SUPREME COURT OF INDIA
C.A.Vaidialingam : J.M.Shelat
Gulam Abbas
Versus
Mulla Abdul Kadar
Case No. : 1562 of 1967
Date of Decision : 11/20/69
Civil Laws – Land Laws – Suit for redemption – Limitation – Appeal, founded on a certificate granted by High court of Madhya Pradesh involves a question of limitation in regard to a suit for redemption filed by the respondents – Trial court decreed suit and an appeal against that decree by appellants was dismissed. – Appellants thereupon filed a second appeal in High court which was allowed by Single Judge who dismissed respondents suit asoarred by the law of limitation applicable in then State of Jaora – Respondents took out a review petition against said decision on ground that it suffered from an error apparent on record in sense that Single Judge has failed to consider a provision of law embodied in Circular which had effect of amending law of limitation then in force in State and under which respondents suit was within time – Single Judge who heard second appeal being no longer on bench of High court, review petition was heard by a division bench – Division bench set aside decision giving effect to said circular and holding in the result that respondents suit was not barred by limitation and restored the decree passed by Trial court and confirmed by first Appellate court – Judgment in second appeal, heard by Single Judge, shows that busides question as to limitation, appellants had also raised question of adverse possession by them – But, as Single Judge has observed in clear terms, this was not pressed before him – Only question, therefore, he and division bench which heard review petition were called upon to decide was on relating to limitation – Held, There can be no doubt that circular was issued by Ruler in exercise of his legislative power and not as administrative instruction. – That is clear if circular were to be perused as a whole. – So perused, it is clear that it was issued as "a general rule" on account of contradictory orders having been passed by courts of State while dealing with documents of mortgages which did not specify or fix period of redemption. – That a Ruler of a State enjoyed unlimited sovereign powers including the power to legislate is well-settled. – Therefore Ruler of Jaora State had power to amend or supplement by exercising his power of legislation existing law within his territory. – Circular was such a legislative Act and saved present claim from being time-barred. – No point was taken at any time of suit being premature on ground that no notice, as envisaged by the circular, was given by the respondents. – Since an important amendment of law of limitation was totally disregarded by Single Judge, a review of his judgment and decision clearly lay as failure to consider an important provision of law materially affecting result of suit would be an error of law apparent on face of record. – Division bench, therefore, was right in entertaining review petition and on strength of said circular reversing decision of Single Judge. – Appeal Dismissed
J.M. SHELAT, J.
(1) THIS appeal, founded on a certificate granted by the High court of Madhya Pradesh) involves a question of limitation in regard to a suit for redemption filed by the respondents. The relevant facts from which the said suit arose are as follows :
(2) BY a deed of mortgage, dated December 29, 1899 one Yusufali and his two brothers mortgaged in favour of one Yarmohammad Khan their two shops at Jaora. The mortgage beingusufructuary, the mortgagee was delivered possession of the two shops. The said Yarmohammad died in 1909, whereupon his rights in the mortgaged properties devolved upon his daughter. The daughter also died in 1918 and her interest devolved upon her husband, one Nawab Iftikharali. He was in possession of the shops till 1945 when he purported to sell them to the appellants. On 21/09/1947 the respondents, claiming to be the successors-in-title of the mortgagors, filed the suit from which this appeal arises, against the said Nawab and the appellants, who claimed to be the purchasers of the said two shops from him.
(3) THE Trial court decreed the suit and an appeal against that decree by the appellants was dismissed. The appellants thereupon filed a second appeal in the High court which was allowed by a learned Single Judge who dismissed the respondents suit asoarred by the law of limitation applicable in the then State of Jaora. The respondents took. out a review petition against the said decision on the ground that it suffered from an error apparent on the record in the sense that the learned Single Judge has failed to consider a provision of law embodied in Circular No. 25, dated 1/05/1910 which had the effect of amending the law of limitation then in force in the State and under which the respondents suit was within time. The learned Single Judge who heard the second appeal being no longer on the bench of the High court, the review petition was heard by a division bench. The division bench set aside the decision giving effect to the said circular and holding in the result that the respondents suit was not barred by limitation and restored the decree passed by the Trial court and confirmed by the first Appellate court.
(4) THE Judgment in the : second appeal, heard by the learned Single Judge, shows that busides the question as to limitation, the appellants had also raised the question of adverse possession by them. But, as the learned Single Judge has observed in clear terms, this was not pressed before him. The only question, therefore, he and the division bench which heard the review petition were called upon to decide was on relating to limitation.
(5) THE said deed of mortgage provided that the two shops mortgaged thereunder were to be in possession of the mortgagee. It appears, however, that the shops at the time were let out because the deed itself provides that the interest on the mortgaged sum, which was settled at 12 annas per cent. was to be paid out of the rent fetched by the two shops. The shops fetched a rent of Rs. 40/15/per month out of which the mortgagee was to appropriate Rs.33/12/ per month in lieu of interest and the balance was to be paid by the mortgagee to the mortgagors. In the event of the rent falling short of that amount the mortgagors agreed to make good the shortage. The deed lastly provided: "The time of redemption of mortgage is settled to be that when we pay the entire mortgage money and other miscellaneous expenses in lump sum to the mortgagee and get out shops redeemed". No time for redemption having thus being provided in the deed, the mortgage amount, would be due and payable at once, i.e., from the date of the execution of the mortgage deed.
(6) THERE is no doubt that the State of Jaora had its own law of I imitation promulgated through various circulars and orders. This is clear from Section 12 of the Jaora State Limitation Act promulgated by the Ruler of the State on 14/04/1909. That section recites that prior to the e
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