High Court of Karnataka Allows Writ Petition in Final Decree Proceedings — Mesne Profits Must Be Determined Before Auction Sale. Held that mesne profits under Section 2(12) CPC are a substantive right that cannot be deferred until after the sale of property in final decree proceedings.

High Court: Karnataka High Court Bench: BENGALURU
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Case Note & Summary

The petitioner, Sri S.P. Suresh, filed a writ petition under Articles 226 and 227 of the Constitution of India challenging two orders passed by the XVIII Additional City Civil and Sessions Judge, Bengaluru, in FDP 181/2011. The first order dated 14.11.2024 held that the petitioner's claim for mesne profits would be considered only after completion of the auction process. The second order dated 26.11.2024 stated that the petitioner's bid for purchase of the scheduled property was not acquiesced. The petitioner sought quashing of these orders and a direction to the trial court to determine his share in the rental income from the schedule property in accordance with law. The High Court examined the nature of mesne profits under Section 2(12) of the Code of Civil Procedure, 1908 (CPC) and Order 20 Rule 12 CPC. The court noted that mesne profits are a substantive right of a person entitled to possession of property, representing the profits which the person in wrongful possession actually received or might have received. The court held that the trial court's decision to defer the determination of mesne profits until after the auction was erroneous, as it would lead to unnecessary delay and potential multiplicity of proceedings. The court emphasized that the right to mesne profits must be adjudicated before the sale of the property, as the auction sale would determine the value of the property but not the mesne profits. The court allowed the writ petition, set aside the impugned orders, and directed the trial court to determine the mesne profits payable to the petitioner before proceeding with the auction sale.

Headnote

A) Civil Procedure - Mesne Profits - Final Decree Proceedings - Section 2(12), Order 20 Rule 12, Section 51 CPC - The trial court in final decree proceedings deferred the petitioner's claim for mesne profits until after the auction sale of the property - Held that mesne profits are a substantive right that must be determined before the sale, as the right to mesne profits is independent of the sale proceeds and must be adjudicated to avoid multiplicity of proceedings (Paras 1-10).

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Issue of Consideration

Whether the trial court could defer the determination of mesne profits until after the auction sale of the property in final decree proceedings.

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Final Decision

Writ petition allowed. Impugned orders dated 14.11.2024 and 26.11.2024 set aside. Trial court directed to determine mesne profits payable to petitioner before proceeding with auction sale.

Law Points

  • Mesne profits
  • Final decree proceedings
  • Auction sale
  • Right to mesne profits
  • Section 2(12) CPC
  • Order 20 Rule 12 CPC
  • Section 51 CPC
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Case Details

2025 LawText (KAR) (12) 54

Writ Petition No.11957 of 2025 (GM – CPC)

2025-12-10

M. Nagaprasanna

Sri K.G. Raghavan, Senior Advocate with Smt. Sindhu V., Advocate for Petitioner; Sri Udaya Holla, Senior Advocate with Sri Akshay Kumar Jain, Advocate for Respondents 2 to 4; Sri Kiran S. Javali, Senior Advocate with Sri Gireesha Kodagi, Advocate for Respondent 5

Sri S.P. Suresh

Late Smt. Vinoda Satish and Others

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Nature of Litigation

Writ petition challenging orders in final decree proceedings regarding mesne profits and auction sale.

Remedy Sought

Quashing of trial court orders dated 14.11.2024 and 26.11.2024; direction to determine petitioner's share in rental income and conduct auction strictly as per law.

Filing Reason

Trial court deferred determination of mesne profits until after auction sale and did not accept petitioner's bid.

Previous Decisions

Trial court in FDP 181/2011 passed orders on 14.11.2024 and 26.11.2024.

Issues

Whether the trial court could defer the determination of mesne profits until after the auction sale of the property in final decree proceedings.

Submissions/Arguments

Petitioner argued that mesne profits are a substantive right and must be determined before sale to avoid multiplicity of proceedings. Respondents argued that mesne profits can be considered after auction as part of distribution of proceeds.

Ratio Decidendi

Mesne profits under Section 2(12) CPC are a substantive right that must be adjudicated before the sale of property in final decree proceedings, as deferring such determination leads to unnecessary delay and potential multiplicity of proceedings.

Judgment Excerpts

Mesne profits are a substantive right of a person entitled to possession of property. The trial court's decision to defer the determination of mesne profits until after the auction was erroneous.

Procedural History

The petitioner filed a writ petition before the High Court of Karnataka challenging two orders passed by the XVIII Additional City Civil and Sessions Judge, Bengaluru, in FDP 181/2011. The first order dated 14.11.2024 deferred the petitioner's claim for mesne profits until after the auction sale. The second order dated 26.11.2024 stated that the petitioner's bid for purchase of the property was not acquiesced. The High Court heard the matter and delivered judgment on 10.12.2025.

Acts & Sections

  • Code of Civil Procedure, 1908: Section 2(12), Order 20 Rule 12, Section 51
  • Constitution of India: Articles 226, 227
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