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Dhananjai v. Rajkeshwar

Patna High Court
Feb 19, 1946
Smart Summary (Beta)

Structured Summary of the Opinion (Reuben, J.)

Factual and Procedural Background

This is a petition in revision against an order of the Subordinate Judge, first court, Arrah, which rejected an application for permission to sue as a pauper.

The applicant is a minor, aged about eight or nine years. He seeks to sue as the adopted son of defendant no. 1 to set aside a deed of gift executed by defendant no. 1 and defendant no. 2 in favour of their daughters (defendants nos. 3 to 5) dated 31 January 1943. The plaint prays for confirmation of possession and, alternatively, for recovery of possession of the properties covered by the deed of gift.

The Subordinate Judge rejected the pauper application on two stated grounds: (1) the petitioner, according to his proposed plaint, is in possession of the suit property and the value of his share exceeds the court-fee payable on the plaint; and (2) the petitioner's step-brother and natural father are assisting him in the litigation and are well able to pay the necessary sum.

Legal Issues Presented

  1. Whether the Subordinate Judge erred in rejecting the application to sue as a pauper on the ground that the petitioner (allegedly in possession of the property) had means because the value of his claimed share exceeded the court-fee.
  2. Whether the Subordinate Judge properly relied on evidence of third-party assistance (help from the petitioner's step-brother and natural father) to deny pauper status, by analogy to authorities dealing with champerty and suits promoted by persons using a plaintiff as a mere tool.
  3. Whether, under the first portion of the explanation to Order XXXIII, rule 1, Code of Civil Procedure, the subject-matter (the petitioner’s claimed share) can be taken into account in determining pauperism where the petitioner’s right to that share is disputed by the defendants.

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
Mahanth Jaikishun Dass v. Ram Narain Das (application for leave in forma pauperis) The Court may refuse leave to sue or appeal in forma pauperis where the suit or appeal is being promoted by third persons who use the plaintiff as a tool; the machinery is not to be used to promote the interest of champertors; if a person behind the scene finances the suit that is a ground for refusal. The Subordinate Judge relied on this authority to reject the pauper application because the petitioner had been financed in earlier litigation by his step-brother. Reuben, J. held that the authority was inapplicable here: unlike that precedent there was no finding that the petitioner was merely a tool or that the litigation was promoted by champertors; only prior financing in unrelated proceedings was shown.
Mt. Ramnandi Kuer v. Rup Narain Singh (Meredith, J.) Two objections to taking the value of the subject-matter into account under the first portion of the explanation to Order XXXIII, rule 1: (i) if the plaintiff’s interest is disputed, the court would have to determine the claim on merits (i.e., try the suit) to value it; (ii) allowing the claim’s value in all cases would, in practice, prevent bona fide claimants from suing as paupers because court-fees are a small proportion of the subject-matter’s value. Reuben, J. relied on these objections to hold that where the applicant’s right to the property is disputed (as here, adoption denied by defendants), the share claimed cannot be taken into account in deciding pauperism.
Ram Prasad Singh v. Jagdamba Prasad Singh Where applicants had an undisputed interest in a portion of joint family property not affected by the transfer in question, that interest could be considered in determining pauperism. The Court cited this as an example where subject-matter was rightly considered because the applicants’ entitlement to the unaffected share was not in dispute.
Provash Chandra Lahiri v. Municipal Commissioners of Howrah Distinguishes between being in "possession" of sufficient means and being "entitled to" property; held that sums not in the petitioner’s possession at the time of the application (available only after) could not be taken into account. Reuben, J. expressly disagreed with the two factual grounds relied on in that case (the Court’s interpretation that only actual possession counts and that availability after filing cannot be considered). He preferred the view that what matters is the capacity to raise the money, not mere present physical possession.
Mithai Lal v. Jagan Interprets "possessed of sufficient means to enable him to pay the fee" as meaning ability to pay (capacity to raise funds), not literal physical possession of property; cites Bai Balagauri v. Moti Lal. Reuben, J. adopted this interpretive approach (ability to pay controls). He observed that the Subordinate Judge relied upon Mithai Lal incorrectly: Mithai Lal involved no dispute as to the applicant’s right, whereas here the petitioner’s right is disputed.
Bai Balagauri v. Moti Lal Authority referenced in Mithai Lal concerning the effect of property being made available to the applicant after the pauper application had been filed. Used by Reuben, J. (via Mithai Lal) to support the proposition that "possessed of sufficient means" refers to capacity and that availability after filing does not automatically exclude consideration where the capacity to raise funds can be established.
Bhagwat Sahay v. Krishna Sahay Where an applicant’s share in joint family property was not disputed (in that case a share of four annas in property worth about sixty thousand rupees), that share could be taken into account in rejecting a pauper application. Cited as a case analogous to Mithai Lal in which the applicant’s right to the share was not contested and therefore the share’s value was properly considered.
Mt. Jainatun Nissa Bibi v. Mt. Idrakun Nissa Deferred dower was rightly excluded; but where an applicant’s right to an inheritance share exists (even if not in actual possession) the court should consider whether that right enables the applicant to raise the necessary fee — actual physical possession is not essential. Reuben, J. relied on this line to explain that the inquiry is into the capacity to raise funds based on a right to property, but only where that right is not genuinely disputed; in the present case the right is disputed and thus the share cannot be treated as providing means.

