SURJIT SINGH Vs GURWANT KAUR .
Bench: DIPAK MISRA,V. GOPALA GOWDA
Case number: C.A. No.-008283-008283 / 2014
Diary number: 18999 / 2012
Advocates: MANJULA GUPTA Vs
BHASKAR Y. KULKARNI
Page 1
Page 2
Page 3
Page 4
Page 5
Page 6
Page 7
Page 8
Page 9
Page 10
Page 11
Page 12
Page 13
Page 14
Page 15
Page 16
Page 17
Page 18
Page 19
Page 20
Page 21
Page 22
Page 1
Reportable
IN THE SUPREME COURT OF INDIA
CIVIL APPELLATE JURISDICTION
CIVIL APPEAL NO. 8283 OF 2014 (Arising out of S.L.P. (C) No. 18676 of 2012)
Surjit Singh & Ors. ... Appellants
Versus
Gurwant Kaur & Ors. ...Respondents
J U D G M E N T
Dipak Misra, J.
Leave granted.
2. The respondent No. 1 instituted Civil Suit No. 78 of
2003 in the Court of the learned Additional Civil Judge
(Senior Division), Patti, district Taran Taran, for specific
performance of contract entered into between him and the
appellant No. 1, the predecessor-in-interest of appellants
Nos. 2 to 4 and the respondent No. 2 for sale of land
admeasuring 28 K 12 M bearing khata Khatoni 330/1254,
Page 2
1256, 331/1261 and Killa Nos. 34/25 (712), 40/1/1 (4-15),
10/2 min (0-8), 41/5 min (2-8) 6/1 (7-5) 15/1 (2-16),
34/162 (3-8), situated in village Talwandi Sobha Singh
Tehsil Patti District Amritsar as per Jamabandi for the year
1997-98 at the rate of Rs.3,22,500/- per Killa which
included all rights attached to the land.
3. It was averred in the plaint that the defendant in the
Civil suit had received Rs.50,000/- on 7.2.2003 and a
further sum of Rs. 50,000/- on 25.2.2003 as against the
determined price of 3,22,500/- per killa as per the
agreement. As stipulated in the agreement the balance
amount was to be paid on 3.6.2013 at the time of
execution and registration of sale deed before the sub
Registrar, Patti. It was also recited in the agreement that
the suit land was already mortgaged with the State Bank
of Patiala and the defendants should clear the loan before
execution of the sale deed in favour of plaintiff failing
which the deposited amount would be forfeited. The
plaintiff, as averred in the plaint, went to the office of the
sub-Registrar but the defendants did not turn up. As there
was breach of contract by the defendants, for they failed
2
Page 3
to execute and register the sale deed in favour of the
plaintiff, he initiated the civil action for specific
performance of contract or in the alternative for recovery
of Rs.2,00,000/- as compensation.
4. The defendants entered contest and filed the written
statement contending, inter alia, that the suit was not
maintainable; that the plaintiff was not ready with the
balance amount; that the stand put forth by the plaintiff
that he had come to Tehsil complex on 3.6.2003 along
with the balance sale consideration and the attesting
witnesses was farther from the truth, for the original
defendants remained present in the office of Sub
Registrar, Patti from 9.00 a.m. to 5.00 p.m. but the
plaintiff did not turn up as he was not ready with the
balance consideration; and that the defendants moved an
application before the concerned Sub-Registrar for
marking their presence and gave an affidavit which was
duly signed by the Sub-Registrar. The further stand of the
defendants was that the plaintiff and her relatives tried to
take forcible possession of the property in dispute as a
consequence of which FIR No. 97 dated 9.6.2003 for
3
Page 4
offences punishable under Sections 307, 326, 323, 148
and 149 of the Indian Penal Code and Section 25 of the
Arms Act was registered.
5. The learned trial Judge framed as many as six issues,
recorded the evidence and, eventually, dismissed the suit
filed by the plaintiff. It is apt to mention here that during
the pendency of the suit the plaintiff had filed an
application under Section 151 of the Code of Civil
Procedure (CPC) for filing of additional documents with the
prayer that the said documents should be accepted as
additional evidence. It was stated in the application that
in her evidence she had already deposed that she had got
Rs.9,00,000/- from her husband’s brother, Gian Singh, and
he was having Rs.1,00,000/- in her account bearing No.
1313. It was also averred that she was under the
impression that her father was prosecuting the case and
had filed the statement of accounts bearing No. 1-29 of
Gian Singh and of plaintiff’s bearing No. SB/17274 but
inadvertently her father could not produce the said
statement of accounts and pass books, and she had no
4
Page 5
knowledge about the same. In the said backdrop a prayer
was made for acceptance of the documents.
