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2026 Supreme(Online)(Ker) 62422

IN THE HIGH COURT OF KERALA AT ERNAKULAM
Soumen Sen, CJ, Sathish Ninan, J, Easwaran S., J
Devaki – Appellant
Versus
Chandrika Ayyappan – Respondent
ICR (OP(C)) NO. 7 OF 2026 | OP (Civil) Nos.519 and 972 of 2024



Advocates:
For the Appellants/Petitioners: S. Sujini

Applications under Order IX Rule 7 of the Code of Civil Procedure to set aside an ex parte order are not subject to any limitation period, including the three-year residuary period under Article 137 of the Limitation Act, as they are interlocutory and depend on the stage of proceedings.

Headnote:(A) Code of Civil Procedure, 1908 - Order IX Rules 6, 7 and 13 - Limitation Act, 1963 - Article 137 - Application to set aside order proceeding ex parte - Distinction between setting aside an ex parte order and an ex parte decree - Rule 7 allows a defendant, upon showing good cause for previous non-appearance, to participate in proceedings as if present, without setting aside a final adjudication - Not a final order or decree - Right to participate controlled by the stage of the suit, specifically until the hearing is concluded and reserved for judgment (Paras 9, 26-30, 36).

(B) Limitation Act, 1963 - Article 137 - Applicability to residuary applications - Order IX Rule 7 CPC is an interlocutory proceeding to ensure orderly conduct of suit - Does not determine issues in controversy or put an end to litigation - Therefore, the residuary three-year limitation period under Article 137 is not applicable (Paras 28, 32, 35-36).

Facts of the case:
This intra court reference was initiated to resolve conflicting views on whether an application under Order IX Rule 7 of the Code of Civil Procedure to set aside an ex parte order is governed by the three-year limitation period prescribed under Article 137 of the Limitation Act.

Findings of Court:
Application under Order IX Rule 7 CPC is not subject to any period of limitation prescribed under the Limitation Act, 1963, and Article 137 of the said Act is not applicable.

Issues: The main issues were whether an application under Order IX Rule 7 of the Code of Civil Procedure to set aside an ex-parte order is subject to any limitation period, and whether Article 137 of the Limitation Act applies to such an application.

Ratio Decidendi: The court reasoned that Order IX Rule 7 differs from Order IX Rule 13 in that it does not seek to set aside a final decree but enables a party to participate in the suit's future proceedings upon showing good cause. As an interlocutory step designed for the orderly conduct of trial, its availability is governed by the stage of the suit—remaining available until the conclusion of the hearing—rather than a fixed calendar period. Consequently, applying Article 137 would impose a restriction not intended by the statutory scheme.

Result: Intra court reference disposed of.

Legal Category Hierarchy

Table of Contents

1. Intra-court reference on conflict regarding limitation period for application under Order IX Rule 7 CPC. (Para 1 , 2 , 3 , 7 )

2. One view held Article 137 Limitation Act applies; other view held no limitation applies to Order IX Rule 7 application. (Para 1 , 7 )

3. Order IX Rule 7 does not require setting aside an order; it enables participation at adjourned hearing upon showing good cause. (Para 8 , 9 , 10 , 11 , 12 , 13 , 26 , 27 , 28 , 29 , 30 , 34 , 35 , 36 , 37 , 38 , 39 , 40 , 41 , 42 , 43 , 44 , 45 , 47 )

4. An application under Order IX Rule 7 CPC is not subject to any period of limitation under the Limitation Act, 1963. (Para 47 , 49 )

5. Intra-court reference disposed of; Order IX Rule 7 application not governed by Article 137 of Limitation Act. (Para 49 , 50 )

6. What is the period of limitation for filing an application under Order IX Rule 7 CPC?

The application is not subject to any period of limitation prescribed under the Limitation Act, 1963. (Para 47 , 49 )

7. Does Article 137 of the Limitation Act apply to an application under Order IX Rule 7 CPC?

No, Article 137 does not apply to an application under Order IX Rule 7 CPC. (Para 47 , 49 )

8. What is the distinction between Order IX Rule 7 and Order IX Rule 13 CPC?

Rule 7 enables participation at an adjourned hearing without setting aside any order, while Rule 13 specifically provides for setting aside an ex parte decree. (Para 8 , 9 , 26 )

9. Can a defendant participate in proceedings after being set ex parte without filing an application under Order IX Rule 7?

