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2025 Supreme(Online)(SC) 111466

SUPREME COURT
Sanjay Kishan Kaul, J
Homebuyers – Appellant
Versus
Surti Developers Pvt. Ltd. – Respondent
Writ Petition under Art.226 and Art.227 | CC No. 2042 / SS / 2016 | CRWP No. 2099/2021



Advocates:
For the Appellants/Petitioners:[Advocate 1, Advocate 2]
For the Respondents: [Senior Counsel]

Defamation claims failed as peaceful protests regarding grievances, invoking Ninth Exception, protect expression under Article 19(1)(a) as legitimate communication.

Headnote:(A) Indian Penal Code, 1860 - Section 500 read with Section 34 - Defamation - Complaint filed by a developer against homebuyers for defamation through public banners regarding grievances - High Court's refusal to quash the complaint upheld - Appellants allege defamation is unsubstantiated; claim it was a legitimate protest highlighting deficiencies. (Paras 3, 4, 12, 30)

(B) Freedom of Speech - Public protest and expression of grievances regarding builder-client relations considered protected under Article 19(1)(a) of the Constitution of India - No foul language used; grievances presented in good faith - The banners were meant to voice dissatisfaction and not defame. (Paras 22, 30)

(C) Exception to Defamation - The Ninth Exception to Section 499 IPC clarified; imputation made in good faith for protection of interest is not defamation - Court found appellants acted within this exception. (Paras 17, 29)

Facts of the case:
Developer filed a defamation complaint against homebuyers displaying banners for unresolved grievances, leading to magistrate's summons. Appellants claim this is an attempt to stifle legitimate complaints. (Paras 2-3, 4-8)

Findings of Court:
The court held that there was a sufficient basis for the appellants' claims, dismissing the defamation charges; the appeal was allowed, and the summons were quashed. (Paras 35)

Issues: Whether the complaints by the developer constituted defamation, considering the nature and context of the banners. (Para 4)

Ratio Decidendi: The court ruled that peaceful protests in expressing grievances should be protected, and actions of the appellants fell within the Ninth Exception of Section 499 of IPC. (Paras 30, 35)

Result: Appeal allowed; summons quashed.

Table of Content
1. homebuyers' protest leads to defamation claims. (Para 2 , 3 , 5 , 15)
2. high court's ruling on defamation complaint. (Para 4 , 6)
3. appellants argue their defenses in court. (Para 7 , 8 , 9)
4. examination of defamation law and exceptions. (Para 10 , 11 , 12 , 13 , 17 , 18 , 19)
5. language and context influence defamation interpretation. (Para 14 , 20 , 21 , 22 , 23 , 24)
6. importance of freedom of speech in protests. (Para 26 , 27 , 28)
7. right to peaceful protest protected by law. (Para 29 , 30 , 31)
8. commercial speech is part of free speech. (Para 32 , 33)
9. quashing of defamation complaint against appellants. (Para 34 , 35)

1. Leave granted.

2. Homebuyers and developers have not always been the best of friends. Instances are innumerable where the two have been at daggers drawn. This case presents one such instance. Not satisfied with the services provided by the respondent - developer and when, according to them, repeated entreaties did not elicit a response, the appellant - home buyers decided to resort to a unique form of protest. They erected a board / banner visible to the public at large setting out in English and Hindi languages the following statements. The English version is as follows: -
"WE PROTEST AGAINST THE BUILDER
"A SURTI DEVELOPERS PVT. LTD."
FOR





3. The respondent - developer hit back and threatened to sue them for defamation unless an apology was tendered. When the appellants refused, a criminal complaint was filed for offences punishable under S.500 read with S.34 of the Indian Penal Code, 1860 (for short ' IPC '). The Metropolitan Magistrate Court, Borivali, Mumbai, on 04/10/2016, after perusal of the complaint and the verification statement of the complainant, issued summons against the appellants for offences punishable under S.500 read with S.34 of the . A challenge in revision having failed, the appellants approached the High Court by way of a Writ Petition under Art.226 and Art.227 of the Constitution of India read with S.482 of the Code of Criminal Procedure, 1973 seeking to quash the complaint as well as the summons issued. The High Court having turned down their plea, the appellants are before us.

4. The short question before us is whether the complaint filed by the respondent makes out a case for offences punishable under S.500 read with S.34 of the IPC against the appellants?

5. Principally, the grievance in the complaint of the respondent was that the appellants individually and in connivance with each other to spread disharmony erected / fixed two banners / boards in Hindi and English visible to the general public at large on 10/08/2015. The contents of the banner have been set out hereinabove. According to the complaint, the appellants have started a calculated campaign to defame the complainant's image and reputation, and the appellants are making false propaganda and spreading rumours. The complaint alleges that the banners have adversely affected and damaged the reputation of the complainant and have been put up with full knowledge that they are false and frivolous. The complaint alleges that the banners have been put up in the manner as to be visible to the public with the deliberate intention to defame the complainant. The complainant further alleges that it informed the Mumbai Municipal Corporation about the erection of the two banners and that ultimately the banners were removed on 29/02/2016 under the supervision of the appellants 1, 2 & 7 and other residents. The complaint alleges that the motive of the appellants was to lower the reputation of the complainant in the eye of the public at large and caused mental agony and injury to the reputation of the complainant.

6. The High Court has refused to interfere with the summons issued by holding that prima facie the imputation has propensity to cause a dent in the reputation of the complainant. The High Court, even after correctly noticing the legal position that the Court at the stage of issue of summon is not in any mann



































































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