6. The learned trial Judge, after perusing the material
on record, passed the following order: -
“A perusal of file shows that the suit was filed on 23.7.2003 and issues were framed on 7.1.2004. Since then, plaintiff availed 14 opportunities to produce and conclude her evidence and ultimately closed it at her own on 11.5.05 and thereafter the case was fixed for defendant evidence. Defendant also took 19 opportunities to conclude their evidence and ultimately closed the same on 19.4.06 and after that the case was fixed for rebuttal evidence of plaintiff, for which plaintiff took 8 opportunities and then he came up with the present application. It is clear from the above facts that it was not mere inadvertence that these copies could not be produced by the plaintiff, rather the plaintiff did not act diligently herself. If the applicant was diligent, the application should have come on record, much earlier and not now and it appears only an attempt to seek time and fill up lacuna. Accordingly the application is dismissed.”
7. The aforesaid order was assailed in Civil Revision No.
6014 of 2008 before the High Court and the learned single
Judge, after perusing the order passed by the learned trial
Judge, dismissed the civil revision by ascribing the
following reasons: -
5
Page 6
“Keeping in view the order, referred to above, this court is of the view that prayer made by the learned counsel for the grant of one opportunity to the petitioner to produce copies of statements of accounts by way of additional evidence cannot at all be accepted since number of opportunities were availed of by the plaintiff but failed to produce copies of statement of account in support of her case. Even otherwise, case is at the fag end stage and now this application for producing the afore referred documents in support of her case has been filed just to delay the proceedings of the case. That apart, the aforementioned copies of statement of accounts were very much in the knowledge of the plaintiff-petitioner and if the petitioner had been vigilant, she must have produced the same at appropriate stage. Approach of the learned trial court in dismissing the application for producing copies of statement of account by way of additional evidence cannot at all be said to be erroneous, which may warrant interference by this court.”
8. Thereafter the hearing of the suit proceeded and, as
has been stated earlier, it was dismissed. Being grieved
by the judgment and decree passed by the learned trial
Judge, the plaintiff preferred an appeal before the
Additional District Judge, Taran Taran. During the
pendency of the appeal, the plaintiff-appellant filed an
application under Order XLI Rule 27 of CPC for production
of pass books and the statement of bank accounts as
additional evidence. The said application was resisted on
6
Page 7
many a ground. The learned Additional District Judge
came to hold that the evidence being in nature of
documentary evidence and being admissible, it was
appropriate to allow the same. The lower appellate court
also observed that the defendants-respondents would
have the opportunity to rebut the same. Being of this
view he allowed the application subject to payment of
Rs.1,000/- as costs.
9. The said order was assailed in Civil Revision No. 5850
of 2011 and the learned single Judge by order dated
3.5.2012, declined to interfere on the ground that the
lower appellate court had fairly appreciated the provisions
in law and correctly opined that the documents were
required for just decisions of the case. That apart, the
learned single Judge observed that in a suit for specific
performance of contract the ready and willingness of the
plaintiff to perform her part of the contract, being an
important factor, by allowing the application the lower
appellate court had not committed any legal infirmity.
The said order is under assail in the present appeal by
special leave.
7
Page 8
10. Calling in question the legal substantiality of the
order, it is urged by Ms. Manjula Gupta, learned counsel
appearing for the appellants, that once the application for
additional evidence was rejected by the learned trial Judge
and the same got the stamp of approval by the High Court
in civil revision on being assailed, the said order operates
as res judicata and, therefore, the lower appellate court
could not have entertained the application. Learned
counsel would further submit that the learned first
appellate Judge has fallen into grave error not only in
exercise of his jurisdiction inasmuch as the plea relating to
ready and willingness was disbelieved by the trial court on
the basis of material on record and the adroit made by the
plaintiffs/ appellants at the appellate stage to produce
books of accounts to show that they had money in their
accounts, would not come within the ambit and sweep to
make out a case under Order XLI Rule 27 of CPC. That
apart, submits learned counsel for the appellants, the
ingredients which are required to be satisfied for getting
the benefit under the said provision, were not at all
satisfied and hence, the impugned order is absolutely
8
Page 9
vulnerable. In support of her submissions, she has
commended us to the decisions in Arjun Singh v.
Mohindra Kumar and others1, Kunhayammed and
others v. State of Kerala and another2 and Shankar
Ramchandra Abhyankar v. Krishnaji Dattatreya
Bapet3.
