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2024 Supreme(AP) 1504

IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI
NYAPATHY VIJAY, J.
Palakurthi Raja Gopala Rao – Appellant
Versus
Chaluvadi Krishna Prasada Rao – Respondent
CRP No.128 of 2023
Decided on : 05-02-2025

Advocates:
Advocate Appeared:
For the Appellant : Akula Vamsi Krishna
For the Respondent: Kancharla Palli Siva Rama Prasad

Admissibility of secondary evidence should be provisionally recognized at the trial stage, with objections resolved at final judgment to expedite proceedings.

Headnote:(A) Evidence Act - Section 65 - Civil revision petition concerning admissibility of secondary evidence of a business transfer agreement; the trial court's refusal based on precedent cases - The court evaluates scenarios for admitting secondary evidence when originals are lost, noting the importance of establishing execution during trial rather than at this interlocutory stage. (Paras 5, 8)

(B) Judicial Procedure - The appeal court criticizes the trial court’s approach to admissibility of documents, advocating for an approach that enhances trial efficiency by marking documents provisionally and resolving objections at final judgment. (Paras 14, 16)

Facts of the case:
The plaintiff claims Rs.2,81,598/- from the defendant based on a business transfer agreement for running a store, which the defendant failed to fulfill.

Findings of Court:
The trial court's order is set aside to allow the admissibility of the business transfer agreement to be determined at the final hearing.

Issues: The core issue is whether the secondary evidence of the lost agreement can be admitted based on Section 65 of the Evidence Act.

Ratio Decidendi: The court asserts the need for efficiency in trials and concludes that the trial court should provisionally admit disputed documents and decide upon objections later to avoid undue delays.

Result: Civil revision petition allowed.

Table of Content
1. overview of the civil petition and claim. (Para 1 , 2)
2. request for admission of secondary evidence. (Para 3)
3. law on admissibility of secondary evidence. (Para 4 , 5)
4. court's procedural observations on document admissibility. (Para 6 , 7 , 8)
5. conclusion and order of the court. (Para 9)

JUDGMENT

1. This civil revision petition is filed questioning the order dated 26.09.2022 in IA No.379 of 2022 in OS No.362 of 2021 passed by the I Additional Junior Civil Judge, Machilipatnam, Krishna District.

2. Petitioner is the plaintiff. The suit OS No.372 of 2021 was filed for recovery of an amount of Rs.4,82,660/-. The basis for the claim was that the plaintiff was doing business in Shop Bearing No.11/468-469 under the name and style of Sri Radha Krishna General Stores and was selling Paints of different companies. The respondent had approached the petitioner/plaintiff and they had entered into a business transfer agreement on 28.03.2018 and accordingly the business of the petitioner was transferred to respondent/defendant for a period of 5 years i.e., from 01.04.2018 to 31.03.2023 under a lease agreement dated 28.03.2018. Though the respondent/defendant had taken the property in terms of the agreement dated 28.03.2018, the respondent failed to make balance payment in terms of their agreement. As on the date of suit, Rs.2,81,598/- is payable by the respondent. Since the amount is not being paid, the suit was filed.

3. In the course of the suit, the petitioner filed IA No.379 of 2022 requesting the Court to consider the photostat copy of the business transfer agreement dated 28.03.2018 as secondary evidence and receive the same in evidence since the original document was not traceable. The petitioner contended that the document is a crucial suit document and can be marked as secondary evidence when there is sufficient explanation for the same. This application was opposed by the respondent/defendant. The Trial Court had rejected the application by relying on the judgments of the Apex Court in Smt. H. Yashoda v. Smt. K. Shoba Rani , 2007 (2) RCR (Civ.) 840; Dhanpat v. Sheo Ram (deceased) through LRs. and others , (2020) 16 SCC 209 and Jagmail Singh v. Karamjit Sing and others , 2021 SAR (Civ.) 86. Hence, the present revision petition is filed.

4. Heard Sri Akula Vamsi Krishna, learned Counsel for the petitioner and Sri K. Rama Prasad, learned Counsel for the respondent.

5. The Section 65 of the EVIDENCE ACT contemplates scenarios where secondary evidence can be received in evidence. The scenario provided under Section 65 (c) of the EVIDENCE ACT is applicable to the facts of this case i.e., when the document is lost. The defendant in his written statement is disputing the very execution of the disputed document and from that view point, the receiving and marking of the disputed document would not be of any prejudice to the defence of the defendant.

6. The factum of execution of disputed document and the claim having lost the original document could be established in the course of trial rather than at this interlocutory stage. A similar view was expressed by the Hon'ble Supreme Court in Bipin Shantilal v. State of Gujarat , = (2001) 3 SCC 1. The Paragraphs 12 to 16 are relevant and are extracted below :

"12. As pointed out earlier, on different occasions the Trial Judge has chosen to decide questions of admissibility of documents or other items of evidence, as and when objections thereto were raised and then detailed orders were passed either upholding or overruling such objections. The worse part is that after passing the orders the Trial Court waited for days and weeks for the concerned parties to go before the Higher Courts for the purpose of challenging such interlocutory orders.

13. It is an archaic practice that during the evidence collecting stage, whenever any objection is raised regarding admissibility of any material in evidence the Court does not proceed further without passing order on such objection. But the

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