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IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI
RAVI NATH TILHARI, Y.LAKSHMANA RAO
Gaddam Jithendra Kumar – Appellant
Versus
Kovvuri Srinivasa Reddy – Respondent
ORDER :
Ravi Nath Tilhari, J.
Heard Sri Rosedar S.R.A., learned counsel for the petitioner /appellant.
I . Facts :-
2. Respondents 1 to 4/plaintiffs filed O.S. No. 78 of 2019 on the file of the III Additional District Judge, Nellore, against the 5th respondent (Defendant No.1) and the petitioner/appellant (Defendant No.2), seeking a preliminary decree directing payment of the suit amount of Rs.78,00,000/- along with interest at 24% per annum from the date of the suit, and thereafter a final decree in terms of the preliminary decree. They also sought a personal decree in the event the sale proceeds of the schedule property were insufficient to satisfy the decretal amount.
3. After contesting the suit, a preliminary decree was passed on 08.04.2024, directing the 5th respondent to pay the suit amount with interest at 12% per annum from the date of the suit till the date of decree, and thereafter at 6% per annum until the date of realization, on the principal amount of Rs.30,00,000/-, granting three months time for redemption.
4. Challenging the preliminary decree dated 08.01.2024, the present A.S.No.472 of 2024 has been filed by the petitioner/appellant.
5. On 04.11.2024, this Court granted
Court fees should be refunded even when cases settle out of court, promoting private dispute resolution methods, which supports judicial efficiency.
The court affirmed the right to court fee refunds upon referral to arbitration, emphasizing that such a referral entitles plaintiffs to refunds irrespective of arbitration outcomes.
Court Fee - provisions under Section 69A of the Kerala Court Fees and Suit Valuation Act, 1959 regarding refund of court fee in case where the dispute is settled under Section 89 of the Code of Civil....
Parties settling disputes out of court are entitled to court fee refunds, promoting amicable resolutions and ensuring equal treatment under the law.
The court recognized that out-of-court settlements enable parties to claim court fee refunds, treating them equitably with formal dispute resolution methods, thus promoting judicial efficiency.
The judgment establishes the principle that Section 89 of CPC and Section 16 of Court Fees Act should be interpreted liberally to encourage out-of-court settlements and provide incentives for parties....
Section 16 of the Court Fees Act, 1870 allows for the refund of court fees in specific circumstances, including when parties settle their dispute outside the Court.
Refund of court fees is permitted under Section 16 of the Court Fees Act when disputes are settled outside of court, inclusive of all forms of settlements as interpreted by the Supreme Court.
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