AI Overview...
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Applicability of Order 23 Rule 3 CPC - Order 23 Rule 3 of the Civil Procedure Code (CPC) specifically governs the recording and enforcement of compromise or settlement agreements in civil suits. It authorizes courts to record a compromise and pass a decree accordingly, provided the agreement is lawful and genuine. Several sources confirm that Order 23 Rule 3 is applicable to out-of-court settlement agreements that are brought before the court for formal recording and decree (Gunda Poornachander VS Yanigandla Punnaiah - Andhra Pradesh, HARBANS SINGH CHAUHAN VS BAWA SINGH CHAUHAN - Calcutta, S. P. MINOCHA VS LILA RAM - Delhi, Legal Representative Of Moti Lal VS Shanti Devi Borana - Rajasthan).
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Court’s Power to Record and Enforce Settlement - Courts have the statutory authority to record compromises under Order 23 Rule 3 and to pass a decree based on such agreements. The rule mandates the court to scrutinize the agreement for legality and validity before recording it (HARBANS SINGH CHAUHAN VS BAWA SINGH CHAUHAN - Calcutta, BIMAL KUMAR VS RAM KUMAR - Himachal Pradesh). Once recorded, the compromise becomes binding on the parties, and the court is obliged to enforce it unless there are legal impediments (Legal Representative Of Moti Lal VS Shanti Devi Borana - Rajasthan, Kamla VS Mangi Bai - Current Civil Cases).
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Procedural Aspects and Legal Validity - The rule requires the court to ensure that the compromise is lawful and not against public policy or statutory prohibitions. Evidence and enquiry are necessary to verify the authenticity of the settlement, and court-fee may be payable on the decree based on the compromise (RAVINDER KUMAR RISHI VS SUSHMA RISHI - Delhi, Legal Representative Of Moti Lal VS Shanti Devi Borana - Rajasthan, Manjeet Singh Kohli VS Mirajuddin - Delhi).
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Limitations and Exceptions - The rule does not apply to invalid or illegal agreements, and courts retain discretion to reject compromises that are not lawful. Additionally, the rule is applicable in civil proceedings and not in cases where statutory provisions or specific laws provide otherwise, such as claims involving minors or certain statutory claims (NATIONAL CARRIERS VS M. J. STONE - Himachal Pradesh, Manjeet Singh Kohli VS Mirajuddin - Delhi).
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Conclusion - Order 23 Rule 3 CPC is clearly applicable to out-of-court settlement agreements when parties seek to have their compromise recorded and enforced by the court. The rule facilitates the smooth resolution of disputes through lawful agreements, ensuring they are formalized with judicial oversight, provided the agreements are lawful and properly verified (Gunda Poornachander VS Yanigandla Punnaiah - Andhra Pradesh, HARBANS SINGH CHAUHAN VS BAWA SINGH CHAUHAN - Calcutta, Kamla VS Mangi Bai - Current Civil Cases).
References: - Gunda Poornachander VS Yanigandla Punnaiah - Andhra Pradesh - HARBANS SINGH CHAUHAN VS BAWA SINGH CHAUHAN - Calcutta - S. P. MINOCHA VS LILA RAM - Delhi - NAZIR MOHAMED VS KASTURCHAND GOMAJI CO. - Karnataka - BIMAL KUMAR VS RAM KUMAR - Himachal Pradesh - Manjeet Singh Kohli VS Mirajuddin - Delhi - Legal Representative Of Moti Lal VS Shanti Devi Borana - Rajasthan - NATIONAL CARRIERS VS M. J. STONE - Himachal Pradesh - RAVINDER KUMAR RISHI VS SUSHMA RISHI - Delhi - Kamla VS Mangi Bai - Current Civil Cases
Search Results for "Applicability of Order 23 Rule 3 Cpc to out of Court Settlement Agreements"
2001 0 Supreme(AP) 718 • India - Andhra Pradesh
P.S.NARAYANA
Civil Procedure Code – Section 151, Order 23, rule 3 – Compromise Decree – Civil revision petition is filed ... 23, rule 3 read with Section 151 CPC seeking to set aside the compromise decree on the ground that the Court cannot act upon the ... against the order made by Principal District Judge, in IA in AS – Application IA was filed by the respondent herein, under Order ... Ther....