Court's Reasoning and Analysis

Reuben, J. proceeded through a focused legal analysis addressing the two grounds relied upon by the Subordinate Judge.

On the second ground (third-party assistance):

  • The Subordinate Judge treated prior financing of earlier litigation by the petitioner’s step-brother as a basis to deny pauper status, drawing on Mahanth Jaikishun Dass v. Ram Narain Das (authority about suits promoted by persons using a plaintiff as a mere tool and champerty).
  • Reuben, J. found this reliance misplaced. The Mahanth Jaikishun Dass authority concerned leave to appeal in forma pauperis where there was a clear finding that the plaintiff was being used as a tool; by contrast, the only finding here was that the petitioner had in earlier Land Registration proceedings been financed by his step-brother.
  • The Subordinate Judge’s statement about the motives of the step-brother and natural father—“it is difficult to state by which of the two motives ... I am sure, these persons will not leave the applicant in mid stream even if the application be rejected.”—did not amount to the sort of finding of champerty or that the petitioner was a mere instrument of others. Therefore the second ground was “clearly wrong.”

On the first ground (taking subject-matter into account):

  • Reuben, J. framed the issue with reference to the first portion of the explanation to Order XXXIII, rule 1, C.P.C.: a person is a pauper when he is not “possessed of sufficient means to enable him to pay the fee prescribed by law for the plaint.”
  • He accepted the settled principle that the subject-matter of the suit may, in proper cases, be taken into account under this first portion, but stressed important limits on this course. He relied on Meredith, J.’s analysis in Mt. Ramnandi Kuer v. Rup Narain Singh that (a) if the plaintiff’s interest in the property is disputed, valuation would require trial of the claim, and (b) allowing the claim’s value universally would prevent bona fide claimants from suing as paupers since court-fees are only a small proportion of a claim’s value.
  • Reuben, J. reviewed authorities where subject-matter was rightly considered (for example, where an applicant’s entitlement was undisputed: Ram Prasad Singh; Bhagwat Sahay; Mithai Lal) and authorities addressing what “possession of sufficient means” means (Provash Chandra Lahiri; Mithai Lal; Bai Balagauri).
  • He rejected the narrower reading in Provash Chandra Lahiri that required actual physical possession at the date of application. Instead, following Mithai Lal (and Bai Balagauri), he read “possessed of sufficient means” to refer to the applicant’s capacity to raise the money necessary to pay the court-fee — not literal physical possession of property.
  • Applying these principles to the present case, he found that the Subordinate Judge had equated alleged possession of the suit property with possession of the means to pay the fee and had therefore failed to focus on the true inquiry: whether the petitioner had the capacity to raise the necessary fee from the claimed share.
  • Critically, the petitioner’s right to the claimed share depended on the truth of his allegation that he was adopted by defendant no. 1 — an allegation denied by the defendants. Because this right was in dispute, taking the claimed share into account raised the Meredith objections (would require deciding contested factual and legal issues), and thus the share could not be treated as providing the means for payment.
  • Consequently, the Subordinate Judge’s approach was materially irregular and constituted a misdirection in law warranting interference by revision: the alleged share could not be taken into account in deciding pauperism where the right to that share was contested.

Holding and Implications

HOLDING: The revision petition was allowed; the order of the Subordinate Judge rejecting the application to sue as a pauper was set aside and the pauper application was ordered to be allowed.

Implications and immediate consequences:

  • The Subordinate Judge's order rejecting the pauper application is quashed.
  • The pauper application is allowed — the petitioner may sue as a pauper.
  • The only item of property relied upon to oppose the pauper application in the court below was the share claimed by the petitioner in the suit property; the Court held that this share could not be taken into account because the petitioner’s right to it was disputed.
  • Costs: the parties were directed to bear their own costs.
  • No broader rule of law or new precedent was announced beyond the court’s application of existing authorities and principles: the decision applies those precedents to the facts at hand and restricts consideration of disputed subject-matter when deciding pauperism under the first portion of the explanation to Order XXXIII, rule 1, C.P.C.

