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Bhutan Ram v. Madan Lal
Factual and Procedural Background
This matter is a revision under Section 25 of the Provincial Small Cause Courts Act. The plaintiff (the opposite party in the revision) sued in the Court of Judge Small Causes, Gorakhpur, for recovery of Rs. 70 for cement supplied to the defendant (the applicant in the revision). The final disposal date was fixed for 31 March 1944. On that date the defendant applied for time to file his written statement; that application was granted and the case was adjourned to 2 June 1944.
On 2 June 1944 the plaintiff was present but the defendant (who had not filed his written statement) was absent. The Small Cause Court Judge examined one witness for the plaintiff and entered a decree whose operative portion stated:
“The suit to recover Rs. 70 is decreed with costs against the defendant ex parte.”
On 5 July 1944 the defendant filed an application purporting to be under Order IX, Rule 13 of the Civil Procedure Code (CPC). That application was heard on 22 August 1944, and the Small Cause Court Judge dismissed it without going into merits on the ground that the suit had been decided under Order XVII, Rule 3 of the CPC. The defendant then preferred the present revision.
Legal Issues Presented
- Whether the decree passed on 2 June 1944 was a decree under Order XVII, Rule 3 (i.e., a decision on the merits on an adjourned hearing where time had been granted for acts necessary for the suit's progress) or whether it was an ex parte decision under Order IX, Rule 6 such that an application under Order IX, Rule 13 (to show cause for non-appearance) was maintainable.
- Whether granting time to the defendant to file a written statement amounts to granting time to perform an act "necessary to the further progress of the suit" within the meaning of Order XVII, Rule 3 (and related rules), thereby precluding relief under Order IX.
- Whether, given the court's characterisation of the decree, the application filed by the defendant under Order IX (variously identified in the opinion as Rule 13 and then later referenced to Rules 18) was maintainable or rightly dismissed by the Small Cause Court.
Arguments of the Parties
Applicant's (Defendant's) Arguments
- The suit was not decided under Order XVII, Rule 3 of the CPC but was decided ex parte under Order IX, Rule 6.
- Because the decree was ex parte under Order IX, Rule 6, an application under Order IX, Rule 13 was maintainable to show cause for non-appearance and to seek setting aside of the decree.
Opposite Party's (Plaintiff's) Arguments
- Time had been granted to the defendant to file his written statement and that filing was necessary to the further progress of the suit; accordingly the hearing on 2 June 1944 was an adjourned hearing governed by the terms of Order XVII, Rule 3.
- When the conditions of Order XVII, Rule 3 are satisfied the only decree the court could properly pass on that adjourned date was one on the merits under Order XVII, Rule 3, and applications under Order IX (to set aside as for non-appearance) would be precluded.
Table of Precedents Cited
| Precedent | Rule or Principle Cited For | Application by the Court |
|---|---|---|
| Bhajan Singh v. Prem Narain, 1936 A.L.J. 1274 | Held that filing a list of witnesses on behalf of the defendant before the case was called did not amount to an appearance; a decree could be ex parte within the meaning of Order IX, Rule 13 even if it was one necessarily on the merits. | The Court distinguished this case from the present facts: there the adjournment was for a prospect of compromise (not an act mentioned in O.17 R.3), so the present case (where time was granted to file a written statement) is different. |
| Sheo Pujan Kalwar v. Bishnath Kalwar, 1939 A.L.J. 627 | Interpreted Order XVII, Rule 3 to mean that when an adjournment is for an object contemplated by R.3 (for example, to enable filing of a written statement), if the court decides the suit on the adjourned date the decision must be on the merits and an application under O.9, R.13 does not lie. | The Court regarded this ruling as on all fours with the present facts and expressly followed it, treating the adjourned hearing for filing a written statement as covered by O.17, R.3. |
| Narain Das v. Madan-Mohan, (1939) A.L.J. 371 | Applied O.17, R.3 where the suit was adjourned on a joint application to enable summoning and production of witnesses. | The Court cited this case as another authority supporting the applicability of O.17, R.3 in adjournment circumstances relevant to progress of the suit. |
| Raja Singh v. Manna Singh, A.I.R. 1940 All. 217 | Held that where defendants had not failed to take any step for which time had been allowed, O.17, R.3 did not come into play. | The Court observed this ruling was of no assistance for the present controversy and noted the Bench in that case had not dissented from the 1939 A.L.J. 627 decision but had distinguished it. |
Court's Reasoning and Analysis
The court examined the text and interrelation of the relevant provisions of Order XVII and Order IX of the CPC as applied to adjourned hearings. It observed that Order XVII, Rule 2 expressly permits the court, on an adjourned hearing, to pass an order under Order IX, whereas Order XVII, Rule 3 merely states that the court may proceed to decide the suit on the merits and makes no alternative reference to Order IX. The court regarded the omission of any reference to Order IX in Rule 3 as significant and inferential that when the conditions stipulated in Rule 3 are satisfied, the application of Order IX is precluded and the only proper order the court may pass is one under Order XVII, Rule 3 (i.e., a decision on the merits).
