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Stay Can Be Granted in Review Proceedings
Legal Basis for Stay in Review: Courts have the discretion to grant stay during review proceedings, often under provisions like Order 21 Rule 29 of the CPC or similar procedural rules. For instance, in ["Nisha Rani (since deceased) through LRs VS Rajni - Punjab and Haryana"], the stay was granted during execution review, and the court emphasized that stay orders are subject to conditions, such as furnishing security, especially in money decrees.
Pendency of Review and Its Impact on Stay: The pendency of a review petition does not automatically prevent the court from granting or vacating stay orders. In ["S. Narahari VS S. R. Kumar - Supreme Court"], the court clarified that a liberty granted to approach the High Court in review does not automatically extend to the remedy of a Special Leave Petition or affect the stay status. Similarly, in ["Kamal Kishore Khullar VS Sudershan Khanna - Delhi"], the court rejected a stay application during execution proceedings, emphasizing that the finality of the decree and the nature of the review influence the grant of stay.
Stay After Grant of Special Leave or SLP: Once a Special Leave Petition (SLP) is filed or granted, the jurisdiction shifts to the Supreme Court, and the High Court's power to review or stay proceedings diminishes unless the review was filed before or during the SLP process. As explained in ["Shashi Verma VS State of Haryana - Punjab and Haryana"], after SLP is granted, the High Court cannot entertain a review unless it was filed prior to the granting of leave, aligning with the principles in Kunhayammed case.
Revocation or Vacating of Stay: Courts can vacate stay orders if circumstances change, such as the lapse of time, non-compliance with conditions, or if the stay was granted erroneously. In ["VADAKKEKKARA KORAN S/O LATE KALLIYODAN KORAN VS GOWRI D/O LATE PULLAKODY KUNHAMBU NAIR - Kerala"], the court refused to uphold a stay granted 16 years earlier, citing the unreasonable delay and the absence of justification for the stay.
Stay in Civil and Execution Proceedings: Courts generally exercise caution in granting stays in civil or execution proceedings, especially if the decree is final. In ["A. Rama Thulasi VS Estate Officer Executive Engineer, Chennai Central Division, Chennai - Madras"], the court vacated stay when the property was not vacated, and proceedings under the Public Premises Act were initiated, indicating that stay orders are not absolute and can be vacated based on the merits.
Stay in Appellate and Criminal Contexts: The appellate tribunals and criminal courts also have the authority to grant or refuse stays, but such powers are often limited or explicitly conferred by statute. For example, ["Mangalam Cement Ltd. VS State Of Rajasthan, Through Secretary, Finance Department - Rajasthan"] discusses the absence of explicit power to stay proceedings under certain statutes, but courts have implied powers to prevent injustice.
Procedural Safeguards and Verification: Courts are encouraged to verify stay orders through official case search facilities, as in ["VINOD S/O VELAYUDHAN NAIR VS STATE OF KERALA - Kerala"], to ensure that the stay is in force before proceeding with further steps.
Analysis and Conclusion:Courts can grant or vacate stay orders during review proceedings based on procedural rules, the stage of litigation, and the circumstances of each case. The pendency of a review petition or SLP influences the court's jurisdiction to grant stays, with specific restrictions after the grant of special leave. Stay orders are subject to conditions and can be vacated if unjustified or if circumstances change, such as delays or non-compliance. Ultimately, the power to stay in review proceedings is exercised cautiously, balancing the interests of justice, finality of decrees, and procedural fairness.
References:- ["Nisha Rani (since deceased) through LRs VS Rajni - Punjab and Haryana"], ["S. Narahari VS S. R. Kumar - Supreme Court"], ["Kamal Kishore Khullar VS Sudershan Khanna - Delhi"], ["Shashi Verma VS State of Haryana - Punjab and Haryana"], ["VADAKKEKKARA KORAN S/O LATE KALLIYODAN KORAN VS GOWRI D/O LATE PULLAKODY KUNHAMBU NAIR - Kerala"], ["A. Rama Thulasi VS Estate Officer Executive Engineer, Chennai Central Division, Chennai - Madras"], ["Mangalam Cement Ltd. VS State Of Rajasthan, Through Secretary, Finance Department - Rajasthan"]
In the Indian legal system, appeals provide a crucial mechanism for challenging lower court decisions. However, litigants often seek to pause the enforcement of these judgments pending appeal—a process known as obtaining a 'stay.' But what are the provisions for a stay of lower court judgment in appeal? This question arises frequently, especially when immediate execution could cause irreparable harm.
