SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

1983 Supreme(AP) 331

Andhra Pradesh High Court
Judges : A.RAGHUVIR, P.R.RAO
Poosarla Venkata Ratnamma Power of Attorney holder V.Someswara Rao - Appellant
Versus
Sivakoti Sundara Ratnamma - Respondent
A.S. No. 801/76
Decided On : 09-22-83
Advocates Appeared :
Mr. C. Poornaiah, Mr. K. Venkataratnam

Headnote:CIVIL PROCEDURE CODE, Order 2, Rules 1 and 2 - Scope and applicability - Earlier suit for recovery of interest from defendants on the foot of a mortgage - Subsequent suit filed after two years of the decree in the earlier suit for recovery of principal and interest - Suit is tarred under Or. 2, Rule 2.

       Held: Order 2, Rules 1 and 2 C. P. C. are designed to arrest the proliferation of litigation. Rule 2 interdicts the filing of different suits in respect of multiple relief s springing from the same cause of action. In the event of a case of action sprouting plurality of relief s the suit comprising the entirety of relief s has to be filed to save the bar under Rule 2. This provision seeks to set at sought the services of suits on the same cause of action. In the event of shrinking or confirming the suit to some relief s only the subsequent suit in respect of remainder relief s is precluded.

       In the instant case the suit is filed for interest alone initially and the subsequent suit is concerned with the entire amount, the mortgage deed provided that the interest is payable once in three months and in default the same shall be payable together with interest and the principal and the arrears of interest shall be paid within two years from the date of mortgage. The earlier suit was filed on 9-8-1970 for the recovery of interest only and for personal decree. By this time the cause for filing the suit for the amount of principal and interest ripened and instead of seeking for wider relief comprising principal and interest the claim is restricted to interest only. The cause of action for both the prior and subsequent suits is the mortgage deed only. The mortgage deed did not provide for independent and distinct obligation for principal and interest. If the suit is filed before the expiry of two years for interest alone the subsequent suit for principle would not have been barred as the cause of action has not blossomed by that time. Therefore, Order 2, the 2 C. P. C. bars the suit.

       A.S. Dismissed.

RAMARAO, J.

( 1 ) THE plaintiff is the appellant. This appeal arises out of a suit filed for recovery of the principal amount of Rs. 15,000. 00 and interest thereon on the foot of a mortgage. The defendants are the successors to late Sivakoti Laxmanrao and also Narayanrao and as such they are liable to pay the debt due under the mortgage executed by their predecessors. As the defendants failed to pay interest on the mortgage amount the plaintiff filed a suit O. S. 473/1970 on the file of District Munsif Court, Visakhapatnam, and a decree was passed for interest payable up to 23-9-1970. Subsequent to the decree also the defendants failed to pay interest and also the principal and therefore the suit is filed. The written statement was filed on behalf of the defendants stating that the plaintiff should be put to strict proof of passing the consideration and the mortgage does not bind the defendants. The plaintiff has to prove that the debt incurred is for the benefit of the joint family. Further, the present suit is barred under Order 2, Rule 2, C. P. C. , in view of the filing of the suit O. S. 473/1970. The suit filed by the power of attorney also is questioned as illegal and void. On the above pleadings appropriate issues were framed. The Court below found that the suit mortgage bond is true, valid and binding on the defendants and the plaintiffs agent has power to sue on behalf of the plaintiff. It was held that the suit is barred under O. 2, R. 2, C. P. C. , as the cause of action is identical with that of O. S. 473/1970.

( 2 ) THE learned counsel for the appellant contended that the prior suit O. S. 473/1970 was confined to the recovery of interest and personal decree and the present suit for principal and accrued interest as against the mortgaged property is not barred under O. 2, R. 2, C. P. C. The learned counsel for the respondent contended that the former suit O. S. 473/1970 even though filed after expiry of two years restricted the claim to the interest only though the cause of action arose for the recovery of principal also and as such the present suit does not lie.

( 3 ) ORDER 2, Rules 1 and 2, C. P. C. , are as follows:-"1. Every suit shall as far as practicable be framed so as to afford ground for final decision upon the subjects in dispute and to prevent further litigation concerning them. 2. (2) Every suit shall include the whole of the claim which the plaintiff is entitled to make in respect of the cause of action; but the plaintiff may relinquish any portion of his claim in order to bring the suit within the jurisdiction of any Court. (2) Where a plaintiff omits to sue in respect of, or intentionally relinquishes, any portion of his claim, he shall not afterwards sue in respect of the portion so omitted or relinquished. "the width and stretch of the applicability of Order 2, Rule 2, C. P. C. , is considered by the Privy Council in two decisions. In Muhammad Hafiz v. Mirza Muhammad Zakariya, AIR 1922 PC 23 the mortgage deed enabled the creditor to realise the interest alone or the principal inclusive of interest if the interest is not paid for six months and if the principal and interest is not paid after expiry of three years the mortgagee is entitled to realise the entire principal and outstanding interest. After expiry of three years the first suit was filed for recovery of interest alone and a year thereafter the suit was filed for recovery of the amount against the property. The Privy Council while holding that the second suit is barred observed that the creditor having exercised the option of suing for interest alone is precluded from filing the second suit. In Kishen Narain v. Pala Mal, AIR 1922 PC 412 the mortgage provided the payment of interest on the expiry of the first year and after there from the expiry of the first year and after there from the expiry of the first year and if the interest is not paid within three months it can be paid after six months (sic ). The mortgagors can redeem within two








Click Here to Read the rest of this document

1
2
3
4
5
6
7
8
9
10
11
Judicial Analysis

SupremeToday

SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top