2018 Supreme(Bom) 1806
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
G.S. Patel, J.
Vinod Grover and Ors. – Appellant
Vs.
Videocom Realty and Infrastructure Ltd. and Ors. – Respondent
Chamber Summons (L) No. 1504 of 2018, Commercial Suit (L) No. 1375 of 2018
Decided On : 11-10-2018
Janak Dwarkadas, Adv., Bindi Dave, Adv., Sameer Pandit, Adv., Madhupreetha Elango, Adv., Wadia Ghandy & Co, Adv., Karl Tamboly, Adv., Samit Shukla, Adv., Nausher Kohli, Adv., Harsh Gokhale, Adv., D.S.K. Legal, Adv., Virag Tulzapurkar, Adv., Simil Purohit, Adv., Ashok Paranjpe, Adv., Tushar Kadam, Adv., Shivani Vora, Adv.
Headnote:
Specific Performance - Jurisdiction - Clause XII of the Letters Patent - [Adcon Electronics Pvt. Ltd. v. Daulat & Anr, (2001) 7 SCC 698, Excel Dealcomm Pvt. Ltd. v. Asset Reconstruction Company (India) Ltd. & Ors., (2015) 8 SCC 219, DG Kotak & Anr. V. Rajeshkumar alias Rajas R Doshi & Ors., (2012) 3 MhLJ 275] - The court discussed the interpretation of 'suit for land' under Clause XII of the Letters Patent and emphasized that a suit for specific performance becomes a 'suit for land' only if it also claims relief related to title or possession of the land. The court referred to previous judgments to establish that the relief claimed in the plaint with reference to the reliefs claimed therein determines whether a suit is a 'suit for land'.
Fact of the Case:
The Chamber Summons sought revocation of leave granted to the Plaintiff under Clause XII of the Letters Patent of the Court, as the suit combined specific performance with a prayer for delivery of possession of immovable property situated outside the court's jurisdiction.
Finding of the Court:
The court analyzed the interpretation of 'suit for land' under Clause XII of the Letters Patent and concluded that a suit for specific performance becomes a 'suit for land' only if it also claims relief related to title or possession of the land. The court found that the relief claimed in the plaint with reference to the reliefs claimed therein determines whether a suit is a 'suit for land'.
Issues: The main issue was whether a suit seeking specific performance combined with a prayer for delivery of possession of immovable property situated outside the court's jurisdiction falls under the category of 'suit for land' under Clause XII of the Letters Patent.
Ratio Decidendi: The court held that the interpretation of 'suit for land' under Clause XII of the Letters Patent is determined by the relief claimed in the plaint with reference to the reliefs claimed therein. A suit for specific performance becomes a 'suit for land' only if it also claims relief related to title or possession of the land.
Final Decision: The Chamber Summons seeking revocation of leave granted to the Plaintiff under Clause XII of the Letters Patent was made absolute, and the leave granted was revoked. The plaint was to be returned under Rule 283 of the Bombay High Court Original Side Rules.
G.S. Patel, J.
The Chamber Summons seeks revocation of leave that I granted on 9th October 2018 to the Plaintiff under Clause XII of the Letters Patent of this Court. I am not commenting on the accuracy or otherwise of the averments in the Leave Petition or even in the plaint.
2. The submission from Defendant No. 4, the Applicant in the Chamber Summons, is that, on a plain reading, the suit is one for specific performance of a contract but combined with the prayer for delivery of possession of immovable property. That immovable property is situated wholly outside the jurisdiction of this Court. Therefore, having regard to the judgments of the Supreme Court in Adcon Electronics Pvt. Ltd. v. Daulat & Anr, (2001) 7 SCC 698 and Excel Dealcomm Pvt. Ltd. v. Asset Reconstruction Company (India) Ltd. & Ors., (2015) 8 SCC 219 and the judgment of a learned Single Judge of this Court in DG Kotak & Anr. V. Rajeshkumar alias Rajas R Doshi & Ors., (2012) 3 MhLJ 275 this is a 'suit for land' within the meaning of Clause XII of the Letters Patent. Therefore, no leave could ever have been granted.
3. Clause XII of the Letters Patent read thus:
"XII. Original jurisdiction as to suits. - And we do further ordain that the said High Court of Judicature at Bombay, in the exercise of its ordinary original civil jurisdiction, shall be empowered to receive, try and determine suits of every description, if, in the case of suits for land or other immovable property such land or property shall be situated, or in all other cases if the cause of action shall have arisen, either wholly, or, in case the leave of the Court shall have been first obtained, in part, within the local limits of the ordinary original jurisdiction of the said High Court or if the Defendant at the time of the commencement of the suit shall dwell or carry on business, or personally work for gain, within such limits; except that the said High Court shall not have such original jurisdiction in cases falling within the jurisdiction of the Small Causes Court at Bombay, or the Bombay City Civil Court."
4. The only question is whether a Suit that seeks specific performance and combines a prayer for decree for specific performance with a prayer for delivery of possession of immovable property is a suit for land. If it is, then it falls within the first part of Clause XII. This means, necessarily, that if the land is outside the jurisdiction of this Court then no leave can be granted. The decisions referred to above are abundantly clear.
5. In Adcon Electronics, immovable property at Indore (land and a building) were the subject of sale agreement between the parties to the suit. There followed a memorandum, also in regard to this property. Disputes arose. The purchasers brought suit in the Bombay High Court for specific performance of the agreement and memorandum. The plaint did not seek possession of the suit property. The plaintiffs obtained leave under Clause XII of the Letters Patent. The defendants filed a Chamber Summons for revocation of that leave. A single judge dismissed that Chamber Summons. An appeal failed. The defendants approached the Supreme Court, and this resulted in the Adcon Electronics decision. Analyzing, Clause XII, the Supreme Court said, first:
9. Thus, it is clear that under clause 12 of the Letters Patent, the High Court in exercise of its ordinary original jurisdiction will have power to receive, try and determine:
(1) suits for land or other immovable property if such property is situated within the local limits of original jurisdiction of the High Court; or (2) all other cases (a) if the cause of action has arisen wholly within the local limits of the ordinary original jurisdiction of the High Court; (b) if prior leave of the Court has been obtained and the cause of action has arisen in part within the local limits of the ordinary original jurisdiction of the High Court; or (c) if the defendant dwells or carries on business or personally works for gain within s