Full Judgment Text
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PETITIONER:
SHAH BABULAL KHIMJI
Vs.
RESPONDENT:
JAYABEN D. KANIA AND ANR.
DATE OF JUDGMENT10/08/1981
BENCH:
FAZALALI, SYED MURTAZA
BENCH:
FAZALALI, SYED MURTAZA
VARADARAJAN, A. (J)
SEN, AMARENDRA NATH (J)
CITATION:
1981 AIR 1786 1982 SCR (1) 187
1981 SCC (4) 8 1981 SCALE (3)1169
CITATOR INFO :
RF 1986 SC1272 (10,108,109)
RF 1988 SC 915 (17)
RF 1990 SC 104 (8)
ACT:
Code of Civil Procedure, 1908-Section 104 Order 43 Rule
1-Scope of-Letters Patent-Clause 15-Right of Appeal under
clause 15-If affected by section 104, Order 43 Rule 1.
HEADNOTE:
In a suit for specific performance of an agreement to
sell filed on the original side of the Bombay High Court the
plaintiff (appellant) prayed for certain interim reliefs. A
single Judge of the High Court dismissed the application. A
Division Bench of the High Court, on appeal by the
plaintiff, held that the appeal was not maintainable on the
ground that the impugned order of the single Judge was not a
’judgment’ within the meaning of clause 15 of the Letters
Patent of the High Court.
In appeal to this Court it was contended on behalf of
the appellant that since the trial Judge is governed by the
procedure prescribed by the Code of Civil Procedure, by
virtue of the provisions of section 104 read with Order 43
Rule (1) the impugned order is appealable to a larger Bench;
(2) assuming that the Letters Patent was a special law,
section 104 read with Order 43 is in no way inconsistent
with clause 15 of the Letters Patent; (3) even if section
104 read with Order 43 Rule 1 does not apply an order
refusing to appoint a receiver or to grant injunction has
the attributes of finality and, therefore, amounts to a
judgment’ within the meaning of Letters Patent.
Allowing the appeal
^
HELD:
(per Fazal Ali and A. Varadarajan, JJ.)
(Amarendra Nath Sen, J. concurring.)
Since the Order of the trial Judge was one refusing
appointment of a receiver and grant of ad-interim
injunction, it is a ’judgment’ within the meaning of the
Letters Patent both because order 43 rule 1 applies to
internal appeals in the High Court, and such an order even
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on merits contains the quality of finality and would be a
judgment within the meaning of clause 15 of Letters Patent.
Hence an appeal is maintainable to the Division Bench. The
Division Bench was in error in dismissing the appeal without
deciding it on merits. [259 F-G]
188
There is no inconsistency between section 104 read with
Order 43 Rule 1, C.P.C. and appeals under Letters Patent.
There is nothing to show that Letters Patent in any way
excludes or overrides the application of section 104 read
with Order 43 Rule 1 or that these provisions do not apply
to internal appeals within the High Court. [237 E-F]
Code of Civil Procedure 1877, by sections 588 and 589,
did not make any distinction between appeals to the High
Court from the District Court and internal appeals to the
High Court under Letters Patent. Notwithstanding the clear
enunciation of law by the Privy Council that section 588 did
not affect nor was it inconsistent with the provisions of
Letters Patent and that, therefore, orders of a trial Judge
which fall beyond section 588 could be appealable to a
larger bench under the Letters Patent if its orders amounted
to a ’judgment’ within the meaning of clause 15 of the
Letters Patent, there was a serious controversy among the
High Courts on this question. Section 104 of the C.P.C.,
1908 made it clear that appeals against orders mentioned in
Order 43 Rule 1 were not in any way inconsistent with the
Letters Patent but merely provide additional remedy by
allowing appeals against miscellaneous orders passed by the
trial Judge to a larger bench. [205 E-G]
In dealing with a suit the trial Judge has to follow
the procedure prescribed by the Code. It is indisputable
that any final judgment passed by the trial Judge amounts to
a decree and under the provisions of the Letters Patent an
appeal lies to a larger bench. Letters Patent itself does
not define the term ’judgment’ and has advisedly not used
the word ’decree’ in respect of a judgment given by the
trial Judge. [206 B-D]
Section 5 of the Code empowers the State Government to
apply the provisions of the Code where any enactment is
silent as to its applicability. Section 5 makes clear that,
excepting the Revenue Courts, all other Civil Courts would
normally be governed by the provisions of the Code in the
matter of procedure.[206H,207A]
Section 4 of the Code which provides that in the
absence of any specific provision to the contrary the
provisions of the Code do not limit or affect any special or
local law, is not applicable in the instant case because
even if the Letters Patent is deemed to be a special law
within the meaning of this section the provisions of section
104 do not seek to limit or affect the provisions of the
Letters Patent. [207 B-C]
By force of section 104 all appeals, as indicated in
the various clauses of Order 43 Rule 1, would lie to the
appellate court. In short a combined reading of the various
provisions of the Code leads to the conclusion that section
104 read with Order 43 Rule 1 clearly applies to proceedings
before a trial Judge of the High Court. [207 H; 209 B]
In the instant case, therefore, section 104 read with
Order 43 Rule 1 does not in any way abridge or interfere
with or curb the powers conferred on the trial Judge by
clause 15 of Letters Patent. They only give an additional
remedy by way of appeal from the orders of the trial Judge
to a larger bench. That being so there is no force in the
respondent’s argument that these provisions do not apply to
internal appeals in the High Court. [209 D-E]
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189
Hurrish Chunder Chowdry v. Kali Sundari Debia, 10 I.A.
4, Mt. Sabitri Thakurain v. Savi & Anr. A.I.R. 1921 P.C. 80,
Union of India v. Mohindra Supply Co., [1962] 3 S.C.R. 497
and Shankarlal Aggarwal & Ors. v. Shankarlal Poddar & Ors.
[1964] 1 S.C.R. 71, referred to.
A number of enactments, as for example, section 202 of
the Companies Act, 1956 and section 39 of the Arbitration
Act widen, rather than limit, the original jurisdiction of
the High Court by conferring additional or supplementary
remedy by way of appeal to a Division Bench from the
judgment of a single Judge. On a parity of reasoning,
therefore, section 104 read with Order 43 Rule 1 expressly
authorises and creates a forum for appeal against orders
falling under the various clauses of Order 43 Rule 1 to a
larger bench of the High Court without disturbing,
interfering with or over-riding the Letters Patent
jurisdiction.
[211 B-C]
Dayabhai Jiwandas & Ors. v. A.M.M. Murugappa Chettiar,
I.L.R. 13 Rangoon 457, Sonbai v. Ahmedbhai Habibhai [1872] 9
Bom. HC Reports. 398, Rajagopal & Ors. (in Re. LPA 8 of
1886) ILR 9 Mad. 447, Ruldu Singh v. Sanwal Singh [1922] ILR
3 Lahore 188, Lea Badin v. Upendra Mohan Roy Chaudhary &
Ors. [1934-35] 39 CWN 155, Mathura Sundari Dassi v. Haran
Chandra Shaha & Ors. A.I.R. 1916 Cal. 361 Abdul Samad & Ors.
v. The State of J & K. A.I.R. 1969 J&K 52, and Kumar
Gangadhar Bagla v. Kanti Chunder Mukerjee & Anr., 40 CWN
1264, approved.
Ram Sarup v. Kaniz Ummehani, ILR 1937 All. 386 over-
ruled.
Assuming that Order 43 Rule 1 does not apply to Letters
Patent appeals the principles governing these provisions
would apply by process of analogy. The provisions of Order
43 Rule 1 possess the traits, trappings and qualities and
characteristics of a final order. Although the word
’judgment’ has not been defined in the Letters Patent but
whatever test may be applied the order passed by the trial
Judge appealed against must have the traits and trappings of
finality. The appealable orders indicated in the various
clauses of Order 43 Rule 1 are matters of moment deciding
valuable rights of the parties and are in the nature of
final orders so as to fall within the definition of
’judgment’. [237G; 225 E-F]
Radhey Shyam v. Shyam Behari Singh [1971] 1 S.C.R. 783
referred to.
Pandy Walad Dagadu Mahar & Anr. v. Jamnadas Chotumal
Marwadi, A.I.R. 1923 Bom. 218; Vaman Ravi Kulkarni v. Nagesh
Vishnu Joshi & Ors, A.I.R. 1940 Bom. 216; Vishnu Pratap &
Ors. v. Smt. Revati Devi & Ors. A.I.R. 1953 All. 647;
Madhukar Trimbaklal v. Shri Sati Godawari Upasani Maharaj of
Sakori & Ors. A.I.R. 1940 Nagpur 39; Ratanlal Jankidas
Agarwal v. Gajadhar & Ors.; A.I.R. 1949 Nagpur 188; Beads
Factory & Anr. v. Shri Dhar & Ors. A.I.R. 1960 All. 692; J.
K. Chemicals Ltd. v. Kreba & Co.; A.I.R. 1967 Bom. 56,
overruled.
Having regard to the nature of the orders contemplated
in the various clauses of Order 43 Rule 1 which purport to
decide valuable rights of the parties in the ancillary
proceedings even though the suit is kept alive these orders
possess the attributes or characteristics of finality so as
to be judgments within the meaning of clause 15 of the
Letters Patent. They are therefore, appealable to a larger
190
bench. The concept of the Letters Patent governing only the
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internal appeals in the High Courts and the Code of Civil
Procedure having no application to such appeals is based on
a serious misconception of the legal position. [237H-238A-B]
The question to be decided in this case which is a
vexed and controversial one is as to what is the real
concept and purport of the word ’judgment’ used in the
Letters Patent. The meaning of the word ’judgment’ has been
the subject matter of conflicting decisions of the various
High Courts raging for almost a century and over which
despite the length of time no unanimity had been reached and
it is high time that this controversy should be settled once
and for all as far as possible. [238 E-F]
Out of the numerous authorities cited three leading
judgments have spelt out certain tests for determining as to
when an order passed by a trial Judge can be said to be a
’judgment’ within the meaning of clause 15 of the Letters
Patent and we are inclined to agree generally with the tests
laid down in these cases though some of the tests laid down
are far too wide and may not be correct. [238 G-H]
While the view taken in the Justices of the Peace for
Calcutta v. The Oriental Gas Company (VIII Bengal L.R. 433)
is much too strict, the one taken in T. V. Tuljaram Row v.
M.K.R.V. Alagappa Chettiar (ILR 35 Madras 1) is much too
wide. The correct test seems to lie somewhere in between the
tests laid down in these cases. Similarly the full Bench
decision in Manohar Damodar Bhoot v. Baliram Ganpat Bhoot
(AIR 1952 Nagpur 357) pithily described the essential
requisites and the exact meaning of the word ’judgment’ as
used in the Letters Patent. The pointed observations made in
this case try to synthesize the conflicting views taken by
the Calcutta and Madras High Courts. They represent the true
scope and import of the word ’judgment’ as used in the
Letters Patent.
[The Court reviewed the entire case law on the
subject laying down various tests to determine
what a judgment is.]
The test for determining as to when an order passed by
a trial Judge can be said to be a ’judgment’ within the
meaning of the Letters Patent are:
(1) Where an order, which is the foundation of the
jurisdiction of the Court or one which goes to the root of
the action, is passed against a particular party, it amounts
to a judgment. [248 B-C]
Asrumati Debi v. Kumar Rupendra Deb Raikot [1953] SCR
1159
(2) An order dismissing an application for review would
be appealable under the Letters Patent being a judgment,
though it is not made appealable under Order 43 rule 1. [249
B]
State of Uttar Pradesh v. Dr. Vijay Anand Maharaj
[1963] 1 SCR 1.
(3) The Companies Act, 1956 which confers original
jurisdiction on the trial Judge expressly makes an order
passed by the trial Judge under section 202 appealable and,
therefore, any order passed under that section would be
appealable under the Companies Act and is, therefore, a
judgment. [249 C-D]
191
Shankarlal Aggarwal v. Shankerlal Poddar [1964] 1 SCR
717
(4) Whenever a trial Judge decides a controversy which
effects valuable rights of one of the parties it is a
judgment within the meaning of the Letters Patent. [249 H]
Radhey Shyam v. Shyam Behari Singh [1971] 1 SCR 783.
(5) Where an order passed by the trial Judge allowing
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amendment of the plaint, takes away from the defendant the
defence of immunity from any liability by reason of
limitation, it is a judgment within the meaning of clause 15
of the Letters Patent. [250 A-B]
Shanti Kumar R. Canji v. The Home Insurance Co. of New
York [1975] 1 SCR 550.
(6) Clause 15 of the Letters Patent does not define the
term ’judgment’. The Letters Patent is a special law which
carves out its own sphere and it would not be possible to
project the definition of the word ’judgment’ as defined in
the Code of Civil Procedure. Letters Patent were drafted
long before the Code of Civil Procedure of 1882 was enacted.
The word ’judgment’ used in the Letters Patent does not mean
a ’judgment’ as defined in the Code. At the same time it
does not include every possible order-final, preliminary or
interlocutory passed by a Judge of the High Court. [251 D-E]
Mt. Shahzadi Begum v. Alak Nath & Ors. A.I.R. 1935 All
628.
Under the Code of Civil Procedure a judgment consists
of reasons and grounds for a decree passed by a Court. As a
judgment constitutes the reasons for the decree, it follows
as a matter of course that the judgment must be a formal
adjudication which conclusively determines the rights of the
parties with regard to all or any of the matters in
controversy. The concept of a judgment as defined in the
Code seems to be rather narrow and the limitations engrafted
by section 2(2) cannot be physically imported into the
definition of the word ’judgment’ as used in clause 15 of
the Letters Patent because the Letters Patent has advisedly
not used the terms ’order’ or ’decree’ anywhere. The
intention of the givers of the Letters Patent was that the
word ’judgment’ should receive a much wider and more liberal
interpretation than the word ’judgment’ used in the Code of
Civil Procedure. At the same time, it cannot be said that
any order passed by a trial Judge would amount to a
judgment; otherwise there will be no end to the number of
orders which would be appealable under the Letters Patent.
The word ’judgment’ has a concept of finality in a broader
and not a narrower sense. [2 52 G-H; 253 A-C]
A judgment can be of three kinds:
(1) A final judgment: A judgment, which decides all the
questions or issues in controversy so far as the trial Judge
is concerned and leaves nothing else to be decided is a
final judgment. This would mean that by virtue of the
judgment, the suit or action brought by the plaintiff is
dismissed or decreed in part or in full. Such an order
passed by the trial Judge is a judgment within the
192
meaning of the Letters Patent and amounts to a decree so
that an appeal would lie from such a judgment to a Division
Bench. [254 D-E]
(2) A preliminary judgment: A preliminary judgment may
be of two forms: (i) where the trial Judge by an order
dismisses the suit without going into the merits of the suit
but only on a preliminary objection raised by the defendant
or the party opposing on the ground that the suit is not
maintainable. Since the suit is finally decided one way or
the other, the order passed by the trial judge would be a
’judgment’ finally deciding the cause so far as the trial
Judge is concerned and, therefore, appealable to a larger
bench; (ii) where the trial Judge passes an order after
hearing the preliminary objections raised by the defendant
relating to the maintainability of the suit as for example,
bar of jurisdiction, res judicata, a manifest defect in the
suit, absence of notice under section 80 and the like. An
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order of the trial Judge rejecting these objections
adversely affects a valuable right of the defendant who, if
his objections were held to be valid, is entitled to get the
suit dismissed on preliminary grounds. Such an order, though
it keeps the suit alive, decides an important aspect of the
trial which affects a vital right of the defendant and must,
therefore, be construed to be a judgment so as to be
appealable to a larger bench. [254 F-H; 255 A-B]
(3) Intermediary or Interlocutory judgment: Most of the
interlocutory orders which contain the quality of finality
are clearly specified in clause (a) to (w) of Order 43 Rule
1. They are judgments within the meaning of the Letters
Patent and, therefore, appealable. There may also be
interlocutory orders not covered by Order 43 Rule 1 but
possessing the characteristics and trappings of finality
because they adversely affect a valuable right of the party
or decide an important aspect of the trial in an ancillary
proceeding. Before such an order can be a judgment the
adverse effect on the party concerned must be direct and
immediate rather than indirect or remote. Thus when an order
vitally affects a valuable right of the defendant it will be
a judgment within the meaning of Letters Patent so as to be
appealable to a larger bench. [255 C-E; 256 A]
Every interlocutory order cannot be regarded as a
judgment but only those orders would be judgments which
decide matters of moment or affect vital and valuable rights
of the parties and which work serious injustice to the party
concerned. [256 H-257 A]
The following considerations should prevail with the
Court in deciding whether or not an order is a judgment:
(1) The trial Judge being a senior court with vast
experience of various branches of law occupying a very high
status, should be trusted to pass discretionary or
interlocutory orders with due regard to the well settled
principles of civil justice. Thus any discretion exercised
or routine orders passed by the trial Judge in the course of
the suit which may cause some inconvenience or, to some
extent, prejudice one party or the other cannot be treated
as a judgment.[258D-E]
(2) An interlocutory order, in order to be a judgment,
must contain the traits and trappings of finality either
when the order decides the question in controversy in
ancillary proceeding or in the suit itself or in a part of
the proceedings. [258 G]
193
It is not the form of adjudication which has to be seen
but its actual effects on the suit or proceedings. [243 H]
If irrespective of the form of the suit or proceeding,
the order impugned puts an end to the suit or proceeding it
doubtless amounts to a judgment. [244A]
If the effect of the order, if not complied with, is to
terminate the proceedings, the said order would amount to a
judgment. [244 B]
An order in an independent proceeding which is
ancillary to the suit, (not being a step towards judgment)
but is designed to render the judgment effectively can also
be termed as judgment within the meaning of the Letters
Patent. [244C]
An order may be a judgment even if it does not affect
the merits of the suit or proceedings or does not determine
any rights in question raised in the suit or proceedings.
[244 D-E]
An adjudication based on a refusal to exercise
discretion, the effect of which is to dispose of the suit,
so far as that particular adjudication is concerned, would
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amount to a judgment within the meaning of the Letters
Patent. [244 E-F]
Some illustrations of interlocutory orders which may be
treated as judgments may be stated thus:
(1) An order granting leave to amend the plaint by
introducing a new cause of action which completely alters
the nature of the suit and takes away a vested right of
limitation or any other valuable right accrued to the
defendant.
[258 B-C]
(2) An order rejecting the plaint. [258 C]
(3) An order refusing leave to defend the suit in an
action under Order 37, Code of Civil Procedure. [258 C]
(4) An order rescinding leave to the trial Judge
granted by him under clause 12 of the Letters Patent. [258
D]
(5) An order deciding a preliminary objection to the
maintainability of the suit on the ground of limitation,
absence of notice under section 80, bar against competency
of the suit against the defendant even though the suit is
kept alive. [258 D-E]
(6) An order rejecting an application for a judgment on
admission under Order 12 Rule 6. [258 E-F]
(7) An order refusing to add necessary parties in a
suit under section 92 of the Code of Civil Procedure. [258
F]
(8) An order varying or amending a decree. [258 F-G]
(9) An order refusing leave to sue in forma pauperis.
[258 F-G]
(10) An order granting review. [258 F-G]
194
(11) An order allowing withdrawal of the suit with
liberty to file a fresh one. [258 G-H]
(12) An order holding that the defendants are not
agriculturists within the meaning of the special law. [258
G-H]
(13) An order staying or refusing to stay a suit under
section 10 of the Code of Civil Procedure. [258 H]
(14) An order granting or refusing to stay execution of
the decree. [259A]
(15) An order deciding payment of court fee against the
plaintiff. [259 B]
(per Amarendra Nath Sen J concurring)
On a plain reading and proper construction of the
various provisions of the Code of Civil Procedure, section
104 of the Code applies to the original side of the High
Court of Bombay and the impugned order of the single Judge
is appealable to a Division Bench under this section read
with Order 43 thereof.