Additional procedural note: Imam, J. concurred. The Rule was made absolute.

Show all summary ...

Reuben, J.:— This is a petition in revision against an order of the Subordinate Judge, first court, Arrah, rejecting an application for permission to sue as a pauper.

The applicant petitioner is a minor aged about 8 or 9 years. He seeks to sue as the adopted son of defendant no. 1, to set aside a deed of gift executed by defendant no. 1 and his wife defendant no. 2 on the 31st January, 1943, in favour of their daughters, defendants nos. 3 to 5. There is a prayer for confirmation of possession, and in the alternative, for recovery of possession over the properties covered by the deed of gift. The application has been rejected on two grounds, firstly, that according to the allegations in the petitioner's proposed plaint, the petitioner is in possession, of the suit property, and the value of his share in it is considerably more than the court-fee payable on the plaint, and, secondly, that the petitioner's stepbrother and natural, father are helping him in the litigation, and are well able to pay the necessary sum.

The second ground given, by the Subordinate Judge for rejecting the application is clearly wrong and no attempt has been made before us to support it. The case is not covered by clause (e) of rule 5 of Order XXXIII of the Code of Civil Procedure, but the Subordinate Judge has relied upon Mahanth Jaikishun Dass… v. Ram Narain Das…Opposite Party. in support of the order passed by him. That was a case of an application for leave to appeal in forma pauperis, where there was a clear finding, by the court of first instance that the suit had really been promoted by certain persons who were using the plaintiff as a mere tool. Their Lordships held that the machinery of leave to sue or, to appeal in forma pauperis is not given for the purpose of promoting the interest of champertors and that one of the circumstances which should prevent the Court from granting permission is the fact, if brought to the notice of the Court, that the suit has been throughout and will, if the application is rejected, be financed by a person who is behind the scene. In the present case, all that the Subordinate Judge found is that in previous litigation in the Land Registration Department relating to this property, the petitioner was financed by his step-brother. Regarding the motives of the step-brother and the natural father in helping the petitioner, he says:

“Now the question is whether the applicant's step-brother and, natural father are helping him out of generous motives or with some object of self interest. Though it is difficult to state by which of the two motives the applicant's natural father and step-brother were actuated to help him in the land registration cases 27 in number, I am sure, these persons will not leave the applicant in mid stream even if the application be rejected.”

Clearly, on this finding, the case of Mahanth Jaikishun Dass… v. Ram Narain Das…Opposite Party. has no application.

I now come to the other ground upon which the Subordinate Judge has rested his order. The case is one within the first portion of the explanation to Order XXXIII, rule 1, Code of Civil Procedure, namely, that a person is a pauper when he is not possessed of sufficient means to enable him to pay the fee prescribed by law for the plaint in the suit. It is now Well settled that unlike the second portion of this explanation the first portion permits the subject-matter of the suit being taken into consideration in determining whether the applicant is a pauper. It does not follow, however, that the subject-matter of the suit must be taken into account in all such cases. Two serious objections to this course have been pointed out very lucidly, if I may say so with great respect, by Meredith, J. in Mt. Ramnandi Kuer v. Rup Narain Singh. Firstly, where the plaintiff's interest in the property is in dispute, the Court, in order to come to a finding as to its present value, would have first to determine the claim upon the merits, in other words, to try the suit. Secondly, the effect of allowing the value of the claim in all cases to be included in the petitioner's means would be, in practice, that no one having a bona fide claim could ever be allowed at all to sue in forma pauperis, since whatever the value of the subject-matter of the suit the court-fees must only be a small proportion of that value.

The case with which Meredith, J., was dealing was one of a suit on the foot of a simple mortgage bond, and his Lordship held that this was a mere chose-in-action the value of which the Court was not entitled to consider in determining whether the applicant was a pauper.

Several other cases were cited before us at the Bar. In Ram Prasad Singh v. Jagdamba Prasad Singh the applicants were minor sons suing to set aside an alienation by their father of joint family property. There was a share of the joint family property which was not affected by the transfer in question, and their Lordships held that the applicants' interest in this share was rightly considered in determining that they were not paupers. This was not a case in which the subject-matter of the suit was taken into account in determining the question.