Yes, a defendant can participate in subsequent proceedings without an application if they agree to be bound by past proceedings. (Para 18 , 19 , 22 )

10. Until what stage of the suit can an application under Order IX Rule 7 CPC be filed?

The application can be filed at any stage before the hearing of the suit is concluded and the matter is reserved for judgment. (Para 12 , 36 )

JUDGMENT

Dated this the 23rd day of September, 2026.

Soumen Sen, C.J.

1. This Intra Court Reference arose from an order of the learned Single Judge dated 20th February, 2025, in OP (Civil) Nos.519 and 972 of 2024, in view of two conflicting findings of different Benches of this Court regarding the period of limitation for filing an application under Order IX Rule 7 of the Code of Civil Procedure, 1908 (“CPC”, for brevity). In C.L. Cleetus v. The South Indian Bank Ltd., 2007 (3) KHC 911 it was held that Article 137 of the Limitation Act, 1963 (“Limitation Act”, for brevity) applies and that such an application is governed by a limitation period of three years. The said view was followed by the Division Bench in Y. Daniel v. Annama ,Judgement dated 15thMarch 2012 in O.P(FC) No.10 of 2012 without independently considering whether it prescribes any period of limitation for an application under Order IX Rule 7 CPC.

2. Ordinarily a Single Judge is bound by the decision of the Division Bench. However, when a Single Judge doubts the correctness of the opinion of the Larger Bench, the appropriate remedy is to place the matter before the Chief Justice for appropriate orders and for deciding the issue by constituting a Larger Bench in view of the decisions of the Hon’ble Supreme Court in the cases of Central Board of Dawoodi Bohra Community v. State of Maharashtra, (2005) 2 SCC 673 and Pradip Chandra Parija v. Pramod Chandra Patnaik, (2002) 1 SCC 1.

3. The issues that came up for consideration before us in this intra court reference are as follows:-

I. Whether an application filed under Order IX Rule 7 of the Code of Civil Procedure to set aside an ex-parte order is subject to any limitation period?

II. Whether Article 137 of the Limitation Act applies to an application under Order IX Rule 7 of the Code of Civil Procedure?

4. Before answering the aforesaid issues, it would be appropriate to refer to some of the relevant provisions in Order IX of the CPC which deal with “Appearance of parties and consequence of non-appearance”.

5. Order IX Rule 7 CPC deals with the procedure where the defendant appears on the day of the adjourned hearing and assigns good cause for previous non-appearance. It reads as follows:

“7. Procedure where defendant appears on day of adjourned hearing and assigns good cause for previous non-appearance.—Where the Court has adjourned the hearing of the suit, ex parte, and the defendant, at or before such hearing appears and assigns good cause for his previous non-appearance, he may, upon such terms as the Court directs as to costs or otherwise, be heard in answer to the suit as if he had appeared on the day fixed for his appearance.”

(emphasis supplied)

6. Whereas, the procedure dealing with setting aside an ex parte decree comes under Order IX Rule 13 of the CPC and it reads as follows:

“13. Setting aside decree ex parte against defendant.- In any case in which a decree is passed ex parte against a defendant, he may apply to the Court by which the decree was passed for an order to set it aside; and if he satisfies the Court that the summons was not duly served, or that he was prevented by any sufficient cause from appearing when the suit was called on for hearing, the Court shall make an order setting aside the decree as against him upon such terms as to costs, payment into Court or otherwise as it thinks fit, and shall appoint a day for proceeding with the suit:

Provided that where the decree is of such a nature that it cannot be set aside as against such defendant only it may be set aside as against all or any of the other defendants also:

Provided further that no Court shall set aside a decree passed ex parte merely on the ground that there has been an irregularity in the service of summons, if it is satisfied that the defendant had notice of the date of hearing and had sufficient time to appear and answer the plaintiff's claim.

Explanation.—Where there has been an appeal against a decree passed ex parte under this rule, and the

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