This blog post delves into the nuances of stay orders, drawing from established jurisprudence. We'll examine court discretion, key conditions, and relevant case law. Note: This is general information based on legal precedents and not specific legal advice. Consult a qualified lawyer for your case.
A stay order temporarily suspends the operation of a lower court's judgment, preventing its execution until the appeal or higher proceeding is resolved. While appeals and reviews are distinct, stays in review proceedings often intersect with appeal contexts, as reviews challenge prior appellate orders.
The pendency of an appeal does not automatically halt lower court judgments. Courts exercise discretion based on principles of justice, balance of convenience, and sufficient cause. As highlighted in key rulings, the pendency of a stay application in a review petition does not automatically justify granting a stay by the respondent without complying with court directions Reliance Industries Limited VS Vijayan A (Authorised Representative Of Securities And Exchange Board Of India) - Supreme Court.
Courts typically consider:- Prima facie case: Strong merits in the appeal.- Balance of convenience: Harm to the appellant outweighs prejudice to the respondent.- Irreparable injury: Potential damage that cannot be compensated later.
In review proceedings, stays are not automatic. Mere filing of a review does not bar execution, ensuring the successful party enjoys the fruits of the decree. For instance, mere filing of a review application does not automatically stay the execution proceedings, and the party benefiting from the court's order should be allowed to enjoy the fruits of such order V. Vengamalai Gounder (deceased) by L. Rs. VS K. Perumal Gounder - 2011 Supreme(Mad) 4541.
Indian courts hold wide discretion in granting stays, tailored to case specifics. In criminal matters, stays may be granted during review pendency if justice demands it: courts have granted stays of criminal proceedings during the pendency of review petitions when it serves the interest of justice Mohd. Karim Ghazi VS Sushmita Ghosh - Supreme Court.
However, this power is exercised cautiously. In arbitration contexts under Section 36(3) of the Arbitration and Conciliation Act, 1996, courts aren't bound by rigid formulas for stay conditions, such as depositing principal sums plus interest. One case clarified that failing to strictly follow precedents like Hyder Consulting doesn't warrant review, as discretion prevails Everest Infra Energy Limited VS Transmission (India) Engineers - 2024 Supreme(Cal) 149.
Stays in reviews can ripple into contempt or execution actions:- A stay on a review order halts contempt proceedings based on it Kamla Dwivedi VS D. P. Ahirwar - Madhya Pradesh.- In civil vs. criminal overlaps, lower proof standards in civil matters mean criminal pendency doesn't automatically stay civil proceedings: the standard of proof in civil proceedings is much lower as compared to that in criminal proceedings Sheeba Wheels Private Ltd. VS Satvijay Investment & Consultancy Services (P) Ltd. - 2015 Supreme(Del) 3574.
Statutory limits also apply. Under the Prevention of Corruption Act, legislative intent for speedy trials prohibits routine stays, even in reviews SATYA NARAYAN SHARMA VS State Of Rajasthan - Supreme Court. Similarly, tax assessments require extraordinary circumstances and for supervening reasons for stays, not mere pendency FAG PRECISION BEARINGS LTD. VS SALES TAX OFFICER (ENFORCEMENT). - 2003 Supreme(Guj) 104.
To secure a stay, applicants must demonstrate sufficient cause. Courts balance equities:1. Civil Appeals: Focus on financial deposits or guarantees.2. Criminal Appeals: Prioritize liberty and public interest.3. Execution Stays: Rarely granted sans strong grounds; e.g., election processes can't be stalled once initiated Chokka Basavanna Gowda VS State of Karnataka - 2010 Supreme(Kar) 554.
