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  • Furnishing Security under Order 38 Rule 5 CPC - Main points and insights:
  • The defendant or applicant can be required to furnish security or seek attachment of property before judgment to protect the plaintiff's interests (02300032135).
  • Courts may allow the withdrawal of attachment upon furnishing adequate security, such as bank guarantees, provided the guarantee remains valid during the suit (INDKER00000169840).
  • The requirement for security is a procedural safeguard in attachment orders, ensuring the defendant's obligations are secured before the attachment is lifted or modified (INDKER00000169840).

  • Security in Stay of Execution and Other Proceedings:

  • Under Order 41 Rule 5 CPC, an order for stay of execution generally mandates the furnishing of security, and courts have held that stay orders cannot be granted without such security (00200023718).
  • The court has the authority to extend the time for furnishing security beyond the prescribed period, especially when the party faces financial difficulties (02200002426).
  • Exemptions from furnishing security are applicable to certain entities, such as the State or Government, as specified in rules like Order 41 Rule 5(5) and related rulings (02200027032).

  • Discretion and Dispensation of Security:

  • Courts may dispense with security requirements under specific circumstances, such as when the order affects the rights of the parties or in appeal proceedings, and such orders are appealable under Section 47 CPC (02100029370, 02100024851).
  • The court can also refuse to accept security if the applicant fails to provide sufficient funds or security as required, leading to dismissal of applications (02500086138).

  • Specific Provisions and Exemptions:

  • The State and government bodies are often exempted from furnishing security for stay or execution of decrees, as per statutory provisions and judicial rulings (02200027032).
  • The requirement of furnishing security is generally applicable to all decrees, including money decrees, unless explicitly exempted (02200006046).

Analysis and Conclusion: Furnishing security under the CPC, particularly under Order 38 Rule 5 and Order 41 Rule 5, is a vital procedural requirement designed to safeguard the interests of parties during attachment, stay, or execution proceedings. Courts have the discretion to require, extend, or dispense with security based on the circumstances, including exemptions for government bodies. Proper security ensures the enforcement of decrees and the protection of rights, with judicial oversight to prevent misuse or undue hardship.

References: - Nagpal Steel Limited VS Arjun Dev Verma - Punjab and Haryana - DR SUYAMBU P Versus A.I POTHEN - Kerala - Mohd. Abdus Samad VS Mahboobunnisa Begum - Andhra Pradesh - PITAMHARI DIBYA VS CHANDRASEKHAR PRAHARAJ - Orissa - S. K. S. Rajamani Nadar and Another VS Tuticorin Small Scale Salt Manufacturers Association through its secretary M. S. Arunachalam and Another - Madras - State of West Bengal VS Texmaco Ltd. - Calcutta - Ashok Kumar VS Naresh Chandra Gupta - Allahabad - Rajammal VS A. T. Krishnaswami Mudaliar (Died) - Madras - COLLECTOR VS PADMA CHARAN MOHANTY - Orissa - HADIBANDHU SENAPATI VS SMT. CHAMPAMANI BEHERA - Orissa

Search Results for "Furnishing Security under Cpc"

Nagpal Steel Limited VS Arjun Dev Verma

1998 0 Supreme(P&H) 451 India - Punjab and Haryana

SWATANTER KUMAR

ORDER 38 RULE 5 CPC - ATTACHMENT BEFORE JUDGMENT - ORDER 38 RULE 5(1) CPC - FURNISHING SECURITY - ORDER 38 RULE 5 CPC - JURISDICTION ... from the defendant and also filed an application under Order 38 Rule 5 CPC for furnishing security or attachment of properties before ... SECURITY - ORDER 38 RULE 5 CPC - INTEREST OF JUSTICE: Fact of the Case: Plaintiff filed a suit for recovery of money ... It is, therefore pray....

DR SUYAMBU P Versus A.I POTHEN

2024 Supreme(Online)(KER) 23374 India - High Court of Kerala

Kauser Edappagath, J

Ratio Decidendi: The court determined that as long as the bank guarantee remains valid and the petitioners offered adequate security ... The defendants against whom an order of attachment is passed has every right to seek withdrawal of the said attachment on furnishing security so long as the attachment subsists during the subsistence of the suit. ... Thereafter, the petitioners herein filed application under Order XXXVIII Rule 9 of the CPC to withdraw the attachment furnishing bank guarantee for ₹17,7....

Mohd. Abdus Samad VS Mahboobunnisa Begum

1969 0 Supreme(AP) 73 India - Andhra Pradesh

GOPALRAO EKBOLE, K.RAMACHANDRA RAO

ORDER 41 RULE 5 CIVIL PROCEDURE CODE - STAY OF EXECUTION OF DECREE - SECURITY - FURNISHING OF SECURITY - MANDATORY REQUIREMENT ... Knahaialal Dhanaram, which held that an order for stay of execution cannot be made without furnishing security as required under ... Issues: Whether an application for stay of execution under Order 41, Rule 5 of the CPC is maintainable without furnishing ... C. , can leave on one in doubt that the appellant would not be ....