The court analyzed prior authorities relied upon by both sides:
- Bhajan Singh v. Prem Narain was heavily relied upon by the defendant; in that decision the bench held that filing a list of witnesses did not amount to appearance and so the decree (although on the merits) was ex parte for the purposes of Order IX, Rule 13. The present court distinguished that case on its facts because the adjournment there was for a prospect of compromise, which is not among the acts mentioned in Order XVII, Rule 3.
- Sheo Pujan Kalwar v. Bishnath Kalwar was cited for the proposition that an adjournment to enable filing of a written statement is an adjournment for an object contemplated by Order XVII, Rule 3, and that where the court decides the suit on such an adjourned date the decision must be on the merits and an application under Order IX, Rule 13 does not lie. The court found this ruling closely analogous and followed it.
- Narain Das v. Madan-Mohan was cited as another authority where O.17, R.3 was held applicable when the adjournment was to enable summons/production of witnesses.
- Raja Singh v. Manna Singh was considered not helpful because its facts differed and it had distinguished the 1939 A.L.J. 627 ruling.
Having considered the authorities and the nature of the adjournment (time was granted to the defendant to file his written statement), the court concluded that granting time to file a written statement is among the acts covered by Order XVII, Rule 3. The court therefore determined that the decree passed on 2 June 1944 was a decree under Order XVII (the opinion states specifically Order XVII, Rule 8). Based on that characterisation, the court concluded that provisions of Order IX (the opinion refers specifically to Order IX, Rule 18 in one passage) could not apply, and that the Small Cause Court Judge correctly dismissed the defendant's application to set aside the decree as not maintainable under Order IX.
Holding and Implications
Holding: The revision is dismissed. The court held that the decree dated 2 June 1944 was a decree under Order XVII (the opinion identifies Order XVII, Rule 8) of the CPC, and consequently applications under provisions of Order IX (the opinion refers to Rule 18 in this context) were not applicable; the Small Cause Court Judge rightly dismissed the defendant's application to set aside the decree.
Direct consequences for the parties:
- The defendant's application (filed on 5 July 1944 purporting to be under Order IX of the CPC and heard on 22 August 1944) was properly dismissed by the Small Cause Court; that dismissal is sustained by this Court.
- Costs: The Court ordered that the parties shall bear their own costs in this Court.
The opinion does not state that a new binding precedent was laid down; rather, it relies upon and follows existing decisions (notably Sheo Pujan Kalwar v. Bishnath Kalwar) and distinguishes other authorities on their facts. No broader precedent-making declaration beyond the application of existing authorities to the facts of this case is expressly claimed in the opinion.