In Provash Chandra Lahiri v. Municipal Commissioners of Howrah the applicant was a Sanitary Inspector under the Howrah Municipality, seeking permission to sue the Chairman and the Commissioners of the Howrah Municipality, claiming damages for wrongful dismissal. The defendants admitted liability to a portion of the claim on account of the: provident fund, and stated that the sum was available to the plaintiff at any time that he would ask for it. Their Lordships drew a distinction between the first and the second portion of the explanation to rule 1 of Order XXXIII that the former speaks of

“possession”

of sufficient means whereas the latter speaks of being

“entitled to”

property, and pointed out that in the case before them the petitioner was not in possession of the money. Secondly, they were of the opinion that, in considering the question of pauperism, the matter must be looked at as it stood at the date when the application was made, and that this money could not be taken into account because it became available to the petitioner only after the application in question had been filed. With great respect I am unable to agree with either of these grounds. The possession that is spoken of in the first portion of the explanation is not possession of property but

“of sufficient means”

and what the court is concerned to enquire into is not actual possession of property, but capacity to raise the money necessary to pay the court-fee. I would agree with Sulaiman, C.J, and Hamilton, J., in Mithai Lal v. Jagan where, with reference to Bai Balagauri v. Moti Lal, they say: “The words used are not that the plaintiff should not be possessed of sufficient property to enable him to pay the fee. If such words had occurred, it might well have been argued that it must be established that the plaintiff was in actual physical possession of some property which would yield the necessary amount. But the words used are ‘possessed of sufficient means to enable him to pay the fee’, which in our opinion merely mean that he is able to pay the fee. To lay down that even where the plaintiff can easily obtain possession of ornaments and cash lying to his credit “in Court, he is not possessed of sufficient means because he has not yet taken delivery of such ornaments and cash would, in our “opinion, be contrary to the intention of the Legislature.” The case of Balagauri, it may be noted, was a case in which the property in question was made available to the applicant after her application for permission to sue as a pauper had been filed.

In Bhagwat Sahay v. Krishna Sahay the applicant sought to institute a suit for the partition of joint family property worth about sixty thousand rupees, and the share of the applicant in that property was four annas. James, J. refused to interfere with the order of the Subordinate Judge taking the value of this share into account for rejecting the application. It does not appear from the record that the applicant's right to this share in the joint family property was disputed. Mithai Lal v. Jagan was a similar case.

In Mt. Jainatun Nissa Bibi v. Mt. Idrakun Nissa the applicant was a Muhammadan lady, and the opposite-party relied upon two items of property as justifying the rejection of her application. One of these items was the dower due to the applicant from her second husband. This was deferred dower and it was held by Dhavle, J. to have been rightly excluded from consideration. The other item was the lady's share in the inheritance from her first husband. This was left out of account by the Subordinate Judge on the view that, the applicant being admittedly not in possession of the inheritance from her husband, her prospective right of possession did not entitle the Court to hold that she was possessed of sufficient means to enable her to pay the prescribed court-fee. His Lordship held that this was not the correct mode of approach, and that the applicant could not succeed unless she showed that she was not possessed of sufficient means. In other words, his Lordship did not regard actual possession of the property as essential; the question for enquiry being not the possession at property but the possession of sufficient means for the payment of the necessary court-fee, the Court has to apply its mind to the consideration of whether the applicant's right to the particular property is such as to enable him to raise money thereon. In this case, as in the previous two cases, it does not appear that there was any dispute regarding the applicant's right to the share of her husband's inheritance.

From a consideration of the above decisions it is clear that, in an inquiry of this kind falling within the first portion of the explanation to rule 1 of Order XXXIII, the subject-matter of the proposed suit may, in proper cases, be taken into consideration, but the inquiry should in all cases be directed to the ascertainment of the applicant's capacity to raise the necessary court-fee. In the present case, the Subordinate Judge, after mentioning the cases of Ramnandi Kuer and Bhagwat Sahay, deals with the question as follows:

“As there is a clear allegation in the application that the applicant is in joint possession over the properties mentioned in the application—a tact which has been affirmed by his step-brother, it is clear that the applicant is in possession over properties which can be converted into cash.”

He has taken the alleged possession of property to be equivalent to the possession of the means necessary for paying court-fee, and has thus missed the only question which arose for investigation in the case. In support of this he has cited the case of Mithai Lal, but that was a case where there was apparently no dispute about the applicant's right to a share in the property. On the contrary, in the present case, the applicant's right to a share in the property in suit depends upon the truth and otherwise of his statement that he is the adopted son of defendant no. 1, an allegation, which it is clear from the record, is denied by the defendants, and the taking of the, share into consideration is open to both of the objections noted by Meredith, J.

On the above grounds I am of the opinion that the Subordinate Judge has entirely misdirected himself and has acted with material irregularity by failing to investigate the only point which arose for decision in the case. I would, therefore, allow this petition, and set aside the order of the Subordinate Judge. The only item of property on which reliance is placed in opposing the pauper application is the share claimed by the petitioner in the suit property. On the grounds mentioned above, this property cannot be taken into consideration in deciding the question of pauperism. The pauper application must, therefore, be allowed. In the circumstances of the case, the parties should bear their own costs.

Imam, J.:— I agree.

Rule made absolute.
K.D