HIYA ASSOCIATES vs. NAKSHATRA PROPERTIES PVT. LTD.

Case Type: Civil Appeal

Date of Judgment: 26-09-2018

Preview image for HIYA ASSOCIATES vs. NAKSHATRA PROPERTIES PVT. LTD.

Full Judgment Text

       REPORTABLE IN THE SUPREME COURT OF INDIA CIVIL APPELLATE JURISDICTION CIVIL APPEAL Nos. 9996­9997 OF 2018 [Arising out of SLP (C) Nos.23260­23261 of 2017] Hiya Associates & Ors.              .. Appellant(s) Versus Nakshatra Properties Pvt. Ltd.          .. Respondent(s) J U D G M E N T Abhay Manohar Sapre, J. 1) Leave granted. 2) These appeals arise from the final judgment and order dated 21.07.2017 & 26.07.2017 passed by the Signature Not Verified Digitally signed by ANITA MALHOTRA Date: 2018.09.27 10:17:59 IST Reason: High Court of Judicature at Bombay in Writ Petition 1 No.6733 of 2017 whereby the High Court allowed the writ petition filed by the respondent herein, set aside the   order   dated   26.09.2016   passed   by   the   Small Causes   Court,   Appellate   Bench,   Mumbai   in   R.A. No.333/2015 and restored the order dated 28.10.2015 of   the   Executing   Court   in   Execution   Application No.31/2013 in R.A.E. Suit No.872/2007.  3) The issue involved in these appeals is short. Few facts, however, need mention to appreciate the issue, which is the subject matter of these appeals. 4) The   appellants   are   the   defendants   and   the respondent is the plaintiff in the civil suit out of which these appeals arise. 5) The   issue   arises   out   of   eviction   suit,   which resulted in passing of a compromise decree followed by its   execution.   So   far   as   the   present   appeals   are 2 concerned, they arise out of an order passed in the execution proceedings.   6) The   Respondent(plaintiff)   filed   a   suit (No.872/2007)   in   the   Court   of   Small   Causes   at Mumbai  against   the   appellants(defendants)   for   their eviction   from   the   suit   premises.   The   eviction   was claimed  inter alia  on the ground of unauthorized user of   the   suit   premises   by   the   appellants   (defendants) which,   according   to   the   respondent   (plaintiff), amounted to the change of user under the provision of Section 16(1)(n) of the Maharashtra Rent Control Act, 1999 (hereinafter referred to as “the Act”).   It is not necessary to set out the facts in the pleadings of the parties. 7) During the pendency of the suit, the parties, i.e., the   appellants   and   respondent,   compromised   the 3 matter and accordingly filed their consent terms on which the compromise was arrived at between them.  8) The   Court   accordingly,   by   order   dated 05.09.2007, pronounced the judgment and disposed of the   suit   in   accordance   with   the   consent   terms.   In terms of the compromise, the defendants (appellants) were to handover the vacant possession of the suit premises   to   the   plaintiff   (respondent)   on   or   before 31.01.2009 and the defendants (appellants) were also liable   to   pay   Rs.5000/­   per   day   by   way   of   mesne profits   if they fail to handover possession of the suit premises after 31.01.2009. 9) Since   the   defendants   (appellants)   failed   to handover the vacant possession of the suit premises to the plaintiff (respondent) in terms of the compromise, the plaintiff (respondent) filed an execution application (No.31/2013) for execution of the consent decree dated 4 05.09.2007   and   prayed   therein   for   issuance   of possession   warrant   in   respect   of   the   suit   premises against the defendants (appellants).  10) The defendants (appellants) filed their reply and raised several objections on facts and law including maintainability of the execution application. By order dated 28.10.2015, the Executing Court overruled all the   objections   on   merits   and,   in  consequence,   held that   the   execution   application   filed   by   the   plaintiff (respondent) is maintainable in law and the consent decree is, therefore, executable against the defendants (appellants). The Executing Court, therefore, directed issuance   of   warrant   of   possession   against   the defendants   (appellants)   in   relation   to   the   suit premises.  11) The   defendants   (appellants)   felt   aggrieved   and filed   revision   before   the   Small   Causes   Court   at 5 Mumbai.   The   Revisionary   Court,   by   order   dated 26.09.2016, allowed the revision, set aside the order dated 28.10.2015 passed by the Executing Court and remanded the case to the Executing Court for deciding the   objection   raised   by   the   defendants(appellants) against   the   execution   application   afresh   on   merits. One   of   the   reasons   to   remand   the   case   to   the Executing   Court   was   that   the   Revisionary   Court allowed the defendants (appellants) to file additional documents (Ex.22), which they had filed for the first time in the revision petition.  12) The   plaintiff   (respondent)   felt   aggrieved   by   the order of the Revisionary Court and filed writ petition under Article 227 of the Constitution of India in the High Court of Bombay. By impugned order, the High Court allowed the writ petition, set aside the order of the Revisionary Court and restored the order of the 6 Executing   Court,   which   gives   rise   to   filing   of   the present   appeals   by   way   of   special   leave   by   the defendants (appellants) in this Court. 13) Heard Mr. D.N. Goburdhan, learned counsel for the appellants and Mr. Gourab Banerji, learned senior counsel for the respondent. 14) Having heard the learned counsel for the parties and   on   perusal   of   the   record   of   the   case,   we   are inclined to allow the appeals in part and while setting aside the impugned order as also the order passed by the   Revisionary   Court   remand   the   case   to   the Revisionary   Court   for   deciding   the   defendants’ (appellants) revision afresh on merits  in accordance with law. 15) The   reasons   to   remand   the   case   to   the Revisionary Court are more than one  as mentioned hereinbelow. 