N Lal on behalf of the appellants that notice under section 80, Civil Procedure Code, in the present case complied fully with the provisions of that section, and the Courts below should have held that it was valid, and on the findings arrived at by the trial Court and not challenged before the Court of appeal below, this suit should have been decreed for the amount claimed by him as compensation for the loss suffered on account of short delivery of the consignment.

    The contention of the appellant seems to be well founded. On an examination of the notice (Ext. 6) it appears that it is addressed to the Secretary to the Central Government, New Delhi. The relevant portion of the notice reads as follows:

    “We would request you to make payment of our compensation for short delivery of 20 maunds 8 seers of cocoanut oil and for loss of empty casks as below with interest at one per cent per month to us as otherwise we will institute a suit in Court for recovery of the sum with interest thereon”.

    Now, section 80, Civil Procedure Code, requires that before a suit be instituted against the thrown two months must elapse after notice in writing has been delivered to or left at the office of, in the case of a suit against the Central Government, a Secretary to that Government, stating the cause of action, the name, description and place of residence of the plaintiff and the relief which he claims. This notice certainly states the cause of action. It also gives ??? the name, description and place of residence of the plaintiff and also the relief which he claims, namely, that unless he is compensated for the loss, be will bring a suit for recovery of the compensation claimed in the notice. It does prima facie comply with the requirements of section 80. The suit for loss sustained by non-delivery or short delivery of the consignment against the railway has to be instituted against the Central Government. section 79, Civil Procedure Code, provides as to how the plaint against the Central Government has to be framed. In the case of a suit by or against the Central Government, the Governor-General in Council is to be named, as defendant. It provides that it will be so before the establishment of the Federation of India and thereafter the Federation. The amendment to this section now provides that if a suit is to be instituted against the Central Government, the defendant to be named will be the Dominion of India. It will be seen that in section 80 which provides for the notice to be given in the case of a suit against the Central Government, there is no indication that the notice is to be addressed to the defendant, namely, the Governor-General in Council or the Federation of India or the Dominion of India. The notice in such a case, namely, in case of a suit against the Central Government, has, as provided for in section 80, to be delivered to or left at the office of the Secretary to that Government. It must obviously mean that the notice has to be addressed in such also to the Secretary, to that Government. In the case of Governor-General in Council v. T.M Krishnaswami Pillai the notice under section 80, Civil Procedure Code, was addressed to the Secretary, Central Government, but it was not held invalid on that ground. In fact, notice in that case was not attacked on the ground that it was not addressed to defendant to be named as such in a suit against the crown. In that case the suit was originally instituted against the Secretary of State for India. The notice under section 80 was addressed to the Secretary, Central Government. When the defect in the plaint was pointed out, it was amended by substituting the Governor-General in Council for the Secretary of State for India, but the notice under section 80 remained as it was, and no new notice addressed to the Secretary to the Central Government stating what relief the plaintiff claimed was served. Their Lordships of the Madras High Court held that the notice was invalid because section 80 required that it should be stated as to what relief the plaintiff claimed. In the notice in that case it was distinctly stated that if the plaintiff failed to receive redress, a suit would be instituted against the Secretary of State for relief against him. It was held that the notice was invalid because there was no reference to the Governor-General in Council, and, therefore, it could not be treated as claiming relief against the Governor-General in Council. Their Lordships observed that the fact that the officials on whom the notice is actually to be served are the same makes no difference. It will, therefore, be seen that in that case the very person who was to be defendant in that case under section 79, Civil Procedure Code, became a different person by reason of the amendment of section 79. No such consideration arises in the present case. The suit is to be instituted against the Central Government, and the notice has to be served upon the Secretary to that Government which, as already stated, has been done in the present case. The suit which came to be instituted was certainly in compliance with the provisions of section 79 against the Governor-General in Council as defendant. In the circumstances, it is difficult to see as to how it can be held that the notice under section 80 in the present case was invalid.

    It has been argued by Mr. Nitai Chandra Ghosh appearing for the respondent that the Courts below were right in holding that the notice not being addressed to the Governor-General in Council was invalid. He argues that as section 79 provides that the suit is to be instituted by naming the Governor-General in Council, as defendant the notice under section 80 must be addressed to the defendant, namely, the Governor-General in Council. This argument ignores the fact that so far as section 80 is concerned, it is complete in itself. It provides for a suit against the Crown and then provides that before such a suit is instituted a notice is to be given by using the word “served”. There is nothing in the wording of the section which may be construed as excluding the possibility of the notice being addressed to the same official at whose office the notice has to be left or to whom the notice is to be delivered. The very same question was raised in the case of Governor-General in Council v. Amilal decided by Reuben, J. sitting singly. This is what is stated in that decision in maintaining the validity of the notice which was being challenged on the ground that it was addressed to the Secretary, Central Government, instead of to the defendant who, according to clause (A) of section 79 Civil Procedure Code, is the Governor-General in Council:

    “The section lays down in distinct terms, the contents of the notice required by it, namely, the cause of action, the particulars of the plaintiff and the relief which he claims. It is not necessary that the notice should mention the exact style under which the, defendant is to be impleaded. It is sufficient if it is clear against whom the suit is to be filed, and in the case of a suit against the Central Government, this notice is to be delivered to or left at the office of the Secretary to that Government. The actual style under which the defendant is to be described is necessarily determined by the provisions of section 79.”

    We entirely agree with the observations of the learned Judge. We accordingly hold that the notice served under section 80 in the present case was a valid notice and the plaintiff's suit was not liable to be dismissed on that account.

    So far as the merits of the claim made by the plaintiff is concerned, the first Court found, as already stated, that the plaintiff had succeeded in proving it as against the railway. The learned Subordinate Judge did not go into the facts of the case because he agreed with the Munsif that the suit of the plaintiff was bound to fail on account of the invalidity of the notice under section 80. Now that this Court has held that the notice under section 80 was a valid notice, Mr. N.C Ghosh for the respondents contends that the case should be remanded to the Court of appeal below for being heard on merits. He contends that because the suit was dismissed on the finding that the notice under section 80 was invalid, it was not open to him to contest the findings given by the trial Court on the question of the amount of compensation or the liability of the railway for the loss that the plaintiff had suffered. We do not agree with this contention, it was open to the respondent in the Court of appeal below to support the decree on any of the grounds decided against him. The grounds on which the plaintiff's claim for compensation were held to be established were certainly open to challenge by him in the Court of appeal below. He not having done so, it is not open to the respondent now to challenge them.

    In view of these considerations the decree and, the judgment passed by the Courts below are set aside and the plaintiff's suit is decreed with costs throughout.

    K.D
    Appeal allowed.

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    B.S Firm v. Governor-General In Council
    (Feb 21, 1949)