[279 H; 280 A]
The right of appeal under clause 15 of the Letters
Patent is in no way curtailed or affected by section 104. By
virtue of the provisions of section 104(1) a litigant enjoys
the right of preferring an appeal in respect of various
orders mentioned therein, even though such orders may or may
not be appealable under clause 15 of the Letters Patent as a
judgment and the right of appeal under clause 15 remains
clearly unimpaired. [275 E-G]
The argument of the respondent, based mainly on the
provisions of sections 3 and 4 of the Code of Civil
Procedure that even if various other provisions of the Code
apply to the Bombay High Court, including its original side,
the provisions of section 104 read with Order 43 could not
apply to the original side of a Chartered High Court because
the jurisdiction conferred by clause 15 of the Letters
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Patent is a special jurisdiction is without force. [267 B-C]
That by virtue of section 1 (which provides for
territorial extent of the operation of the Code) the Civil
Procedure Code applies to the State of Maharashtra cannot be
disputed. [268 E-F]
Section 3 which deals with subordination of Courts to
the High Court has no bearing on the point in issue and does
not create any bar to the competence and maintainability of
an appeal from an order passed by a single Judge on the
original side if the order is otherwise appealable. While
dealing with any matter on the original side of the High
Court a single Judge is in no way subordinate to the High
Court. Nor again, could there be a question of his being a
subordinate to the Division Bench which hears an appeal from
his judgment. If any order passed by him on the original
side is a ’judgment’ within the meaning of clause 15 of the
Letters Patent an appeal lies to a Division Bench. [272 E-G]
Similarly there is no force in the argument that since
section 104 and Order 43 of the Code affect the special
jurisdiction conferred on the High Court under
195
clause 15 of Letters Patent these provisions are not
applicable to the present case. [273 C-D]
Section 4 of the Code cannot be said to be in conflict
with the provisions of clause 15; nor can it be said that it
limits or otherwise affects the power and jurisdiction of
the High Court under clause 15. [274 A-B]
Section 4 provides that nothing in the Code shall be
deemed to limit or otherwise affect any special or local law
in force or any special jurisdiction conferred by or under
any law for the time being in force. Clause 15 confers on
the litigant a right to prefer an appeal from the court of
original jurisdiction to the High Court in its appellate
jurisdiction. It confers a right of appeal from a judgment
of any Judge on the original side to the High Court. Though
this clause is a special provision it cannot be said that it
is intended to lay down that no appeal would lie from an
order of a single Judge on the original side even if
specific provision is made in any statute making the order
appealable. By virtue of this provision any order considered
to be a judgment would be appealable. If a statute confers
on the litigant right of appeal, it cannot be said that such
provision would affect the special provisions of clause 15.
This special power is in no way affected and is fully
retained. In addition, the High Court may be competent to
entertain other appeals by virtue of specific statutory
provisions. [273 C-H: 274 A]
On the contrary, the Code contains specific provisions
indicating cases in which its provisions are or are not
applicable, as for example section 5, which makes specific
provision regarding the nature and manner of applicability
of the Code to revenue courts. Sections 116 to 120 clearly
indicate that section 104 and order 43 apply to the original
side of the High Court. Section 104 and Order 43 which is
attracted by section 104, clearly provide that an appeal
shall lie from the orders mentioned in rule 1 of Order 43.
The impugned order is one such order and is clearly
appealable. When the legislature conferred such a right on
the litigant a Court would be slow to deprive him of the
statutory right merely on the ground that the order had been
passed by a single Judge on the original side of the High
Court. [274 B-E]
Section 104 recognises that, apart from the orders made
appealable under the Code, there may be other orders
appealable by any law for the time being in force. It
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further provides that no appeal will lie from any orders
other than orders expressly provided in the Code or by any
other law in force. The right of appeal against a judgment
of a single Judge on the original side under clause 15 is a
right conferred by "any other law in force". [275 C-E]
Union of India v. Mohindra Supply Co. [1962] 3 SCR 497
and Mt. Savitri Thakurain v. Savi and Anr. [1921] P.C. 80
referred to.
Mathura Sundari Dassi v. Haran Chandra Shaha, A.I.R.
1916 Cal. 361 and Lea Badin v. Upendra Mohan Roy Choudhary,
A.I.R. 1935 Cal. 35 approved.
Vaman Raoji Kulkarni v. Nagesh Vishnu Joshi, A.I.R.
1940 Bom. 216 overruled.
Hurrish Chander Chowdhry v. Kali Sundari Debia, 10 I.A.
4, held in applicable.
196
Unless a right is conferred on him by law, a litigant
does not have an inherent right of appeal. An order
appealable under the C.P.C. or any other statute becomes
appealable because the concerned statute confers a right of
appeal on the litigant. But yet such an order may or may not
be appealable as ’judgment’ under clause 15 of the Letters
Patent. An order appealable under clause 15 as a ’judgment’
becomes appealable because the Letters Patent confers the
right of appeal against such order as ’judgment’. Similarly
an order appealable under the Letters Patent may or may not
be appealable under the Code. [281 C-E]
The Letters Patent, by clause 15, confers a right of
appeal against a ’judgment’ and therefore an order which
satisfies the requirements of ’judgment’ within the meaning
of clause 15 becomes appealable. What kind of order will
constitute a ’judgment’ within the meaning of this clause
and become appealable as such must necessarily depend on the
facts and circumstances of each case and on the nature and
character of the order passed. [281 F-G]
A comprehensive definition of ’judgment’ contemplated
by clause 15 cannot properly be given. Letters Patent itself
does not define ’judgment’. The expression has necessarily
to be construed and interpreted in each case. But yet it is
safe to say that if an order has the effect of finally
determining any controversy forming the subject matter of
the suit itself or any part thereto or the same affects the
question of the Court’s jurisdiction or the question of
limitation, it normally constitutes ’judgment’ within the
meaning of clause 15 of Letters Patent.
[282 E-G]
JUDGMENT:
CIVIL APPELLATE JURISDICTION: Civil Appeal No. 662 of
1981
Appeal by special leave from the judgment and order
dated the 15th January, 1981 of the Bombay High Court in
Letters Patent Appeal No. 611 of 1980.
Soli J. Sorabji G.L. Sanghi, P.H. Parekh, P.K. Shroff
and Gautam Philips for the Appellant.
R.P. Khambata, B.R. Agarwala, K.P. Khambata, Ashok C.
Mehta and Miss Halida Khatun for Respondent No. 1.
K.K. Venugopal, R. Vaidya, M.B. Rele, Rajiv K. Garg and
N.D. Garg for Respondent No. 2.
The following judgments were delivered:
FAZAL ALI, J. This appeal by special leave is directed
against an Order dated January 15, 1981 of the Division
Bench of the Bombay High Court by which the appeal filed by
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the appellant against the Order of the Trial Judge was
dismissed on the ground that the appeal was not maintainable
as the Order impugned was
197
not a judgment within the meaning of clause 15 of the
Letters Patent of the High Court.
After hearing counsel for the parties at great length
we passed the following Order on April 22, 1981:-
"We have heard counsel for the parties at great
length. In our opinion, the appeal before the High
Court was maintainable and the High Court should have
entertained and decided it on merits.
We, therefore, allow this appeal, set aside the
judgment dated January 15, 1981 of the Division Bench
of the Bombay High Court and remand the case to the
same and decide it on merits. The High Court will
dispose of the appeal as quickly as possible. The
interim order passed by this Court on February 16, 1981
will continue until the High Court disposes of the
appeal. Liberty to parties to approach the High Court
for fixing an early date of hearing. In the
circumstances, there will be no order as to costs.
Reasoned judgment will follow."
We now set out to give the reasons for the formal Order
allowing the appeal which was passed by us on the aforesaid
date.
As we are not at all concerned with the facts of the
case it is not necessary to detail the same in this
judgment. Suffice it to say that the plaintiff-appellant had
filed a suit on the original side of the Bombay High Court
for specific performance of a contract and prayed for an
interim relief by appointing a receiver of the suit property
and injuncting the defendant from disposing of the suit
property during the pendency of the suit. The single Judge
after hearing the notice of motion dismissed the application
for appointment of receiver as also for interim injunction.
Thereafter, the plaintiff-appellant filed an appeal before
the Bombay High Court which dismissed the appeal as being
non-maintainable on the ground that the Order impugned
(order of the Single Judge) was not a judgment as
contemplated by clause 15 of the letters patent of the High
Court. Hence, this appeal by special leave.
The substantial questions of law raised in this appeal
by the Counsel for the parties are as to the scope, ambit
and meaning of
198
the word ’judgment’ appearing in clause 15 of the Letters
Patent of the Bombay High Court and corresponding clauses in
the Letters Patent of other High Courts. We might mention
here that the significance of the word ’judgment’ assumes a
special importance in those High Courts which have ordinary
civil jurisdiction depending on valuation of the suit or the
action. These High Courts are Calcutta, Bombay, Madras as
also Delhi and Jammu & Kashmir. The other High Courts do not
have any ordinary civil jurisdiction but their original
jurisdiction is confined only to a few causes like probate
and administration, admiralty and cases under Companies Act.
It seems to us that the interpretation of the word
’judgment’ appearing in the Letters Patent of the High Court
has been the subject-matter of judicial interpretation by
decisions rendered by various High Courts in India.
Unfortunately, however, the decisions are by no means
consistent or unanimous. On the other hand, there appears to
be a serious divergence of judicial opinions and a constant
conflict between the High Courts regarding the true scope,
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ambit and meaning of the word ’judgment’ appearing in the
Letters Patent so much so that a colossal controversy has
been raging in this country for more than a century. Several
tests have been laid down by leading judgments of the
Calcutta, Madras and Rangoon High Courts. Other High Courts
have either followed one or the other of the leading
judgments regarding the validity of the tests laid down by
the three High Courts. The Calcutta High Court appears to
have followed the leading case of its court in The Justices
of the Peace for Calcutta v. The Oriental Gas Company where
Sir Richard Couch, C.J. had laid down a particular test on a
rather strict and literal interpretation of the Letters
Patent. Later decisions of the Calcutta High Court have
followed this decision of Sir Richard Couch, C.J. with some
modifications and clarifications. The Madras High Court has
taken a very liberal view in its decision in T.V. Tuljaram
Row v. M.K.R.V. Alagappa Chettiar. The Bombay High Court
seems to have consistently taken the view that no
interlocutory order can ever be said to be a judgment within
the meaning of the Letters Patent so as to be appealable
from the order of a Single Judge exercising original civil
jurisdiction (hereinafter referred to as ’Trial Judge’) to a
larger Bench. The Rangoon High Court speaking through Sir
Page, C.J. in In Re Dayabhai Jiwandas & Ors v. A.M.M.
Murugappa Chettiur has placed a very narrow interpretation
on
199
the term ’judgment’ and has almost equated it with a decree
passed by a civil court.
This Court also has incidentally gone into the
interpretation of the word ’judgment’ and has made certain
observations but seems to have decided the cases before it
on the peculiar facts of each case without settling the
conflict or the controversy resulting from the divergent
views of the High Courts. This Court, however, has expressed
a solemn desire and a pious wish that the controversy and
the conflict between the various decisions of the High
Courts has to be settled once for all some time or the
other. In this connection, in Asrumati Debi v. Kumar
Rupendra Deb Raikot & Ors. this Court observed as follows:-
"In view of this wide divergence of judicial
opinion, it may be necessary for this Court at some
time or other to examine carefully the principles upon
which the different views mentioned above purport to be
based and attempt to determine with as much
definiteness as possible the true meaning and scope of
the word ’judgment’ as it occurs in clause 15 of the
Letters Patent of the Calcutta High Court and in the
corresponding clauses of the Letters Patent of the
other High Courts. We are, however, relieved from
embarking on such enquiry in the present case as we are
satisfied that in none of the views referred to above
could an order of the character which we have before
us, be regarded as a ’judgment’ within the meaning of
clause 15 of the Letters Patent".
(Emphasis supplied)
Similarly, in the case of State of Uttar Pradesh v. Dr.
Vijay Anand Maharaj, this Court noticed the divergence of
judicial opinions on the subject and observed as follows :-
"The scope of the expression "judgment" came under
the judicial scrutiny of the various High Courts, there
is a cleavage of opinion on that question.
... ... ... ...
200
The foregoing brief analysis of judgment shows
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that the definition given by the Madras High Court is
wider than that given by the Calcutta and Nagpur High
Courts. It is not necessary in this case to attempt to
reconcile the said decision or to give a definition of
our own, for on the facts of the present case the order
of Mehrotra, J., would be a judgment within the meaning
of the narrower definition of that expression".
After, however, analysing the various judgments this
Court did not think it necessary to give any definition of
its own and refrained from giving a final decision on the
question as to the scope and meaning of the word ’judgment’
appearing in the Letters Patent. Mudholkar, J. in his
concurring judgment expressly refrained from expressing any
opinion on the subject.
Again in a later decision in Shankarlal Aggarwal & Ors.
v. Shankarlal Poddar & Ors. the conflict in the various
decisions of various High Courts was again noticed and this
Court observed as follows:
"There has been very wide divergence of opinion
between the several High Court in India as to the
content of the expression ’judgment’ occurring in Cl.
15 of the Letters Patent................We consider
that occasion has not arisen before us either since in
view of the construction which we have adopted of s.
202 of the Indian Companies Act the scope of the
expression ’judgment’ in the Letters Patent does not
call for examination or final decision".
(Emphasis ours)
There are other decisions of this Court also which have
touched the fringes of the question but did not choose to
give a final verdict on the vexed question and preferred to
decide the cases on their own facts. We shall briefly refer
to these decisions at a later stage of this judgment.
With due deference to the desire of this Court to
settle the controversy in question once for all, the very
able, detailed and lengthy arguments advanced by counsel for
the parties on various shades, features and aspects of the
interpretation of the word ’judg-
201
ment’ appearing in the Letters Patent, the serious legal
controversy raging in this country for over a century
between the various High Courts resulting in an
irreconciliable element of judicial uncertainty in the
interpretation of the law and further having regard to the
huge backlog and accumulation of arrears in the High Courts,
we are clearly of the opinion that the time has now come
when the entire controversy on the subject should be set at
rest and an authoritative pronouncement on the matter may be
given by us so as to maintain complete consistency in
deciding the matter by the High Courts whenever it arises.
Mr. Sorabjee, learned counsel for the appellants has
submitted four important points of law dwelling on the
various facts of the question at issue:
(1) It was contended that the provisions of s. 104
read with order 43 Rule 1 of the Code of Civil
Procedure, 1908 (hereinafter referred to as ’Code
of 1908’) does not impose any bar on the trial
held by the Trial Judge and thus by virtue of
these provisions the order impugned (the order of
the trial court refusing to appoint Receiver and
to grant injunction) falls squarely under clauses
(r) and (s) of order 43 Rule 1 of the Code of 1908
and is therefore appealable to a larger Bench.
In amplification of this contention it was
submitted that the Trial Judge is governed by
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the procedure prescribed by the Code of 1908
in all matters and hence there is no reason
why order 43 Rule 1 should not apply to any
order passed by the Trial Judge under any of
the clauses of order 43 Rule 1 read with s.
104.
(2) Even if we assume that the Letters Patent was a
special law which overrides the provisions of the
Code of Civil Procedure, the power under s. 104
read with order 43 Rule 1 is in no way
inconsistent with cl. 15 of the Letters Patent.
Section 104 merely provides an additional remedy
and confers a new jurisdiction on the High Court
without at all interfering with or overriding the
existing provisions of the Letters Patent.
202
(3) Even if order 43 Rule 1 did not apply in terms,
the orders which have been mentioned as being
appealable to a larger Bench could form valuable
guidelines for the Court in arriving at the
conclusion that such orders amount to judgments of
the Single Judge as contemplated by the Letters
Patent.
(4) Even if s. 104 read with order 43 Rule 1 does not
apply, an order refusing to appoint a receiver or
to grant injunction has the trappings and
attributes of finality as it affects valuable
rights of the plaintiff in an ancillary proceeding
though the suit is kept alive and would,
therefore, amount to a judgment within the meaning
of the Letters Patent.
The learned counsel for the respondents while
countering the arguments of Mr. Sorabjee submitted the
following propositions:
(1) S. 104 read with order 43 Rule 1 could not apply
to the original trial by the Trial Judge which is
governed by the Letters Patent alone.
(2) It was further argued that the forum for an appeal
contemplated by s. 104 is the same as that for
appeals under sections 96 to 100 of the Code of
1908, that is to say, appeals from the courts in
the mofussil (district courts) to the High Court
and it has no application to internal appeals
within the High Court. In other words, the forum
under which an appeal lies from one Judge of the
High Court to a larger Bench is not a forum
contemplated by s. 104 at all but is created by
the Letters Patent.
(3) If s. 104 of the Code of 1908 is held to be
applicable to proceedings before the Trial Judge
of the High Court certain strange anomalies will
arise, viz., where an appeal lies from a district
court under order 43 Rule 1 before a Single Judge,
a further appeal will have to lie before a larger
Bench against the order of the Trial Judge
although s. 104 prevents a second appeal against
miscellaneous orders under order 43 Rule 1 and
permits only one appeal. This will, therefore,
lead to an inconsistent and anomalous position.
203
(4) The word ’judgment’ should be strictly construed
as was done by Sir Richard Couch, C.J. in Oriental
Gas Company’s case (supra) so as to include only
those orders of the Trial Judge which are of a
final nature and effectively decide the
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controversy of the issues in dispute.
We would first deal with the point relating to the
applicability of s. 104 read with order 43 Rule 1 of the
Code of 1908 because it seems to us that the arguments of
Mr. Sorabjee on this score are well-founded and must
prevail. Moreover, some of the decisions of this Court,
those of the Privy Council and other High Courts support the
propositions adumbrated by Mr. Sorabjee.
In order, however, to appreciate the applicability of
s. 104 read with Order 43 Rule 1, it may be necessary to
examine some important provisions of the Code of Civil
Procedure as also the previous history which led to the
enactment of s. 104 by the Code of 1908. It appears that
prior to the Code of 1908 in the earlier Code of Civil
Procedure there were two kinds of appeals to the High Court-
(1) appeals against judgments and decrees of the Trial
Judge, and (2) appeals against orders, either interlocutory
or quasi-final, passed by the court during the pendency of
the suit or proceedings. In the Civil Procedure Code of 1877
the section corresponding to order 43 Rule 1 of the Code of
1908 was s. 588 which provided for appealable orders under
clauses (a) to (t). Section 588 of the Code of 1877 provided
that an appeal from any order specified in s. 588 shall lie
to the High Court or when an appeal from any other order is
allowed by the Chapter it would lie to the Court to which an
appeal would lie from the decree in the suit in respect of
which such order was made or when such order is passed by a
court other than the High Court, then to the High Court. A
perusal of ss. 588 and 589 of the Code of 1877 would clearly
show that the statute made no distinction between appeals to
the High Courts from the district courts in the mofussils or
internal appeals to the High Courts under the Letters
Patent. Section 591 clearly provided that except the orders
mentioned in s. 588 no further appeal could lie from any
order passed by any court in exercise of its original or
appellate jurisdiction. Section 591 may be extracted thus:-
"591. No other appeal from orders; but error
therein may be set forth in memorandum of appeal
against decree.
204
"Except as provided in this chapter, no appeal
shall lie from any order passed by any Court in the
exercise of its original or appellate jurisdiction but
if any decree be appealed against, any error, defect or
irregularity in any such order, affecting the decision
of the case, may be set forth as a ground of objection
in the memorandum of appeal".
In other words, the position was that while the statute
provided only for appeals against orders, all other appeals
could only be against a decree passed by the court
concerned. The statute there fore, did not contemplate any
other appeal except those mentioned in ss. 588 and 591.
The Code of 1877 was later on replaced by the Code of
1882 but the provisions remained the same. In view of the
rather vague and uncertain nature of the provisions of ss.