11. Mr. Vikas Mahajan, learned counsel appearing for the
respondents, per contra, would contend that the first
application was filed under Section 151 of CPC for filing
additional documents before the trial court and it has no
relevance when an application for filing of additional
evidence under Order XLI Rule 27 of the CPC is filed before
the appellate court. It is urged by him that acceptance of
the said documents would subserve the cause of justice
and when the appellate court and the High Court have
accepted the stand of the respondents in proper
perspective, the impugned orders do not warrant any
interference by this Court. To bolster the said submission
he has relied on the decisions in K. Venkataramiah v. A.
1 AIR 1964 SC 993 2 (2000) 6 SCC 359 3 (1969) 2 SCC 74
9
Page 10
Seetharama Reddy and others4, Syed Abdul Khader
v. Rami Reddy and others5, Billa Jagan Mohan
Reddy and another v. Billa Sanjeeva Reddy and
others6 and Wadi v. Amilal and others7.
12. First, we shall deal with the application that was filed
by the plaintiffs before the learned trial Judge. It was an
application under Section 151 of CPC for filing of additional
documents and the learned trial Judge passed an order
refusing to take the additional documents on record. The
said order having assailed before the High Court in the
civil revision, the High Court had declined to interfere.
The question that arises for consideration is when such an
order passed by the learned trial Judge had been affirmed
by the High Court in exercise of supervisory jurisdiction,
would it still be permissible from the view of propriety on
the part of the first appellate court to accept the
documents in exercise of power under Order XLI Rule 27
of the CPC and, if not, was it not the duty of the High Court
to lancinate it.
4 AIR 1963 SC 1526 5 AIR 1979 SC 553 6 (1994) 4 SCC 659 7 JT 2002 (6) SC 16
10
Page 11
13. In this context, we may refer with profit to the
authority in Satyadhan Ghosal and others v. Smt.
Deorajin Debi and another8. It was a case where the
landlords had obtained a decree for ejectment against the
tenants. After the decree was made, the Calcutta Thika
Tenancy Act, 1949 came into force. The decree had not
yet been put for execution. The tenants preferred an
application under Section 28 of the said Act for rescission
of the decree passed against them. The said application
was resisted by the landlords who were the decree-
holders. The learned Munsif rejected the application
holding that the tenants were Thika tenants under the
Thika Tenancy Act. Against the said order the tenants
moved the High Court of Calcutta under Section 115 of
CPC. By the time the revision application was taken up for
hearing, the Calcutta Thika Tenancy Act was amended in
1953. The amended Act omitted Section 28 of the original
Act. The High Court considered the effect of the
amendment made in the Act and opined that in view of
the amended definition of the term “Thika tenant” and the
evidence brought on record it can be held that the tenants 8 AIR 1960 SC 941
11
Page 12
were Thika tenants. Being of this view, the High Court
allowed the revision and set aside the order of the learned
Munsif whereby he had dismissed the application of the
tenants under Section 28 of the Act. After setting aside
the order, the High Court remanded the matter to the
court of learned Munsif for disposal in accordance with
law. After remit the learned Munsif rescinded the decree.
The said order was assailed under Section 115 of CPC
which was rejected by the High Court. In revision, a
contention was advanced that Section 28 of the Act was
not applicable. The Learned Judge who heard the matter
opined that the question as between the parties was res
judicata. Against the said order an appeal was preferred
before this Court on the strength of special leave. In that
context, the Court ruled thus: -
“The principle of res judicata is based on the need of giving a finality to judicial decisions. What it says is that once a res is judicata, it shall not be adjudged again. Primarily it applies as between past litigation and future litigation. When a matter – whether on a question of fact or a question of law – has been decided between two parties in one suit or proceeding and the decision is final, either because no appeal was taken to a higher court or because the appeal was dismissed, or no appeal lies, neither party will be
12
Page 13
allowed in a future suit or proceeding between the same parties to canvass the matter gain. This principle of res judicata is embodied in relation to suits in S. 11 of the Code of Civil Procedure; but even where S. 11 does not apply, the principle of res judicata has been applied by courts for the purpose of achieving finality in litigation. The result of this is that the original court as well as any higher court must in any future litigation proceed on the basis that the previous decision was correct.
After so stating the Court laid down the principle of
the applicability of the doctrine of res judicata between
two stages of the suit: -
“The principle of res judicata applies also as between two stages in the same litigation to this extent that a court, whether the trial court or a higher court having at an earlier stage decided a matter in one way will not allow the parties to re-agitate the matter again at a subsequent stage of the same proceedings. Does this however mean that because at an earlier stage of the litigation a court has decided an interlocutory matter in one way and no appeal has been taken therefrom or no appeal did lie, a higher court cannot at a later stage of the same litigation consider the matter again?”
