Asma Lateef vs Shabbir Ahmad 2024 INSC 36 :: [2024] 1 S.C.R. 517 – S 47 CPC – Order VIII Rule 10 CPC – Judgment -Interim Orders

Code Of Civil Procedure, 1908 ; Order VIII Rule 10 – Scope and extent of power – Rule 10 is permissive in nature, enabling the trial court to exercise, in a given case, either of the two 13 alternatives open to it. Notwithstanding the alternative of proceeding to pronounce a judgment, the court still has an option not to pronounce judgment and to make such order in relation to the suit it considers fit. The verb ‘shall’ in Rule 10 [although substituted for the verb ‘may’ by the Amendment Act of 1976] does not elevate the first alternative to the status of a mandatory provision, so much so that in every case where a party from whom a written statement is invited fails to file it, the court must pronounce the judgment against him. If that were the purport, the second alternative to which ‘shall’ equally applies would be rendered otiose Only on being satisfied that there is no fact which need to be proved on account of deemed admission, could the court pass a judgment against the defendant who has not filed the written statement; but if the plaint itself suggests involvement of disputed questions of fact, it would not be safe for the court to pass a judgment without requiring the plaintiff to prove the facts- Provision of Rule 10 of Order VIII, CPC is by no means mandatory in the sense that a court has no alternative but to pass a judgment in favour of the plaintiff, if the defendant fails or neglects to file his written statement – plaint in a suit is not akin to a writ petition where not only the facts are to be pleaded but also the evidence in support of the pleaded facts is to be annexed, whereafter, upon exchange of affidavits, such petition can be decided on affidavit evidence. Since facts are required to be pleaded in a plaint and not the evidence, which can be adduced in course of examination of witnesses, mere failure or neglect of a defendant to file a written statement controverting the pleaded facts in the plaint, in all cases, may not entitle him to a judgment in his favour unless by adducing evidence he proves his case/claim – Balraj Taneja v. Sunil Madan (1999) 8 SCC 396 (Para 15-17) – It is to avoid a situation of contradictory/inconsistent decrees that power under Rule 10 of Order VIII ought to be invoked with care, caution, and circumspection, only when none of several defendants file their written statements and upon the taking of evidence from the side of the plaintiff, if deemed necessary, the entire suit could be decided. Where even one of several defendants had filed a written statement, it would be a judicious exercise of discretion for the court to opt for the second alternative in Rule 10 of Order VIII, CPC unless, of course, extraordinary circumstances exist warranting recourse to the first alternative. (Para 22)

Code Of Civil Procedure, 1908 ; Section 47– The powers of an executing court, though narrower than an appellate or revisional court, can be exercised to dismiss an execution application if the decree put to execution is unmistakably found to suffer from an inherent lack of jurisdiction of the court that made the same rendering it a nullity in the eye of law – But the lack of jurisdiction must be patent on the face of the decree to enable an executing court to conclude that the decree was a nullity -All irregular or wrong decrees would not necessarily be void. An erroneous or illegal decision, which was not void, could not be objected in execution or incidental proceedings. – Referred to Rafique Bibi v. Sayed Waliuddin (2004) 1 SCC 287 and Balvant N. Viswamitra v. Yadav Sadashiv Mule (2004) 8 SCC 706. (Para 29,37)

Interim Relief – Jurisdiction –Question of jurisdiction would assume importance even at the stage a court considers the question of grant of interim relief. Where interim relief is claimed in a suit before a civil court and the party to be affected by grant of such relief, or any other party to the suit, raises a point of maintainability thereof or that it is barred by law and also contends on that basis that interim relief should not to be granted, grant of relief in whatever form, if at all, ought to be preceded by formation and recording of at least a prima facie satisfaction that the suit is maintainable or that it is not barred by law. Such a satisfaction resting on appreciation of the averments in the plaint, the application for interim relief and the written objection thereto, as well as the relevant law that is cited in support of the objection, would be a part of the court’s reasoning of a prima facie case having been set up for interim relief, that the balance of convenience is in favour of the grant and non-grant would cause irreparable harm and prejudice. It would be inappropriate for a court to abstain from recording its prima facie satisfaction on the question of maintainability, yet, proceed to grant protection pro tem on the assumption that the question of maintainability has to be decided as a preliminary issue under Rule 2 of Order XIV, CPC. That could amount to an improper exercise of power. If the court is of the opinion at the stage of hearing the application for interim relief that the suit is barred by law or is otherwise not maintainable, it cannot dismiss it without framing a preliminary issue after the written statement is filed but can most certainly assign such opinion for refusing interim relief. However, if an extraordinary situation arises where it could take time to decide the point of maintainability of the suit and nongrant of protection pro tem pending such decision could lead to 29 irreversible consequences, the court may proceed to make an appropriate order in the manner indicated above justifying the course of action it adopts. In other words, such an order may be passed, if at all required, to avoid irreparable harm or injury or undue hardship to the party claiming the relief and/or to ensure that the proceedings are not rendered infructuous by reason of non-interference by the court. (Para 39)

