IN THE HIGH COURT OF CHHATTISGARH AT BILASPUR
RAJANI DUBEY, J
Shyam Prasad Gupta, S/o. Late Saryu Prasad Gupta - Petitioner
Versus
Shiv Prasad Gupta, S/o. Late Saryu Prasad Gupta & Ors. - Respondents
Civil Revision No. 17 of 2023
Decided On : 29-01-2024
Compromise Decree - Civil Suit - Order VII Rule 11 of CPC - [Order XXIII Rule 3A of CPC, Sree Surya Developers & Promoters (2022) 5 SCC 736, Madanuri Sri Rama Chandra Murthy Vs. Syed Jalal (2017) 13 SCC 174] - The court discussed the application of Order VII Rule 11 of CPC in light of the compromise decree and the provisions of Order XXIII Rule 3A of CPC. It highlighted the legal principles established in the cases of Sree Surya Developers & Promoters and Madanuri Sri Rama Chandra Murthy, emphasizing that no suit shall lie to set aside a decree on the ground that the compromise on which the decree is based was not lawful. The court also emphasized that the power under Order VII Rule 11 of CPC can be exercised at any stage of the suit and that the averments of the plaint have to be read as a whole to find out whether the suit is barred by any law.
Fact of the Case:
The plaintiff filed a civil suit for declaration of title and permanent injunction in respect of a land based on a compromise decree from a previous suit. The defendant filed an application under Order VII Rule 11 of CPC stating that the suit property has been registered in the name of the defendants based on the compromise and therefore, the instant suit is not maintainable.
Finding of the Court:
The court found that the compromise decree from the previous suit barred the present suit under Order XXIII Rule 3A of CPC. It held that the suit for the reliefs sought challenging the compromise decree would not be maintainable.
Issues: The main issue was whether the present suit was maintainable in light of the compromise decree from the previous suit.
Ratio Decidendi: The court applied the legal principles established in the cases of Sree Surya Developers & Promoters and Madanuri Sri Rama Chandra Murthy to determine that the suit challenging the compromise decree was not maintainable.
Final Decision: The civil revision was allowed, the impugned order was set aside, and the application filed by the defendant under Order VII Rule 11 of CPC was allowed, resulting in the dismissal of the present suit.
ORDER :
This petition has been filed by the petitioner against the order dated 14.12.2022 (Annexure P/1) passed by 6th Civil Judge, Class-II, Raipur whereby the application under Order VII Rule 11 of CPC filed by the petitioner/defendant No.3 has been rejected.
2. Brief facts of the case are that respondent No.1/plaintiff filed a civil suit against the defendants for declaration of title and permanent injunction in respect of the land bearing Khasra No.486, area 0.526 hectare, P.H.No.114, R.N.M. Raipur, Tahsil & Distt. Raipur. It was averred that in respect of the said land, compromise has taken place between the plaintiff and the defendants in Civil Suit No.182/2010 before the civil Judge, Aurangabad (Bihar) vide order dated 16.7.2010 which has attained finality for want of any challenge before the higher forum and as such, it is binding on the parties. In compliance of the said decree, the defendants have got their names mutated in respect of their share of the suit property.
As per decree of the year 2010, the petitioner as well as respondent No.1/plaintiff is having their portion of land which is situated at Raipur bearing Khasra No.486 which is divided in four parts, in which name of the petitioner as well as respondent No.1 is registered as Khasra No.486/3 and Khasra No.486/1 for which Raipur Development Authority has published advertisement informing that their land is being acquired under “Nagar Vikas Yojna No.4” and therefore, it is being allotted at some other place vide memo dated 3.7.2019 (Annexure P/6). Pursuant to the said memo, the petitioner on 4.7.2019 made the requisite payment of Rs.4,45,590/- vide Annexure P/7. The petitioner and the respondents filed an application before the Tehsildar, Raipur for mutation of properties in their names in which the Tehsildar ordered for dividing and registering the property in the ratio 32 1/2 decimal amongst all vide Annexure P/8. However, thereafter, the plaintiff filed the instant suit bearing No. 23A of 2020. Hence the petitioner/defendant No.3 filed an application under Order VII Rule 11 of CPC on 24.3.2022 (Annexure P/4) stating that the suit property has been registered in the name of the defendants on the basis of compromise between the parties and therefore, the instant suit is not maintainable. The plaintiff filed reply to the above application and denied all the adverse averments vide Annexure P/5. The learned Court below vide impugned order dated 14.12.2022 considering the submission of both the parties, rejected the application under Order VII Rule 11 of CPC. Hence this revision.
3. Learned counsel for the petitioner submits that the impugned order passed by the learned Court below is perverse and liable to be set aside. No suit is maintainable after order of compromise being passed with the leave of the Court and as such, the instant suit is filed by respondent No.1/plaintiff only with a view to snatching the property belonging to the petitioner with ill-intention. In the compromise decree of the year 2010, it is specifically pleaded by all the parties that no party shall challenge the aforementioned compromise before any court of law as a particular term and the present suit has been filed only to harass the petitioner. The trial Court ought to have allowed the application under Order VII Rule 11 of CPC and rejected the plaint on the ground that in view of Order XXIII Rule 3A of CPC, no independent suit would be maintainable against the compromise decree.
It is further argued that the compromise decree is binding on respondent No.1 and therefore, the application under Order VII Rule 11 deserves to be allowed. The instant suit has been filed almost after a period of 10 years, for which the plaintiff must have put forth any plausible explanation but that has not been done. For all these reasons, the impugned order dated 14.12.2022 is liable to be set aside and consequently, the suit itself is liable to be dismissed.
Reliance has been placed on decisions in the matter
Madanuri Sri Rama Chandra Murthy Vs. Syed Jalal
Bharvagi Construction and another Vs. Kothakapu Muthyam Reddy and others
Sree Surya Developers and Promoters Vs. N. Sailesh Prasad and others
Saleem Bhai and others Vs. State of Maharashtra and others
Srihari Hanumandas Totala Vs. Hemant Vithal Kamat and others
The main legal point established in the judgment is that no suit shall lie to set aside a decree on the ground that the compromise on which the decree is based was not lawful, as per the provisions o....
A plaint cannot be rejected if it discloses a cause of action, and non-parties to a compromise decree have the right to challenge its validity.
The main legal point established in the judgment is that the principle of finality of litigation cannot be used to perpetrate fraud, and a compromise decree obtained by collusion and suppression of f....
Specific performance cannot be enforced against parties not privy to the original contract, and suits lacking a cause of action are subject to rejection under Order VII Rule 11 of the CPC.
(1) There cannot be any challenge to a consent decree as stipulated under Order XXIII Rule 3-A of C.P.C.(2) Relief for specific performance can also be enforced against a person who is not a party to....
The main legal point established in the judgment is that the amendment of pleadings under Order VI Rule 17 of the CPC should be allowed only if it is necessary to determine the real issue in controve....
A compromise decree is binding on the parties to the suit and not on strangers, and a separate suit to challenge the compromise decree is not maintainable for strangers to the proceeding.
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.