Himachal Pradesh High Court
P. D. DESAI, C.J. AND V. P. GUPTA, J.
Himachal Road Transport Corporation Shimla - Appellant
Versus
Sushila Devi and others - Respondents
C.M.P. No. 1203 of 1984 in F.A.O. No.110 of 1984
Decided On : 23 August 1984
MOTOR VEHICLES ACT, 1939 - SECTION 110-D - CODE OF CIVIL PROCEDURE, 1908 - ORDER 41, RULES 1(3) AND 5(5) - APPEAL - DEPOSIT OF AWARDED AMOUNT - SUB-RULE (3) OF RULE 1 OF ORDER 41 IS DIRECTORY AND NOT MANDATORY - FAILURE TO COMPLY WITH THE ORDER OF DEPOSIT DOES NOT RENDER THE APPEAL LIABLE TO BE REJECTED OR CONSIGNED TO RECORD ROOM - COURT HAS NO POWER TO DISPENSE WITH THE REQUIREMENT OF DEPOSIT OR FURNISHING SECURITY - COURT CAN EXTEND TIME FOR COMPLIANCE - PROVISIONS OF ORDER 41 ARE APPLICABLE TO APPEALS UNDER SECTION 110-D OF THE MOTOR VEHICLES ACT, 1939.
Fact of the Case:
Appellant failed to comply with the order of the Court to deposit the awarded amount in an appeal under Section 110-D of the Motor Vehicles Act, 1939. The Court had earlier ordered the appellant to deposit the amount within a specified time. The appellant sought extension of time for making the deposit and challenged the validity of the order requiring deposit, contending that the provisions of Order 41 of the Code of Civil Procedure, 1908, were not applicable to appeals under Section 110-D of the Motor Vehicles Act, 1939.
Finding of the Court:
1. Sub-rule (3) of Rule 1 of Order 41 of the Code of Civil Procedure, 1908 is directory and not mandatory. Failure to comply with the order of deposit does not render the appeal liable to be rejected or consigned to the record room. 2. The Court has no power to dispense with the requirement of deposit or furnishing security under sub-rule (3) of Rule 1 of Order 41. 3. The Court can extend time for compliance with the order of deposit. 4. The provisions of Order 41 of the Code of Civil Procedure, 1908 are applicable to appeals under Section 110-D of the Motor Vehicles Act, 1939.
Issues: 1. Whether sub-rule (3) of Rule 1 of Order 41 of the Code of Civil Procedure, 1908 is mandatory or directory? 2. Whether the Court has the power to dispense with the requirement of deposit or furnishing security under sub-rule (3) of Rule 1 of Order 41? 3. Whether the provisions of Order 41 of the Code of Civil Procedure, 1908 are applicable to appeals under Section 110-D of the Motor Vehicles Act, 1939?
Ratio Decidendi: 1. The use of the word "shall" in sub-rule (3) of Rule 1 of Order 41 does not make it mandatory, as the provision does not prescribe any consequence for non-compliance. The legislative history and the purpose of the provision indicate that it is directory. 2. The Court does not have the power to dispense with the requirement of deposit or furnishing security under sub-rule (3) of Rule 1 of Order 41, as the provision does not confer such discretion on the Court. 3. The provisions of Order 41 of the Code of Civil Procedure, 1908 are applicable to appeals under Section 110-D of the Motor Vehicles Act, 1939, as the High Court exercises its appellate jurisdiction in such appeals in the same manner as it exercises its other appellate jurisdiction.
Final Decision: The Court granted the appellant's request for extension of time to make the deposit and directed the appellant to deposit the amount within the extended time.
P.D. DESAI, C.J.:- The case has been listed before us today because the appellant has failed to comply with the following order made in C.M.P. No. 1203 of 1984:-
"The appellant-applicant will deposit the awarded amount together with costs and interest in the Registry of this Court within a period of four weeks from today after deducting from such amount, the amount paid under the Passenger Insurance Scheme as well as the amount, if any, paid by way of interim relief by the appellant-applicant to the claimants (respondents).
This order is not to be treated as a precedent for any purpose whatsoever.
In view of the order of deposit made as aforesaid, the execution of the award against the appellant-applicant is stayed.
To be listed for admission after the deposit is made."
2. The appeal arises out of an award made by the Motor Accident Claims Tribunal Mandi, Kullu, and Lauhal and Spitti Districts, in a claim petition lodged under S.110-A of the Motor Vehicles Act, 1939. Under the impugned award, respondents Nos.1 and 2 have been awarded compensation in the sum of Rs.1,09,000-64 paise with interest at the rate of 6 per cent per annum from the date of the award till the deposit of the awarded amount in the office of the Tribunal. The appeal was instituted on June 29, 1984. CMP No. 1203 of 1984, being an application for stay, was also instituted on the same day. The aforesaid order was made on the stay application after the registration of the appeal but before the appeal was taken up for preliminary hearing. The appeal is still pending preliminary hearing because the deposit is not made.
3. Mr. D. K. Khanna learned counsel appearing on behalf of the appellant, while applying for extension of time by four weeks for making the deposit as ordered, submitted that the decisions in Narinder Kumar v. Mani Devi ILR (1981) Him Pra 423 and Himachal Road Transport Corpn. v. Smt. Gurdev Kaur, ILR (1983) Him Pra 99: (AIR 1983 Him Pra 74), on the basis of which the aforesaid order was made, require to be reconsidered and addressed arguments in support of the plea. Mr. Inder Singh and Mr. Kapil Dev Sood appeared as interveners and supported the submissions made by Mr. Khanna. Having heard the learned counsel, we are of the view that for the reasons set out hereunder the decisions require reconsideration.
4. Order 41 of the Code of Civil Procedure, 1908 deals with appeals from original decrees. Rule 1 of O.41, which deals with the form of appeal, the content of the memorandum of appeal and its accompaniments, is material for the present purposes and it reads as follows:-
"1. (1) Every appeal shall be preferred in the form of a memorandum signed by the appellant or his pleader and presented to the Court or to such officer as it appoints in this behalf. The memorandum shall be accompanied by a copy of the decree appealed from and (unless the Appellate Court dispenses therewith) of the judgment on which it is founded:
"Provided that where two or more suits have been tried together and a common judgment has been delivered therefor and two or more appeals are filed against any decree covered by that judgment, whether by the same appellant or by different appellants, the Appellate Court may dispense with the filing of more than one copy of the judgment.
(2) The memorandum shall set forth, concisely and under distinct heads, the grounds of objection to the decree appealed from without any argument or narrative; and such grounds shall be numbered consecutively.
(3) Where the appeal is against a decree for payment of money, the appellant shall, within such time as the Appellate Court may allow, deposit the amount disputed in the appeal or furnish such security in respect thereof as the Court may think fit."
5. Rule 5 of O.41. which deals with the stay of proceedings and of execution, inter alia, by the Appellate Court is set out hereunder to the extent relevant:
"5.(1) An appeal shall not operate as a stay of proceedings under a decree or order appealed from e
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