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2025 Supreme(P&H) 1797

IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
ANIL KSHETARPAL, J.
Jalandhar Transport Cooperative Society – Appellant
Versus
Ritu Chadha – Respondent
ESA-11 of 2019 (O&M)
Decided On : 21-03-2025

Advocates Appeared:
For the Appellant :Mr. Amardeep Singh Gill, Advocate

The limitation period for an application under Order XXI Rule 89 begins from the date of the auction, not the confirmation of sale.

Headnote:(A) Code of Civil Procedure, 1908 - Order XXI Rules 89 and 90 - Challenge to court auction - Appellant, a judgment debtor, filed an application to set aside a court auction after the sale had been confirmed - Requirement to withdraw the application under Rule 90 before filing under Rule 89 emphasized - Court confirms that limitation begins at the auction date, not sale confirmation. (Paras 1, 3, 4)

(B) Limitation for filing applications - The court ruled that an application filed beyond the limitation period lacks grounds for interference with the First Appellate Court's decision. (Paras 4)

Facts of the case:
The appellant challenged an auction sale of his property conducted on 01.05.2017, claiming illegality and seeking to set aside the sale by filing an application on 14.09.2017.

Findings of Court:
The application was found to be beyond the limitation period established by law.

Issues: Whether the limitation for filing under Order XXI Rule 89 begins from the auction date or the confirmation date of the sale.

Ratio Decidendi: The court determined that the period of limitation for an application under Order XXI Rule 89 must commence from the auction date, reinforcing the prerequisites for setting aside an auction sale.

Result: Dismissed.

Table of Content
1. limitation period for application under order xxi rule 89. (Para 2 , 3)
2. judgment on limitation grounds for appeal. (Para 4)
3. final order dismissing the appeal. (Para 5)

JUDGMENT :

Anil Kshetarpal, J.

After hearing learned counsel for the appellant, the following order was passed on 19.03.2025:-

"Arguments of learned counsel for the appellant have been heard at length.

The appellant herein is a judgment debtor. His property was sold in a Court auction held on 01.05.2017. He filed an application on 14.09.2017, challenging the Court auction on the ground of illegality. In the alternative, he prays for permission to set aside the sale of deposit. He tendered the auction amount (+) plus 5% by depositing a cheque. As per the Order XXI Rule 89(2) of the Code of Civil Procedure, 1908, if a person applies under Order XXI Rule 90 to set aside the sale of his immovable property, he has to first withdraw his application under Order XXI Rule 90 i.e. to set aside the same. In absence thereof, application under Order XXI Rule 89 is not maintainable.

Learned counsel for the petitioner contends that the limitation period will begin to run from the date, the sale was confirmed and not from the date of auction. He submits that the Court auction was confirmed on 30.08.2017.

On a Court question, "as to how he is reading the date of sale as date of confirmation of auction, he prays for some time to search case law interpreting the provision?"

List on 21.03.2025, in the urgent list.

No further request, written or oral, for an adjournment shall be entertained."

2. Learned counsel for the appellant has once again been heard.

3. He fairly submits that he could not find any judgment interpreting Order XXI Rule 89 of the Code of Civil Procedure, 1908 to lay down that the period of limitation for filing application under Order XXI Rule 89 will begin to run from the date of confirmation of sale and not from the date of Court auction.

4. Once, it is proved that the application filed by the appellant was beyond the prescribed period of limitation, hence, there is no ground to interfere with the order passed by the First Appellate Court.

5. Dismissed. All the pending miscellaneous applications, if any, are also disposed of.

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