588 to 591 a serious controversy arose between the various
High Courts regarding the interpretation of s. 588. The
Bombay and Madras High Courts held that under cl. 15 of the
Letters Patent of the said High Courts, an appeal could lie
only from orders passed under s. 588 and not even under the
Letters Patent. In Sonba’i v. Ahmedbha’i Habibha’i a Full
Bench of the Bombay High Court held that under cl. 15 of the
Letters Patent an appeal to the High Court from an
interlocutory order made by one of the Judges lies only in
those cases in which an appeal was allowed under the Code of
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Civil Procedure, that is to say, under ss. 588 and 591 of
the Code of 1877. The Madras High Court in Rajgopal & Ors
(in Re: L.P.A. No. 8 of 1886 took the same view. Then came
the decision of the Privy Council in the case of Hurrish
Chunder Chowdry v. Kali Sundari Debia which while
considering s. 588 made the following observations:-
"It only remains to observe that their Lordships
do not think that s. 588 of Act X of 1877, which has
the effect of restricting certain appeals is from one
of the Judges of the Court to the full Court."
(Emphasis ours)
205
This judgment gave rise to a serious conflict of opinions in
the High A Courts in India. The High Courts of Calcutta,
Bombay and Madras held that in view of the decision of the
Privy Council in the aforesaid case, even though an order
may not have been appealable under s. 588 it could be
appealable provided it was a judgment within the meaning of
cl. 15 of the Letters Patent of the respective High Courts.
Toolsee Money Dassee v. Sudevi Dassee,, Secretary of State
v. Jehangir; Chappan v. Modin Kutti, However, the Allahabad
High Court in Banno Bibi v. Mehdi Husain held that if an
order was not appealable under ss. 588 and 591 of the Code
of 1877 it could not be appealed against even under the
Letters Patent of the High Court. This view was affirmed by
a later decision of the same High Court in Muhammad Naim-ul-
Lah Khan v. Ihsan-ul-Lah Khan.
With due respect we would like to point out that the
pointed and terse observations of the Privy Council did not
leave any room for any doubt or speculation in the matter.
While construing s. 588, the Judicial Committee in Hurrish
Chunder Chowdry’s case (supra) had made it clear that
appeals would lie under s. 588 to the High Court and the
section did not contain any restriction to the effect that
appeal against the orders of the Trial Judge mentioned in s.
588 would not lie to a larger Bench of the High Court. In
other words, the Privy Council intended to lay down clearly
that s. 588 did not affect nor was it inconsistent with the
provisions of the Letters Patent and hence those orders of
the Trial Judge which fell beyond s. 588 could be appealable
to a larger Bench under the Letters Patent if those orders
amounted to judgment within the meaning of cl. 15 of the
Letters Patent. Therefore, the views taken by the Calcutta,
Bombay and Madras High Courts, referred to above, were
undoubtedly correct. At any rate, since a fresh controversy
had arisen, the legislature stepped in to settle the
controversy by enacting the new s. 104 in the Code of 1908.
Section 104 made it clear that appeals against orders
mentioned in order 43 Rule 1 were not in any way
inconsistent with the Letters Patent and merely provided an
additional remedy by allowing appeals against miscellaneous
Orders passed by the Trial Judge to a larger Bench. In other
words, the legislature gave full statutory effect to the
views of the Calcutta,
206
Bombay and Madras High Courts. Even after the introduction
of s. 104, the conflict between the various High Courts
still continued as to whether or not s. 104 would apply to
internal appeals in the High Court. That is the question
which we shall now discuss.
To begin with, it is not disputed that a Trial Judge
has to follow the entire procedure laid down by the Code of
1908 starting from the presentation of the plaint right up
to the delivery of the judgment. The only difference in the
assumption of jurisdiction by the High Court is that a suit
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of a particular valuation has to be instituted in the High
Court rather than in the District court. Secondly, it is
indisputable that any final judgment that the Trial Judge
passes deciding the suit one way or the other amounts to a
decree and under the provisions of the Letters Patent an
appeal lies to a larger Bench which normally is a Division
Bench as provided for under the Rules made by various High
Courts. Thirdly, the Letters Patent itself does not define
the term ’judgment’ and has advisedly not used the word
’decree’ in respect of any judgment that may be given by the
Trial Judge. Section 5 of the Code of 1908 may be extracted
thus:
"5. Application of the Code to Revenue Courts:
(1) Where any Revenue Courts are governed by the
provisions of this Code in those matters of
procedure upon which any special enactment
applicable to them is silent the State Government
may, by notification in the Official Gazette,
declare that any portions of those pro visions
which are not expressly made applicable by this
Code shall not apply to those Courts, or shall
only apply to them with such modifications as the
State Government may prescribe.
(2) "Revenue Court" in Sub-section (1) means a court
having jurisdiction under any local law to
entertain suits of other proceedings relating to
the rent, revenue or profits of land used for
agricultural purposes, but does not include a
Civil Court having original jurisdiction under
this Code to try such suits or proceedings as
being suits or proceedings of a civil nature "
The importance of this section is that wherever the
provisions of the Code of Civil Procedure are sought to be
excluded by any special enactment which may be silent on the
point, the State
207
Government can by notification apply the provisions of the
Code to Revenue courts. A bare perusal of this section would
clearly reveal that excepting Revenue courts all other Civil
courts would normally be governed by the provisions of the
Code of Civil Procedure in the matter of procedure. Section
4(1) of the Code of 1908 which is a saving provision clearly
provides that in the absence of any specific provision to
the contrary the provisions of the Code does not limit or
affect any special or local law. Thus, the test contained in
s. 4 is not applicable in the instant case because even if
the Letters Patent of the High Court be deemed to be a
special law as contemplated by s. 4, the provisions of s.
104 do not seek to limit or affect the provisions of the
Letters Patent.
This now takes us to s. 104 of the Code of 1908, the
relevant portion of which may be extracted thus:-
"104.(1) An appeal shall lie from the following
orders, and save as otherwise expressly provided in the
body of this Code or by any law for the time being in
force, from no other orders:-
(a) to (f) annulled;
(ff) an order under section 35-A
(g) an order under section 95;
(h) an order under any of the provisions of this Code
imposing a fine or directing the arrest or
detention in the civil prison of any person except
where such arrest or detention is in execution of
a decree;
(1) any order made under rules from which an
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appeal is expressly allowed by rules:
(2) No appeal shall lie from any order passed in
appeal under this section."
Thus by the force of s. 104 all appeals as indicated in
the various clauses of order 43 Rule 1 viz. (a) to (w) would
lie to the appellate court. Section 105 clearly provides
that no appeal shall lie from any order of a Court made in
the exercise of its original or appellate
208
jurisdiction except according to the procedure laid down by
the Code. The relevant part of s. 105 (1) may be extracted
thus:
"105. (1) Save as otherwise expressly provided no
appeal shall lie from any order made by a Court in the
exercise of its original or appellate jurisdiction; but
where a decree is appealed from, any error, defect or
irregularity in any order, affecting the decision of
the case, may be set forth as a ground of objection in
the memorandum of appeal."
Finally, order, 49 Rule 3 expressly exempts matters
contained in clauses (1) to (6) of Rule 3 from the operation
of the extraordinary original civil jurisdiction of the
chartered High Courts, that is to say, the jurisdiction
conferred on the High Court by the Letters Patent. The
relevant portion of this provision may be extracted thus:
"O. 49.
(3) The following rules shall not apply to any
Chartered High Court in the exercise of its
ordinary or extraordinary original civil
jurisdiction, namely:-
(1) rule 10 and rule 11, clauses (b) & (c), of order
VII;
(2) rule 3 of order X;
(3) rule 2 of order XVI;
(4) rules 5, 6, 8, 9, 10, 11, 13, 14, 15, and 16 (so
far as relates to the manner of taking evidence)
of Order XVIII;
(5) rules 1 to 8 of order XX; and
(6) rule 7 of order XXXIII (so far as relates to the
making of a memorandum);
and rule 35 of order XLI shall not apply to any such
High Court in the exercise of its appellate
jurisdiction"
It may be pertinent to note that although a number of
rules have been exempted from the operation of the Code,
order 43 Rule
209
1 and the clauses thereunder have not been mentioned in any
of these clauses.
Thus, a combined reading of the various provisions of
the Code of Civil Procedure referred to above lead to the
irresistible conclusion that s. 104 read with order 43 Rule
1 clearly applies to the proceedings before the Trial Judge
of the High Court. Unfortunately, this fact does not appear
to have been noticed by any of the decisions rendered by
various High Courts.
We might further point out that s. 117 of the Code of
1908 expressly applies the provisions of the Code to High
Courts also. Section 117 may be extracted thus:
"117. Save as provided in this Part or in Part X
or in rules, the provisions of this Code shall apply to
such High Courts".
We find ourselves in complete agreement with the
arguments of Mr. Sorabjee that in the instant case s. 104
read with Order 43 Rule 1 does not in any way abridge,
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interfere with or curb the powers conferred on the Trial
Judge by cl. 15 of the Letters Patent. What s. 104 read with
order 43 Rule 1 does is merely to give an additional remedy
by way of an appeal from the orders of the Trial Judge to a
larger Bench. Indeed, if this is the position then the
contention of the respondent that s. 104 will not apply to
internal appeals in the High Courts cannot be countenanced.
In fact, the question of application of the Code of Civil
Procedure to internal appeals in the High Court does not
arise at all because the Code of Civil Procedure merely
provides for a forum and if order 43 Rule 1 applies to a
Trial Judge then the forum created by the Code would
certainly include a forum within the High Court to which
appeals against the judgment of a Trial Judge would lie. It
is obvious that when the Code contemplates appeals against
orders passed under various clauses of order 43 Rule 1 by a
Trial Judge, such an appeal can lie to a larger Bench of the
High Court and not to any court subordinate to the High
Court. Hence, the argument that order 43 Rule 1 cannot apply
to internal appeals in the High Court does not appeal to us
although the argument has found favour with some of the High
Courts.
We might also reiterate that prior to the Code of 1908,
in the Code of 1877 an identical provision like order 43
Rule 1 also existed in the shape of s. 588 which was
absolutely in the same terms
210
as order 43 Rule 1 and its various clauses. Of course,
section 104 was conspicuously absent from the Codes of 1877
or 1882. As indicated earlier, the question of the
application of s. 588 (now Order 43 Rule 1) was considered
as early as 1882 in Hurrish Chunder Chowdary’s case (supra)
where the Privy Council in very categorical terms observed
thus:-
"It only remains to observe that their Lordships
do not think that s. 588 of Act X of 1877, which has
the effect of restricting certain appeals, applies to
such a case as this, where the appeal is from one of
the Judges of the Court to the full Court."
We have already shown that a perusal of these
observations leaves no room for doubt that the Privy Council
clearly held that s. 588 undoubtedly applied to appeal from
one of the Judges of the High Court to the Full Court, which
really now means the Division Bench constituted under the
Rules. In spite of the clear exposition of the law on the
subject by the Privy Council it is rather unfortunate that
some High Courts have either misinterpreted these
observations or explained them away or used them for holding
that s.588 does not apply to High Courts. We shall deal with
those judgments and point out that the view taken by the
High Courts concerned is not at all borne out by the ratio
decidendi of the Privy Council. So far as the applicability
of s. 588 to proceedings in the High Courts is concerned, in
a later decision the Privy Council reiterated its view in
unmistakable terms. In Mt. Sabitri Thakurain v. Savi & Anr.,
their Lordships observed as follows:
"Section 15 of the Letters Patent is such a law
and what it expressly provides, namely an appeal to the
High Court’s appellate jurisdiction from a decree of
the High Court in its original ordinary jurisdiction,
is thereby saved. Thus regulations duly made by orders
and Rules under the Code of Civil Procedure, 1908 are
applicable to the jurisdiction exercisable under the
Letters Patent, except that they do not restrict the
express Letters Patent appeal".
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Though not directly, some observations made by this
Court also support the consistent view taken by the Privy
Council that order 43 Rule 1 applies to the original
proceedings before the Trial
211
Judge. In Union of India v. Mohindra Supply Co., this Court
made the following observations:-
"The intention of the legislature in enacting sub-
s. (1) of s. 104 is clear: the right to appeal
conferred by any other law for the time being in force
is expressly preserved. This intention is emphasised by
s. 4 which provides that in the absence of any specific
provision to the contrary nothing in the Code is
intended to limit or otherwise affect any special
jurisdiction or power conferred by or under any other
law for the time being in force. The right to appeal
against judgments (which did not amount to decrees)
under the Letters Patent, was therefore not affected by
s. 104 (1) of the Code of Civil Procedure, 1908".
Thus, this Court has clearly held that the right to
appeal against judgments under the Letters Patent was not
affected by s. 104 (1) of the Code of 1908 and the decision
therefore fully supports the argument of Mr. Sorabjee that
there is no inconsistency between the Letters Patent
jurisdiction and s. 104 read with order 43 Rule 1 of the
Code of 1908. Similarly, in Shankarlal Aggarwal’s case
(supra) this Court while construing the provisions of s.
202 of the Indian Companies Act observed as follows:-
"There was no doubt either that most of the orders
or decisions in winding up would not be comprehended
within the class of appealable orders specified in s.
104 or O. 43 r.1. If therefore the contention of the
respondent were accepted it would mean that in the case
of orders passed by the District Courts appeals would
lie only against what would be decrees under the Code
as well as appealable orders under s. 104 and o. 43
r.1. and very few of the orders passed in the Courts of
the winding up would fall within these categories. On
the other hand, the expression "judgment" used in cl.
15 is wider. The learned Judge therefore rejected a
construction which would have meant that the same
orders passed by District Courts and by a Single Judge
of a High Court would be subject to different rules as
to appealability".
There is yet another aspect of the matter which shows
that s. 104 merely provides an additional or supplemental
remedy by way
212
of appeal and, therefore, widens rather than limits the
original jurisdiction of the High Court. For instance, in
this very case with which this Court was dealing, an order
passed under s. 202 of the Companies Act was appealable to a
larger Bench and yet it was argued that the order being of
an interlocutory nature would not be a judgment and
therefore no appeal would lie to the Division Bench. This
contention was negatived by the Supreme Court and it was
held that against the order passed by a Trial Judge under
the Companies Act, an appeal would lie to the Division
Bench. On a parity of reasoning, therefore, s. 104 read with
order 43 Rule 1 expressly authorises and creates a forum for
appeal against orders falling under various clauses of order
43 Rule 1, to a larger Bench of the High Court without at
all disturbing, interfering with or overriding the Letters
Patent jurisdiction. There are a number of other Acts also
which confer additional powers of appeal to a larger Bench
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within the High Court against the order of a Trial Judge.
Take, for instance, a case under the Arbitration Act.
Suppose in a suit the matter is referred to arbitration and
after the award is filed by the Arbitrator certain
objections are taken, under s. 39 of the Arbitration Act an
appeal would lie to a Larger Bench from the order of a
Single Judge disposing of the objections taken by the
parties against the award. Section 39 runs thus:
"39. Appealable orders.-(1) An Appeal shall lie from
the following orders passed under this Act (and from no
others) to the Court authorised by law to hear appeals from
original decree of the Court passing the orders; An Order-
(i) superseding an arbitration;
(ii) on an award stated in the form of a special case;
(iii)Modifying or correcting an award;
(iv) filing or refusing to file an arbitration
agreement;
(v) staying or refusing to stay legal proceedings
where there is an arbitration agreement;
(vi)setting aside or refusing to set aside an award:
Provided that the provisions of this section
shall not apply to any order passed by a small
Cause Court.
213
(2) No second appeal shall lie from an order passed in
appeal under this section, but nothing in this
section shall affect or take away any right to
appeal to the Supreme Court".
It cannot be contended by any show of force that the
Order passed by the Trial Judge being an interlocutory
order, no appeal would lie to the Division Bench or that the
provisions of the Arbitration Act giving a right of appeal
to a litigant from the order of a Trial Judge to the
Division Bench in any way fetter or override the provisions
of the Letters Patent.
There are, however, a number of decisions of the
various High Courts which have held that the provisions of
order 43 Rule 1 clearly apply to a Trial Judge. As early as
1872, the Bombay High Court in Sonba’i’s case (supra) held
that in regard to appeals against orders of the Trial Judge
the practice of the Bombay High Court has been that in all
matters the provisions of the Code concerned would be
applicable. In this connection, Sargent, Acting C.J.,
speaking for the court observed as follows:-
"the word "judgment" may be taken to include any
preliminary or interlocutory judgment, decree, order,
or sentence within the meaning of clause 40, and effect
may be given to section 37 by limiting the orders open
to appeal to those orders which are expressly declared
appealable in the various sections of the Civil
Procedure Code, or in other words by incorporating the
provisions of the Civil Procedure Code relating to
appeals with Sec. IS of the Letters Patent, and holding
the word ’judgment’ to mean all judgments and orders
which are appealable under the provisions of the Civil
Procedure Code".
This case was followed by a Division Bench of the Madras
High Court which clearly held that an order passed under s.
592 was controlled by s. 588. We have already pointed out
that in the Code prior to 1882, order 43 Rule 1 appeared in
the shape of s. 588 and even under order 43 Rule 1 an order
rejecting an appeal in forma pauperis is not appealable and
does not appear in any of the clauses of order 43 Rule 1.
The Madras High Court in Rajgopal’s case (supra), relying on
the decision of the Bombay High Court, observed thus:
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214
"An order passed under s. 592 of the Code of Civil
Procedure rejecting an appeal in forma pauperis is not
appealable under s. 588, which provides that no appeal
shall lie from orders not specified in that section.
It has already been decided in Achaya v. Ratnavelu
(ILR 9 Mad. 253) that s. 15 of the Letters Patent is
controlled by a similar section in the Civil Procedure
Code, which provided that an order shall be final, and
that enactments to such effect are not beyond the
legislative powers of the Governor-General in Council".
Thus, even in the earlier times the High Court had
veered round to the view that s. 588 would be applicable to
the High Courts also even in respect of internal appeals in,
the High Court.
Similarly, in Ruldu Singh v. Sanwal Singh, Shadi Lal,
C.J. Speaking for the court observed thus;-
Now, section 588 of the old Code, which has now
been replaced by section 104 and Order XLIII, rule of
the new Code, enacted that an appeal lay from the
orders specified in that section and from no other
orders"; and it was consequently decided by a Full
Bench of that Court in Muhammad Naim-ul-Lah Khan v.
Ihsan Ullah Khan (1892) ILR 14 All. 226 that clause 10
of the Letters Patent was controlled in its operation
by section 588, and that no appeal lay under the
Letters Patent from an order made under the Code if it
was not one of the orders enumerated in that section.
Section 104 of the new Code, however, expressly saves
the right of appeal otherwise provided by ’any law for
the time being in force’...It seems to us that the
object of the Legislature in enacting sub-section (2)
was to make it clear that there was no second appeal
under the Code from the orders specified in Sub-section
(1) of section 104, and that sub-section (2) was not
intended to override the express provisions of the
letters patent."
The Lahore High Court relied on the decision of the
Privy Council in Hurrish Chunder Chowdrys case (supra). The
High Court further held that s. 104 does not in any way take
away the
215
right of appeal conferred by the Letters but Patent of the
High Court merely bars a second appeal from orders passed
under O.43 R. 1 to Division Bench. A contrary view was taken
by the Allahabad High Court in Ram Sarup v. Kaniz Ummehani
where the following observations were made:-
"It may, however, be conceded that this saving
clause does not occur in sub-section (2) of section
104. But under the corresponding section 588 of the old
Code, where the words were "orders passed in appeal
under this section shall be final", their Lordships of
the Privy Council in Hurrish Chunder Chowdhry v.
Kalisunduti Debi (1882) ILR 9 Cal. 482 observed that
section 588, which had the effect of restricting
certain appeals, did not apply to a case where the
appeal is from one of the Judges of the High Court to
the Full Court to the full Court.. In any case section
104 (2) does not contain any express provision which
would suggest that the provisions of the Letters Patent
have been abrogated. We accordingly hold that under
clause 10 of the Letters Patent an appeal lies from the
order of a single Judge passed in appeal."
