Supreme Court Quashes High Court Order in Civil Appeal Due to Procedural Error in Remand and Directs First Appellate Court to Decide Delay Condonation and Merits. High Court Erroneously Set Aside Trial Court's Ex Parte Decree While Hearing Second Appeal Against Dismissal on Limitation Grounds, Contrary to Code of Civil Procedure, 1908, Section 96 and Appellate Procedure.

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Case Note & Summary

The dispute originated from a suit for declaration and possession filed by the appellants (original plaintiffs) against the respondent (original defendant). The Trial Court decreed the suit ex parte on 08.01.2018. The defendant had two remedies: filing an application under Order IX Rule 13 CPC to set aside the ex parte decree or preferring an appeal under Section 96 CPC. The defendant chose the latter and filed a first appeal before the First Appellate Court, but there was a delay of 2 years and 7 months. The defendant filed an application for condonation of delay (I.A. No. 1 of 2020) but later withdrew it. Consequently, the First Appellate Court dismissed the appeal as not maintainable due to the absence of a condoned delay application, without examining the merits. The defendant then filed a second appeal before the High Court. The High Court allowed the appeal, quashed the First Appellate Court's order, set aside the Trial Court's ex parte decree, and remanded the matter to the Trial Court for fresh disposal. The appellants challenged this High Court order in the Supreme Court. The core legal issues were whether the High Court's remand to the Trial Court was procedurally correct and how to address the defendant's withdrawn delay condonation application. The appellants argued that the High Court erred in quashing the Trial Court's decree and remanding to the Trial Court, as the appeal was against the First Appellate Court's order on limitation. The respondent requested permission to revive the withdrawn delay condonation application to avoid being remediless. The Supreme Court analyzed that the High Court should have remanded the matter to the First Appellate Court to decide on delay condonation and merits, as the appeal was against the First Appellate Court's order, not the Trial Court's decree. The Court held that the High Court's procedure was unknown to law under the CPC. The Supreme Court allowed the appeal, quashed the High Court's order, remanded the matter to the First Appellate Court, and permitted the defendant to revive the delay condonation application. The First Appellate Court was directed to first decide on delay condonation and, if condoned, then decide the appeal on merits.

Headnote

A) Civil Procedure - Appellate Jurisdiction - Scope of Remand - Code of Civil Procedure, 1908, Section 96 - High Court, in a second appeal against dismissal of first appeal on limitation grounds, erroneously quashed Trial Court's ex parte decree and remanded suit to Trial Court - Held that High Court should have remanded matter to First Appellate Court to decide on delay condonation and merits, as appeal was against First Appellate Court's order, not Trial Court's decree (Paras 5-6).

B) Civil Procedure - Delay Condonation - Revival of Withdrawn Application - Code of Civil Procedure, 1908, Order IX Rule 13 - Defendant withdrew delay condonation application in first appeal, leading to dismissal on limitation - Supreme Court permitted defendant to revive application for condonation of delay before First Appellate Court - Held that First Appellate Court must first decide delay condonation, then proceed to merits if delay condoned, to prevent defendant being remediless (Paras 7-8).

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Issue of Consideration

Whether the High Court erred in quashing the Trial Court's ex parte decree and remanding the matter to the Trial Court while hearing a second appeal against the First Appellate Court's order dismissing the first appeal as barred by limitation, and the appropriate remedy for the defendant regarding delay condonation

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Final Decision

Supreme Court allowed the appeal, quashed the High Court's order dated 21.04.2021, remanded the matter to the First Appellate Court, permitted the defendant to revive I.A. No.1 of 2020 for delay condonation, and directed the First Appellate Court to first decide on delay condonation and then on merits if delay condoned, with no order as to costs

Law Points

  • Appellate procedure under Section 96 of the Code of Civil Procedure
  • 1908
  • delay condonation in appeals
  • scope of remand orders
  • distinction between appeals against ex parte decrees and applications under Order IX Rule 13 CPC
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Case Details

2022 Lawtext (SC) (1) 53

CIVIL APPEAL NO. 315 OF 2022

2022-01-18

M.R. Shah, J.

Shri Sharanagouda Patil, Shri S.N. Bhat

Original plaintiffs

Original defendant

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Nature of Litigation

Appeal against High Court order in second appeal quashing Trial Court's ex parte decree and remanding matter to Trial Court

Remedy Sought

Appellants sought quashing of High Court order and appropriate remand to First Appellate Court

Filing Reason

Appellants aggrieved by High Court's procedural error in remanding to Trial Court instead of First Appellate Court

Previous Decisions

Trial Court decreed suit ex parte on 08.01.2018; First Appellate Court dismissed first appeal as barred by limitation on 10.12.2020; High Court allowed second appeal and remanded to Trial Court on 21.04.2021

Issues

Whether the High Court erred in quashing the Trial Court's ex parte decree and remanding to the Trial Court while hearing a second appeal against dismissal on limitation grounds Whether the defendant should be permitted to revive the withdrawn delay condonation application

Submissions/Arguments

Appellants argued High Court's remand to Trial Court was procedurally incorrect under CPC Respondent requested revival of withdrawn delay condonation application to avoid being remediless

Ratio Decidendi

In a second appeal against dismissal of a first appeal on limitation grounds, the High Court should remand to the First Appellate Court for decision on delay condonation and merits, not quash the Trial Court's decree and remand to Trial Court, as the appeal is against the First Appellate Court's order; a defendant may be permitted to revive a withdrawn delay condonation application to prevent being remediless

Judgment Excerpts

High Court has allowed the said second appeal and has not only set aside the judgment and order passed by the First Appellate Court dismissing the appeal as not maintainable in absence of delay condoned application, but has also set aside the ex parte judgment and decree passed by the Trial Court High Court proceeded further with the hearing of the appeal as if the High Court was considering the appeal against the order passed on an application under Order IX Rule 13 CPC Present appeal succeeds. The impugned judgment and order passed by the High Court dated 21.04.2021 passed in RSA No.200073 of 2021 is hereby quashed and set aside

Procedural History

Suit filed by appellants in Trial Court; ex parte decree passed on 08.01.2018; defendant filed first appeal with delay condonation application, later withdrawn; First Appellate Court dismissed appeal on limitation on 10.12.2020; defendant filed second appeal; High Court allowed appeal and remanded to Trial Court on 21.04.2021; appellants filed present appeal to Supreme Court

Acts & Sections

  • Code of Civil Procedure, 1908: Section 96, Order IX Rule 13
  • Limitation Act:
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