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  • Section 79 read with Order 27 Rule 1 and in view of the provisions of the proviso contained in Order 1 Rule 9 of the Code of Civil Procedure, 1908
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  • Section 79 read with Order 27 Rule 1 and in view of the provisions of the proviso contained in Order 1 Rule 9 of the Code of Civil Procedure, 1908
Smart Summary

Factual and Procedural Background

The respondent-plaintiffs, conceding that the suit land belonged to the State of Haryana, filed a civil suit seeking declaration of certain rights over that land. Both the plaintiffs and the appellant-defendants were tenants on the property. In the trial court the defendants raised a preliminary objection that the suit was not maintainable without impleading the State of Haryana as a party. The trial court agreed and dismissed the suit for non-joinder of a necessary party on 23-11-2001 (Civil Suit No. 423 RT of 1998/2000).

On appeal, the first appellate court (Civil Appeal No. 109 of 2001) reversed the trial court on 30-09-2002, holding that the State was not a necessary party because no relief had been sought against it, and accordingly decreed the suit. The High Court of Punjab and Haryana, in Regular Second Appeal No. 4141 of 2002, affirmed that view on 22-10-2002. The present appeal challenges those concurrent appellate findings.

Legal Issues Presented

  1. Whether the suit for declaration of rights over land owned by the State of Haryana was maintainable in the absence of the State as a party.
  2. Consequently, whether the judgments of the first appellate court and the High Court affirming the decree could stand.

Arguments of the Parties

Appellant-Defendants

  • Asserted that under Section 79 and Order 27 Rule 1 of the Code of Civil Procedure, 1908 (CPC), the State of Haryana was a necessary party whenever any relief concerning State property is claimed. Hence the suit was not maintainable for non-joinder.

Respondent-Plaintiffs

The opinion does not contain a detailed account of the respondent-plaintiffs' arguments.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
State of Punjab v. Okara Grain Buyers' Syndicate Ltd., AIR 1964 SC 669 The State is a necessary party when relief is claimed against it under Section 79 CPC. Cited to reinforce the statutory requirement of impleading the State in suits concerning State property.
Ranjeet Mal v. Northern Railway, (1977) 1 SCC 484 Mandatory joinder of the Union/State in suits seeking relief involving its property or interests. Relied upon to underscore that omission to implead the State is fatal to the suit.
State of Kerala v. General Manager, Southern Railway, Madras, (1976) 4 SCC 265; AIR 1976 SC 2538 Reaffirmed the indispensability of the State/Union as a party where the claim concerns State-owned property. Used to buttress the conclusion that declarations affecting State property cannot be granted behind the State's back.
Chief Conservator of Forests v. Collector, (2003) 3 SCC 472 Necessity of impleading the true owner (the State) in disputes over Government land. Supports the view that absence of the State vitiates proceedings seeking rights in State land.
Collector v. Bagathi Krishna Rao, (2010) 6 SCC 427 Consistent application of Section 79 CPC in suits implicating State ownership. Cited as a recent reiteration of the principle that the State is a necessary party.

Court's Reasoning and Analysis

The Court examined Section 79 read with Order 27 Rule 1 and the proviso to Order 1 Rule 9 CPC. These provisions collectively mandate that where relief is claimed “against the State,” the State must be joined as a defendant. The Court found that seeking a declaration of rights over land admittedly owned by the State is, in substance, a relief against the State. Therefore, the trial court had correctly held the suit to be non-maintainable for want of a necessary party.

The first appellate court’s reasoning— that no relief had been sought against the State—was characterized as a “complete fallacy,” because the very declaration sought would affect the State’s proprietary rights. Without the presence of the owner, the court could not adjudicate those rights. The High Court, in affirming the appellate court, had likewise erred by overlooking the statutory mandate and settled precedent.

Holding and Implications

APPEAL ALLOWED. The judgments of the High Court (22-10-2002) and the first appellate court (30-09-2002) are set aside, and the trial court’s dismissal of the suit (23-11-2001) is restored. No order as to costs.

