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1921 Supreme(Mad) 132

IN THE HIGH COURT OF MARAS
S Aiyar, C Trotter
Govindasami Pillai
Versus
Dasai Goundan
Decided On : 19 April, 1921

The main legal point established in the judgment is the interpretation of 'agent duly authorized' under Section 20 of the Limitation Act, and the court's liberal approach to authorization in the context of payment by a Court Judge.

Headnote:

Limitation Act - Execution of Decree - Section 20 - Payment by Court Judge - Authorization - Fresh period of limitation - Principal legal provisions discussed: Section 20 of the Limitation Act - Interpretation of 'agent duly authorized' - Court's liberal approach to authorization - Principle of Chinnery v. Evans applied - Conclusion: Payment by Court Judge satisfied the requirements of Section 20 - Memorandum of objections dismissed

Fact of the Case:

The appellant, an assignee decree holder, filed an execution application for the sale of hypothecated properties. The lower court held that the execution petition was not barred by limitation and directed execution to issue for a specific amount. The appellant's appeal was based on the ground that a higher amount was due under the decree. The first defendant filed a memorandum of objections contending that the payments made did not save limitation and that the decree had been fully satisfied.

Finding of the Court:

The court found that only a lesser sum was due under the decree and that the execution petition was not barred by limitation. The court dismissed the appeal and the memorandum of objections.

Issues: 1. Whether the execution petition was barred by limitation. 2. What was the balance due under the decree. 3. Whether the payments made saved limitation. 4. Whether the decree had been fully satisfied.

Ratio Decidendi: The court held that the payment by the Court Judge satisfied the requirements of Section 20 of the Limitation Act, and the memorandum of objections was dismissed.

Final Decision: The appeal by the decree-holder was dismissed with costs, and the memorandum of objections was also dismissed with costs.

JUDGMENT

Sadasiva Aiyar, J.

1. The assignee decree holder is the appellant. The following are the relevant faste and dates. On 20th September 1912, the final decree for sale of the hypothecated properties was passed. Items Nos. 4 and 5 of the hypothecated properties were afterwards acquired by the Government under the Land Acquisition Act and Rs. 3,400 (compensation money) wag deposited in Court for (by ?) the Government on 11th August 1914 to the credit of the suit. The decree amount with interest on that date amounted to Rs. 3,926 according to the decree holder. The decree holder drew the compensation amount of Rs. 3,400 from the Court on 11th August 1914 and he filed the present execution application for sale of two other hypothecated items on 10th August 1917. The questions for consideration are 24 W. Rule 20. whether the execution petition is barred by limitation, and 6 B. 626 : 3 Ind. Dec. (N. S.) 873. what was the balance due under the decree; whether it was Rs. 500 and odd with interest from 11th August 1914 as claimed by the decree-holder or a lesser sum, and, if so, what sum ?

2. The lower Court on 30th September 1919 held on the second point that only Rs. 103-7-8 was the sum due on 11th August 1914 under the decree, On the first paint it held that because on 11th August 1914 the compensation amount Rs. 3,400 was paid to the decree-holder on account of the decree by consent of the judgment-debtors, Section 20 of the Limitation Act gave a fresh starting point of limitation and hence the execution petition of 10th August 1917 was not barred by limitation. It accordingly directed execution to issue for Rs. 108 and odd with interest. This appeal by the decree-holder was based on the ground that really Rs. 500 and odd was due and not merely Rs. 103 and odd on 11th August 1914 under the decree. Having heard both sides and gone through the records, I agree with the lower Court in its conclusion that only Rs. 103 and odd was really due on the above date. So the appeal fails and has to be dismissed with costs.

3. But there is a memorandum of objections filed by the first defendant (the judgment-debtor) and the contentions in that memorandum are:

1. The learned Judge ought to have held that the payments made ex parte, having reference to their nature and mode, did not come within Section 20 of the Limitation Act and the execution petition was, therefore, barred.

2. The Courts below ought to have held that, even otherwise, the decree has been fully satisfied by payments made.

3. As regards the second contention that full satisfaction had been made, there is nothing in it and the District Judge was right in finding that Rs. 103 and odd still remained due on 11th August 1914.

4. The much more important contention remains, namely, " the payment made ex parte in August 1914 did not corns within Section 20 of the Limitation Act" and could not, therefore, save limitation. Section 20 of the Limitation Act (omitting the words unnecessary for the decision in this case) is as follows: Where part of the principal of a debt is, before the expiration of the prescribed period, paid by the debtor or by his agent duly authorized in this behalf, a fresh period of limitation shall be computed from the time when the payment was made: Provided that in the case of part payment of the principal of a debt, the fait of the payment appears in the handwriting of the person making the same. Explanation---Debt includes money payable under a decree."

5. The payment of Rs. 3,400 was clearly part payment of the principal of the decree-debt. But two other questions remain to be considered, viz., 24 W. Rule 20. whether the fact of the payment appears in the handwriting of the person making the same, 6 B. 626 : 3 Ind. Dec. (N. S.) 873. whether the payment was made by the debtor or by his agent duly authorised in that behalf.

6. On the first question, the decree-holder in this case produced before us copies of Court records showing that when the Rs. 3,400 was paid out, t









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