With due deference to the Hon’ble Judges we are of the
opinion that the decision of the Allahabad High Court on
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this point is based on a serious misconception of the legal
position. It is true that s. 104 was introduced by the Code
of 1908 and the aforesaid section, as we have already
indicated, clearly saved the Letters Patent jurisdiction of
the High Court. From this, however, it does not necessarily
follow that the restriction that there is no further appeal
from the order of a Trial Judge to a larger Bench would be
maintainable or permissible. In the first place, once s. 104
applies and there is nothing in the Letters Patent to
restrict the application of s. 104 to the effect that even
if one appeal lies to the Single Judge, no further appeal
will lie to the Division Bench. Secondly, a perusal of
clause 15 of the Letters Patent of the Presidency High
Courts and identical clauses in other High Courts, discloses
that there is nothing to show that the Letters Patent ever
contemplated that even after one appeal lay from the
subordinate court to the Single Judge, a second appeal would
again lie to a Division Bench of the Court. All that the
Letters Patent provides for is that where the Trial Judge
passes an order, an appeal against the judgment of the said
Trial Judge would
216
lie to a Division Bench. Furthermore, there is an express
provision in the Letters Patent where only in one case a
further or a second appeal could lie to a Division Bench
from an appellate order of the Trial Judge and that is in
cases of appeals decided by a Single Judge under s. 100 of
the Code of Civil Procedure. Such a further appeal would lie
to a Division Bench only with the leave of the court and not
otherwise. The relevant portion of cl. 15 of the Letters
Patent may be extracted thus:
"And we do further ordain that an appeal shall lie
to the said High Court of Judicature at Madras, Bombay,
Fort William in Bengal from the judgment.. Of one Judge
of the said High Court or one Judge of any Division
Court, pursuant to section 108 of the Government of
India Act, and that notwithstanding anything
hereinbefore provided, an appeal shall lie to the said
High Court from a judgment of one Judge of the said
High Court or one Judge of any Division Court, pursuant
to section 108 of the Government of India Act, made (on
or after the first day of February, 1929) in the
exercise of appellate jurisdiction in respect of a
decree or order made in the exercise of appellate
jurisdiction by a Court subject to the superintendence
of the said High Court where the Judge who passed the
judgment declares that the case is a fit one for
appeal."
A perusal of the Letters Patent would clearly reveal
two essential incidents-(1) that an appeal shall lie against
any order passed by the Trial Judge to a larger Bench of the
same High Court, and (2) that where the Trial Judge decides
an appeal against a judgment or decree passed by the
district courts in the mofussil, a further appeal shall lie
only where the judge concerned declares it to be a fit one
for appeal to a Division Bench. Thus, the special law, viz.,
the Letters Patent, contemplates only these two kinds of
appeals and no other. There is, therefore, no warrant for
accepting the argument of the respondent that if order 43
Rule 1 applies, then a further appeal would also lie against
the appellate order of the Trial Judge to a Division Bench.
As this is neither contemplated nor borne out by the
provisions of the Letters Pantent extracted above, the
contention of the respondent on this score must be
overruled.
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A further second appeal Lying to a Division Bench from
an appellate order of the Trial Judge passed under order 43
Rule 1 is wholly foreign to the scope and spirit of the
Letters Patent. Un-
217
fortunately however, the Allahabad High Court in Ram Sarup’s
case (supra) refused to follow a Division Bench decision in
Piari Lal v. Madan Lal and also tried to explain away the
Full Bench decision in Ram Sarup’s case (supra) where it was
clearly pointed out that in such cases no further appeal
would lie to the Division Bench under the Letters Patent.
The distinction drawn by the Allahabad High Court regarding
the application of s. 104 is a distinction without any
difference. Sir John Edge, C.J., in Muhammad Naim-ul-lah
Khan’s case (supra) dealing with this aspect of the matter
observed thus:-
"It appears to me that the Code of Civil Procedure
(Act No. XIV of 1882), as did Act No. X of 1877,
contemplates a High Court in two aspects. It
contemplates a High Court doing the ordinary work of a
Court of original and appellate jurisdiction; having
the necessary powers of review and revision in certain
cases and certain other powers such as are generally
found vested in the Courts of the importance of High
Courts...whatever those powers may be, it is quite
clear to my mind that the power conferred on a High
Court under Chapter XLV of the Code of Civil Procedure
are special powers and entirely distinct from the
ordinary powers required by the High Court in the
carrying on of its ordinary judicial business."
and Mahmood, J. Observed thus:
"To hold then that where this statute of ours,
namely, our present Code of Civil Procedure, declares a
decree or order non-appealable, such decree or order
can be made the subject of consideration by the whole
of this Court under the Letters Patent, is to hold that
wherever no appeal lies to this Court the ceremony of
presenting it to this Court to a Single Judge of this
Court who would undoubtedly reject the appeal, makes it
the subject of consideration by a Bench of the Court."
The other Judges agreed with the view taken by the
Chief Justice and Mahmood, J. In Piari Lal’s case
(supra) which was decided after s. 104 was introduced
in the Code of 1908, the following observations were
made:-
218
"A preliminary objection has been taken to the
hearing of the appeal based on the Full Bench decision
in the case of Muhammad Naimullah Khan v. Ihsan-ullah
Khan (1892) ILR 14 All. 226. Section 104 of the Code of
Civil Procedure provides for the cases in which an
appeal shall lie against an "order’. Clause (ii)
provides that "No appeal shall lie from any order
passed in appeal under this section". The contention of
the respondent in the preliminary objection is that no
second appeal lies and reliance is placed upon the
authority quoted to show that even a Letters Patent
appeal is not permissible. We are of course bound by
the Full Bench ruling of this Court. It is contended,
however, that the words in section 588 of the Code of
Civil Procedure, which was in force when the decision
in the Full Bench case was given, differed from the
words of the present Code. The only difference is that
in the old Code the words were "The order passed in
appeals under this section shall be final", whereas in
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the present Code the words are "No appeal shall lie".
We cannot see how the change in the words can in any
way help the appellant. Possibly the reason for the
change is that under the words in the old Code it might
have been argued that even a "revision" or a "review of
judgment" would not lie against an order passed by an
appellate court. We think the preliminary objection
must prevail and we accordingly dismiss the appeal with
costs."
Thus, in these two cases it was clearly held that where
a Trial Judge had passed an order in an appeal against an
order passed by the district judge under order 43 Rule 1, a
further appeal under the Letters Patent was not
maintainable. This view is fully supported by the express
language in which clause 15 of the Letters Patent has been
couched, as referred to above. Thus the latter decision of
the Allahabad High Court in Ram Sarup’s case (supra) was
clearly wrong in holding that an appeal under the Letters
Patent would lie even against an appellate order of the
Trial Judge passed under O.43, R. 1 even though it was
prohibited by s. 104 (2) of the Code.
Similarly, in Chappan’s case (supra) the Court on an
interpretation of s. 588 (which now corresponds to the
present Order 43 Rule 1 clearly held that an appeal would
lie to the High Court
219
against the orders contemplated in various clauses of s. 588
of the Code of 1877. The Court held thus:-
"The result of this judgment (so far as it applies
to the question before us) appears to me to come to
this, that if the order made by a single Judge only
amounts to an order such as is intended by chapter XLII
of the Code, it is not appealable unless it is within
section 588."
The Madras case heavily relied on the decision of the
Privy Council in Hurrish Chunder Chowdry’s case (supra). In
Lea Badin v. Upendra Mohan Roy Chaudhury & Ors. while
criticising the judgment of Sir Richard Couch, C.J. in The
Justice of the Peace for Calcutta (supra) the Court as an
alternative argument clearly held that order 43 Rule 1 would
apply pro tanto to the Trial Judge and on this ground also
the order would be appealable to a Division Bench. In this
connection, the celebrated jurist Sir Manmatha Nath
Mookerjee, J. Observed as follows:-
"But there is another and a far simpler ground on
which it must be held that an appeal is competent. The
order in the present case is one for which a right of
appeal is provided in cl. (s) of r. 1 of or 43 of the
Code. Under the present Code (Act V of 1908) it cannot
be contended that the Code and the Rules made under it
do not apply to an appeal from a learned Judge of the
High Court "
Another important decision regarding the applicability
of order 43 Rule 1 to an order passed by the Trial Judge was
rendered by a Full Bench in Mathura Sundari Dassi v. Haran
Chandra Shaha & Ors. where Sanderson, C.J. Observed thus:-
"By the terms of s. 117, the Code is made
applicable to the High Court, and O. 43, R. 1 gives a
right of appeal in the very case under discussion. But
it is said that this Code and the rules made under it
do not apply to an appeal from a learned Judge of the
High Court. I cannot follow that argument. It is part
of the defendant’s case that O.9 R. 8 applies. That
order is in effect a part of the Civil Procedure Code.
It seems to me strange that the plaintiff
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220
should be subjected to O. 9, R. 8 and be liable to have
his suit dismissed for want of appearance, yet when he
has had his suit dismissed under one of the rules of
the Code and wants to call in aid another of the rules
which-when his application for reinstatement has been
refused-gives him a right of appeal against that
refusal, he is met with the argument that he cannot
call in aid that rule because there is no appeal from
the learned Judge of the High Court under the Civil
Procedure Code. I think this is not a true view or a
reasonable construction to put upon the Code and the
rules made under it. In my judgment, the Code and the
rules do apply and the plaintiff has a right of
appeal."
and Woodroffo ’J’ made similar observations:-
"Whether or not as a question of jurisdiction an
appeal lies under clause 15 of the Letters Patent in a
case in which an appeal is allowed under the Code, I
think it may be said that there are prima facie grounds
for holding that an appeal should be held to lie under
the Letters Patent where it is allowed under the Code;
for the fact that the Legislature has in the Code
allowed an appeal in a particular case, a affords to my
mind prima facie grounds for supposing that case is of
a class which this Court considers appealable under its
Letters Patent.. Looking at the nature of the order
appealed from, I think I should hold that it is
appealable as a ’judgement’ under the Letters Patent."
and Mookerjee, J. Observed thus:-
"The term "Rule" which finds a place in s. 117 is
defined in clause 18 of s. 2 of the Code to mean "a
rule contained it the First Schedule or made under s.
122 or s. 125." our attention has not been drawn to any
such rule which makes O. 43, R, 1, clause (c)
inapplicable. On the other hand, O. 49, R. 3 which
excludes the operation of other rules, lends support to
the contention of the appellant that O. 43, R. 1 clause
(c) is applicable to the present appeal.
"S. 104 of the Code of 1908 is materially
different from S. 588 of the Code of 1882. It provides
that lie from
221
the orders mentioned in the first clause of that
section and, save as otherwise expressly provided in
the body of the Code or by any law for the time being
in force from no other orders." The effect of s. 104 is
thus, not to take away a right of appeal given by
clause 15 of the Letters Patent, but to create a right
of appeal in cases even where clause 15 of the Letters
Patent is not applicable.. I hold accordingly that this
appeal is competent under Clause (c), R. 1, O. 43 of
the Civil Procedure Code.
I am further of opinion that the appeal is competent
also under Clause 15 of the Letters Patent."
(Emphasis ours)
We find ourselves in complete agreement with the view
taken and the reasons given by the three eminent Judges in
the aforesaid case which furnishes a complete answer to the
arguments of the respondents that order 43, Rule I will have
no application to internal appeals in the High Court under
the provisions of the Letters Patent.
A similar view was taken in Lea Badin’s case (supra)
where the following observations regarding the applicability
of order 43 Rule I in respect of an order passed by a Trial
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Judge were made:-
"As an order refusing an application for the
appointment of a receiver based on provision in the
indenture of hypothecation, that on a breach of any one
of the covenants contained therein the plaintiff’s
assignor would be entitled to have a receiver
appointed, the order has determined a right which is
one of the matters in the controversy itself, and so it
satisfies the definition of Couch, C.J., as well. The
order appealed from in this case is, in our opinion, a
judgment’ within the meaning of Cl. IS, Letters Patent.
We may add that there are decisions of this Court in
which orders discharging or refusing to discharge a
receiver appointed in a suit, after the suit had come
to an end or had become infectious, have been held to
be ’ judgments’ and so appealable...But there is
another and a far simpler ground on which it must be
held that an appeal is competent. The order in the
present case is one for which a right of appeal is
provided in cl. (s), R. 1,
222
O. 43 of the Code. Under the present Code (Act S of
1908) it cannot be contended that the Code and the
Rules made under it do not apply to an appeal from a
learned Judge of the High Court, such a contention was
elaborately dealt with and repelled in the case of
Malhura Sundari Dassi v. Haran Chandra Shaha & Ors.
(AIR 1916 Ca. 361)".
(Emphasis ours)
In Toolsee Money Dassee & Ors. v. Sudevi Dassee & ors.
(supra) Maclean, C.J. while relying on the decision of the
Judicial Committee in Hurrish Chunder Chowdry’s case made
the following pithy observations:
"To my mind the first of these points has been
authoritatively decided against the view of the present
respondents by the Judicial Committee of the Privy
Council in the case of Hurrish Chunder Chowdhry v. Kali
Sunderi Debi (10 I. A. 4). I need not travel into the
facts of that case, but there their Lordships said at
page 494 of the report in the Indian Law Reports: "It
only remains to observe that their Lordships do not
think that section 588 of Act X of 1877, which has the
effect of restricting certain appeals, applies to such
a case as this where the appeal is from one of the
Judges of the Court to the Full Court." It is clear
from the report that the point was elaborately argued,
and the clear expression of their Lordships’ opinion
must be read in connection with that argument."
and Prinsep, J. who agreed with the Chief Justice, made the
following identical observations:-
"We have it, therefore, that if beyond clause 15
of the Letters Patent, 1865, section 588 of the Code of
Civil Procedure gives the right of appeal against any
order of the description specified therein, there is no
Court of Appeal constituted to hear it, if such order
not being a judgment had been made by the Judge on the
original Side of the High Court.
... ... ...
I understand this to mean that section 588 does
not affect any matter coming within clause 15 of the
Letters
223
Patent, and if I may venture to say so, the reasons
which led to the expression of that opinion and which
have not been given in the judgment reported may be
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those stated by me for arriving at the same conclusion.
I have no doubt that we are bound to follow to the
fullest extent the opinion expressed by their Lordships
of the Privy Council that section 588 of the Code does
not apply to the case now before us, and that this
matter has thus become settled law".
And Ammer Ali, J. while dissenting from the applicability of
s. 588 held that the order appealable under s. 588 was a
judgment within the meaning of the Letters Patent. Two
decisions of the Rangoon High Court also have consistently
taken the view that the provisions of s. 104 read with order
43 Rule I apply to the Trial Judge. In P. Abdul Gaffor v.
The Official Assignee (1) the following observations were
made:
For an order made in exercise of the ordinary
original civil jurisdiction to be appealable, it must
come either under order XLIII, Rule 1 or be a judgment
within the meaning of Section 13 of the Letters Patent,
so that for the purpose of this application the
appellant must establish that it is a judgment within
the meaning of section 13".
(Emphasis ours)
The question of the applicability of order 43 Rule I to
an appeal from the Trial Judge under the Letters Patent was
raised and decided by the Jammu & Kashmir High Court in
Abdul Samad & Ors. v. The State of J & K (2) a decision to
which one of us (Fazal Ali, C.J. as he then was) was a
party. After an exhaustive review of various decisions on
the subject, the High Court observed as follows:- G
The legal position that emerges, therefore, is
that orders of the character specified in Section 104
and order 43, Rule I, Civil P.C. excepting clause (JJ)
thereof, would
224
be construed as judgments and an appeal against any one
of such orders would lie to the.. Division Bench of the
High Court notwithstanding the fact that it is passed
by one of the judges of the High Court sitting on the
original side".
It may be mentioned that like the Presidency High
Courts, the High Court of Jammu & Kashmir had also been
invested with ordinary civil original jurisdiction.
The question of the applicability of order 43 Rule 1 to
an appeal against an order of a Trial Judge to the Division
Bench was directly in point and fully considered by a
Division Bench of the Calcutta High Court and a Full Bench
of the Rangoon High Court. In Kumar Gangadhar Bagla v. Kanti
Chunder Mukerjee & Anr. while dwelling on this aspect of the
matter it was observed as follows:
"Mr. Bose did not seek to argue, that the formal
order of the 7th of June, 1935, was one of the
appealable orders provided for in the Code of Civil
Procedure. On the contrary, he went so far as to aver-
with considerable vehemence - that neither sec. 104 nor
order XLIII, r. l of the Civil Procedure Code has any
application to the High Court. I would point out that
it is clear from sec. 117 of Code of Civil Procedure
and still clearer from Or. XLIX, r. 3, C.P.C., that
both sec. 104 and Or. XLIII, r. 1, do apply to the High
Court".
(Emphasis ours)
It is manifest from the observations made above that in
view of the clear and explicit provisions of s. 117 and
order 49 Rule 3 which while exempting other provisions from
the jurisdiction of the High Court did not exempt the
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various clauses of order 43 Rule 1. An identical view seems
to have been taken by Sir Page, C.J. in a Full Bench
decision of the Rangoon High Court in In re: Dayabhai
Jiwandas & Ors. (supra) where the Chief Justice pithily
observed as follows :-
"In many statutes in India, of course, a Right of
appeal from an order passed pursuant to the statute is
expressly provided, and in such cases an appeal will
lie on the terms and conditions therein prescribed. I
will not pause to enumerate or discuss these
enactments, although
225
many such statutes were cited at the Bar. But, except A
where otherwise a right of appeal adhoc is given under
some statute or enactment having the force of a
statute, the right of appeal from orders that do not
amount to "judgment" is regulated by the provisions of
the Code of Civil Procedure; (see section 104 and order
43, Rule 1)".
Thus, there appears to be a general consensus of
judicial opinions on the question of the applicability of
order 43 Rule 1 to Letters Patent appeals.
This now brings us to the second limb of the argument
of Mr. Sorabjee that even assuming that order 43 Rule I does
not apply to the High Court so far as the Trial Judge of the
said court is concerned, there can be no doubt that the
orders indicated in various clauses of order 43 Rule 1
possess the attributes and incidents of a final order which
conclusively decides a particular issue so far as the Trial
Court is concerned. Thus, there can be no difficulty, even
without applying order 43 Rule 1 to hold by a process of
analogical reasoning that the appeals and orders mentioned
in the various sub-clauses would amount to a judgment within
the meaning of cl. 15 of the Letters Patent because they
contain the traits, trappings and qualities and
characteristics of a final order. In other words, the
argument advanced was that we could still apply the
provisions of order 43 Rule 1 by the process of analogy. We
fully agree with this argument because it is manifest that
the word ’judgment’ has hot been defined in the Letters
Patent but whatever tests may be applied, the order passed
by the Trial Judge appealed against must have the traits and
trappings of finality and there can be no doubt that the
appealable orders indicated in various clauses of order 43
Rule I are matters of moment deciding valuable rights of the
parties and in the nature of final orders so as to fall
‘within the definition of ’judgment’.
This Court in Radhey Shyam v. Shyam Behari Singh (1)
clearly held that an application under order 21 rule 90 to
set aside the auction-sale is a judgment as the proceeding
raises a controversy between the parties regarding their
valuable rights. In this connection, this Court observed
thus :-
"In our view an order in a proceeding under o.
XXI, r. 90 is a "judgment" inasmuch as a proceeding
raises
226
a controversy between the parties therein affecting their
valuable rights and the order allowing the application
certainly deprives the purchaser of rights accrued to him as
a result of the auction-sale".
On a parity of reasoning, an order refusing to appoint
a receiver or grant an injunction and similar orders
mentioned in various clauses of order 43, Rule 1 fall within
the tests laid down by this Court in the aforesaid case.