After posing the said question the Court examined
the Privy Council decisions in Moheshur Singh v.
Bengal Government9, Forbes v. Ameeroonissa
9 7 Moo Ind App 283 at p. 302 (PC)
13
Page 14
Begum10 and Sheonath v. Ramnath11 and accepted the
observations made by the Privy Council in Moheshur
Singh (supra) wherein it has been held thus: -
“We are of opinion that this objection cannot be sustained. We are not aware of any law or regulation prevailing in India which renders it imperative upon the suitor to appeal from every interlocutory order by which he may conceive himself aggrieved, under the penalty, if he does not so do, of forfeiting for ever the benefit of the consideration of the appellate court. No authority or precedent has been cited in support of such a proposition, and we cannot conceive that anything would be more detrimental to the expeditious administration of justice than the establishment of a rule which would impose upon the suitor the necessity of so appealing; whereby on the one hand he might be harassed with endless expense and delay, and on the other inflict upon his opponent similar calamities. We believe there have been very many cases before this Tribunal in which their Lordships have deemed it to be their duty to correct erroneous interlocutory orders, though not brought under their consideration until the whole cause had been decided, and brought hither by appeal for adjudication.”
Approving the said principle this Court opined that
the appellants in that case were not precluded from
raising the question that Section 28 of the original Thika
Tenancy Act was not available to the tenants after coming 10 10 Moo Ind App 340 (PC) 11 10 Moo Ind App 431 (PC)
14
Page 15
into force of Thika Tenancy (Amendment) Act, 1953 as it
was an appeal by special leave to the superior court.
14. The aforesaid decision was approved in Arjun Singh
(supra) wherein the Court ruled thus:-
“If the court which rendered the first decision was competent to entertain the suit or other proceeding, and had therefore competency to decide the issue or matter, the circumstance that it is a tribunal of exclusive jurisdiction or one from whose decision no appeal lay would not by themselves negative the finding on the issue by it being res judicata in later proceedings. Similarly, as stated already, though S. 11 of the Civil Procedure Code clearly contemplates the existence of two suits and the findings in the first being res judicata in the later suit, it is well established that the principle underlying it is equally applicable to the case of decisions rendered at successive stages of the same suit or proceeding. But where the principle of res judicata is invoked in the case of the different stages of proceedings in the same suit, the nature of the proceedings, the scope of the enquiry which the adjectival law provides for the decision being reached, as well as the specific provisions made on matters touching such decision are some of the material and relevant factors to be considered before the principle is held applicable.”
15. Thereafter, the Court adverted to the applications
which were filed in three suits for setting aside the ex
15
Page 16
parte orders passed against the appellant therein, and
after deliberating the nature of the order, that is, one
under Order IX Rule 7 and the rejection thereof by the trial
court and affirmance thereof by the High Court, the filing
of the application under Order IX Rule 13 and dismissal of
the same on the ground of res judicata and concurrence
thereof by the High Court, the court referred to the
decision in Satyadhan Ghosal (supra) and after
reproducing a paragraph from the same, opined thus: -
“Does this, however, mean that because at an earlier stage of the litigation a court has decided an interlocutory matter in one way and no appeal has been taken therefrom or no appeal did lie, a higher court cannot at a later stage of the same litigation consider the matter again? .... It is clear therefore that an interlocutory order which had not been appealed from either because no appeal lay or even though an appeal lay an appeal was not taken could be challenged in an appeal from the final decree or order.”
16. After so stating, the Court observed that if the
correctness of the order of the Civil Judge in disposing of
the application under Order IX Rule 7 filed by the
appellant was questioned in an appeal against the decree
in the suit, these principles and the observations would
have immediate relevance. In that context, the three-
16
Page 17
Judge Bench proceeded to deal with various kinds of
interlocutory orders and opined that certain orders that
are interlocutory in nature are capable of being altered or
varied by the subsequent applications for the same relief,
normally only on proof of new facts or new situations
which subsequently emerge. The Court emphasised on
the nature of the order and ruled that if it does not
impinge upon the legal rights of parties to the litigation
the principle of res judicata would not apply to the findings
on which the order is passed. However, the Court
observed that if applications were made for relief on the
same basis after the same had once been disposed of the
court would be justified in rejecting the same as an abuse
of the process of the Court. Thereafter, the Court
proceeded to state that the successive applications based
on same set of facts, if they are interlocutory orders of
different nature and are passed for preservation of
property, do not in any manner decide the merit of the
controversy in issue. They can be rejected on the ground
of abuse of the process of the Court but not by principle of
res judicata. The said principle was followed in The
17
Page 18
United Provinces Electric Supply Co. Ltd., Allahabad
v. Their Workmen12 and S. Malla Reddy v. Future
Builders Cooperative Housing Society and others13.
