SUPREME COURT OF INDIA
Hemant Gupta, V. Ramasubramanian, JJ.
Sathyanath & Anr. – Appellants
Versus
Sarojamani – Respondent
Civil Appeal No. 3680 of 2022 (Arising Out of SLP (Civil) No. 20375 of 2021)
Decided on : 06-05-2022
Civil Procedure Code, 1908 – Order XIV Rule 2 and Section 11 – Framing of preliminary issue – Bar of Res Judicata – CPC confers no jurisdiction upon Court to try a suit on mixed issues of law and fact as a preliminary issue and where decision on issue depends upon question of fact, it cannot be tried as a preliminary issue – All rules of procedure are handmaid of justice – Language employed by draftsman of processual law may be liberal or stringent but object of prescribing procedure is to advance cause of justice – If Court lacks jurisdiction or there is a statutory bar, such issue is required to be decided in first instance so that process of civil court is not abused by the litigants, who may approach civil court to delay proceedings on false pretext – Not all issues of law can be decided as preliminary issues – Only those issues of law can be decided as preliminary issues which fell within ambit of clause (a) relating to jurisdiction of Court” and (b) which deal with bar to suit created by any law for the time being in force – Order of High Court to direct trial court to frame preliminary issue on issue of res judicata is not desirable to ensure speedy disposal of lis between parties – Order of High Court remanding the matter to trial court to frame preliminary issues runs counter to mandate of Order XIV Rule 2 of CPC and not sustainable in law – Trial court shall record findings on all issues so that first appellate court has advantage of findings so recorded and to obviate possibility of remand if suit is decided only on preliminary issue. (Paras 16, 18, 20, 22, 31 and 34)
Facts of the case:
Challenge in the present appeal is to an order dated 3.9.2021 whereby in the revision petition filed by the defendant under Article 227 of the Constitution of India, the trial court was directed to frame preliminary issue as to whether the suit is barred by res judicata.
Findings of Court:
Keeping in view the object of substitution of sub-Rule (2) to avoid possibility of remanding back the matter after the decision on preliminary issues, it is mandated for the trial court under Order XIV Rule 2 and Order XX Rule 5, and for the first appellate court in terms of Order XLI Rules 24 and 25 to record findings on all the issues.
Result : Appeal allowed.
Key Points: - The judgment discusses that CPC confers no jurisdiction to try a suit on mixed issues of law and fact as a preliminary issue; issues of law that can be decided preliminarily must relate to jurisdiction or bar to the suit. (!) (!) - After amendment, the court must pronounce judgment on all issues, though sub-rule (2) allows a preliminary treatment of an issue of law related to jurisdiction or bar to the suit; otherwise all issues must be decided together. (!) (!) - Remand to frame preliminary issues is discouraged; the trial court and first appellate court are to record findings on all issues to avoid remand. (!) (!) - The scope of res judicata as a preliminary issue is permissible only when it does not involve disputed questions of fact or mixed questions; otherwise it requires full trial. (!) (!) - The objective is expeditious disposal and to avoid piecemeal trials and remands. (!) (!)
JUDGMENT
Hemant Gupta, J.
The challenge in the present appeal is to an order dated 3.9.2021 whereby in the revision petition filed by the defendant under Article 227 of the Constitution of India, the trial court was directed to frame preliminary issue as to whether the suit is barred by res judicata.
2. The plaintiffs-appellants filed O.S. No. 95 of 2016 against the respondent, their paternal aunt. The appellants claimed a declaration for declaring the appellants as absolute owners of the suit property, judgment and decree in O.S. No. 65 of 2003 as null and void, and, for permanent injunction restraining the defendant and their agents in disturbing the peaceful possession and enjoyment of the suit property by the appellants in any manner. Initially, the defendant filed an application under Order VII Rule 11 of the Code of Civil Procedure, 1908[For short, the 'Code'] for rejection of the plaint but the same was dismissed by the trial court on 20.6.2017. It is thereafter, the defendant filed an application to frame issues under Order XIV Rule 2(2) of the Code to treat the following as the preliminary issues:
"1. Whether the suit is not hit by resjudicata and estoppel as claimed by the defendant in the written statement in Para- I 0 & 11.
2. Whether the suit is not hit by resjudicata and estoppel as claimed by the defendant in the written statement in Para-12.
3. Whether the suit is not barred by limitation as contented by the defendant in the written statement in Para-13.
4. Whether the Plaintiffs have deliberately and wantonly abused the process of the court, as contented by the defendant in the written statement in Para-15 and 16.
5. Whether the suit is not valued properly and court fee paid is deficient as claimed by the defendant in Para 18 of the Written statement."
3. The learned trial court dismissed the application of the defendant on 3.10.2019. Such order of the learned trial court was challenged in revision petition under Article 227 of the Constitution of India wherein the High Court ordered the framing of issue of res judicata as preliminary issue.
4. Learned counsel for the appellants relied upon provisions of Order XIV Rule 2 of the Code to contend such Order XIV Rule 2 has been substituted by Central Act No. 104 of 1976, whereby the Court is mandated to pronounce judgment on all issues, even though the suit can be disposed of on a preliminary issue. It was argued that such amendment was necessitated to avoid delay in the disposal of the proceedings inasmuch as if only a preliminary issue is decided, the further appeal and revision would be preferred only against the preliminary issue and after the preliminary issue is decided in favour of the plaintiffs, the evidence has to be led on the remaining issues. Therefore, to ensure expeditious disposal of the proceedings and to avoid possibility of remand by the appellate or revisional jurisdiction, it was made mandatory for the Court to record reasons on all the issues. Such finding would obliviate the possibility of remand at appellate or revisional stage, even if the finding on preliminary or other issues are to be reversed.
5. Order XIV Rule 2 before amendment by the Act No. 104 of 1976 reads thus:
"R. 2. Where issues both of law and of fact arise in the same suit, and the Court is of opinion that the case or any part thereof may be disposed of on the issues of law only, it shall try those issues first, and for that purpose may, if it thinks fit, postpone the settlement of the issues of fact until after the issues of law have been determined."
6. The said provision came up for consideration before this Court in a judgment reported as Major S. S. Khanna v. Brig. F. J. Dillon, AIR 1964 SC 497. It was held that under Order XIV Rule 2 of the Code where issues both of law and of fact arise in the same suit and the Court is of opinion that the case or any part thereof may be disposed of on the issues of law only, it shall try those issues first, and postpone the settlement of th
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(1) CPC confers no jurisdiction upon Court to try a suit on mixed issues of law and fact as a preliminary issue and where decision on issue depends upon question of fact, it cannot be tried as a prel....
Jurisdictional issues in civil suits involving mixed questions of law and fact cannot be decided as preliminary issues before considering all other issues framed by the court, as mandated by procedur....
All issues of law and fact must be decided together, and the judgment in the suit as a whole must be pronounced by the court covering all the issues framed in the suit. The court also emphasized that....
Preliminary issue – Issue of res judicata is mixed issue of fact and law and it cannot be decided as preliminary issue.
It is better that the members of the bar shall file draft issues before framing of issues by the Courts and filing of draft issues before framing of issues by the Courts, will assist the trial Court ....
The principle of res judicata and the provisions of Order XIV Rule 2 of the Code of Civil Procedure, 1908 were central to the court's decision.
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