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We are aware that there are some decisions which have
taken a contrary view by holding that s. 104 read with order
43 Rule I does not apply to a Trial Judge under the Letters
Patent. These decisions do not appear to have considered the
various shades and aspects and the setting of the provisions
of ss. 104 and 117 and order 49 Rule 3 but seem to have
proceeded on the basis that the Letters Patent being a
special law or a special jurisdiction, the same over-rides
s. 104 which in terms does not apply where a special law
makes certain special provisions.
We now proceed to discuss these cases briefly. In Pandy
Walad Dagadu Mahar & Anr. v. Jammadas Chotumal Marwadi (1)
the identical point which is at issue in the instant appeal
was not involved and the finding given by the High Court was
merely incidental. The Division Bench seems to have relied
on a judgment of Sir Basil Scott and Hayward, JJ. where the
question was only incidentally dealt with. Martin, J. In
Pandy’s case observed thus :-
"Shortly stated, therefore, this Full Bench
decision amounts to this,. that appeals under the
Letters Patent are governed by the Letters Patent, and
appeals under Code are governed by the Code. Further,
the Code only deals with appeals from certain Courts
and it does not deal with appeals within the High Court
from the decision of one Judge of the Court to another.
That is in my opinion, the true view of the
relative position of the Letters Patent and the Code".
With due respect, a close analysis of this decision
would reveal that the Judges followed a fallacious process
of reasoning, According to their opinion, the appeals under
the Code of Civil
227
Procedure and those under the Letters Patent were, so to say
two separate compartments having different spheres of their
own. With due deference, we might point out that such a view
is based on a total misinterpretation and misconstruction of
the true nature and object of the Code of Civil Procedure
and the Letters Patent. In fact, as we have pointed out
earlier, there is no inconsistency, whatsoever between the
Letters Patent and s. 104 read with order 43 Rule l; The
first premise of the Court that internal appeals in the High
Court were governed by the Letters Patent alone and not by
the Code appears to be legally fallacious. We have already
pointed out that a large number of decisions, including the
Privy Council, have clearly taken the view that although the
Letters Patent is a special law certain provisions of the
Code of Civil Procedure in the matter of procedure do apply
to appeals against the decision of a Trial Judge to a larger
Bench or to quote the Bombay Judges to ’internal appeals’.
Secondly, the Court completely overlooked the legal effect
of s. 117 and order 49 Rule 3 which completely demolishes
the presumptuous process of logic adopted by the court.
Thirdly, the Court appears to have overlooked that far from
excluding the Code there could be other special Acts which
could and did confer additional jurisdiction even in
internal appeals to the High Court, viz., from an order
passed by a Trial Judge to a larger Bench, for instance, s.
39 of the Arbitration Act or s. 202 of the Indian Companies
Act and other similar local or special Acts. If these
special Acts could without affecting the jurisdiction of the
Letters Patent or overriding the same provided a
supplementary or additional jurisdiction, there was no
reason why the Code of Civil Procedure also could not do the
same particularly when the Trial Judge had to adopt the
procedure contained in the Code, starting from the
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presentation of the plaint to the delivery of judgment.
Fourthly, the Division Bench does not seem to have
considered the fact that what the Letters Patent did was
merely to confer original civil jurisdiction on the High
Court to be exercised by a Single Judge, who would
undoubtedly be a Trial Judge, but of an elevated status so
that only such suits could be filed in the Court of the said
Judge as are of a very high valuation which may differ from
High Court to High Court. This was done in order that in
heavy suits involving substantial questions of fact and law,
the hearing of the suit by a senior Court of the status of a
High Court Judge would repose, endeanr and generate greater
confidence in the people. Thus if, interlocutory orders
passed by District courts in the mofussil could be
appealable to the High Court, there was no reason why inter
228
locutory orders passed by a Trial Judge could not be
appealable to a larger Bench irrespective of the question
whether or not they were judgments within the meaning of cl.
15 of the Letters Patent. This appears to us to be the
cardinal philosophy of the Code in applying the provisions
of order 43 Rule I, to the original suit tried by the Single
Judge (Trial Judge).
Furthermore, the concept of internal appeals in the
High Court seems to be a legal fiction without any factual
existence imported by some of the High Courts in order to
get rid of some of the provisions of the Code of Civil
Procedure which is totally opposed not only to the aim and
object of the Code but also to the very spirit of the
Letters Patent. In a later judgment of the Bombay High Court
in Vaman Ravji Kulkarni v. Nagesh Vishnu Joshi & Ors.,(1)
the following observations were made:-
"I am, with respect, of opinion that the view
taken by the full Bench of the Madras and Calcutta High
Courts in the cases referred to above is correct, and
that the question must be regarded as having been
finally settled by the decision of the Privy Council in
10 I. A. 4. (Hurrish Chunder Chowdry v. Kali Sundari
Debi) S. 104. Civil P.C., which refers only to appeals
to the High Court from Courts subordinate to it, cannot
apply to appeals filed under Cl. 15 of the Letters
Patent from a single Judge OF the High Court to a
bench. (Wadia, J.)
... ... ... ...
There can be no doubt that the provisions of the
Letters Patent have conferred special powers regarding
appeals within the High Court. Those powers are not
specifically taken away by s. 104, Civil P.C. and are
not, therefore, affected by it . ..Special enactments
are not repealed by later general Acts unless there be
some express reference to the previous legislation or a
necessary inconsistency in the two Acts standing
together, which prevents the maxim from being applied.
Sub-section (2) of s. 104, Civil P.C., does not refer
to the Letters Patent and say that in spite of Cl. 15
of the Letters Patent no appeal lies from any order
passed in an appeal under Sub-s. (1). Sub-s. (2) is in
no way
229
inconsistent with cl. 15 of the Letters Patent and the
two can stand together, the former applying to appeals
under the Code, and the latter to special appeals
within the High Court...I am satisfied that s. 104,
Civil P.C . does not control cl. 15 of the Letters
Patent, and in spite of the absence of a saving clause
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in sub-s. (2) of s. 104 does not affect or cut down the
right of appeal conferred by the Letters Patent."
(Lokur, J.)
As regards the first part of the observations of Wadia,
J, we are constrained to observe that the learned Judge has
not correctly construed the true ratio of the decision of
the Privy Council in Hurrish Chunder Chowdry’s case (supra)
where, as indicated, the Privy Council has in express terms
held that s. 588 (which now corresponds to order 43 Rule 1)
clearly applies to appeals against orders of a Trial Judge
to a larger Bench of the High Court. Similarly, the
observations made by Lokur, J. run against the plain
interpretation of s. 104 by assuming that there is a
conflict between s. 104 read with order 43 Rule I and the
Letters Patent when in fact, as pointed out, there is no
such conflict at all-all that s. 104 does is to give an
additional jurisdiction apart from the Letters Patent which
is in no way unconstitutional with the Letters Patent. We
may like to observe here that there is no non-obstante
clause in the provisions of the Letters Patent to indicate
that the provisions of the Code of Civil Procedure,
particularly s. 104 would not apply either expressly or by
necessary intendment. In this view of the matter, therefore,
we are clearly of the opinion that the Bombay decisions are
wrongly decided and must, therefore, be overruled.
In Vishnu Pratap and Ors. v. Smt. Revati Devi and
Ors.(l) the Court held that no appeal against an order
passed by a Trial Judge under s. 202 of the Companies Act
would lie to a Division Bench in view of the Letters Patent.
This argument was negatived and overruled in Shankarlal
Aggarwal’s case (supra) as already discussed above. As
regards the applicability of order 43, the following
observations were made in Vishnu Pratap’s case:
"It is true that orders 40 & 43 both apply to the
High Court but the question here is whether o. 43 makes
provision for an appeal from one court to another or it
is intended to cover cases of an appeal from one Judge
to a bench of
230
the same Court.. While s. 96 deals with original
decree, s. 104 Civil P.C. deals with orders, not being
decrees, and the orders that are appealable are set out
under o. 43, C.P.C. The question of an appeal from one
Court to another Court is no doubt governed by the
provisions of the Code of Civil Procedure but the
provision for appeal from one Judge of a Court to a
bench of the same Court is not provided for by the Code
and must be governed by the Letters Patent.
If s. 104 read with O. 43 makes all these orders
appealable then what would be the Court to which
appeals would lie from an order passed by a Division
Bench and not by a single Judge. We are not satisfied
that s. 104 or O. 43 ever intended to deal with appeals
from a Judge or Judges of one Court to a larger number
of Judges in the same Court. It is no doubt true, as
has been held by their Lordships of the Judicial
Committee. in-’Mt. Sabitri Thakurain v. Savi’ (AIR 1921
PC 80) that s. 104 as well as o. 43 apply to High
Courts but it does not mean that they give any right to
an appeal from an order by a Judge or Judges of that
Court to a larger number of Judges of the same Court
independently of the Letters Patent of the Court. As we
have said if o. 43 or s. 104, Civil P.C., were made
applicable per se, without reference to the Letters
Patent, then even an order passed by a bench would come
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under those provisions, but before an appeal can be
filed there will have to be a Court constituted for
hearing an appeal and the only provision for hearing an
appeal, from the judgment of a single Judge, by a bench
of two or more Judges of the same Court is contained in
the Letters Patent of the Chartered High Courts. An
order, to come under the Letters Patent must be a
judgment, and, if an order is not a judgment, then cl.
10 of the Letters Patent would not apply and there is
no provision for constituting a bench of more than one
Judge to hear such an appeal. We, therefore, fail to
understand how O. 43 R. 1, or s. 104, Civil P.C.
without any reference to cl. 10 of the Letters Patent,
can help the appellants.’
In this case also, the line of reasoning adopted by the
court is the same as that of the Bombay High Court referred
to above.
231
One of the reasons given is that while order 43 makes
provision for A appeal from one court to another, it is not
intended to apply to an appeal from one Judge of the High
Court to a bench of the same Court. No reasons have been
given by the Judges for holding why this is not so
particularly in the face of the clear provisions of s. 117
and order 49 Rule 3, as discussed above. Thus, the first
part of R the reasoning of the High Court is totally
irrelevant and wholly unintelligible. The point at issue is
if s. 104 read with order 43, Rule I applies to an order
passed by District Courts in the mofussil, why could it not
apply to the one passed by the Trial Judge when the Letters
Patent does not in any way bar such an appeal.
Another ground taken by the Court is that if order 43
Rule I is made applicable to the High Court then a strange
anomaly will arise in that where an appeal lies to the
Division Bench, how could a further appeal lie to some other
bench of the court. This argument also is based on a
misconception of order 43 Rule 1. It is manifest that if
order 43 Rule I were to apply to orders passed by the Trial
Judge, the order would be one passed by only one Judge of
the High Court and, therefore, in the context of the
original jurisdiction exercised by a Single Judge of the
High Court, the appellate jurisdiction would lie with the
Division Bench as contemplated by the Letters Patent and the
Rules framed by the High Court. We are unable to see any
anomaly or inconsistency in this position. Thirdly, the
court seems to have relied on a decision of the Privy
Council in Mt. Sabitri Thakurain v. Savi (AIR 1921 PC 80)
and has interpreted the ratio of this case to mean that s.
104 would not apply to High Courts which is exactly what the
Privy Council does not say. With due respect, therefore, the
learned Judges have not correctly appreciated the decision
of the Privy Council which has nowhere indicated that order
43 Rule I would not apply to internal appeals in the High
Court. On the other hand their Lordships of the Privy
Council had held to the contrary as discussed above. For
these reasons, therefore, we are of the opinion that this
case has also not been correctly decided and we disapprove
the reasons given and the decision taken in this case.
We might also notice a full Bench decision of the
Nagpur High Court in Madhukar Trimbaklal v. Shri Sati
Godawari Upasani Maharaj
232
of Sakori & Ors. (1) where Niyogi, J. Observed as follows :-
"Clause 10, Letters Patent defines the appellate
jurisdiction of the High Court vis-a-vis the judgment
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passed by a single Judge of that Court. It should be
observed that the Civil Procedure Code does not make
any provision in this behalf. The right of appeal from
a decree of a single Judge to the High Court is not
governed by s. 96 or s. 100 or s. 104, Civil P.C., but
by cl. 10, Letters Patent.. This right of appeal
depends on the special provision made in the Charter.
S. 4, Civil P.C., provides that the Code does not
affect any special jurisdiction or power conferred, or
any special form of procedure prescribed by or under
any other law for the time being in force. Since the
special jurisdiction or power is conferred on the High
Court by cl. 10, Letters Patent the provisions in the
Civil Procedure Code regarding appeals cannot come into
operation in regard to an appeal from a single Judge of
the High Court to the High Court".
With due respect, we are unable to agree with the
opinion expressed by Niyogi, J. who has made a bald
statement that the Code of Civil Procedure does not make any
provision in regard to an appeal from an order passed by a
Trial Judge to a Division Bench and that the right of appeal
from a decree of a Civil Judge to a High Court is not
governed by s. 100 or s. 104 but by cl. 10 of the Letters
Patent of the Nagpur High Court. Here again, the learned
Judge seems to have committed an error apparent on the face
of the record. An examination of the language of sections 96
to 100 would clearly show that the scope of these sections
is quite different from that of s. 104. Sections 96 to 100
expressly deal with the forum of appeal provided by the Code
against decrees or orders amounting to decrees passed by the
District Court in the mofussil. Section 104 is couched in
very general terms and cannot be limited to appeals against
orders passed by the courts contemplated in sections 96 to
100. Moreover, s. 104 does not deal with appeal against a
decree at all but provides a forum for appeal against orders
under order 43 Rule I which are mainly orders of a final or
quasi-final nature passed during the pendency of a suit.
Section 104, therefore, has a much wider application, as
discussed above, and neither overrides the Letters Patent
nor is it inconsistent with the same. For these reasons,
therefore, we are unable to accept the line of reasoning
adopted by the aforesaid High Court in holding
233
that s. 104 does not apply to internal appeals in the High
Court and A we accordingly overrule this decision.
A some what identical view was taken by a later
decision of the Nagpur High Court in Ratanlal Jankidas
Agarwal v. Gajadhar & Ors. (l) Where the following
observations were made -
"Firstly, O. 43 has not been made applicable to
appeals from appellate decrees by o. 43, R. 1, though
the rules of o. 41 have been made applicable to them.
So s. 104 bars an appeal from the order. Moreover, the
Civil Procedure Code makes no provision for an appeal
within the High Court, that is to say, from a single
Judge of the High Court.. Power is given to a Division
Bench of the High Court to hear appeals from decisions
of a single ’’ Judge of the High Court only under cl.
10 of the Letters Patent".
For the reasons which we have already given above, we
hold that the learned Judges have fallen into the same error
which was committed by the earlier Nagpur case. The first
reasoning given by Mangalmurti, J. that order 43 is not
applicable to appeals from appellate decrees is wholly
irrelevant because the question is whether under order 43
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Rule 1, an appeal could lie from a Trial Judge to a Division
Bench of the High Court. Secondly, the learned Judge says
that s. 104 bars a second appeal from the order and that the
Code of Civil Procedure makes no provision for appeal within
the High Court. Here again, the learned Judge is wrong
because we have already pointed out that as far back as
Hurrish Chunder Chowdry’s case (supra) it was clearly held
by the Judicial Committee that s. 588 was applicable even to
internal appeals in the High Court. On a parity of
reasoning, therefore, on the basis of which we have
overruled the decisions of the other High Courts, taking a
similar view we find ourselves unable to agree with the view
taken by Mangalmurti and Bose, JJ. in the aforesaid case and
hold that this case is not correctly decided.
A later decision of the Allahabad High Court also seems
to have taken the same view. In Standard Glass Beads Factory
& Anr. v. Shri Dhar & Ors. (2) the following observations
were made :-
"Such an order if made by a subordinate court is
appealable under or. 43 R. 1, C.P.C.; it is, as we have
seen an order from which in England an appeal lies,
without
234
leave, to the Court of Appeal. If the narrower view of
the meaning of the word ’judgment’ be correct such an
order when made by a Judge of a High Court in India
exercising original jurisdiction would not be
appealable".
Here also with due deference to the Judges constituting
the Full Bench, we are of opinion that they committed an
error in drawing inspiration from the procedure prevailing
in England in the court of appeal. In the first place the
hierarchy of the Courts in India under the Civil Procedure
Code is essentially different from that in the United
Kingdom. Secondly, there is no provision existing in the
English law corresponding to Order 43 Rule 1 of an appeal
from a Trial Judge to a Division Bench under various
circumstances. Lastly, this case does not seem to have
considered a large number of decisions referred to by us,
clearly holding that s. 104 read with order 43 Rule I
applies to appeals under the Letters Patent in the High
Court. For these reasons, therefore, we hold that this case
also was not correctly decided and must be overruled.
Another case taking a contrary view is again a case of
the Bombay High Court which also makes a rather interesting
reading. In J.K Chemicals Ltd. v. Kreba and Co. (1) Desai,
J. speaking for the court observed on this part of the case
thus:
"The reply to the said argument is that the
provisions of s. 104 and O. 43, R. I provide for an
appeal only from the subordinate Court to the higher
Court and not from one part of the Court to the other.
It has been held that the provisions relating to
appeals contained in the Civil Procedure Code deal with
appeals from subordinate Courts to higher Courts and do
not deal with appeals from the decisions and decrees of
the High Court in the exercise of its ordinary or
extra-ordinary civil jurisdiction except so far as the
appeal to the Supreme Court is concerned. The subject
of an appeal from the decision of a single Judge of the
High Court to a Division Bench of the same High Court
is dealt with only under the Letters Patent and such
right is not governed by the provisions of the Civil
Procedure Code relating to appeals. This view has been
taken consistently by the High Courts in India and also
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by the Privy Council (see Hurrish Chunder v. Kali
Sunderi Debi-(1883) ILR 9 Cal. 482 at p. 494)".
235
The first part of the observations follows the
reasonings of the A two decisions of the Bombay High Court,
discussed above, and are therefore open to the same
criticism which we have levelled against the previous
decisions. Secondly, the court seems to think that all the
High Courts in India have consistently taken the view that
order 43 Rule 1 does not apply to internal appeals in the
High Courts. This is doubtless factually incorrect because
we have referred to a large number of decisions which have
taken a contrary view. The High Court was, therefore, not
quite correct in observing that the High Courts in India had
taken a consistent view in regard to this matter. Thirdly,
the High Court seems to have relied heavily on the decision
of the Privy Council in Hurrish Chunder Chowdry’s case
(supra) and on Chappan’s case (supra) in holding that order
43 did not apply to internal appeals in the High Courts
which were governed by the Letters Patent alone. Here also,
with due respect, the High Court has gravely erred. We have
pointed out while dealing with Hurrish Chunder Chowdry’s
case (supra) that the Privy Council had clearly laid down
that s. 588 applied to the High Court and this position has
been understood in this very sense by several judgments
discussed above. The High Court, therefore, has not
correctly appreciated the real ratio of the Privy Council
case, referred to above.
As regards Chappan’s case (supra), the conclusion of
the High Court is not borne out by the ratio of the Full
Bench in the said case. It would appear that the Full Bench
in the aforesaid case was concerned with two questions:
(1) Whether in view of s. 622 of the old Code (which
corresponds to s. 115 of the Code of 1908) an
order passed by a trial Judge could be revised by
a larger Bench, and
(2) Whether the right of appeal given by cl. 15 of the
Letters Patent against an order passed by a trial
Judge was controlled and limited by ss. 588 and
591 of the Code of 1877 (which now corresponds to
order 43 Rule 1).
In the instant case we are not concerned with the
revisional power but only with what old section 588 was. Far
from deciding that s. 588 was not controlled by the Letters
Patent, the learned Judge decided to the contrary. To begin
with, Benson, J. formulated
236
the questions referred to the Full Bench thus :-
(1) Whether the jurisdiction exercised by the High
Court under section 622, Civil Procedure Code, is
included in the expression "appellate
jurisdiction" as used in section 13 of the High
Court Act (24 and 25 Vict. Chap. 104 and in
section 36 of the Letters Patent of 1866, and
(2) Whether the right of appeal given by section 15 of
the Letters Patent against an order passed by a
single Judge of the High Court is controlled and
limited by sections 588 and 591, Civil Procedure
Code?
