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2025 Supreme(Online)(Mad) 26175

IN THE HIGH COURT OF JUDICATURE AT MADRAS
Dr. G. Jayachandran, J
M.Saraswathi – Appellant
Versus
S.Lakshmanan – Respondent
AS No.474 of 2022 | O.S.No.3 of 2018



Advocates:
For the Appellants/Petitioners: Mr.V.Balamurugan
For the Respondents: Mr.S.Lakshmanasamy

Parties can settle their disputes out of court, and the court may record such settlements, leading to a dismissal of appeals and refund of fees.

Headnote:The judgment considers a suit for recovery of money based on a mortgage deed, decreed by the trial court, where a preliminary decree was passed for a sum along with interest. The parties reached a compromise during the appeal process, whereby the respondent acknowledged receipt of the settled amount. The court ultimately disposed of the appeal as settled out of court, reflecting on the parties' mutual agreement. As a result, the court ordered the refund of court fees paid by the appellant.

JUDGMENT

Suit for recovery of money based on mortgage deed, decreed by the trial Court in O.S.No.3 of 2018 vide Judgement dated 28.04.2022. Preliminary decree was passed for a sum of Rs.18,82,497/- along with interest at the rate of 6% from the date of decree till the date of realization and in default for a final decree for the sale of the mortgage property.

2. Aggrieved by the preliminary decree, the appellant had preferred the appeal in A.S.No.474 of 2022. Pending disposal of the appeal, the parties have entered into a Memo of Compromise dated 04.07.2025, the decree holder has received Rs.18,10,000/- and acknowledged the receipt of the same through this memo. He is also agreed to record compromise decree based on the memo and sought for refund of court fee.

3. Both M.Saraswathi, the appellant and S.Lakshmanan, the respondent are present. They are identified by their respective counsels. Memo of Compromise signed by them and also attested by their counsels. The respondent acknowledged the receipt of Rs.18,10,000/- from the appellant. The relevant portion of Memo of Compromise is extracted here under:

“ MEMO OF COMPROMISE It is respectfully submitted that the above appeal has been preferred by the appellant against the judgement and decree as made in O.S.No.3 of 2018 dated 28.04.2022 on the file of IV Additional District Court. Pending disposal of the above appeal, both by the appellant and the respondent have amicably settled the issue amongst themselves. In furtherance of such understanding, the respondent has executed a receipt on 20.06.2025 acknowledging receipt of a sum of Rs.18,10,000/- thereby making it clear that there is no due to him whatsoever under the suit in Decree as made in O.S.No.3 of 2018 dated 28.04.2022 on the file of IV Additional District Court. In view of the settlement between the appellant and the respondent, it is respectfully prayed that the Hon'ble Court may be pleased to dispose the appeal as settled out of court and pass an order for refund of the Court Fee of Rs.52,917/- paid by the appellant in the above appeal”.

In the above circumstances, it is most humbly prayed that the Hon'ble Court may be pleased to record the Memo of Compromise filed by the parties and dispose the appeal as settled out of Court and further pass an order for refund if the court fee of Rs.52,917/- paid by the appellant in the above appeal and thus render justice”.

4. In the light of the above fact, this appeal suit is disposed of in terms of the compromise. The memo of compromise shall form part of the decree. Court fee paid by the appellant shall be refunded to the appellant on memo.

04.07.2025 Index:Yes/No Speaking/Non-speaking order Internet:Yes Neutral Citation:Yes/No Vv To, 1 The XVII Additional City Civil Court, Chennai

2. The Section Officer, V.R.Section, Madras High Court, Chennai.

Dr.G.JAYACHANDRAN,J.

Vv

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