IN THE HIGH COURT AT CALCUTTA
SHAMPA SARKAR, J.
Sri Prahlad Roy - Petitioner
Versus
Sri Asit Roy - Opposite Party
C.O. No. 2010 of 2021 With CAN No. 1 of 2022
Decided On : 10-08-2023
Counter Claim - Limitation - [Order 8 CPC, Limitation Act] - The court discussed the applicability of the laws of limitation in respect of a deed or transaction which was sought to be challenged, and the principle that a counter claim can be filed at any time, even after the filing of the written statement, in exceptional circumstances.
Fact of the Case:
The plaintiff filed a revisional application challenging the acceptance of the counter claim filed by the defendant in a suit. The plaintiff argued that the counter claim was filed belatedly and was barred by the law of limitation.
Finding of the Court:
The court held that the limitation in this case was a mixed question of law and fact and could only be adjudicated at the trial. The court accepted the counter claim and directed the plaintiff to file a written statement to the same.
Issues: The issues included the belated filing of the counter claim, the applicability of the laws of limitation, and the validity of the instrument executed during the pendency of an injunction.
Ratio Decidendi: The court discussed the principle that a counter claim can be filed at any time, even after the filing of the written statement, in exceptional circumstances, and the applicability of the laws of limitation in respect of a deed or transaction which was sought to be challenged.
Final Decision: The court upheld the order of the trial court with modifications, extended the time to file the written statement, and disposed of the revisional application with no order as to costs.
JUDGMENT :
1. This revisional application has been filed by the plaintiff in Title Suit No. 293 of 2018. The order dated September 9, 2021, passed by the learned Civil Judge (Senior Division), 3rd Court at Howrah is under challenge. By the order impugned, the counter claim filed by defendant in the suit, was accepted.
2. Mr. Mukherjee, learned senior advocate appearing on behalf of the plaintiff, has assailed the order impugned on two grounds :
(b) The document which has been challenged in the said counter claim was executed on May 28, 2016 and the knowledge of the same was available to the defendant from February 8, 2017. Yet, the counter-claim was filed belatedly.
(c) As the counter claim seeks to impugn a document which was in the knowledge of the defendant for more than three years. The cause of action was ex facie barred by the law of limitation.
3. Mr. Mukherjee, has taken the court through various paragraphs of the plaint, applications and the counter claim. Reliance has also been placed on the decision of this court in the matter of Serajul Alam Mondal & Ors. Vs. Hafiza Bibi & Ors., in C.O. 3556 of 2019, reported in 2021 (2) ICC 777. According to him, this court had held that challenge to a deed of sale executed on April 19, 1954, after almost 11 years from the date of knowledge, was ex facie barred by law. On such finding, this court had rejected a prayer for amendment of the plaint.
4. Mr. Mukherjee further contends that the counter claim was filed after framing of issues and, hence, even going by the law laid down by the Hon’ble Apex Court in the recent past, the said counter claim could not have been filed at such a belated stage.
5. Mr. Tanmoy Mukherjee, learned advocate appearing on behalf of the defendant/opposite party, submits that the learned court below did not decide the merit of the cause of action pleaded in the counter claim. All that the learned court decided was that at the stage of admission of the counter claim, the question of limitation could not be decided. Limitation was a mixed question of law and fact. The learned court further held that the law provided ample scope for acceptance of the counter claim belatedly, even after the written statement had been filed. Referring to the counter claim, learned Advocate submits that the case of the defendant was that the impugned deed was executed in the teeth of an order of injunction. Such being the position, the deed of sale was ipso facto void and was not required to be avoided. Hence, the law of limitation would not apply while challenging such a deed. Learned Advocate submits that when an instrument is voidable, the question of avoiding the same will arise and the law of limitation would be pressed into operation. On this issue, Mr. Tanmoy Mukherjee relies on a decision of the Hon’ble Apex Court in the matter of Balvant N. Viswamitra vs. Yadav Sadashiv Mule, reported in (2004) 8 SCC 706.
6. In the said decision, the Hon’ble Apex Court held that a decree which was void ab initio was a nullity and was not required to be challenged. On the contrary, a decree which was irregular or erroneous would not be a nullity and its invalidity could not be set up whenever and wherever it was sought to be enforced or relied upon. The said decree would have to be challenged.
7. On this principle Mr. Mukherjee further relies on a decision of the Hon’ble Apex Court in the matter of Prem Singh & Ors. Vs. Birbal & Ors., reported in (2006) 5 SCC 353. In this case, the Hon’ble Apex Court specifically laid down the principle of law that when a transaction was void, a suit challenging such transaction could be instituted at any time and the provisions of the Limitation Act would not be attracted.
8. Next, it is contended that in the decision of Ranganayakamma vs. K.S. Prakash, reported in (2008) 15 SCC 673, the Hon’ble Apex Court laid down the principle that the applicability of t
Balvant N. Viswamitra vs. Yadav Sadashiv Mule
Prem Singh & Ors. Vs. Birbal & Ors.
Ranganayakamma vs. K.S. Prakash
The main legal point established in the judgment is the applicability of the laws of limitation and the circumstances under which a counter claim can be filed after the filing of the written statemen....
The judgment establishes that counterclaims can be accepted based on when the defendant gains knowledge of the relevant facts, emphasizing that procedural rules should not obstruct justice.
Timely filing of amendments and counterclaims is crucial to prevent delays and ensure justice in civil proceedings.
A counter-claim cannot be permitted after the framing of issues unless exceptional circumstances exist, which were not present in this case.
A counterclaim must be filed within the limitation period, and failure to address this can lead to a material irregularity in judicial proceedings.
Counter-claims must be timely and justified; substantial delay without explanation can result in rejection, although courts retain discretion to evaluate circumstances.
A counter claim must be filed within the limitation period applicable to plaints, and failure to do so results in rejection of the claim.
When court had no discretion to disobey mandate of law namely, Section 3(i) r/w 3(2)(b)(ii) of Limitation Act, 1963, and therefore, it could not have granted leave to make a Counterclaim by amending ....
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