IMPORTANT POINT
Cause of action accrues only when the right asserted in the suit is infringed or there is at least a clear and unequivocal threat to infringe that right. Mere existence of an adverse entry in the revenue records cannot give rise to cause of action.

JUDGMENT

ASHOK BHUSHAN, J.

This appeal has been filed by the defendant against the judgment of the High Court of Judicature at Hyderabad for the State of Telangana and the State of Andhra Pradesh dated 11.03.2016 allowing the plaintiffs’ appeal.

2. Brief facts of the case for deciding this appeal are:

The parties shall be referred to as described in the suit. The plaintiffs have been carrying on business of producing, distributing and exhibiting cinematographic films. On a request of 4th defendant, M/s. N.S. Films, the plaintiffs on 23.12.1994 assigned to four persons nominated by 4th defendant satellite broadcasting rights of 16 Hindi films for a period of 9 years. The assignments were made by six assignment deeds all dated 23.12.1994. In the year 1995, plaintiffs came to know about the pendency of the Small Causes Suit filed in Bombay, Small Causes Suit No.281 of 1995 by 3rd defendant, M/s. Asia Vision against the 4th defendant seeking for relief of declaration and injunction in respect of above 16 films, on the basis of certain documents purporting to be a deed of assignment dated 07.10.1994 and declaration dated 15.10.1994 allegedly assigned by D. Suresh Babu assigning satellite and Doordarshan rights in favour of 4th defendant. The suit at Bombay was filed on the basis of notarised of the said forged documents. Shri D. Ramesh Babu, Director of first plaintiff lodged a complaint with the Police Station, Jubilee Hills, Hyderabad complaining about the said forgery. Defendant No.3 had also lodged complaint against 4th defendant and plaintiffs at Mumbai. Several criminal proceedings were filed by the plaintiffs as well as by defendant Nos.3 to 8. However, suit filed by the other parties came to be dismissed for default and controversy was subsided.

3. The plaintiffs issued a public notice in the Film Information Magazine on 27.09.2003 with respect to the above said 16 Hindi films. A legal notice from first defendant on 14.10.2003 in reply to the notice of the plaintiffs was received where defendant No.1 claimed that they have acquired satellite broadcasting, Pay TV and Cable TV rights of all above 16 Hindi films from defendant No.2, M/s. B.N.U. & Co. vide deed of assignment dated 21.03.1997 for a period of 99 years and that, M/s. B.N.U. & Co. had in turn acquired the said rights from M/s. Asia Vision, defendant No.3, vide agreement dated 16.03.1997. The first defendant called upon the plaintiffs to withdraw the said public notice. The plaintiffs sent reply dated 17.10.2003 refuting the facts in the notice of the first defendant. The plaintiffs filed Original Suit No.392 of 2003 on 11.11.2003 before the Chief Judge, City Civil Courts, Hyderabad, for declaration that defendant Nos.1 to 4 have no manner of right, title and interest in the Copyright in respect of the scheduled films, to pass a decree of perpetual injunction against defendant Nos. 1 to 4.

4. First defendant filed written statement. It was pleaded that D. Suresh Babu representing the plaintiff Nos.1, 3 and 4 assigned T.V. Doordarshan and world satellite rights in the said 16 films in favour of 4th defendant on 10.10.1994 for a valuable consideration of Rs.55,00,000/-. The 6 assignment deeds dated 23.12.1994 was alleged to be manufactured for the purpose of claiming rights in the suit scheduled films. Although, the above plaintiffs have already been divested of their rights by assignment dated 10.10.1994 with 4th defendant. Under deed of assignment dated 17.10.1994, the 4th defendant had assigned the rights to third defendant and third defendant in turn assigned the rights to second defendant by deed of assignment dated 16.03.1997. First defendant claims deed of assignment from second defendant by assignment deed dated 21.03.1997. First defendant pleaded that from 21.03.1997 it has been exercising the satellite broadcasting rights acquired under the deed of assignment and the suit scheduled films have been telecasted as many as 223 times on various occasions since August 1