IN THE HIGH COURT OF PUNJAB & HARYANA AT CHANDIGARH Reserved on : 10.04.2026 Pronounced on : 24.04.2026 Municipal Corporation, Ludhiana …..Appellant versus Vijay Kumar and others …..Respondents CORAM: HON'BLE MRS. JUSTICE RAMESH KUMARI Present: Mr. Rajiv Joshi, Advocate, for the appellant.

Mr. Abhimanyu Kalsy, Advocate for Mr. A.K.Kalsy, Advocate, for respondents No.1 to 3.

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RAMESH KUMARI, J.

1. Respondents (plaintiffs of the original suit) had filed a suit for perpetual injunction restraining the defendants-Municipal Corporation, Ludhiana), their employees, agent, assignees and contractors and any other persons from realizing the amount of Rs. 3240/- as House tax for the year 1997-98 against the property Unit No. B-IX/39/2 vide Bill No. 41 delivered on 10.10.1997 as the same was illegal, null and void on the basis of oral and documentary evidence.

2. Civil Suit filed by the respondents-plaintiffs was dismissed by the learned trial Court. The appeal filed by the respondents-plaintiffs before the first Appellate Court was allowed and the suit was decreed.

3. Aggrieved with the impugned judgment and decree passed by the learned First Appellate Court, the present Regular Second Appeal has been filed by the defendants-Municipal Corporation, Ludhiana.

4. The suit was filed by the respondents-plaintiffs alleging that all the three plaintiffs (respondents No.1 to 3 herein) were joint owners of the property i.e. Unit No. B.IX.39/2 up to the year 1992-93. The said property was assessed to house tax for one year for Rs. 421.20 paise. In the year 1991 during Diwali days the said property caught fire along with other properties in the vicinity. The building was repaired to the extent of its damage after the requisite repairs. It was reassessed for the purpose of house tax and Rs.810/- w.e.f. 1993-94 till 1996-97 as house tax was levied. On 08.10.1996, notice Ex.P11 under Section 103 of the Punjab Municipal Corporation Act (for short ‘the PMC Act”) was served upon the plaintiffs-respondents to revise the house tax for the year 1996-97 mentioning the ground as “addition” and the same was duly replied vide Ex.P12/Ex.D2 and after that the impugned bill Ex.D4 was received by the plaintiffs-respondents. Notice under Section 103 of the Punjab Municipal Corporation Act and the bill and the order passed on the notice for realizing the house tax is illegal, null and void and not binding on the rights of the plaintiffs on the ground that the said notice is vague as no detail of any type has been given; the property is in the same condition as it was in the year 1993-94 and while revising the house tax, the provisions of Punjab Municipal Corporation Act were not taken into consideration and that the plaintiffs- respondents were not afforded an opportunity of being heard. The revision of house tax is an abuse of the power; the issuance of notice as well as revision of house tax is against the principle of natural justice, equity and fair play.

5. The defendants-Municipal Corporation, Ludhiana in their written statement contested the suit by raising preliminary objections that the Civil Court was barred to try the suit under Section 149 of the PMC Act Act; no notice under Section 396 of the PMC Act was served by the plaintiffs-respondents upon the defendants-MC before filing the civil suit and that the plaintiffs-respondents have not come to the Court with clean hands.

6. On merits, the ownership of the plaintiffs-respondents over the suit property bearing Unit No. B.IX.39/2 was admitted and it was also admitted that the property was assessed to house tax. The case of the defendants-MC is that previously the house tax of the property was at lower rate and it was subsequently revised in the year 1996-97 due to the addition in the property. The defendants-MC denied that the property was repaired in the year 1991. The case of the defendants-MC is that the property in question was assessed to house tax from time to time due to addition and alterations and accor