PITAMHARI DIBYA VS CHANDRASEKHAR PRAHARAJ

1953 0 Supreme(Ori) 43 India - Orissa

PANIGRAHI, NARASIMHAM

CIVIL PROCEDURE CODE - ORDER 45 RULE 7 - EXTENSION OF TIME FOR FURNISHING SECURITY - SUBSTITUTION OF PROPERTY SECURITY FOR CASH ... Whether the court has the power to extend the time for furnishing security beyond the period prescribed in Order 45 Rule 7 of the ... Finding of the Court: The court held that it had the power to extend the time for furnishing security beyond the period ... She is not in a position to raise the necessary funds for #HL_....

S. K. S. Rajamani Nadar and Another VS Tuticorin Small Scale Salt Manufacturers 
Association through its secretary M. S. Arunachalam and Another

1999 0 Supreme(Mad) 898 India - Madras

K.P.SIVASUBRAMANIAM

CIVIL PROCEDURE CODE - ORDER 21 RULE 90 - PROVISO - FURNISHING OF SECURITY - DISPENSING WITH - OPPORTUNITY TO FURNISH SECURITY ... Finding of the Court: The court held that the requirement of furnishing security under Order 21 Rule 90 of CPC arises ... Whether the Execution Court erred in dismissing the petition to dispense with the requirement of furnishing security without providing ... No. 1222 of 1991 had prayed for dispensing....

State of West Bengal VS Texmaco Ltd.

2012 0 Supreme(Cal) 1031 India - Calcutta

Subhro Kamal Mukherjee, TARUN KUMAR GUPTA

from furnishing security in a case for a decree for payment of money. ... Whether the State was exempted from furnishing security for stay of execution of the award under Order 27 Rule 8A of the Code of ... Order 27 Rule 8A of the Code of Civil Procedure, which exempted the State from furnishing security for stay of execution of a decree ... Sen that in view of the provisions of Order 27 Rule 8A of the Code of Civil Procedure, his ....

Ashok Kumar VS Naresh Chandra Gupta

2015 0 Supreme(All) 3615 India - Allahabad

MANOJ KUMAR GUPTA

The trial Court rejected the application for furnishing security and dismissed the application under Order 9, Rule 13. ... Issues: Controversy over the rejection of the application for furnishing security and the dismissal of the application under ... 13 CPC. ... The Judge, Small Causes, rejected the application for furnishing security of the decretal amount and on the same date, dismissed the application under Order 9, Rule 13. Aggrieved thereby, the first responden....

Rajammal VS A. T. Krishnaswami Mudaliar (Died)

1971 0 Supreme(Mad) 579 India - Madras

SADASIVAM, V.RAMASWAMI

- ORDER DISPENSING WITH FURNISHING OF SECURITY - APPEALABILITY - ORDER DIRECTING FURNISHING OF SECURITY - WHETHER RES JUDICATA IN ... The court held that the order dispensing with the furnishing of security was appealable under Section 47 of the CPC, as it affected ... EXECUTION PROCEEDINGS - SALE OF PROPERTIES - SECURITY FOR SETTING ASIDE SALE - ORDER DIRECTING FURNISHING OF SECURITY - APPEALABILITY ... The plaint....

COLLECTOR VS PADMA CHARAN MOHANTY

1980 0 Supreme(Ori) 140 India - Orissa

S.K.RAY, K.B.PANDA

Finding of the Court: The court held that the Collector, as a representative of the State Government, was exempted from furnishing ... It states that no such security as is mentioned in Rules 5 and 6 of Order XLI shall be required from the Government. Sub-rule (5) of Rule 5 expressly mentions furnishing of security as specified in Sub-rule (3) of Rule 1. So Rule 5 mentions about security under Sub-rule (3)(c) of Rule 5. ... Introduction of Sub-rule (3) of Rule 1 and Sub-rule (5) of Rule 5 of Order 41 ....

HADIBANDHU SENAPATI VS SMT. CHAMPAMANI BEHERA

1995 0 Supreme(Ori) 168 India - Orissa

ARIJIT PASAYAT

had been passed, there was no requirement of furnishing security. ... Issues: Whether the requirement of furnishing security under Order 41, Rule 5(3) of the CPC is applicable to all decrees or ... The court further held that the requirement of furnishing security is applicable to all decrees, not just money decrees. ... On the other hand petitioners contended that there was no provision in the CPC for seeking vacation of the interim stay, and since....

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