17. In the case at hand, we do not intend to deal with the
submission whether rejection of an application to take
additional documents on record during the trial and the
affirmation thereof in civil revision by the High Court
would operate as res judicata or not, when an application
is preferred under Order XLI Rule 27 of the CPC, for the
provisions are different. But, we intend to deal with the
exercise of jurisdiction and justifiability of the same regard
being had to the special factual matrix of the instant case.
18. At this juncture, it is necessary to clarify that sub-rule
(1)(a) of Order XLI Rule 27 is not attracted to the case at
hand inasmuch as the documents were not taken on
record by the trial court and error, if any, in the said order
does not survive for reconsideration after the High Court
has given the stamp of approval to the same in civil
revision. Similarly, sub-rule (1)(aa) would not be
applicable as the party seeking to produce an additional 12 (1972) 2 SCC 54 13 (2013) 9 SCC 349
18
Page 19
evidence on the foundation that despite exercise of due
diligence, such evidence was not within his knowledge or
could not, after exercise of due diligence, be produced by
him at the time when the decree appealed against was
passed does not arise, for the documents were sought to
be produced before the trial court. Cases may arise under
sub-rule (1)(b) where the appellate court may require any
document to be produced or any witness to be examined
to enable it to pronounce judgment, or for any other
substantial cause. However, exercise of the said power is
circumscribed by the limitations specified in the language
of the rule. It is the duty of the court to come to a definite
conclusion that it is really necessary to accept the
documents as additional evidence to enable it to
pronounce the judgment. The true test is, as has been
held in Parsotim v. Lal Mohan14 where the appellate
court was able to pronounce the judgment from the
materials before it without taking into consideration the
additional evidence sought to be adduced. The same
principle has been accepted by a three-Judge Bench in
Arjan Singh v. Kartar Singh and others15. 14 AIR 1931 PC 143 15 AIR 1951 SC 193
19
Page 20
19. Coming to the case at hand, the documents were
sought to be introduced at the stage of hearing of the suit.
Numerous opportunities were granted to file the
documents, but the plaintiffs chose not to avail of the
same. Therefore, the said documents were not accepted
by the trial court. A civil revision was filed and dealt with
on merits. Same set of documents were sought to be
introduced before the appellate court as the additional
evidence. The said documents are not such documents
which are clinching and really essential for
pronouncement of the judgment or for that matter any
other substantial cause. There may be cases where on
acceptance of public documents the decision on the lis in
question would subserve cause of justice and avoid
miscarriage of justice. In the instant case, the documents
which are sought to be filed before the appellate court as
additional evidence are bank accounts which really are not
clinching to put the controversy. As we find, it is
extremely difficult to put the case under Order XLI Rule 27
(1)(b) to suggest that it is necessary to take the
documents on record in the interest of justice and,
20
Page 21
additionally, when the said documents were rejected to be
taken on record by the trial court and the said rejection
had been affirmed by the High Court. We are conscious,
the spectrum that can be covered under Order XLI Rule 27
(1)(b) may be in a broader one but in certain cases judicial
propriety would be an impediment and the present case is
one where the judicial propriety comes on the way.
Therefore, we are of the considered opinion that the
appellate court has erred in taking recourse to the said
clause and allowing the application for taking additional
evidence and similarly the High Court has committed
illegality opining that the order passed by the lower
appellate court does not suffer from any infirmity.
20. Be it stated, the learned counsel has referred to
certain authorities which pertain to scope of Order XLI
Rule 27 of the CPC, but they are distinguishable on facts
as they relate to due diligency, relevancy of documents
and the requisite approach. We have already opined that
the documents are not so clinching to be accepted as
additional evidence in exercise of jurisdiction under Order
XLI Rule 27(1)(b), for the judicial propriety becomes an
21
Page 22
impediment and, therefore, there is no necessity to advert
to the said authorities.
21. In view of the aforesaid analysis, the appeal is
allowed and the orders passed by the lower appellate
court and that of the High Court are set aside. There shall
be no order as to costs.
.............................J. [Dipak Misra]
.............................J. [V. Gopala Gowda]
New Delhi; August 27, 2014.
22