1. This is a revision under Section 25 of the Provincial Small Cause Courts Act. The facts may he stated as follows: The plaintiff, who is the opposite party in this revision, filed a suit in the Court of Judge Small Causes, Gorakhpur, for recovery of a sum of Rs. 70 on account of the price of cement supplied by him to the defendant, who is the applicant before me. 31st March 1944, was fixed for the final disposal of the suit. On that date, an application was made by the defendant for time to file his written statement. This application was granted and the case was adjourned to 2nd June, 1944 on which date although the plaintiff was present, the defendant, who had not filed his written statement, was absent. The learned Judge examined one witness on behalf of the plaintiff and decreed the suit. The operative portion of the judgment runs as follows: “The suit to recover Rs. 70 is decreed with costs against the defendant ex parte.” On 5th July, 1944, the defendant filed an application purporting to be under O. 9, R. 13 of the CPC. This application came on for hearing on 22nd August, 1944, and the learned Small Cause Court Judge, without going into the merits of the application, dismissed the same upon the ground that it was not maintainable, as the suit had been decided under O. 17, R. 3 of the CPC. From that order the defendant has preferred this revision.
2. Learned counsel for the applicant contends that the suit was not decided under O. 17, R. 3 of the CPC, and that it was decided ex parte under O. 9, R. 6 of that Code and, therefore, an application under O. 9, R. 13 was maintainable. On the other hand, counsel for the opposite party argues that time had been granted to the defendant to file written statement, which was necessary to the further progress of the suit, and therefore the date, on which the suit was decided, was an adjourned hearing. The result, according to learned counsel, was that the terms of O. 17, R. 3 were satisfied and the only decree which the Court could pass on that date was one upon the merits under O. 17, R. 3. In order to appreciate the rival contentions of learned counsel appearing for the parties in this case, it is necessary to note that while O. 17, R. 2 mentions that it is open to the Court, on an adjourned hearing, to pass an order under O. 9; O. 17, R. 3 merely says that the Court may proceed to decide the suit on the merits and does not, as an alternative, mention that it may pass an order under O. 9. The omission of reference to O. 9, in O. 17, R. 3 is significant and leads to an inference that if the conditions mentioned in O. 17, R. 3 are satisfied, the application of O. 9 is precluded and the only order which the Court can pass is one under O. 17, R. 3.
3. I now proceed to examine the rulings relied upon by learned counsel for the parties in this case. Strong reliance is placed by learned counsel for the defendant upon the ruling in [Bhajan Singh v. Prem Narain] 1936 A.L.J 12741. In that case, on the first date of hearing, the suit was adjourned at the instance of both the parties. It appears that the reason for adjournment was that there was a prospect of compromise. On the adjourned date, a list of witnesses signed by the defendant's counsel was filed in Court even before the case was called on for hearing, but at the time when it was called on, the plaintiff, his witnesses and his pleader were present. Thereupon the Court recorded the evidence produced on behalf of the plaintiff and decreed the suit, professedly, under O. 17, R. 3. On that very day, an application for setting aside the decree was made by the defendant and the learned Judge, without going into the merits of the application, rejected the same upon the sole ground that the decree having been passed under O. 17, R. 3, such an application did not lie. In these circumstances, Sulaiman, C.J and Collister, J. came to the conclusion that, in the case before them, although the decree was one necessarily on the merits, the proceedings against the defendant being ex parte, the decree passed against him would also be ex parte within the meaning of O. 9, R. 13 of the CPC. After holding that the mere filing of a list of witnesses did not amount to an appearance on behalf of the defendant, the Bench reached the conclusion that the decree passed against the defendant was without doubt ex parte and he was entitled as of right to show cause for his non-appearance under O. 9, R. 13. The facts of that case are distinguishable from the facts in the present case. A request by the parties for adjournment of the case on the ground that there is a prospect of a compromise, is not one of the acts mentioned in O. 17, R. 3. In that case, it could not be said that time had been granted to the parties or to anyone of them to perform any of the acts necessary for the progress of the suit.
