The challenge to the Court-fees Act was found not permissible under Section 149 of CPC, and the plaintiffs were directed to deposit the deficient Court-fees within one week, failing which the suit was dismissed. The plaintiffs were also imposed a cost of Rs.20 lakhs for abusing and misusing the process of law.

JUDGMENT

J.R. Midha, J. -

1.I.A. No. 6905/2021 under Section 149 of CPC

1. The plaintiffs have affixed Court-fees of Rs.1,950/- on the plaint on the ground that the plaintiffs intend to challenge the Court-fees Act. According to the plaintiffs, if the justice dispensation system requires around 15-20 years for settlement of a suit, the Court has lost the moral as well as legal right to require the Court-fees to be paid upfront at the beginning of the suit. The plaintiffs further intend to challenge the Court-fees Act in terms of the original intent of the Act being to recoup the costs for administration of justice, whereas the present system is such that the inflow of the Court-fees far exceeds the amount spent by the State on providing the infrastructure to dispense justice. Relevant portion of the application is reproduced hereunder:

"3. That the suit has been filed by affixing court fees of Rs. 1,950 for the present, and the plaintiffs / applicants seeks time to deposit the balance (if any).

4. That it is also their intent to challenge the Court Fees Act on the grounds, inter alia, that if the justice dispensation system requires around 15-20 years for settlement of a suit, it has lost the moral as well as legal right to require the court fees to be paid upfront at the beginning of the suit.

5. That it is also their intent to challenge the Court Fees Act in terms of the original intent of the Act being to recoup the costs for administration of justice, whereas the present system is such that the inflow of fees far exceeds the amount spent by the State on providing the infrastructure to dispense justice.

6. That under these circumstances, if the court fee be found short, this Hon'ble Court may be pleased to record the undertaking of the plaintiffs to pay whatever be the appropriate court fee within four weeks of this Hon'ble Court granting time to do so, or within 4 weeks of losing their challenge to the Court Fees act (if he loses), whichever be later.

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PRAYER

In view of the aforesaid facts and circumstances, it is prayed that this Hon'ble Court may be pleased to :

(a) Allow this application, and grant appropriate time to the plaintiff to pay the full Court Fees as may be applicable to the matter (if the Court Fees paid at all be short).

(b) Allow that the time to be fixed by this Hon'ble Court be fixed keeping in mind the challenge to be raised to the Court Fees Act."

Plaintiffs' Submissions

2. The plaintiffs seek time to pay the Court-fees under Section 149 read with Section 148 of CPC because of COVID-19 constraints and Plaintiff No. 1's visit to South Africa on or around 26th May, 2021.

3. Since the quantum of Court-fees quantified by the plaintiffs in para 147 of the plaint (at Rs. 12,210) may, perhaps, also be called into question (namely, as to how, in any case, the Court-fees cannot be less than Rs. 2 lakhs, especially since, at para 164, the suit has been valued by the plaintiffs themselves at Rs. 2 crores), the plaintiffs are ready to immediately file elaborate Written Submissions on this aspect, if required by this Court to do so.

4. Without this becoming an issue at this stage, and subject to their rights being permitted by this Court to stand preserved, the plaintiffs undertake to pay whatever Court-fees is required by the Registry to be paid, under directions of this Court after reading the Written Submissions to be filed herein, in the time to be stipulated by this Court.

5. This Court, while allowing the application and granting deferment for whatever period of time this Court deems fit, may make it clear that the quantum of Court-fees is yet to be decided by this Court, thereby allowing fair opportunity to the plaintiffs to present their arguments on this point in due course.

6. Nonetheless, if this Court wishes, the plaintiffs agree to pay whatever Court-fees as may be directed by this Court, subject to preservation of all their rights and contentions by this Court.

7. The resolution of this particular issue, if