In one ruling, charges under Cr.P.C. Sections 228, 482 weren't stayed despite factual disputes, as they required trial: At this stage this Court cannot give a finding upon the aforesaid questions—Held—It requires trial Bindu Sabu VS State of Rajasthan - 2012 Supreme(Raj) 674.
| Context | Stay Likelihood | Key Factor ||---------|----------------|------------|| Review Pendency | Low (not automatic) | Sufficient cause UNION OF INDIA VS INDERJIT BARUA - Supreme Court || Arbitration Award | Discretionary | No fixed formula Everest Infra Energy Limited VS Transmission (India) Engineers - 2024 Supreme(Cal) 149 || Criminal Proceedings | Possible | Interests of justice Mohd. Karim Ghazi VS Sushmita Ghosh - Supreme Court || Execution | Rare | Beneficiary's rights V. Vengamalai Gounder (deceased) by L. Rs. VS K. Perumal Gounder - 2011 Supreme(Mad) 4541 |
When filing for a stay of lower court judgment in appeal:- File promptly: Delays weaken claims.- Provide evidence: Affidavits showing irreparable harm.- Argue precedents: Cite balance of convenience and justice.- Check statutes: Avoid prohibited areas like corruption trials.
In cooperative society elections, interim stays were vacated to allow processes to proceed, underscoring that once election process is set into motion it cannot be stalled Chokka Basavanna Gowda VS State of Karnataka - 2010 Supreme(Kar) 554.
Provisions for staying lower court judgments in appeals hinge on judicial discretion, not entitlement. While possible in reviews and appeals, stays demand compelling grounds aligned with justice. Automatic halts undermine finality, so courts prioritize case merits.
Key Takeaways:- Stays are discretionary, requiring sufficient cause and balance of convenience UNION OF INDIA VS INDERJIT BARUA - Supreme Court.- Mere review filing doesn't stay execution V. Vengamalai Gounder (deceased) by L. Rs. VS K. Perumal Gounder - 2011 Supreme(Mad) 4541.- Statutory intents (e.g., speedy trials) limit stays SATYA NARAYAN SHARMA VS State Of Rajasthan - Supreme Court.- Integrate civil-criminal distinctions wisely Sheeba Wheels Private Ltd. VS Satvijay Investment & Consultancy Services (P) Ltd. - 2015 Supreme(Del) 3574.
For tailored guidance, engage legal experts. Stay informed to navigate appeals effectively.
References:- Reliance Industries Limited VS Vijayan A (Authorised Representative Of Securities And Exchange Board Of India) - Supreme CourtMohd. Karim Ghazi VS Sushmita Ghosh - Supreme CourtKamla Dwivedi VS D. P. Ahirwar - Madhya PradeshSATYA NARAYAN SHARMA VS State Of Rajasthan - Supreme CourtUNION OF INDIA VS INDERJIT BARUA - Supreme Court- Everest Infra Energy Limited VS Transmission (India) Engineers - 2024 Supreme(Cal) 149Sheeba Wheels Private Ltd. VS Satvijay Investment & Consultancy Services (P) Ltd. - 2015 Supreme(Del) 3574Bindu Sabu VS State of Rajasthan - 2012 Supreme(Raj) 674V. Vengamalai Gounder (deceased) by L. Rs. VS K. Perumal Gounder - 2011 Supreme(Mad) 4541Chokka Basavanna Gowda VS State of Karnataka - 2010 Supreme(Kar) 554FAG PRECISION BEARINGS LTD. VS SALES TAX OFFICER (ENFORCEMENT). - 2003 Supreme(Guj) 104
#StayOrderAppeal, #CourtStayIndia, #LegalReviewStay
The limited question, therefore, posed before us for our consideration, is whether liberty granted by this Court to approach the High Court in review, automatically places the said matter in the escalation matrix, and makes the remedy of Special Leave Petition available again. ... Leave granted. 3. ... This Court had dismissed the same, however liberty was granted to the petitioner(s)/appellant(s) to appr....
The stay as sought for was granted in purported exercise of power under Order 21 Rule 29 of the CPC. 24. ... It is worthwhile to mention that the stay application filed by the petitioners in the execution proceedings did not mention the provision under which it was filed, however, during adjudication, the learned Executing Court in review has dealt with it properly, following the relevant provisions of th....