I am of opinion that both of these questions must be
answered in the affirmative".
and Shephard, Acting C.J. Observed as follows:
"Accordingly I think it must be assumed that the
judgment of a single Judge acting under section 622 of
the Code is open to appeal, unless the right of appeal
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has been taken away by section 588 of that Code. On
that question I entirely agree with Mr. Justice
Subramania Ayyar. The question is, in my opinion,
concluded by authority which it is beyond our province
to criticise".
and Boddam, J. expressed the following opinion :-
"The result of this judgment (so far as it applies
to the question before us) appears to me to come to
this, that if the order made by a single Judge only
amounts to an order such as is intended by chapter
XLIII of the Code, it is not appealable unless it is
within section 588".
and Moore, J. Observed as follows :-
"It is clear, however, that this could not have
been done, for the provisions of sections 588 and 591
do, in certain cases, most certainly apply to the High
Court. For example, section 588, clause 1, provides
that if a District Munsif passes an order under section
20 of the Code, an appeal lies to the District Judge,
but that there is no second appeal to the High Court,
while if a District Judge passes
237
such an order an appeal can be preferred to the High
Court. Whatever view be taken of section IS of the
Letters Patent it would have been impossible to include
section 588 among those sections that do not apply to
the High Court".
Thus, the ratio decidendi of the decision clearly goes
to indicate that the Full Bench of the Madras High Court had
held in no uncertain terms that s. 588 applied to the High
Court and orders mentioned therein passed by a Trial Judge
would be appealable to a larger Bench. This, therefore,
knocks the bottom out of the decision of the Bombay High
Court when Chappan’s case (supra) in no way supported the
view taken by them. For the reasons given above, we hold
that J.K Chemicals’s case (supra) was also wrongly decided
and can no longer be treated as good law.
It is rather unfortunate that despite clear, explicit,
pointed and pragmatic observations of the Privy Council in
Hurrish Chunder Chowdry’s case (supra) and further
clarification by the legislature by introducing s. 104 of
the Code of 1908, some of the High Courts n seem to have
stuck to the antiquated view that the provisions of order 43
Rule I do not apply to internal appeals within the High
Courts.
Thus after considering the arguments of counsel for the
parties on the first two limbs of the questions, our
conclusions are :-
(1) That there is no inconsistency between s. 104 read
with order 43 Rule I and the appeals under the
Letters Patent and there is nothing to show that
the Letters Patent in any way excludes or
overrides the application of s. 104 read with
order 43 Rule I or to show that these provisions
would not apply to internal appeals within the
High Court.
(2) That even if it be assumed that order 43 Rule I
does not apply to Letters Patent appeals, the
principles governing these provisions would apply
by process of analogy.
(3) That having regard to the nature of the orders
contemplated in the various clauses of order 43
Rule 1, there can be no doubt that these orders
purport to decide valuable rights of the parties
in ancillary proceedings even though the suit is
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kept alive and
238
that these orders do possess the attributes or
character of finality so as to be judgments within
the meaning of cl. 15 of the Letters Patent and
hence. appealable to a larger Bench.
(4) The concept of the Letters Patent governing only
the internal appeals in the High Courts and the
Code of Civil Procedure having no application to
such appeals is based on a serious misconception
of the legal position.
This now brings us to the second important point which
is involved in this appeal. Despite our finding that s. 104
read with order 43 Rule I applies to Letters Patent appeals
and all orders passed by a Trial Judge under clauses (a) to
(w) would be appealable to the Division Bench, there would
still be a large number of orders passed by a Trial Judge
which may not be covered by order 43 Rule l. The next
question that arises is under what circumstances orders
passed by a Trial Judge not covered by order 43 Rule 1 would
be appealable to a Division Bench. In such cases, the
import, definition and the meaning of the word ’judgment’
appearing in cl. 15 assumes a real significance and a new
complexion because the term ’judgment’ appearing in the
Letters Patent does not exclude orders not falling under the
various clauses of order 43 Rule 1. Thus the serious
question to be decided in this case and which is indeed a
highly vexed and controversial one is as to what is the real
concept and purport of the word ’judgment’ used in cl. IS of
the Letters Patent. The meaning of the word ’judgment’ has
been the subject matter of conflicting decisions of the
various High Courts raging for almost a century and in spite
of such length of time, unfortunately, no unanimity has so
far been reached. As held by us earlier it is high time that
we should now settle this controversy once for all as far as
possible.
We now proceed to deal with the main controversy as to
what is the true scope, meaning and purport of the word
’judgment’ used in cl. 15 of the Letters Patent. Numerous
authorities on both sides were cited before us in the course
of the very able arguments advanced by counsels for the
parties and it appears that there are three leading
judgments which have spelt out certain tests to determine as
to when an order passed by a Trial Judge can be said to be a
’judgment’ within the meaning of. cl IS of the Letters
Patent. A very narrow view on this point was taken by a
Division Bench
239
Of the Calcutta High Court in the case of The Justice of the
Peace for Calcutta (supra) where Sir Couch, C.J. On an
interpretation of cl. 15 of the Letters Patent observed
thus:
"We think that "judgment" in clause 15 means a
decision which affects the merits of the question
between the parties by determining some right or
liability. It may be either final, or preliminary, or
interlocutory, the difference between them being that a
final judgment determines the whole cause or suit, and
a preliminary or interlocutory judgment determines only
a part of it, leaving other matters to be determined."
An analysis of the observations of the Chief Justice
would reveal that the following tests were laid down by him
in order to decide whether or not an order passed by the
Trial Judge would be a judgment:
(1) a decision which affects the merits of the
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question between the parties;
(2) by determining some right or liability;
(3) the order determining the right or liability may
be final, preliminary or interlocutory, but the
determination must be final or one which decides
even a part of the controversy finally leaving
other matters to be decided later.
Thus, examining the tests laid down by Sir Richard
Couch, C.J,, it seems to us that the view taken by the
learned Chief Justice appears to place a very strict and
narrow interpretation on the word ’judgment’ under which
orders deciding matters of moment or valuable right of the
parties without finally deciding the suit may not amount to
a judgment and hence, not appealable. In giving this
interpretation the learned Chief Justice was guided by two
considerations: (I) that a liberal interpretation may allow
vexed litigants to carry any discretionary order of the
Trial Court in appeal, and (2) that it would confer more
extensive right to appeal against the Judge sitting on the
original side than the right of appeal given to a Trial
Judge sitting in the mofussil. We are doubtless impressed
with the argument of the Chief Justice and fully appreciate
the force of the reasons given by him but we feel that
despite those considerations the law must be interpreted as
it stands and a court is not
240
justified in interpreting a legal term which amounts to a
complete distortion of the word ’judgment’ so as to deny
appeals even against unjust orders to litigants having
genuine grievances so as to make them scapegoats in the garb
of protecting vexatious appeals. In such cases, a just
balance must he struck so as to advance the object of the
statute and give the desired relief to the litigants, if
possible. Although it is true that this decision is
practically the locus classicus so far as the Calcutta High
court is concerned and has been consistently followed by
later decisions at the same time it cannot be denied that in
a number of cases the conscience of the Judges was so
shocked that they tried to whittle down or soften the
rigours of this decision so much so that in one case the
observations of the Chief Justice were not only not followed
but were described as antiquated and in other cases the
Judges strongly expressed them selves that the High court
should give up its fondness to stick to the principles laid
down by the learned Chief Justice. It is not necessary for
us to burden this judgment with later decisions of the
Calcutta High court in trying to comment on the correctness
of the principles laid down by sir Couch, c J. but a few
instances may be quite revealing.
In Chandi Charan Saha v. Jnanendra Nath Bhattacharjee
and Ors.,(l) Sir Asutosh Mookerjee in his leading judgment
modified the strict rule of interpretation of ’judgment’
laid down by sir Couch, C.J. and pointed out that the words
’merits of the question between the parties by determining a
right of liability’ were not to be confined or restricted to
the controversy in a suit itself but could take within its
fold any right involved in any application which puts an end
to the suit or the proceeding. sir Mookerjee, J. has widened
the scope of the observations of sir Couch, c.J and adopted
some of the observations of Sir White, C.J. in Tuljaram
Row’s case (supra) and in this connection observed thus:-
"It is plain that the expression ’some right or
liability is not restricted to the right in controversy
in the suit itself on the other hand, if we adopt the
wider definition formulated by White C.J. in the case
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of Tuljaram Row v. Alagappa Chettiar (ILR 35 Mad. 1),
the decision is unquestionably a judgment within the
meaning of the Letters Patent. The test is, not what
the form of the adjudication is, but what is its effect
in the suit or proceeding in which
241
it is made. If its effect, whatever its form may be and
whatever may be the nature of the application on which
it is made, is to put an end to the suit or proceeding
so far as the Court before which the suit or proceeding
is pending is concerned, or if its effect, if it is not
complied with, is to put an end to the suit or
proceeding, the adjudication is a judgment: Mathura v.
Haran (1915 ILR 43 Cal. 857)."
In Lea Badin’s case (supra), the following observations
were made:
"To remove the incongruity which appears in the
decision of this Court and to lay down some definite
rule by which orders might be tested when it has to be
determined whether or not they are ’judgments’ within
the meaning of the clause, this Court will some day
have to abandon its fond adherence to the antiquated
definition of Couch, C.J., and boldly acknowledge its
allegiance to the tests laid down by White, C.J."
(Emphasis supplied)
After making these observations the Court further
reiterated the position in the following words.
"In more decisions than one of this Court this
definition of ’Judgment’ given by Couch, C.J. has been
described as classical, and yet in a long course of
decisions this Court has repeatedly expressed the view
that the definition is absolutely exhaustive. Treating
this definition as not of an inflexible character and
yet not expressly purporting to extend it, the Court
has in numerous cases emphasised the necessity of
scrutinizing the nature of the decision in each
particular case in order to find out whether the
decision amounts to a ’judgment’ within the meaning of
the Clause.
In Shorab Merwanji Modi and Anr. v. Mansata Film
Distributors and Anr., the following observations were made:
"On a strict construction of the Calcutta test,
the Tight or liability must mean some right or
liability which is
242
a subject-matter of controversy in the suit or
proceeding but in its application to individual cases,
that strict construction has not been adhered to and
was indeed often departed from by Couch, J., himself
who was the author of the test. Orders concerning the
jurisdiction of the Court to entertain a suit, as
distinguished from matters of the actual dispute
between the parties, were held by him to come within
the category of judgments."
In Mooammed Felumeah v. S. Mondal & Ors. the Court
pithily observed as follows:
"Now, so far as this Court is concerned, there is
a considerable body of judicial opinion, which, while
holding that Sir Richard Couch’s above definition is
classical and of pre-eminent practical importance and
usefulness, has consistently refused to regard it as,
in any sense. exhaustive or inflexible. Indeed, in
essence and truth, it has been accepted merely as the
starting point on a broad open field, stretched in
front of it in all its vastness and immense magnitude,
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and Judges have always endeavoured to extend it and
expand the different aspects of the term and to give it
a wide and extended meaning, though, of course, within
certain limits."
The other leading case which puts even a narrower
interpretation and in our opinion, a clearly wrong one, on
the word ’judgment’ is the Full Bench decision of the
Rangoon High Court In Re Dayabhai Jiwandas’s case (supra)
where the following observations were made:
"I am of opinion that in the Letters Patent of the
High Courts the word judgment’ means and is a decree in
a suit by which the rights of the parties at issue in
the suit are determined."
With due respect to the learned Chief Justice and the
Judges who agreed with him, we are unable to accept the
interpretation of the word judgment’ given by the Chief
Justice which runs counter to the very spirit and object of
the word ’judgment’ appearing in cl. 15 of the Letters
Patent. The learned Chief Justice seems to
243
have fallen into the error of equating the word ’judgment’
with ’decree’ as used in the Code of Civil Procedure when,
as pointed out above, the words ’judgment’ and ’decree’ used
in the Code cannot form a safe basis to determine the
definition of the word ’judgment’ in the Letters Patent
particularly when the Letters has deliberately dropped the
word ’decree from judgment.’ We are, therefore, unable to
hold that the view taken by the Chief Justice, Sir Page, is
correct and accordingly overrule the same.
The next leading case which lays down the test of a
’judgment’ and which seems to have found favour with most of
the High Courts in India is the test laid down by Sir Arnold
White, C.J. in Tuljaram Row’s case (supra) where the learned
Chief Justice pointedly spelt out various tests and observed
thus:-
"The test seems to me to be not what is the form
of the adjudication but what is its effect in the suit
or proceeding in which it is made. If its effect,
whatever its form may be, and whatever may be the
nature of the application on which it is made, is to
put an end to the suit or proceeding so far as the
Court before which the suit or proceeding is pending is
concerned, or if its effect, if it is not complied
with, is to put an end to the suit or proceeding, I
think the adjudication is a judgment within the meaning
of the clause. An adjudication on an application which
is nothing more than a step towards obtaining a final
adjudication in the suit is not, in my opinion, a
judgment within the meaning of the Letters Patent."
I think, too, an order on an independent
proceeding which is ancillary to the suit (not
instituted as a step towards judgment, but with a view
to rendering the judgment effective if obtained) -
e.g., an order on an application for an interim
injunction, or for the appointment of a receiver is a
’judgment’ within the meaning of the clause."
Analysing the observations of the learned Chief Justice
it would appear that he has laid down the following tests in
order to assess the import and definition of the word
’judgment’ as used in cl. IS of the Letters Patent :-
(1) It is not the form of adjudication which is to be
seen but its actual effect on the suit or
proceeding;
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(2) If, irrespective of the form of the suit or
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proceeding, the order impugned puts an end to the
suit or proceeding it doubtless amounts to a
judgment;
(3) Similarly, the effect of the order, if not
complied with, is to terminate the proceedings,
the said order would amount to a judgment;
(4) Any order in an independent proceeding which is
ancillary to the suit (not being a step towards
judgment) but is designed to render the judgment
effective can also be termed as judgment within
the meaning of the Letters Patent.
So far as this test is concerned, the learned
Chief Justice had in mind orders passed by the
Trial Judge granting or refusing ad-interim
injunction or appointing or refusing to appoint a
receiver.
(5) An order may be a judgment even if it does not
affect the merits of the suit or proceedings or
does not determine any rights in question raised
in the suit or proceedings.
(6) An adjudication based on a refusal to exercise
discretion the effect of which is to dispose of
the suit, so far as that particular adjudication
is concerned, would certainly amount to a judgment
within the meaning of the Letters Patent.
Similarly, Krishnaswami Ayyar, J., who agreed with tile
Chief Justice in the above case, pointed out that even an
interlocutory judgment which determines some preliminary or
subordinate point or plea or settles some step without
adjudicating the ultimate right of the parties may amount to
a judgment. With due respect we think that if the
observations of Krishnaswamy Ayyar, J. are carried to its
logical limit every interlocutory order would have to be
held to be appealable.
So far as the tests laid down by White, C.J., and as
analysed by us, are concerned we are inclined to agree
generally with these tests though we feel that some of the
tests laid down are far too
245
wide and may not be quite correct. While the view taken by
Sir Richard Couch, C.J. in The Justice of the Peace for
Calcutta (supra) is much too strict, the one taken by Sir
White, C.J. is much too wide. The correct test seems to lie
somewhere in between the tests laid down by the aforesaid
jurists.
We might point out that the tests laid down by the
Calcutta High Court have been consistently followed by the
Bombay High Court and also by a large majority of the later
decisions of the Calcutta High Court in Lea Badin v. Upendra
Roy Chaudhury, Kumar Gangadhar v. Kanti Chunder Mukherjee,
Shorab Merwanji Modi v. Mansata Film Distributors, Mohammed
Felumeah v. S. Mondal.(supra) Some of the decisions have
sounded a discordant note and have gone to the extent of
characterising the view of Sir Couch, C.J, as being
antiquated and have strongly expressed the view that the
Calcutta High Court should give up its fondness for the
strict test laid down by Sir Couch in The Justice of the
Peace for Calcutta’s case. On the other hand, the tests laid
down by Sir White, C.J. in Tuljaram Row’s case have been
followed by the Lahore High Court in Ruldu Singh v. Sanwal
Singh and by some other High Courts in Standard Glass Beads
Factory Shri Dhar & Ors. and later decisions of the Madras
High Court as also by Andhra Pradesh High Court in Kuppa
Viswappathi v. Kuppa Venkata Krishua Sastry.
A Full Bench of the Allahabad High Court, however, in
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Mt. Shahzadi Begam v. Alak Nath dissented from the view
taken by the Madras High Court and held that the tests laid
down by that High Court in the aforesaid case were rather
too wide. In this connection, Sulaiman, C.J., speaking for
the Court observed as follows :-
"We would like to point out that the test laid
down by the learned Chief Justice of the Madras High
Court is put in too wide a language and cannot be
accepted as laying down the correct criterion".
Similarly, in a later Full Bench decision of the Nagpur
High Court in Manohar Damodar Bhoot v. Baliram Ganpat Bhoot,
Hidayatullah. J. (as he then was) who wrote the leading
judgment, very pithily described the essential requisites
and the exact meaning
246
of the word ’judgment’ as used in the Letters Patent and
observed thus:
"A judgment means a decision in an action whether
final, preliminary or interlocutory which decides
either wholly or partially, but conclusively in so far
as the Court is concerned, the controversy which is the
subject of the action. It does not include a decision
which is on a matter of procedure, nor one which is
ancillary to the action even though it may either
imperil the ultimate decision or tend to make it
effective. The decision need not be immediately
executable ’per se’ but if left untouched must result
inevitably without anything further, save the
determination of consequential details, in a decree or
decretal orders, that is to say, an executive document
directing something to be done or not to be done in
relation to the facts of the controversy. The decision
may itself order that thing to be done or not to be
done or it may leave that over till after the
ascertainment of some details but it must not be
interlocutory having for its purpose the ascertainment
of some matters or details prior to the determination
of the whole or any part of the controversy".
The pointed observations of the Hon’ble Judge try to
synthesize the conflicting views taken by the Calcutta and
the Madras High Courts and, in our opinion, they represent
the true scope and import of the word ’judgment’ as used in
the Letters Patent. The learned Judge while making these
observations has made an exhaustive analysis of a large
number of cases.
Having dealt with the main cases of the various High
Courts reflecting different and variant views, we do not
think it necessary to multiply authorities on this subject
which have been fully debated in the decisions we have
referred to. We shall now proceed to refer to the decisions
of this Court with respect to the incidental observations
made by them regarding the scope and meaning of the word
’judgment’ before giving our own view of the matter. Before,
however, dealing with the cases of this Court we might
indicate that in view of the decisions taken by us regarding
the applicability of s. 104 read with order 43 Rule 1 even
to internal appeals in the High Court, the controversy
regarding the meaning of the word ’judgment’ has been
largely narrowed down and sufficiently abridged because the
orders mentioned in clauses (a) to (w) of order 43 Rule 1
having
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been held to be appealable, there would be only a few cases
left in A which the question as to whether or not the orders
passed by the Trial Judge are judgments would arise. After
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discussing the decisions of this Court, we shall give a list
of illustrative cases which may justly be described as
’judgment’ within the meaning of the Letters Patent so as to
cover almost the entire field though a few cases still may
have to be determined according to the principles laid down.
The first decision of this Court which is relevant is
Asrumati Debi’s case (supra). In this case the only question
involved was whether an order transferring a suit under cl.
13 of the Letters Patent satisfied the tests of a judgment
as mentioned in cl. 15 of the Letters Patent. This Court
referring to the Calcutta and Madras decisions refrained
from giving any particular decision except that they held
that the mere order of transfer under cl. 13 of the Letters
Patent could not be said to be a judgment and was therefore
not appealable. This Court pointed out that the order
neither affected the merits of the controversy not did it
terminate or dispose of the suit. In this connection, the
Court observed as follows:
"The judgment must be the final pronouncement
which puts an end to the proceeding so far as the court
dealing with it is concerned. It certainly involves the
determination of some right or liability, though it may
not be necessary that there must be a decision on the
merits.