4. Learned counsel for the applicant urges that a prayer for time to file a written statement would also not be covered by the terms of O. 17, R. 3 and the filing of a written statement does not amount “to the performance of any act necessary to the further progress of the suit” within the meaning of O. 17, R. 8. Having regard to the authorities which I shall quote hereafter, I am not prepared to accede to this contention. In my judgment, granting of time by the Court to file a written statement is covered by the provisions of O. 17, R. 3. On behalf of the plaintiff my attention has been invited to the ruling in [Sheo Pujan Kalwar v. Bishnath Kalwar] 1939 A.L.J 6272. In that case, the defendant appeared on the date fixed for the final decision and applied for an adjournment in order to file a written statement. This prayer was allowed and, on the adjourned date, the defendant did not appear and the suit was decreed ex parte against him. Thereupon, an application for restoration was made and disposed of. The question, whether such an application was maintainable was mooted in this Court. Collister, J. who decided that case read O. 17, R. 3 to mean that the only discretion, which was conferred upon the Court in a case where the conditions mentioned in O. 17, R. 3 were satisfied, was either to decide the case on that date or not, but if it did decide the suit, the decision was bound to be on the merits. Collister, J. was of the view that the adjournment was granted for one of the particular objects contemplated by R. 3, and that although the decree was ex parte in the sense that it was passed in the absence of the defendant, appearance on behalf of the defendant had to be assumed whether he was, in fact, present or not. The absence of any mention of O. 9, in O. 17, R. 3 was also noticed and it was held that the application for restoration under O. 9, R. 13, did not lie. This ruling appears to be on all fours with the facts of the present case and I respectfully follow it. It is worthy of note that O. 17, R. 3 expressly lays down that the Court may proceed to decide the suit on the merits, whether the party in default is present or not.
5. The next ruling to which reference has been made by learned counsel for the plaintiff is that in [Narain Das v. Madan-Mohan] (1939) A.L.J 3713. In that case, the suit was adjourned on a joint application made by both the parties in order to enable them to have sufficient time to summon and produce witnesses.
6. On the adjourned hearing, the plaintiff was absent and his counsel stated that he had no instructions to proceed with the case. Thereupon the Court recorded such evidence as was produced by the defendants and dismissed the suit under O. 17, R. 3. It was held that O. 17, R. 3 was applicable. Reference was made before the Bench, which decided this case in the High Court, to ruling in (1936) A.L.J 1274 and referred to above, and the Bench distinguished it upon the ground that the real point that arose for decision in that case was whether the filing of a list of witnesses on behalf of the defendant before the case had been called on for hearing did or did not amount to an appearance on behalf of the defendant within the meaning of O. 17, R. 2. Learned counsel for the plaintiff also referred me to the case in [Raja Singh v. Manna Singh], A.I.R 1940 ALL. 2174. In that case, on the date fixed for final hearing, the plaintiff appeared but neither the defendants nor their counsel appeared and after the recording of evidence produced by the plaintiff, the suit was decreed. On the facts of the case, it was held that it could not be said that the defendants had failed to take any step for which time had been allowed and, therefore, O. 17, R. 3 did not come into play. This ruling is not of any assistance in the decision of the point in controversy before me. The case in (1939) A.L.J 627 mentioned by me above was referred to before the Bench which decided the case in A.I.R 1940 ALL. 217 and the learned Judges did not dissent from the decision in (1939) A.L.J 627 and distinguished the same from the case before them.
7. On the whole matter, I have arrived at the conclusion that the decree passed by the learned Small Cause Court Judge on 2-6-1944 was one under O. 17, R. 8 of the CPC. To such a decree, in my opinion, O. 9, R. 18 could not apply and the application for setting aside the decree under that rule was rightly dismissed by the learned Small Cause Court Judge. For the reasons indicated above, I dismiss this revision but in the circumstances of the case, I order the parties to bear their own costs in this Court.
G.M/D.H
8. Revision dismissed.
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