Against the order vacating the stay, C.R.P (PD) No.677 of 2014 had been filed. In the CRP, interim stay has been granted and the petitioner had been residing in the property for more than a decade. ... Since the petitioner was only taking time to argue the Civil Miscellaneous Appeal, the then Principal Judge, City Civil Court, Chennai vacated the stay granted in C.M.P.No.1202 of 2012 on 11.02.2014. 5. .......
Although the present review is sought on the pronouncement of the Supreme Court in Hyder Consulting i.e. the Court should have granted stay of the award not only on the deposit of the principal sum but also on pendente lite interest, of 14%, this Court is unable to agree to this argument for the following ... Hence, the review application is maintainable. Whether the application will be allowed will depen....
Therefore, the review can be preferred in the High Court before special leave is granted, but not after it is granted. The reason is obvious. ... He further states that feeling aggrieved by the said order, the petitioners therein filed SLP before the Supreme Court directly bearing SLP (C) No. 14792 of 2015 Shashi Sharma and others vs State of Haryana and others wherein on 13.05.2015 notices were issued and stay of further ....
Merely because the stay application is pending in review petition cannot be a ground to grant stay by the respondent on its own and not to comply with the directions issued by this Court. 4. ... We have gone through the aforesaid decisions and the subsequent order passed by this Court dated 12.10.2022 in Review Petition (Crl.) No.250/2022. The pendency of an appeal and/or writ petition along with stay can....
Still further, the reasoning of the trial court that since the suit is included in the target list, the stay already granted as early as in January, 2003 should be vacated, cannot find favour by this Court. ... On analysis of the rival submissions raised across the bar, two issues arise for consideration before this Court: (a) Whether the trial court was entitled to exercise the power of review suo motu after the lapse of ....
A perusal of the order shows that the Appellate Authority was of the view that it does not have power to stay, therefore, that was the main reason for rejecting the application for stay without due consideration of the case as to whether a case was made out or not. 9. ... It has further been observed that "where the legislature invests an Appellate Tribunal with powers to prevent an injustice, it impliedly empowers it to stay#HL_E....
The Petitioner has filed successive applications including CM APPL. 14230/2023 and CM APPL. 42470/2023 seeking stay of execution proceedings. ... He states that the Petitioner is willing to pay a further amount of Rs. 50,000/- to the Respondents and prays for stay of the execution proceedings. 6. ... During the course of arguments, learned counsel for the Petitioner states that in this petition, he is seeking a s....
Now anybody can access the case search facility in the High Court website to find out whether there is any stay in any proceedings or whether the stay already granted is extended by this Court. ... The court can direct its office to verify the case search facility of the High Court website to find out whether the stay already granted ....
The CLB would, therefore, in my view, be entitled to examine the documents if, they are filed, as contended and relied upon by the petitioner in opposition to the petition filed by the respondents herein. As is well known, the standard of proof in civil proceedings is much lower as compared to that in criminal proceedings. In these facts, no stay can be granted qua the pending CLB proceedings. [See Noida Entrepreneurs Association v. Noida and Ors., (2007) 10 SCC 385] 5.1
The stay granted on 18.9.2009 staying the proceedings stand vacated.
Since no stay has been granted in the review application, the execution proceeding cannot be stayed. Relevant paragraph of the Apex Courts decision reads as follows:- 5. The learned Principal District Munsif, Vandavasi declined to stay the execution proceedings relying upon the Apex Courts decision in Madan Kumar Singh (Died) Through L.R. - v. - District Magistrate, Sultanpur and others reported in 2009(5)CTC 27 holding that mere filing of the Review Application is not a bar ....
Interim stay was granted staying further proceedings. This came to be questioned in W.P.Nos.62612 of 2010 etc. before the High Court.
The power to stay the proceedings can be exercised only in extraordinary circumstances and for supervening reasons, which cannot be attributed to the default or failure of the assessment officers and it would not be a good or sufficient reason just to say that since the proceedings are pending, stay is being granted. 7. It is not disputed that no notice under rule 37-A of the said Rules was issued in respect of the years in question for which the assessment would have been ti....
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