1951 0 Supreme(Cal) 30 • India - Calcutta
SINHA
COMPROMISE OF SUIT - LAWFUL AGREEMENT - COURT'S POWER TO RECORD - Order 23, Rule 3, Civil Procedure Code - Scope and applicability ... lawful agreement or compromise' under Order 23, Rule 3 of the Civil Procedure Code. ... The defendant applied to the court to record the terms of the compromise agreement under Order#....
2002 0 Supreme(Del) 479 • India - Delhi
MANMOHAN SARIN
Civil Procedure Code, 1908 - Order 23 Rule 3 — Review — Comproini.se or settlement — in contravention of the provisions of Order ... 23 Rule 3, CPC — Proceedings in revision by virtue of Section 141 CPC are subject to the procedure as is applicable to a suit — Settlement ... with Order XXIII Rule 3, #HL_START....
1951 0 Supreme(Kar) 6 • India - Karnataka
VASUDEVAMURTHY
or settlement under Order 23 Rule 3, C. ... under Order 23 Rule 3, C. ... or compromise under Order 23 Rule 3, C. ... 23, Rule 3, C. ... R. 215 it has been held that the decision of arbitrators unless accepted by the parties cannot am....
2007 0 Supreme(HP) 62 • India - Himachal Pradesh
V.K.GUPTA
between the parties in terms of Order 23 Rule 3 CPC, which binds the parties as well as enjoins upon the court a mandatory obligation ... Civil Procedure Code, Section 100 and Order 23 Rule 3 r/w Section 151 CPC - Regular second appeal - Both the applications have been ... to record the agreement so entered - These two applicants are accordingly allowed and cons....
2020 0 Supreme(Del) 669 • India - Delhi
V.KAMESWAR RAO
- Order 23 Rule 3 CPC - Withdrawal of suit - Maintainability - Suit for specific performance of agreement to sell - Compromise arrived ... - Maintainability - Order 23 Rule 3 CPC - Withdrawal of suit - Maintainability - Suit for specific performance of agreement to sell ... Whether the application for withdrawal of suit under Order 23 #HL_START....
2018 0 Supreme(Raj) 1692 • India - Rajasthan
PUSHPENDRA SINGH BHATI
Civil Procedure Code,1908 - Section 151 - Order 23, Rule 3 - Constitution of India,1950 - Article 227 - ... and complete precedent law clearly lays down that in proceedings of Order 23, Rule 3 CPC evidence and enquiry would be necessary ... Rule CPC which is meant for rebuttal of compromise during suit – Court have seen precedent law cited by counsel for peti....
1979 0 Supreme(HP) 57 • India - Himachal Pradesh
T.U.MEHTA, VYOM PRAKASH GUPTA
MOTOR VEHICLES ACT - CLAIMS TRIBUNAL - SETTLEMENT - MINORS - INTEREST - ORDER 32, RULE 7, C.P.C. - APPLICABILITY - PRINCIPLES ... Finding of the Court: The High Court held that the principles embodied in Order 32, Rule 7 of the Code of Civil Procedure ... Whether the principles of Order 32, Rule 7, C.P.C., regarding the protection of minors' interests in compr....
2002 0 Supreme(Del) 1228 • India - Delhi
S.B.SINHA, S.MUKERJEE, D.K.JAIN, A.D.SINGH, MADAN B.LOKUR
under Order XXIII, Rule 3, CPC. ... Civil Procedure Code, 1908 - Order 23 Rule 3 — Compromise decree — Affixation of court-fee — Whether court-fee is payable on a compromise ... application under Order 23 Rule 3, CPC or the compromise decree drawn up pursuant thereto whereunder a large amount happened to ... ....
• India - Current Civil Cases
ARUN BHANSALI
Succession Act, 1925—Section 276—Civil Procedure Code, 1908—Order 23 Rule 3 read with Section 141—Probate of Will—Grant of—Compromise ... XXIII, Rule 3 CPC would be entirely applicable—Trial court has failed to record any reason for refusing to pass decree in terms ... of compromise entered into amongst parties to proceedings despite filing of application under Order XXIII, Rule 3#HL_END....
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