SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2023 Supreme(Online)(Bom) 3021

HIGH COURT OF BOMBAY
SANDEEP V. MARNE, J
Saraswatibai Bishwambarlal Charity Trust, thr. Sudarshan Malpani and Ors. – Appellant
Versus
Gopal Traders Pvt. Ltd. – Respondent
CIVIL APPELLATE JURISDICTION APPEAL FROM ORDER NO. 1152 OF 2022 | INTERIM APPLICATION NO. 30423 OF 2022



Advocates:
For the Appellants/Petitioners:Mr. G.S. Godbole, Senior Advocate, Mr. Roshan Sawant, Mr. Kaustubh Patil
For the Respondents: Mr. Sanjay Jain, Mr. Nakul Jain, Mr. Viraj Bansod, Mr. Tushar Goradia

Easement rights constitute valuable property interests requiring appropriate valuation under the Court Fees Act, particularly when contesting a deed of transfer affecting such rights.

Headnote:(A) Code of Civil Procedure, 1908 - Order 7 Rule 10 - Maharashtra Court Fees Act, 1959 - Section 6(iv)(j) and Section 6(iv)(ha) - Appeal against order returning Plaint due to false valuation - Plaintiffs sought declaration to nullify the Deed of Additional Right of Way as unauthorized - Court confirmed that a right of easement is, by nature, a property right that requires valuation - Found the Plaintiffs' valuation inconsistent with Court fees provisions since the Deed had significant monetary implications - Order confirmed, stating it was correct to process outside City Civil Court jurisdiction. (Paras 2, 11, 32, 34)

Facts of the case:
The Plaintiff Trust challenged the Defendant’s construction activities on property they owned, claiming unauthorized execution of a deed affecting access rights, and sought a declaration for the deed to be declared illegal.

Findings of Court:
The City Civil Court correctly deemed the issue was one of significant pecuniary value due to the Deed’s implications, requiring the suit to be valued accordingly.

Issues: The main issues involved the proper valuation of a suit concerning easement rights and whether it was within the jurisdiction of the City Civil Court.

Ratio Decidendi: The court ruled that the valuation must reflect the nature of the right being challenged. As the deed transfers valuable rights tied to property, it should be treated as a sale in value and is thus subject to Section 6(iv)(ha) of the Court Fees Act.

Result: Appeal dismissed.

Table of Content
1. challenge to jurisdiction based on property valuation. (Para 1 , 2 , 3)
2. arguments regarding valuation under the court fees act. (Para 4 , 5 , 6 , 7 , 8)
3. prayers in the suit outline the relief sought. (Para 10 , 11)
4. clarification of applicable provisions of the court fees act. (Para 12 , 13 , 14)
5. nature of prayer clause valuation. (Para 15 , 16 , 18 , 19)
6. concept and assignability of easements. (Para 20 , 21 , 22)
7. valuation distinctions based on property right assignment. (Para 23 , 24 , 25 , 26 , 27 , 29 , 30 , 31)
8. final decision on jurisdiction and valuation. (Para 32 , 34)
9. appeal dismissed with no costs. (Para 35)
JUDGMENT :

T HE C HALLENGE

1. This Appeal is filed challenging the order dated 12 October 2022 passed by the learned Judge, City Civil and Sessions Court, Greater Mumbai allowing Notice of Motion No. 1797/2021 filed by the Defendant under Order 7 Rule 10 of the Code of Civil Procedure, 1908 (the Code) returning the Plaint to be presented before this Court. The Plaint is returned essentially on the ground that the same does not fall within the pecuniary jurisdiction of the City Civil Court.

F ACTS :

2. The Appellant-Plaintiff is a Trust and Plaintiff Nos.1 to 6 are its Trustees. The Trust apparently owns land bearing C.T.S. No. 2/583, Jagmohandas Marg, Nepean Sea Road, Mumbai-400026 (suit land). Defendant owns a Plot adjoining the suit land and the Defendant has been granted easementary right to approach his land from the suit land owned by Plaintiffs. Plaintiff got aggrieved by the act of the Defendant in commencing construction on the Trust property and accordingly instituted S. C. Suit No. 112 of 2021 before the City Civil Court seeking inter alia prohibitory injunction against the Defendant to restrain it from raising any construction over the suit property. In its Written Statement, Defendant relied upon the Deed of Additional Right of Way dated 4 November 2020 executed by Mr. Sunil Damani in his capacity as the Trustee of the Trust, under which the Defendant claims that the Trust granted additional right of way of 3.74 mtrs width on the western portion passing through the Trust property and leading to the Defendant’s property on consideration of Rs. 7,50,000/- annually to the Trust. Plaintiffs therefore amended the Plaint, inter-alia to include challenge to the Deed of Additional Right of Way dated 4 November 2020.

3. After amendment of the Plaint, Defendant filed Notice of Motion No. 1797/2021 under the provisions of Order 7 Rule 10 of the Code for return of the Plaint on the ground that the Deed of Additional Right of Way dated 4 November 2020 is valuated at Rs.1,95,00,000/-, on which stamp duty of Rs.5,85,000/- is paid. Defendant therefore contended that the suit ought to have been valued at Rs. 1,95,00,000/- and therefore would fall beyond the pecuniary jurisdiction of the City Civil Court, which is restricted at Rs.1 crore.

Plaintiffs resisted the Motion by filing Affidavit in Reply inter-alia contending that the document is not executed by the Trust and therefore not binding on it. That the suit has rightly been valued under Clause 6(iv)(j) of the Maharashtra Court Fees Act, 1959 (Court Fees Act). After hearing both sides, the City Civil Court proceeded to pass order dated 12 October 2022 and allowed Notice of Motion No. 1797/2021 directing return of the Plaint filed in S. C. Suit No. 112/2021 to the Plaintiffs to be presented before this Court. Plaintiffs are aggrieved by the order dated 12 October 2022 and have filed the present Appeal.

4. Mr. Godbole, the learned senior advocate would appear on behalf of the Appellants/Plaintiffs and submit that the Suit is only for a declaration and is therefore correctly valued under Section 6 (iv)(j) of the Court Fees Act. He would submit that the valuation done for the purpose of payment of stamp duty under the provisions of Maharashtra Stamp Act, 1958 is totally irrelevant for the purpose of valuation of the suit under the provision

Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top