SARELA, J. :- These two second appeals (Appeal No. 187/61 and Appeal No. 657/61) which arise from two suits between the same parties heard together by the Civil Judge, Senior Division, Bhavnagar, raise identical questions of fact and law. He delivered a common judgment decreeing the suits. The appeals by the defendants to the District Judge, Amreli, from the decrees in the two suits were heard together and disposed of by a common judgment dated 24th October 1960 substantially confirming the trial court's decision. Against that judgment these two appeals have been filed. They have been argued together and as the points raised in both of them are identical they would be disposed of by a common judgment.

2. The appellant in both the appeals is the Jafarabad Municipality (hereinafter referred to as the Municipality). That Municipality was the defendant in the suits. The respondent in both the appeals is the Kathiawad Industries Ltd., a firm carrying on salt business, of which part is within the limits of the Municipality and part outside of those limits. There were two suits filed by the respondent against the Municipality. The first suit being Regular Civil Suit No. 192/55 was