Code Of Civil Procedure, 1908 ;Section 2(9) – A judgment, as envisaged in section 2(9), CPC, should contain the process of reasoning by which the court arrived at its conclusion to resolve the controversy and consequently to decree the suit – Judgment – Any verdict of a competent judicial forum in the form of a judgment/order, that determines the rights and liabilities of the parties to the proceedings, must inform the parties what is the outcome and why one party has succeeded and not the other – the ‘why’ constituting the reasons and ‘what’ the conclusion. Apart from anything else, insistence of the requirement for the reason(s) to support the conclusion guarantees application of mind by the adjudicator to the materials before it as well as provides an avenue to the unsuccessful party to test the reasons before a higher court – a “judgment”, if pronounced by a court under Rule 10 of Order VIII, CPC, must satisfy the requirements of Rule 4(2) of Order XX, CPC, and thereby conform to its definition provided in section 2(9) thereof – “decree” shall follow a “judgment” in a case where the court invokes power upon failure of a defendant to file its written statement. It is, therefore, only a “judgment” conforming to the provisions of the CPC that could lead to a “decree” being drawn up. (Para 43-47)

Code Of Civil Procedure, 1908 ;Section 2(9) ; Order VIII Rule 10 ; Order XX Rule 4(2)– A “judgment”, if pronounced by a court under Rule 10 of Order VIII, CPC, must satisfy the requirements of Rule 4(2) of Order XX, CPC, and thereby conform to its definition provided in section 2(9) thereof – “decree” shall follow a “judgment” in a case where the court invokes power upon failure of a defendant to file its written statement. It is, therefore, only a “judgment” conforming to the provisions of the CPC that could lead to a “decree” being drawn up. (Para 44-45)

Jurisdiction – Jurisdiction is the entitlement of the civil court to embark upon an enquiry as to whether the cause has been brought before it by the plaintiff in a manner prescribed by law and also whether a good case for grant of relief claimed been set up by him. As and when such entitlement is established, any subsequent error till delivery of judgment could be regarded as an error within the jurisdiction. The enquiry as to whether the civil court is entitled to entertain and try a suit has to be made by it keeping in mind the provision in section 9, CPC and the relevant enactment which, according to the objector, bars a suit. Needless to observe, the question of jurisdiction has to be determined at the commencement and not at the conclusion of the enquiry. (Para 38)

A, the plaintiff, files a suit against B, the defendant. B fails to file a written statement. What is the Court supposed to do ?

The answer lies in Rule 10 of Order VIII of Code of Civil Procedure, 1908 (CPC) which deals with the procedure when a party fails to present a written statement called for by the Court.

“Where any party from whom a written statement is required under rule 1 or rule 9 fails to present the same within the time permitted or fixed by the Court, as the case may be, the Court shall pronounce judgment against him, or make such order in relation to the suit as it thinks fit and on the pronouncement of such judgment a decree shall be drawn up”

Does this mean if a written statement is not filed by the defendant, the Court has to pronounce judgment against him? In this judgment, the court noted that in this situation, there are two options before the Court:

  1. to pronounce a judgment,
  2. Not to pronounce judgment and to make such order in relation to the suit it considers fit.

The word ‘shall’ in Rule 10 was substituted for the verb ‘may’ by the Amendment Act of 1976. According to the Court, this does not elevate the first alternative to the status of a mandatory provision, so much so that in every case where a party from whom a written statement is invited fails to file it, the court must pronounce the judgment against him. If that were the purport, the second alternative to which ‘shall’ equally applies would be rendered otiose, the court said. The court can opt the first alternative on being satisfied that there is no fact which needs0 to be proved on account of deemed admission. But if the plaint itself suggests involvement of disputed questions of fact, it would not be safe for the court to pass a judgment without requiring the plaintiff to prove the facts.

What if there are more than one defendants in a suit and one of them has filed a written statement and others have not? In this situation, the Court said: Where even one of several defendants had filed a written statement, it would be a judicious exercise of discretion for the court to opt for the second alternative in Rule 10 of Order VIII, CPC unless, of course, extraordinary circumstances exist warranting recourse to the first alternative.

Can Executing Court dismiss an execution application if decree suffers from an inherent lack of jurisdiction of the court that passed it?

Execution Court can dismiss an execution application if the decree put to execution is unmistakably found to suffer from an inherent lack of jurisdiction of the court that made the same rendering it a nullity in the eye of law. But the lack of jurisdiction must be patent on the face of the decree to enable an executing court to conclude that the decree was a nullity. Thus all irregular or wrong decrees would not necessarily be void. An erroneous or illegal decision, which was not void, could not be objected in execution or incidental proceedings.

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