IN THE HIGH COURT OF DELHI AT NEW DELHI
Chandra Dhari Singh, J.
Arvind Dugar & Anr. – Appellants
Versus
Anand Mohan Agarwal & Anr. – Respondents
CS(OS) 2414 of 2013
Decided On : 21-02-2023
Order XIV Rule 5 - Application for Additional Issue - Code of Civil Procedure, 1908 - Section 151 - [Order XIV Rule 5] - The court allowed the application under Order XIV Rule 5 and directed the framing of an additional issue regarding the entitlement of the plaintiffs to a decree of mesne profits from the date of filing of the suit till the defendants remain in continuous occupation of the entire suit property. The court's decision was influenced by the power vested in the court under Order XIV Rule 5 to amend issues necessary for determining the matters in controversy between the parties.
Fact of the Case:
The plaintiffs filed an application seeking the framing of an additional issue under Order XIV Rule 5 of the Code of Civil Procedure, 1908, regarding the entitlement to a decree of mesne profits. The defendants opposed the application, claiming it was not necessary to determine the matter in controversy.
Finding of the Court:
The court found it necessary to frame the additional issue as the defendants were in possession of the suit property, and if the suit is decided in favor of the plaintiffs, they would suffer a huge loss on account of mesne profits. Therefore, the court allowed the application and directed the framing of the additional issue.
Issues: The main issue was whether the plaintiffs were entitled to a decree of mesne profits from the date of filing of the suit till the defendants remain in continuous occupation of the entire suit property. The court also considered the necessity of amending issues under Order XIV Rule 5 of the CPC.
Ratio Decidendi: The court's decision was based on the power vested in the court under Order XIV Rule 5 to amend issues necessary for determining the matters in controversy between the parties.
Final Decision: The court allowed the application and directed the framing of an additional issue regarding the entitlement of the plaintiffs to a decree of mesne profits from the date of filing of the suit till the defendants remain in continuous occupation of the entire suit property.
ORDER
Chandra Dhari Singh, J. (Oral)
I.A. No. 19161/2022
1. The present application under Order XIV Rule 5 of the Code of Civil Procedure, 1908 (hereinafter referred to as "the CPC") has been filed by the plaintiffs seeking the following prayers:
"a) Allow the present application of the plaintiffs under Order 14 Rule 5 read with Section 151 of the Code of Civil Procedure and direct the following issue to be framed as additional issue No. (iii) "Whether the Plaintiffs are entitled to a decree of mesne profits from the date of filing of the present suit till the defendants remain in continuous occupation of the entire suit property?"
b) Pass any such other or further order(s) as this Hon'ble Court may deem fit and proper to protect the right of the plaintiffs/applicants."
2. The issues in the captioned suit were framed by the predecessor Bench of this Court vide Order dated 22nd September, 2016. The said issues are reproduced hereunder:
"(i) Whether the plaintiffs are entitled to a declaration that they are the owner of 50% share in the suit property bearing plot no.146, Pocket-1, Jasola Residential Scheme, Jasola, New Delhi? OPP
(ii) Whether the plaintiffs are entitled to a decree for recovery of sum of Rs.19,25,000/- towards damages for use and occupation for the period of February, 2007 upto the date of filing the present suit? OPP
(iii) Whether the plaintiffs are entitled to a decree of possession in respect of the suit property bearing plot no.146, Pocket-1, Jasola Residential Scheme, Jasola, New Delhi? OPP
(iv) Whether the plaintiffs are entitled to permanent injunction, as prayed for? OPP
(v) Whether the suit is barred by limitation? OPD
(vi) What is the total cost of construction/development of suit Property? Onus on the parties
(vii) What was the total amount invested by the plaintiffs on the construction/development of the suit property?
Onus on the parties
(viii) Whether the defendants are entitled to 73% of the sale proceeds of the suit property as stated in the written statement? OPD
(ix) Relief."
3. Furthermore, this Court vide order dated 11th July, 2017 framed two additional issues. The said additional issues framed are reproduced hereunder:
"(i) Whether the plaintiffs are entitled to a decree of rendition of accounts towards the amounts spent on development and construction of the suit prope1ty i.e. construction of basement, Ground Floor, First Floor and Second Floor upon the property bearing plot No. 146, Pocket- I, Jasola Residential Scheme, Jasola, New Delhi till December 2006? OPP (ii) Whether the suit has been properly valued for the purpose of Court fee and wether the plaintiffs are entitled to decree of rendition of accounts in the absence of non-valuation of the said relief? OPP"
Submissions on behalf of the plaintiff
4. It has been submitted on behalf of the plaintiff that the plaintiffs are the lawful owners of 50% share of the property bearing plot no.146, Pocket I, Jasola Residential Scheme, Jasola, New Delhi. The suit property was jointly allotted to the plaintiffs and defendants by way of auction tendered by the Delhi Development Authority (in short 'DDA') on 28th August, 2002 for valuable consideration for sum of Rs.47.26 lakhs and the possession of the suit property was jointly delivered to the plaintiff and defendants by way of registered lease deed dated 12th December, 2003.
5. It has been further submitted that the lease deed dated 12th December, 2003 was jointly registered in favour of plaintiff No.1 and 2 and defendants No.1 and 2 as joint lessees.
6. It has been submitted on behalf of the plaintiff that in October, 2005 the parties initiated construction on the suit property utilizing their joint funds and efforts in line with the site plan duly sanctioned by the Delhi Development Authority (DDA).
7. It has been submitted that a joint account was opened in order to keep a track of the expenses incurred on the said construction. It is further submitted that despite the property being in semi-finished
The main legal point established in the judgment is the court's power under Order XIV Rule 5 of the CPC to amend issues necessary for determining the matters in controversy between the parties.
The court established that mesne profits must reflect actual use and compliance with prior orders, not merely potential commercial value.
The court's decision was based on the fact that the suit property was not being used for commercial purposes and the appellants were paying mesne profits regularly as directed by the court.
A party in unauthorized possession of property is liable to pay mesne profits to the rightful owner for the duration of the occupation, and such assessment by the trial court is valid if it is reason....
The court held that claims involving arrears of rent and mesne profits constitute a commercial dispute under the Commercial Courts Act, necessitating judicial consideration and trial.
Mesne profits can only be claimed from the date of the eviction decree, not from the date of filing the suit, as possession remains lawful until the decree is passed.
The court established that tenants must compensate landlords with mesne profits during the appeal process, reflecting current market rates, not just contractual rent.
The main legal point established is the determination of mesne profits based on the valuation of the property and prevailing rent, while considering the relationship between the parties and maintaini....
A claim for future mesne profits is a distinct cause of action and can be validly pursued even if not initially included in a decree for possession, negating previous res judicata arguments.
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