... ... ...
We have indicated that the essential features of a
’judgment’ are according to both the, Calcutta and the
Madras High Courts and all that we need say is that, in
our opinion, an order under clause 13 of the Letters
Patent does not satisfy the tests of a ’judgment’ as
formulated by either of these High Courts".
Apart from this what is more important is that the
Court clearly observed that as an order granting leave under
cl. 12 of the Letters Patent constitutes the very foundation
of the suit, hence if by an order such leave is rescinded
the suit automatically comes to an end and there can be no
doubt that such an order would be a judgment. In this
connection, this Court observed as follows:-
"Leave granted under clause 12 of the Letters
Patent constitutes the very foundation of the suit
which is
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instituted on its basis. If such leave is rescinded,
the suit automatically comes to an end and there is no
doubt that such an order would be a judgment".
Thus, from this case an important test that can be
spelt out is that where an order which is the foundation of
the jurisdiction of the Court or one which goes to the root
of the action, is passed against a particular party, it
doubtless amounts to a judgment. As we have already pointed
out apart from these observations this Court refused to
embark on an enquiry as to in what cases an order passed by
a Trial Judge would be a ’judgment’ for purposes of appeal
before a larger Bench.
Again in Union of India v. Mohindra Supply Co. (supra)
this Court clearly held that in enacting s. 104 the
intention of the Legislature was to preserve the Letters
Patent jurisdiction of the High Court and provided for a
right to appeal from the Trial Judge to the Division Bench
without affecting the provisions of the Code of 1908. In
this connection, the Court observed as follows :-
"Under the Code, as amended, the view has
consistently been taken that interlocutory judgments
(i.e., decisions though not amounting to decrees which
affect the merits of the questions between the parties
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by determining some right or liability) passed by
single Judges of Chartered High Courts were appealable
under the Letters Patent".
We might mention here that the observations of this
Court completely demolish the arguments of some of the High
Courts that s. 104 does not apply to internals in the High
Court because this Court while referring to the Code made
specific reference to s. 104 in the previous paragraph.
Apart from this, there is no observation by this Court
regarding essential requisites of a Judgment. In State of
U.P. v. Dr. Vijay Anand Maharaj (supra) the order impugned
passed by the Single Judge was an order dismissing an
application filed by the applicant to review the order of
the Trial Judge. The question for determination was whether
the order was a judgment so as to be appealable to the
Division Bench. This Court referred to the observations of
Hidayatullah, J. extracted in Manohar V. Baliram (supra) and
though they did not expressly approve this decision they
indirectly seem to have been impressed by the reasons given
by Hidayatullah, J. Nothing further was said by this Court
because it held that on the facts of that case the
249
order of the Trial Judge dismissing the application for
review was A appealable. We might mention here that under
clause (w) of order 43 Rule 1 an order granting an
application for review is appealable.
On a parity of reasoning, therefore, an order dismissing an
application for review would also be appealable under the
Letters Patent being a judgment though it is not made
appealable under order 43 Rule 1.
In Shankarlal Aggarwal’s case (supra) while indicating
the divergence of judicial opinion on the subject this Court
held that an order under s. 202 of the Indian Companies Act
was a judgment within the meaning of Letters Patent and
therefore appealable. We might mention here that the
Companies Act which confers additional original jurisdiction
on the Trial Judge expressly makes an order passed by the
Trial Judge under s. 202 appealable and, therefore, it is
manifest that any order passed under s. 202 would have to be
appealable under the Companies Act and therefore it was
rightly construed as a judgment.
In Radhey Shyam v. Shyam Behari (supra) the question
was whether in an application under order 21 rule 90 to set
aside an auction sale an order passed by the Court would be
a judgment affecting valuable rights. This Court held that
an order in such proceedings affected valuable rights and
was therefore appealable. In this connection, the Court
observed as follows:-
"In our view an order in a proceeding under O.
XXI, r. 90 is a "judgment" in as much as such a
proceeding raises a controversy between the parties
therein affecting their valuable rights and the order
allowing the application certainly deprives the
purchaser of rights accrued to him as a result of the
auction-sale."
Thus, the only point which emerges from this decision
is that whenever a Trial Judge decides a controversy which
affected valuable rights of one of the parties, it must be
treated to be a judgment within the meaning of the Letters
Patent.
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The last case of this Court to which our attention has
been drawn is Shanti Kumar R. Canji v. The Home Insurance
Co. Of New York where the court was considering the effect
of an order passed by the Trial Judge allowing amendment of
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the plaint and the question at issue was whether such an
order would be a judgment within the meaning of the Letters
Patent. The following observations were made by this Court
in the aforesaid case.
"We are in agreement with the view expressed by
the High Court at Calcutta in the M.B. Sirkar’s case
(AIR 1956 Cal. 630) as to when an order on an
application for amendment can become a judgment within
the meaning of clause 15 of the Letters Patent. If an
amendment merely allows the plaintiff to state a new
cause of action or to ask a new relief or to include a
new ground of relief all that happens is that it is
possible for the plaintiff to raise further contentions
in the suit, but it is not decided whether the
contentions are right. Such an amendment does nothing
more than regulate the procedure applicable to the
suit. It does not decide any question which touches the
merits of the controversy between the parties. Where,
on the other hand, an amendment takes away from the
defendant the defence of immunity from any liability by
reason of limitation, it is a judgment within the
meaning of clause 15 of the Letters Patent. The reason
why it becomes a judgment is that it is a decision
affecting the merits of the question between the
parties by determining the right or liability based on
limitation. It is the final decision as far as the
trial court is concerned.
In finding out whether the order is a judgment
within the meaning of clause 15 of the Letters Patent
it has to be found out that the order affects the
merits of the action between the parties by determining
some right or liability. The right or liability is to
be found out by the court. The nature of the order will
have to be examined in order to ascertain whether there
has been a determination of any right or liability".
(Emphasis ours)
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Thus, having noticed the ratio of some of the cases of this
Court referred to above, regarding the tests to determine
the import and meaning of the word ’judgment’ we now proceed
to deal with the specific question after interpreting cl.15
of the Letters Patent of the Bombay High Court and the
corresponding clauses of Letters Patent of other High
Courts. We shall endeavour to interpret the connotation and
the import of the word ’judgment’ particularly in the light
of pertinent and pointed observations made by this Court on
earlier occasions as discussed above.
The relevant portion of cl. 15 of the Letters Patent
may be extracted thus :-
"We do further ordain that an appeal shall lie to
the said High Court of Judicature at Madras, Bombay,
Fort William in Bengal from the judgment.. ....... of
one Judge of the said High Court.. "
Clause 15 makes no attempt to define what a judgment
is. As Letters Patent is a special law which carves out its
own sphere, it would not be possible for us to project the
definition of the word ’judgment’ appearing in s. 2 (9) of
the Code of 1908, which defines ’judgment’ into the Letters
Patent:
"judgment’ means the statement given by the Judge
of the grounds of a decree or order".
In Mt. Shahzadi Begam v. Alak Nath and Ors., Sulaiman,
C.J., very rightly pointed out that as the Letters Patent
were drafted long before even the Code of 1882 was passed,
the word ’judgment’ used in the Letters Patent cannot be
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relatable to or confined to the definition of ’judgment’ as
contained in the Code of Civil Procedure which came into
existence long after the Letters Patent were given. In this
connection, the Chief Justice observed as follows :-
"It has been held in numerous cases that as the
Letters Patent were drafted long before even the
earlier Code of 1882 was passed, the word ’judgment’
used therein does not
252
mean the judgment as defined in the existing Code of
Civil Procedure. At the same time the word ’judgment’
does not include every possible order, final,
preliminary or interlocutory passed by a Judge of the
High Court".
We find ourselves in complete agreement with the
observations made by the Allahabad High Court on this aspect
of the matter.
The definition of the word ’judgment’ in sub-s. (9) of
s. 2 of the Code of 1908 is linked with the definition of
’decree’ which is defined in sub-s. (2) of s. 2 thus:
"decree" means the formal expression of an
adjudication which, so far as regards the Court
expressing it, conclusively determines the rights of
the parties with regard to all or any of the matters in
controversy in the suit and may be either preliminary
or final. It shall be deemed to include the rejection
of a plaint and the determination of any question
within section 47 or section 144, but shall not
include-
(a) any adjudication from which an appeal lies as an
appeal from an order, or
(b) any order of dismissal for default.
Explanation:-A decree is preliminary when further
proceedings have to be taken before the suit can be
completely disposed of. It is final when such
adjudication completely disposes of the suit. It may be
partly preliminary and partly final".
Thus, under the Code of Civil Procedure, a judgment
consists of the reasons and grounds for a decree passed by a
court. As a judgment constitutes the reasons for the decree
it follows as a matter of course that the judgment must be a
formal adjudication which conclusively determines the rights
of the parties with regard to all or any of the matters in
controversy. The concept of a judgment as defined by the
Code of Civil Procedure seems to be rather narrow and the
limitations engrafted by sub-s. (2) of s. 2
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cannot be physically imported into the definition of the
word ’judgment’ as used in cl. 15 of the Letters Patent
because the Letters Patent has advisedly not used the terms
’order’ or ’decree’ anywhere. The intention, therefore, of
the givers of the Letters Patent was that the word
’judgment’ should receive a much wider and more liberal
interpretation than the word ’judgment’ used in the Code of
Civil Procedure. At the same time, it cannot be said that
any order passed by a Trial Judge would amount to a
judgment; otherwise there will be no end to the number of
orders which would be appealable under the Letters Patent.
It seems to us that the word ’judgment’ has undoubtedly a
concept of finality in a broader and not a narrower sense.
In other words, a judgment can be of three kinds :.
(1) A Final Judgment-a judgment which decides all the
questions or issues in controversy so far as the
Trial Judge is concerned and leaves nothing else
to be decided. This would mean that by virtue of
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the judgment, the suit or action brought by the
plaintiff is dismissed or decreed in part or in
full. Such an order passed by the Trial Judge
indisputably and unquestionably is a judgment
within the meaning of the Letters Patent and even
amounts to a decree so that an appeal would lie
from such a judgment to a Division Bench
(2) A preliminary judgment-This kind of a judgment may
take two forms-(a) where the Trial Judge by an
order dismisses the suit without going into the
merits of the suit but only on a preliminary
objection raised by the defendant or the party
opposing on the ground that the suit is not
maintainable. Here also, as the suit is finally
decided one way or the other, the order passed by
the Trial Judge would be a judgment finally
deciding the cause so far as the Trial Judge is
concerned and therefore appealable to the larger
Bench. (b) Another shape which a preliminary
judgment may take is that where the Trial Judge
passes an order after hearing the preliminary
objections raised by the defendant relating to
maintainability of the suit, e.g., bar of
jurisdiction, res Judicata, a manifest defect in
the suit, absence of notice under section 80 and
the like, and these objections are decided by the
Trial Judge
254
against the defendant, the suit is not terminated
but continues and has to be tried on merits but
the order of the Trial Judge rejecting the
objections doubtless adversely affects a valuable
right of the defendant who, if his objections are
valid, is entitled to get the suit dismissed on
preliminary grounds. Thus, such an R order even
though it keeps the suit alive, undoubtedly
decides an important aspect of the trial which
affects a vital right of the defendant and must,
therefore, be construed to be a judgment so as to
be appealable to larger Bench.
(3) Intermediary or Interlocutory judgment-Most of the
interlocutory orders which contain the quality of
finality are clearly specified in clauses (a) to
(w) of order 43 Rule 1 and have already been held
by us to be judgments within the meaning of the
Letters Patent and, therefore, appealable. There
may also be interlocutory orders which are not
covered by o. 43 R.1 but which also possess the
characteristics and trappings of finality in that,
the orders may adversely affect a valuable right
of the party or decide an important aspect of the
trial in an ancillary proceeding. Before such an
order can be a judgment the adverse effect on the
party concerned must be direct and immediate
rather than indirect or remote. For instance,
where the Trial Judge in a suit under order 37 of
the Code of Civil Procedure refuses the defendant
leave to defend the suit, the order directly
affects the defendant because he loses a valuable
right to defend the suit and his remedy is
confined only to contest the plaintiff’s case on
his own evidence without being given a chance to
rebut that evidence. As such an order vitally
affects a valuable right of the defendant it will
undoubtedly be treated as a judgment within the
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meaning of the Letters Patent so as to be
appealable to a larger Bench. Take the converse
case in a similar suit where the trial Judge
allows the defendant to defend the suit in which
case although the plaintiff is adversely affected
but the damage or prejudice caused to him is not
direct or immediate but of a minimal nature and
rather too remote because the plaintiff still
possesses his full right to show that the defence
is
255
false and succeed in the suit. Thus, such an Order
passed by the Trial Judge would not amount to a
judgment within the meaning of cl. 15 of the
Letters Patent but will be purely an interlocutory
order.
Similarly, suppose the Trial Judge passes an
Order setting aside an exparte decree against the
defendant, which is not appealable under any of
the clauses of O. 43 R.1 though an order rejecting
an application to set aside the decree passed
exparte falls within O. 43 R.l cl. (d) and is
appealable, the serious question that arises is
whether or not the order first mentioned is a
judgment within the meaning of Letters Patent. The
fact, however, remains that the order setting
aside the ex-parte decree puts the defendant to a
great advantage and works serious injustice to the
plaintiff because as a consequence of the order,
the plaintiff has now to contest the suit and is
deprived of the fruits of the decree passed in his
favour. In these circumstances, therefore, the
order passed by the Trial Judge setting aside the
ex parte decree vitally affects the valuable
rights of the plaintiff and hence amounts to an
interlocutory judgment and is therefore,
appealable to a larger Bench.
In the course of the trial, the Trial Judge may pass a
number of orders whereby some of the various steps to be
taken by the parties in prosecution of the suit may be of a
routine nature while other orders may cause some
inconvenience to one party or the other, e.g., an order
refusing an adjournment, an order refusing to summon an
additional witness or documents, an order refusing to
condone delay in filing documents, after the first date of
hearing an order of costs to one of the parties for its
default or an order exercising discretion in respect of a
procedural matter against one party or the other. Such
orders are purely interlocutory and cannot constitute
judgments because it will always be open to the aggrieved
party to make a grievance of the order passed against the
party concerned in the appeal against the final judgment
passed by the Trial Judge.
Thus, in other words every interlocutory order cannot
be regarded as a judgment but only those orders would be
judgments which decide matters of moment or affect vital and
valuable rights
256
of the parties and which work serious injustice to the party
concerned. Similarly, orders passed by the Trial Judge
deciding question of admissibility or relevancy of a
document also cannot be treated as judgments because the
grievance on this score can be corrected by the appellate
court in appeal against the final judgment.
We might give another instance of an interlocutory
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order which amounts to an exercise of discretion and which
may yet amount to a judgment within the meaning of the
Letters Patent. Suppose the Trial Judge allows the plaintiff
to amend his plaint or include a cause of action or a relief
as a result of which a vested right of limitation accrued to
the defendant is taken away and rendered nugatory. It is
manifest that in such cases, although the order passed by
the trial Judge is purely discretionary and interlocutory it
causes gross injustice to the defendant who is deprived of a
valuable right of defence to the suit. Such an order,
therefore, though interlocutory in nature contains the
attributes and characteristics of finality and must be
treated as a judgment within the meaning of the Letters
Patent. This is what was held by this Court in Shanti
Kumar’s case (supra), as discussed above.
Let us take another instance of a similar order which
may not amount to a judgment. Suppose the Trial Judge allows
the plaintiff to amend the plaint by adding a particular
relief or taking an additional ground which may be
inconsistent with the pleas taken by him but is not barred
by limitation and does not work serious injustice to the
defendant wh o would have ample opportunity to disprove the
amended plea taken by plaintiff at the trial. In such cases,
the order of the Trial Judge would only be a simple
interlocutory order without containing any quality of
finality and would therefore not be a judgment within the
meaning of cl. 15 of the Letters Patent
The various instances given by us would constitute
sufficient guidelines to determine whether or not an order
passed by the Trial Judge is a judgment within the meaning
of the Letters Patent. We must however hasten to add that
instances given by us are illustrative and not exhaustive.
We have already referred to the various tests laid down by
the Calcutta, Rangoon and Madras High Courts. So far as the
Rangoon High Court is concerned we have already pointed out
that the strict test that an order passed by the Trial Judge
would be a judgment only if it amounts to a decree
257
under the Code of Civil Procedure, is legally erroneous and
opposed to the very tenor and spirit of the language of the
Letters Patent. We, therefore, do not approve of the test
laid down by the Rangoon High Court and that decision
therefore has to be confined only to the facts of that
particular case because that being a case of transfer, it is
manifest that no question of any finality was involved in
the order of transfer. We would like to adopt and approve of
generally the tests laid down by Sir White, C.J. in Tuljaram
Row’s case (supra) (which seems to have been followed by
most of the High Courts) minus the broader and the wider
attributes adumbrated by Sir White, C.J. Or more explicitly
by Krishnaswamy Ayyar, J. as has been referred to above.
Apart from the tests laid down by Sir White, C.J., the
following considerations must prevail with the court:
(1) That the Trial Judge being a senior court with
vast experience of various branches of law
occupying a very high status should be trusted to
pass discretionary or interlocutory orders with
due regard to the well settled principles of civil
justice. Thus, any discretion exercised or routine
orders passed by the Trial Judge in the course of
the suit which may cause some inconvenience or, to
some extent, prejudice one party or the other
cannot be treated as a judgment otherwise the
appellate court (Division Bench) will be flooded
with appeals from all kinds of orders passed by
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the Trial Judge. The courts must give sufficient
allowance to the Trial Judge and raise a
presumption that any discretionary order which he
passes must be presumed to be correct unless it is
ex facie legally erroneous or causes grave and
substantial injustice.
(2) That the interlocutory order in order to be a
judgment must contain the traits and trappings of
finality either when the order decides the
questions in controversy in an ancillary
proceeding or in the suit itself or in a part of
the proceedings.
(3) The tests laid down by Sir White, C.J. as also by
Sir Couch, C.J. as modified by later decisions of
the Calcutta High Court itself which have been
dealt with by us elaborately should be borne in
mind.
258
Thus, these are some of the principles which might
guide a Division Bench in deciding whether an order passed
by the Trial Judge amounts to a judgment within the meaning
of the Letters Patent. We might, however, at the risk of
repetition give illustrations of interlocutory orders which
may be treated as judgments:
(1) An order granting leave to amend the plaint by
introducing a new cause of action which completely
alters the nature of the suit and takes away a
vested right of limitation or any other valuable
right accrued to the defendant
(2) An order rejecting the plaint.
(3) An order refusing leave to defend the suit in an
action under Order 37, Code of Civil Procedure.
(4) An order rescinding leave of the Trial Judge
granted by him under clause 12 of the Letters
Patent.
(5) An order deciding a preliminary objection to the
maintainability of the suit on the ground of
limitation, absence of notice under s. 80, bar
against competency of the suit against the
defendant even though the suit is kept alive.
(6) An order rejecting an application for a judgment
on admission under order 12 Rule 6.
(7) An order refusing to add necessary parties in a
suit under s. 92 of the Code of Civil Procedure.
(8) An order varying or amending a decree.
(9) An order refusing leave to sue in forma pauperis.
(10) An order granting review.
(11) An order allowing withdrawal of the suit with
liberty to file a fresh one.
(12) An order holding that the defendants are not
agriculturists within the meaning of the special
law.
(13) An order staying or refusing to stay a suit under
s. 10 of the Code of Civil Procedure.
259
(14) An order granting or refusing to stay execution of
the decree.
(15) An order deciding payment of court fees against
the plaintiff.
Here, it may be noted that whereas an order deciding
the nature of the court fees to be paid by the plaintiff
would be a judgment but this order affects only the
plaintiff or the Government and not the defendant. Thus,
only the plaintiff or the Government as the case may be will
have the right to file an appeal in the Division Bench and
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not the defendant because the question of payment of court
fees is a matter between the Government and the plaintiff
and the defendant has no locus in this regard.