7 16) In our opinion, the Revisionary Court committed two   errors.   In   the   first   place,   it   should   not   have remanded the case to the Executing Court for its fresh consideration on merits but it should have decided the revision on merits in accordance with law. 17) It is for the reason that the Executing Court had already decided all objections raised by the defendants (appellants) on merits and had found no merit therein. The   Revisionary   Court   was,   therefore,   under   legal obligation to decide the legality and correctness of the findings recorded by the Executing Court on its merits in its revisionary jurisdiction instead of remanding the case to the Executing Court.   Indeed, we do not find any   justifiable   reason,   which   could   justify   remand having regard to the nature of the objections raised by the   defendants   (appellants)   before   the   Executing Court. In other words, this was not the case, which 8 needed remand to the Executing Court for its fresh decision on merits.  18) In   our   opinion,   the   remand   of   a   case   to   the Subordinate Court is considered necessary when the Superior   Court   while   exercising   its   appellate   or revisionary   jurisdiction   finds   that   the   Subordinate Court has failed to decide some material issues arising in the case or there is some procedural lacuna noticed in the trial, which has adversely affected the rights of the parties while prosecuting the suit/proceedings or when   some   additional   evidence   is   considered necessary to decide the rights of the parties which was not before the Trial Court etc. (See Order 41 Rules 23, 23­A, 24 and 25 of the Code of Civil Procedure, 1908). Such was not the case here. 19) Second error committed by the Revisionary Court was   that   it   allowed   the   defendants   (revision 9 petitioners)   to   file   additional   documents   (Ex.22)   to prove their case.  20) In our opinion, the documents sought to be filed by the  defendants (revision petitioners)  were neither relevant and nor material for deciding the legality and correctness   of   the   order   passed   by   the   Executing Court.   The   legality   and   correctness   of   the   order impugned in the revision could be decided one way or the other without the aid of any additional document but on the basis of material already on record keeping in view the  law  laid down by this  Court in  several decided cases on the issue in question.  Indeed, if the Executing Court could decide the issue finally at its level, the Revisionary Court too could do the same at its level. 21) In   our   view,   the   issue   in   question   was   not required to be decided under Order 21 Rule 97 of the 10 Code of Civil Procedure but it should have been so decided   keeping   in   view   the   law   laid   down   by   this Court in the case of     vs.     (AIR Roshanlal Madan Lal 1975 SC 2130) which lays down the principle as to how the issue of such a nature needs to be dealt with by   the   Executing   Court   when   it   is   raised   by   the judgment debtor in execution proceedings. 22) It is due to these two aforementioned reasons, we are of the considered view that the order passed by the Revisionary Court is not legally sustainable. 23)   So far as the impugned order passed by the High Court is concerned, in our view, the High Court having noticed the aforementioned errors in the order of the Revisionary Court should have remanded the case to the Revisionary Court for deciding the revision afresh on merits in accordance with law. Instead, the High Court   itself   went   into   the   question   on   merits   and 11 upheld the order of the Executing Court.  This, in our opinion, the High Court should not have done and left it for the Revisionary Court to do.  24) By these observations, we do not mean that the High Court had no jurisdiction to decide the issue but having   regard   to   the   nature   of   objections,   remedy available to the parties to have finding on the question arising   in   the   case   one   way   or   the   other   from   the Revisionary Court and to put the record straight, it was not called for in this case.   25) It is for these reasons, we consider it proper to set aside the impugned order and also the order of the Revisionary   Court   and   remand   the   case   to   the Revisionary   Court   to   decide   the   defendants’ (appellants’) revision afresh on merits in accordance with law. 12 26) The Revisionary Court would decide the legality and correctness of the order passed by the Executing Court dated 28.10.2015 on merits keeping in view the law laid down by this Court in   (supra) and Roshanlal other cases on the subject. 27) While   deciding   the   revision,   the   Revisionary Court   would   not   be   influenced   by   the   observations contained in impugned order and also of this Court order because we have not applied our mind to the merits of the case having formed an opinion to remand the case to the Revisionary Court. 28) The   appeals   thus   succeed   and   are   accordingly allowed in part.  Impugned order and the order of the Revisionary   Court   are   set   aside   and   the   case   is remanded   to   the   Revisionary   Court   to   decide   the defendants’ (appellants’) revision (No.333/2015) afresh on its merits in accordance with law.   13 29) Since   the   matter   is   an   old   one,   we   direct   the Revisionary   Court   to   decide   the   revision   within   six months as an outer limit.  …………...................................J. [ABHAY MANOHAR SAPRE]                                         ..…...……..................................J.     [MOHAN M. SHANTANAGOUDAR] New Delhi; September 26, 2018  14