Implications: The decision reinstates the requirement that the State must be impleaded whenever declaratory relief is sought concerning State-owned land. It affects only the present litigation and expressly leaves unaffected any separate suit pending between the parties on the right of pre-emption.

    Jagtu v. Suraj Mal And Others

    Order

    1. Heard Sh. Mahabir Singh, learned Senior Counsel for the appellant and Sh. B.S Gupta, counsel for the respondents.

    2. Application for impleadment is allowed.

    3. This appeal has been preferred against the judgment and order of the High Court of Punjab and Haryana dated 22-10-2002 passed in Regular Second Appeal No. 4141 of 2002, which affirmed the judgment and order of the first appellate court dated 30-9-2002 passed in Civil Appeal No. 109 of 2001 reversing the judgment and decree passed by the civil court dated 23-11-2001 in Civil Suit No. 423 RT of 1998/2000.

    4. Admittedly, the respondent-plaintiffs had filed the suit seeking declaration of certain rights over the suit land admitting the factual position that the land belonged to the State of Haryana. The respondent-plaintiffs as well as the appellant-defendants were tenants in the said suit land.

    5. Before the trial court, the appellant-defendants had raised the preliminary objection regarding maintainability of the suit for non-joinder of parties. They had taken a stand that the suit for declaration of certain rights in the land belonging to the State of Haryana was not maintainable without impleading the State of Haryana.

    6. The trial court framed a large number of issues including the issue of maintainability of the suit for non-joinder of the necessary parties. After considering the case in totality, the trial court recorded the finding on the said issue that the suit was not maintainable for want of necessary parties and the suit was dismissed.

    7. The first appellate court reversed the finding on the said issue merely observing that the respondent-plaintiffs had not claimed any relief against the State, therefore, the State was not a necessary party and decreed the suit. The High Court, while considering the second appeal, affirmed the judgment and findings of the first appellate court and dismissed the second appeal preferred by the appellant-defendants.

    8. In view of the provisions of Section 79 read with Order 27 Rule 1 and in view of the provisions of the proviso contained in Order 1 Rule 9 of the Code of Civil Procedure, 1908, if any relief is claimed against the State, the State is a necessary party. This view has been reiterated by this Court time and again, as is evident from the judgments in State of Punjab v. Okara Grain Buyers' Syndicate Ltd. AIR 1964 SC 669; Ranjeet Mal v. Northern Railway (1977) 1 SCC 484; State of Kerala v. Southern Railway (1976) 4 SCC 265, AIR 1976 SC 2538; Chief Conservator of Forests v. Collector (2003) 3 SCC 472 and Collector v. Bagathi Krishna Rao (2010) 6 SCC 427.

    9. In view of the above, we are of the considered opinion that as the respondent-plaintiffs sought declaration of certain rights on the suit land belonging to the State of Haryana, the State of Haryana was a necessary party. There is a compete fallacy in the finding recorded by the first appellate court that the respondent-plaintiffs had not sought any relief against the State. The first appellate court failed to appreciate that declaration in respect of certain rights over the land belonging to the State was the relief sought in the suit. Thus, in the absence of the owner of the land, no such declaration could be granted. Therefore, the State of Haryana was a necessary party. The suit, therefore, could not proceed for want of necessary parties.

    10. In view of the above, the appeal is allowed. The judgment and order of the High Court of Punjab and Haryana dated 22-10-2002 passed in RSA No. 4141 of 2002 and the judgment and order of the first appellate court dated 30-9-2002 passed in CA No. 109 of 2001 are set aside and the judgment and decree of the trial court dated 23-11-2001 passed in CS No. 423 RT of 1998/2000 is restored. No order as to costs.

    11. Before parting with the case, it is clarified that if the suit between the parties is pending regarding the right of pre-emption before a competent court, this judgment shall have no bearing on the merit of the said case.

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    Comments

    Jagtu v. Suraj Mal And Others
    (Aug 5, 2010)