Ramji Lal Decree-Holder v. Karan Singh And Another Judgment-Debtors

1. This appeal arises out of a suit which was originally instituted upon foot of a mortgage. The suit resulted in a compromise decree, which provided that the defendants should pay Rs. 600 by certain instalments therein mentioned and that in default of any one of the instalments the property should be sold for the full amount of the claim and costs. It is alleged (and we may assume for the purposes of this appeal) that the judgment-debtors paid several of the instalments. According to the decree-holder default was first of all made on 2nd February 1915. Such default having been made, the present application was preferred for a final decree under O. 34, R. 5. The Court below has dismissed the application as being barred by time. The Court relying on a decision of this Court [affirmed by the decision reported as Chhattar Singh v. Amir Singh(1)], has dismissed the application as barred by time. The case referred to was a case of a simple money decree and the application was for execution. O. 21, R. 2, Cl. 3, provides that any payment or adjustment which has not been certified in the prescribed manner shall not be recognized by any Court executing the decree.

2. The application in the present case was not an application for execution of the decree. Under the present Code an application for a final decree is not an application in execution. The case cited, therefore, has no application. The Court, below seems to have applied Article 182 of the Schedule to the Limitation Act. The proper Article in our opinion is Article 181 and limitation should run from the time when default was made. It will be for the Court below to ascertain when default was made, if at all. We must allow the appeal, set aside the decisions of both the Courts below and remand the case to the Court of first instance through the lower appellate Court, with directions to re-admit the application under its original number in the file and proceed to hear and determine the same according to law. Costs will be costs in the cause. Costs in this Court will include fees on the higher scale.

V.B/R.K

3. Appeal allowed.