The court clarified that a plaintiff is entitled to a refund of the court fee only if the compromise is referred by the court or provided as a mode of settlement in the Code of Civil Procedure.

Rakesh Kumar Jain, J.

The question involved in this revision petition is as to "whether the court fee appended with the plaint in a suit for recovery could be refunded to the plaintiff if the suit is disposed of on the basis of an out-of-court compromise arrived at between the parties"?

2. The petitioner has challenged the order dated 25.09.2014, dismissing his application for refund of the court fee, appended with the plaint of the suit for recovery, on the ground that the suit has been disposed on the basis of a compromise arrived at between the parties.

3. In short, the plaintiff filed a suit for recovery of Rs. 2,76,750/- while affixing the court fee of Rs. 10,582/-. On 23.09.2014, the plaintiff suffered the following statement:-

"Stated that I have effected a compromise with the defendants in the present case and the defendants in the other civil suit entitled Swaran Singh v. M/s Kuljit Singh & others bearing registration Nos. CS 401/2013 and complaint case entitled Swaran Singh v. Sukhchain Singh, bearing registration No. COMA 114/13 in the lump sum of Rs. 3,25,000/- (Three Lakhs & Twenty Five Thousand Ony), which I have received from Sukhchain Singh, defendnat/accused in the court today. So I do not want to proceed with the said cases. The same may be dismissed as compromised and withdrawn."

4. The plaintiff then filed an application for refund of the court fee but the said application has been dismissed by the Court below vide impugned order dated 25.09.2014, which reads as under :-

"Report of Ahlmad received and perused, according to which the above said case has been dismissed as withdrawn being compromised between the parties on 23.09.2014. Arguments of Ld. Counsel for applicant on application for refund of court fee heard. Perusal of available record shows that suit has already been dismissed as withdrawn being compromised as per statement of applicant Swaran Singh recorded in this case on 23.09.2014. However, applicant Swaran Singh has not recorded any statement regarding withdrawal of the court fee nor he requested the court to put up the file before the Lok Adalat in this regard. Since, the applicant has not recorded any statement regarding refund of court fee in his statement recorded on 23.09.2014 nor the case was withdrawn in the Lok Adalat, as such application under consideration is hereby dismissed. Papers be consigned to the record room being part of the main file."

5. Counsel for the petitioner has submitted that since the suit has been disposed of on the basis of compromise, therefore, in view of Section 16 of the Court Fees Act, 1870 (here-in-after referred to as the "Act"), inserted by Section 46 of the Act of 1999, the plaintiff is entitled to a certificate from the Court authorizing him to receive back from the Collector, the full amount of the fee paid in respect of the plaint. In support of his submission, he has relied upon a judgment of this Court in the case ofTarun Juneja and others v. Hukam Singh, Civil Revision No. 874 of 2009, decided on 15.09.2009, and also a judgment of the Rajasthan High Court in the case ofMool Singh v. Abdul Jabbar, Civil Writ Petition No. 11356/2011, decided on 28.11.2011.

6. I have heard learned counsel for the petitioner and examined the available record.

7. In order to appreciate the arguments raised by learned counsel for the petitioner, it would be relevant to refer to Section 16 of the Act, which reads as under :-

"16. Refund of fee. - Where the Court refers the parties to the suit to any one of the mode of settlement of dispute referred to in section 89 of the Code of Civil Procedure, 1908 (5 of 1908), the plaintiff shall be entitled to a certificate from the Court authorizing him to receive back from the collector, the full amount of the fee paid in respect of such plaint."

8. A bare reading of Section 16 of the Act provides that where the Court refers the parties to the suit to any of the mode of settlement or dispute referred to in Section 89 of the Code of Ci