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2004 Supreme(Kar) 145

Karnataka High Court
Sundra Bai - Appellant
Versus
Sonubai - Respondent
Decided On : 02-25-04
W.P. : 6539 of 2004

Advocates:
G.S.BHATT, M.Rambhat, MALIKARJUN S.MYLAR

The discretionary power to stay execution of a decree under Order 21, Rule 29 of CPC should be exercised judicially and only in exceptional cases where the interest of justice requires it.

Headnote:

Order 21, Rule 29 of CPC - Stay of Execution - The court has discretionary power to stay execution of a decree under Order 21, Rule 29 of CPC, which should be exercised judicially and only in exceptional cases where the interest of justice requires it. The decree holder should not be deprived of the fruits of the decree except for good reasons, and the power to stay execution should be exercised with great care and only in special cases.

Fact of the Case:

The writ petition was filed by the judgment debtors against the order rejecting their application for stay of further proceedings in an execution case, citing the pendency of a suit in the same court.

Finding of the Court:

The court found that the executing court had exercised its discretion judicially and declined to stay further proceedings in the execution case. The petition was dismissed, and the trial court was directed to dispose of the pending suit without being influenced by the observations made in the impugned order.

Issues: The main issue was the application for stay of further proceedings in the execution case based on the pendency of a suit in the same court.

Ratio Decidendi: The court emphasized that the power to stay execution of a decree under Order 21, Rule 29 of CPC is discretionary and should be exercised judicially, only in exceptional cases where the interest of justice requires it.

Final Decision: The petition was dismissed, and no costs were awarded.

H. G. RAMESH, J.

( 1 ) THIS writ petition by the judgment debtors is directed against the order dated 19-1-2004 passed by the Executing court rejecting IA-1 filed by them under order 21, Rule 29 of CPC for stay of further proceedings in Ex. Case No. 62/2003 on the ground of pendency of a suit in O. S. No. 314/2003 in the very same Court. The aforesaid execution case was filed to execute the decree passed in O. S. No. 780 of 1990.

( 2 ) I have heard Mr. Ram Bhatt, learned senior counsel for the petitioners and perused the impugned order. Mr. Ram Bhat, in support of his submission that the impugned order is erroneous has relied on a judgment of the Supreme Court in Shaukat hussain v. Bhuneshwari Devi, (AIR 1973 SC 528), and also a judgment of this Court in pujari Subbaiah v. Lakkappanavara, (1982) 2 Kant LJ 201.

( 3 ) TO examine the correctness of the impugned order, it is relevant to notice the scope and ambit of Order 21, Rule 29 of CPC which reads as follows :"stay of execution pending suit between decree holder and judgment debtor. Where a suit is pending in any Court against the holder of a decree of such Court or of a decree which is being executed by such Court, instituted by the person against whom the said decree was passed, the Court may, on such terms as to security or otherwise, as it thinks fit, stay execution of the decree until the pending suit has been decided : provided that if the decree is one for payment of money, the Court shall, if it grants stay without requiring security, record its reasons for so doing. "the power to stay execution of the decree under Order 21, Rule 29 of CPC is discretionary. The discretion should be exercised judicially and not mechanically as a matter of course. On mere satisfaction of the precondition stipulated in Order 21, Rule 29 of cpc, the execution proceeding is not to be stayed. The power under this rule has to be exercised only in exceptional cases where the interest of justice requires it. The fundamental consideration should be that the decree holder is not to be deprived of the fruits of the decree except for good reasons. The decree must be allowed to be executed and unless an extraordinary case is made out, no stay should be granted. As held by the supreme Court in Krishna Singh v. Mathura ahir, AIR 1982 SC 686, the Jurisdiction to stay execution of the decree under Order 21, rule 29 of CPC, has to be exercised with very great care and only in special cases.

( 4 ) A perusal of the impugned order would show that the Executing Court on a consideration of all the relevant aspects has declined to stay further proceedings in the Execution Case. On the facts of the case, I am satisfied that the executing Court has exercised its discretion Judicially and the discretion exercised cannot be said to be arbitrary or capricious to call for interference under arts. 226 and 227 of the Constitution of India.

( 5 ) AT this stage, Mr. Rambhat, learned senior counsel submits that certain observations made by the trial Court in the course of the impugned order would prejudice the suit in O. S. No. 314/2003. Without going into the correctness of the said submission, I direct the trial Court to dispose of O. S. No. 314/2003 without being influenced by the observations made in the course of the impugned order.

( 6 ) IN the result, the petition fails and is hereby dismissed. No costs. Petition dismissed.

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