We have by way of sample laid down various illustrative
examples of an order which may amount to judgment but it is
not possible to give such an exhaustive list as may cover
all possible cases. Law with its dynamism, pragmatism and
vastness is such a large ocean that it is well-nigh
impossible for us to envisage or provide for every possible
contingency or situation so as to evolve a device or frame
an exhaustive formula or strategy to confine and incarcerate
the same in a straitjacket. We, however, hope and trust that
by and large the controversy raging for about a century on
the connotation of the term ’judgment’ would have now been
settled and a few cases which may have been left out, would
undoubtedly be decided by the court concerned in the light
of the tests. Observations and principles enunciated by us.
In the instant case, as the order of the Trial Judge
was one refusing appointment of a receiver and grant of an
ad-interim injunction, it is undoubtedly a judgment within
the meaning of the Letters Patent both because in view of
our judgment, order 43 Rule 1 applies to internal appeals in
the High Court and apart from it such an order even on
merits contains the quality of finality and would therefore
be a judgment within the meaning of cl. 15 of the Letters
Patent. The consistent view taken by the Bombay High Court
in the various cases noted above or other cases which may
not have been noticed by us regarding the strict
interpretation of cl. 15 of the Letters Patent are hereby
overruled and the Bombay High Court is directed to decide
the question in future in the light of our decision. We,
therefore, hold that the order passed by the Trial Judge in
the instant case being a judgment within the meaning of cl.
15 of the
260
Letters Patent, the appeal before the Division Bench was
maintainable and the Division Bench of the High Court was in
error in dismissing the appeal without deciding it on
merits. We have already directed the High Court to decide
the appeal on merits by our formal order dated April 22,
1981.
Before closing this judgment we may indicate that we
have refrained from expressing any opinion on the nature of
any order passed by a Trial Judge in any proceeding under
Art. 226 of the Constitution which are not governed by the
Letters Patent but by rules framed under the Code of Civil
Procedure under which in some High Courts writ petitions are
heard by a Division Bench. In other High Court writ
petitions are heard by a Single Judge and a right of appeal
is given from the order of the Single Judge to the Division
Bench after preliminary hearing,
In the circumstances we make no order as to costs.
AMARENDRA NATH SEN, J. The only question which falls
for determination in this appeal by special leave is whether
an order passed by a Single Judge on the original side of
the Bombay High Court refusing to grant an injunction or to
appoint a receiver in an interlocutory application made in
the suit, is appealable or not ? In other words, the
maintainability of an appeal filed before a Division Bench
of the Bombay High Court against an order of a learned
single Judge of the High Court dismissing an interlocutory
application for injunction and for appointment of a receiver
by way of interim relief pending final disposal of the suit
in the original side of the High Court, forms the subject-
matter of the present appeal.
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The question is of some importance, as there appears to
be no uniformity of the view amongst the various High Courts
on the competence and the maintainability of such an appeal.
The appellant has filed in the original side of the
Bombay High Court a suit for specific performance of an
agreement dated 12th January, 1979. In the said suit the
appellant, as plaintiff in the suit, took out a notice of
motion seeking the following reliefs:-
(a) that pending the hearing and final disposal of the
suit, the respondent i.e. the defendant in the
suit, be restrained by an order and injunction
from in any
261
manner dealing with or disposing of or alienating
or A encumbering the right, title and interest in
respect of the said lands and the said land or any
part thereof or parting possession of the said
land or any part thereof;
(b) that pending the hearing and final disposal of the
suit, the Court receiver High Court Bombay or some
other fit and proper person be appointed receiver
of the said lands which forms the subject-matter
of the agreement, with all powers under 0.40, rule
I of the Code of Civil Procedure;
(c) ad-interims in terms of prayers (a) (b); and
(d) for such further and other reliefs as the nature
and circumstances of the case may require.
A learned single Judge dealing with the said
application of the appellant on the original side of the
Bombay High Court dismissed the said application. Against
the order of the learned single Judge, the appellant
preferred an appeal to the High Court of Bombay. A
preliminarily objection has been raised before the appellate
Court as to the maintainability of the appeal on the ground
that no appeal lay from the order of the learned Single
Judge on the original side of the High Court, as the order
could not be considered to be a ’judgment’ within the
meaning of cl. IS of the Letters Patent and the appeal was
incompetent and not maintainable. The appellate Court for
reasons recorded in the Judgment upheld the said preliminary
objection, holding that the order under appeal was not a
judgment and no appeal would lie from the said order and the
appeal, therefore was incompetent and not maintainable.
Against the order of the Division Bench of the Bombay High
Court, the appellant has preferred this appeal by special
leave granted by this Court.
After the hearing of the appeal was concluded, this
Court in view of the urgency of the matter passed an order
allowing the appeal and remanding the matter to the Bombay
High Court for decision of the appeal on merits and this
Court observed at the time of the passing of the order that
this Court would state reasons later on. The full text of
the order has been set out in the judgment of my learned
brother Fazal Ali. J.
262
I have had the benefit of reading the judgment of my
learned brother Fazal Ali, J. in advance. I concur generally
with the views expressed by my learned brother. 1, however,
propose to state my own reasons for the order earlier passed
by us.
The learned counsel appearing on behalf of the
respective parties invited us only to decide the question of
appealability of the order under appeal without going into
the merits of the case. The learned counsel for the parties
have submitted before us that there is a conflict of
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decisions on the question of appealability of an order of
this kind and maintainability of an appeal from such an
order and this Court should resolve the conflict and decide
the question of appealability of such an order and
necessarily the maintainability of the appeal to a Division
Bench of the High Court. It has been further submitted
before us that in the event of this Court holding that an
appeal lay from the order in question and an appeal to the
the Division Bench from the order was competent and
maintainable, this Court should remand the appeal to the
High Court for decision on merits and should not in this
appeal go into the merits of the case. The learned counsel
for the parties, in view of the aforesaid submissions made,
did not advance any arguments on the merits of the case
before us.
The only question with which we are concerned in this
appeal, as I have already indicated, therefore, is whether
the order of the learned Single Judge refusing to grant an
injunction or to appoint a receiver on the interlocutory
application of the appellant, is appeal able or not; or,
whether the appeal against the order of the learned Single
Judge to the Division Bench of the High Court is competent
and maintainable or not.
Mr. Sorabjee, learned counsel appearing on behalf of
the appellant, has raised two principal contentions. The
first contention urged by Mr. Sorabjee is that in view of
the provisions contained in S. 104 of the Code of Civil
Procedure read with order 43 thereof, the order is
appealable under the Code and an appeal from the order
becomes clearly maintainable. The other contention raised by
Mr. Sorabjee is that the order should in any event be
considered to be a judgment within the meaning of clause IS
of the Letters Patent, bearing in mind the provisions
contained in S. 104 of the Code of Civil Procedure and also
order 43 thereof.
In support of his first contention, Mr. Sorabjee has
argued that an appeal is a creature of statute and in the
absence of any
263
statutory provisions making any other appealable no appeal
will A normally lie against any order passed by a single
Judge. Mr. Sorabjee contends that cl. I S of the Letter
Patent makes such provision for an appeal being filed
against any order passed by a learned Single Judge on the
original side of the High Court. It is the contention of Mr.
Sorabjee that as Cl. 15 of the Letters Patent makes
provision for preferring an appeal against an order passed
by a learned Single Judge on the original side, provided the
conditions laid down in the said clause are satisfied, Code
of Civil Procedure and various other Statutes also make
provision regarding appeal from orders passed by a learned
Single Judge. Mr. Sorabjee has submitted that the Code of
Civil Procedure confers substantive rights of preferring
appeals against particular orders specified in the Code. In
this connection Mr. Sorabjee has drawn our attention to S.
104 and also order 43 of the Code of Civil Procedure. Mr.
Sorabjee argues that the Code of Civil Procedure confers a
right of appeal on a litigant in respect of the orders which
have been made statutorily appealable by the provisions
contained in S. 104 and order 43 of the Code of Civil
Procedure. It is the argument of Mr. Sorabjee that the Code
of Civil Procedure makes inter-alia general provisions with
regard to appeals and also specifically confers on the
litigant a right in respect of various orders, just as
various other statutes make special or specific provisions
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with regard to the right of appeal in respect of any order
under the particular statute. Mr. Sorabjee has submitted
that S. 104 of the Civil Procedure Code and order 43 thereof
clearly apply to the original side of a High Court. In
support of these submissions, Mr. Sorabjee has drawn our
attention to the various provisions of the Code and
particularly to Ss. 4, 98-104, 116 to 120, and S. 122 and to
order 43 rule 1 thereof. Mr. Sorabjee in this connection has
also relied on the following decisions :-
1. Mathura Sundari Dass v. Haran Chandra Shall(1)
2. Lea Badin v. Upendra Mohan Roy Choudhary (2)
3. Union of India v. Mohindra Supply Co. (3)
4. Kumar Gangadhar Bagla v. Kanti Chander Mukherji (4)
5. Sonbai v. Ahmedbhai Habibhai (5)
264
Mr. Sorabjee has criticised the view expressed by the
Bombay High Court that S. 104 of the Code of Civil Procedure
and order 43 thereof do not apply to an order passed by a
learned Single Judge on the original side of the High Court
and an order passed by a learned Single Judge on the
original side can only become appealable if the order can be
said to be a ’judgment’ within the meaning of cl. 15 of the
Letters Patent. Mr. Sorabjee comments that cl. IS of the
Letters Patent does not, in any way, seek to control or curb
the provisions contained in S. 104 and order 43 of the Code
of Civil Procedure. He submits that a plain reading of the
various sections of the Code of Civil Procedure make it
clear that the pro visions contained in S. 104 and order 43
of the Code are applicable to the original side of the High
Court. It is his submission that the provisions of the Code
and the provisions contained in cl. 15 of the Letters Patent
are not at all in conflict, as, clause IS of the Letters
Patent may make such orders which may not be appealable
under the Code, still appealable as judgment under cl. 15 of
the Letters. Patent. In other words, it is the submission of
Mr. Sorabjee that cl. IS of the Letters Patent and the
provisions of the Code are indeed supplementary to each
other.
Mr. Sorabjee has fairly submitted that before the
Division Bench of the Bombay High Court this argument that
the order is appealable under the provisions of the Code and
the appeal is, there- t fore, competent was not advanced. It
is his submission that this argument was not advanced before
the Division Bench of the Bombay High Court, as the view of
the Bombay High Court has been that the provisions of S. 104
and of order 43 of the Code of Civil Procedure do not apply
to the original side of the Bombay High Court. Mr. Sorabjee
has argued that though in this appeal this aspect was not
argued before the Division Bench of the Bombay High Court,
he is entitled to urge this point before this Court as this
point is a pure point of law.
Mr. Sorabjee has next contended that in any event the
order under appeal should be considered to be a judgment
within the meaning of cl. 15 of the Letters Patent. He
argues that the word ’judgment’ in clause 15 of the Letters
Patent should be construed liberally so as to include within
its fold any order which has been made appealable by virtue
of the provisions contained in the Code or in any other
statute. He submits that such an interpretation will be in
conformity with the principles of justice and will truly
reflect intention of the Legislature and will avoid any kind
of conflict
265
between the provisions contained in cl. 15 of the Letters
Patent and A the provisions contained in the Code of Civil
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Procedure and in any other statute. It is his submission
that the word ’judgment’ in cl. 15 of the Letters Patent may
include various other orders which may not otherwise be
appealable under the provisions of the Code or any other
Statute but may still become appealable as ’judgment’ by
virtue of the provisions contained in the Letters Patent. In
other words, it is the contention of Mr. Sorabjee that the
expression ’judgment’ in cl. 15 of the Letters Patent should
be so construed as to include necessarily all orders which
are appealable under any statute and also in appropriate
cases various other orders which are not expressly made
appealable by any statute. He contends that the provisions
of the Code contained S. 104 and order 43 or in any other
statute with regard to the appealability of any order do not
have the effect of curtailing or affecting the special
jurisdiction and power of the Court of entertaining an
appeal from any other order, if the Court is satisfied that
the order is in effect a judgment within the meaning of cl.
15 of the Letters Patent. Mr. Sorabjee has submitted that as
to the true meaning, effect and import of the word
’judgment’ in cl. 15 of the Letters Patent, there is a
divergence of judicial opinion, and the word ‘judgment’ has
come up for consideration before various Courts in many
cases. In this connection, Mr. Sorabjee has referred to the
following decisions :-
1. The Justice of the Peace for Calcutta v. The
Orientatal Gas Co. Ltd. (1)
2. T.V. Tulzaram Row v. M.K.R.V. Allagappachettiar
(2)
3. Ruldu Singh v. Sanwal Singh (3)
4. Shah Hari Dial & Sons v. Sohnamal Beliram (4)
5. In Re: Dayabhai Jiwandas and Ors. v. A.M.M. Muru-
gappa Chettiar (5)
6. Abdul Samad & Ors. v. State of J. & K. (6)
266
7. Standard Glass Beads Factory v. Shri Dhar &
Ors.(1)
8. Sri Raja Vallanki Venkata Chinnayamma Rao Bahadur
Zimidarni Garu v. Sri Raja Kotagiri Subemma Rao
Bahadur Zimidarni Garu (2)
9. Chitaranjan Mandal v. Shankar Prosad Sahani (3)
10. Manohar Damadar Bhoot v. Baliram Ganpat Bhoot
(4)
11. Masanta Film Distributors Calcutta v. Sorab
Marwanji Modi (5)
12. J.K. Chemicals Ltd. v. Kreba and Co.(6)
13. Kedar Nath Mitter v. Denobandhu Shaha(7)
14. Shorab Merwanji Modi and Anr. v. Mansata Film
Distributors and Anr.(8)
15. M.B. Sarkar and Sons v. Powell and Co.(9)
16. Asrumati Devi v. Kumar Rupendra Deb Rai and
Ors.(10)
17. State of U.P. v. Dr. Vijay Anand Maharaj(11)
18. National Bell Co. v. Metal Goods Co. (P) Ltd.(12)
19. Shanti Kumar R. Canji v. The Home Insurance Co. Of
New York(13)
Mr. Sorabjee has submitted that this Court should lay
down the guidelines or enumerate the principles to remove
the confusion and resolve the conflict in the sphere of
judicial determination as
267
to what constitutes ’judgment’ within the meaning of cl 15
of the Letters Patent.
Mr. Kapadia and Mr. Venugopal, learned counsel for the
Respondents, have submitted that the provisions of the Code
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of Civil Procedure contained in S. 104 and order 43 thereof
are not applicable to the original side of the Bombay High
Court which is a Chartered High Court in view of the
provisions contained in cl. 15 of the Letters Patent. They
have argued that special jurisdiction has been conferred in
the matter of preferring an appeal against an order of a
Single Judge on the original side of a Chartered High Court
by cl. 15 of the Letters Patent and this special
jurisdiction of the High Court cannot in any way be affected
by the provisions of the Code. In support of this contention
reference has been made to Ss. 3 and 4 of the Code of Civil
Procedure and particular reliance has been placed on S. 4.
They have also strongly relied on the decision of the Bombay
High Court in the case of Vaman Raoji Kulkarni v. Nagesh
Vishnu Joshi(1) and also on the decision of the same High
Court in the case of J.K. Chemicals Ltd. v. Kreba and Co.
(supra). They have submitted that these judgments for cogent
reasons recorded therein represent correct law and the view
expressed by the Bombay High Court to the effect that S. 104
and order 43 of the Code of Civil Procedure do not apply to
the original side of the Bombay High Court, has been
consistently followed by the Bombay High Court and should be
upheld by this Court. They have also relied on the following
observations of the Judicial Committee in the case of
Hurrish Chunder Chowdhry v. Kali Sundari Debia(2) at p. 17:-
"It only remains to observe that their Lordships
do not think that sec. 588 of Act X. Of 1877, which has
the effect of restricting certain appeals, applies to
such a case as this, where the appeal is from one of
the Judges of the Court to the full Court."
They have argued that if the provisions of the Code are
not held to be applicable to the original side of the Bombay
High Court, then the appeal from the order of the learned
Single Judge can only be maintained if the order becomes a
’judgment’ within the meaning
268
of cl. 15 of the Letters Patent. They have contended that an
order on an interlocutory application refusing to grant an
injunction or appoint a receiver cannot be considered to be
a ’judgment within the meaning of cl. 1 S of the Letters
Patent, as such an order virtually does not decide anything
and does not in any way affect the merits of the suit. They
have also relied on the decisions which were cited by Mr.
Sorabjee and they have placed particular reliance on the
decision of the Bombay High Court in the case of J.K.
Chemicals Ltd. v. Kreba and Co. (supra). Mr. Kapadia and Mr.
Venugopal have both pointed out to us that the question of
appealability of the order under the provisions of the Code
was not argued before the High Court in the instant case and
was sought to be argued for the first time in this Court.
Both of them, however, have fairly stated that the question
is one of law and one of of considerable importance and the
Court should decide the same.
I propose to deal with the question of applicability of
the provisions contained in S. 104 and order 43 of the Code
of Civil Procedure to the original side of the Bombay High
Court in the first instance. Before I deal with the
contentions urged by the counsel for the respective parties,
it will be convenient to consider the relevant provisions of
the Code. S. I of the Code makes it clear that the Act is
applicable to whole of India excepting the places mentioned
in the said section and the Act, therefore, applies to
Maharashtra. S. 3 of the Code provides that for the purpose
of this Code, the District Court is subordinate to the High
Court, and every Civil Court of a grade inferior to that of
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a District Court and every Court of Small Causes is
subordinate to the High Court and District Court.
S. 4 of the Code reads:-
"(1) In the absence of any specific provision to the
contrary, nothing in this Code shall be deemed to
limit or otherwise affect any special or local law
now in force or any special jurisdiction or power
conferred, or any special form of procedure
prescribed, by or under any other law for the time
being in force.
(2) In particular and without prejudice to the
generality of the proposition contained in sub-
section (1), nothing in this Code shall be deemed
to limit or otherwise
269
affect any remedy which a landholder or landlord
may have under any law for the time being in force
for the recovery of lent of agricultural land form
the produce of such land."
S. 5 of the Code deals with the applicability of the
provisions of the Code to Revenue Courts. S. 100 of the Code
deals with appeals from Appellate Decree and S. 100-A which
has been introduced into the Code w.e.f. 1.2.1977 by the
Amending Act, 104 of 1976 provides that notwithstanding
anything contained in Letters Patent for any High Court or
in any other instrument having the force of law or in any
other law for the time being in force, where any appeal from
an appellate decree or order is heard and decided by a
single Judge of a High Court, no further appeal shall lie
from the judgment, decision or order of such Single Judge in
such appeal or from any decree passed in such appeal. The
material provisions of S. 104 are:-
"S. 104 (1); An appeal shall lie from the
following orders, and save as otherwise expressly
provided in the body of this Code or by any law for the
time being in force, from no other orders :-
x x x x
x x x x
(ff) an order under S. 35A;
(fa) an order under S. 91 or S. 92 refusing leave to
institute a suit of the nature referred to in S.
91 or S. 92 as ’the case may be;
(g) an order under S 95;
(h) an order under any of the provisions of this Code
imposing a fine or directing the arrest or
detention in the Civil prison of any person except
where such arrest or detention is in execution of
a decree;
(i) any order made under rules from which an appeal is
expressly allowed by rules;
Provided that no appeal shall lie against any order
specified
270
in clause (i) save on the ground that no order, or an
order for the payment of a less amount, ought to have
been made.
(2) No appeal shall lie from any order passed in
appeal under this section. "
Sections 105 and 106 may also be quoted:-
"(1) Save as otherwise expressly provided no appeal
shall lie from any order made by a Court in the
exercise of its original or appellate
jurisdiction; but, where a decree is appealed
from, any error, defect or irregularity in any
order, affecting the decision of the case, may be
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set forth as a ground of objection in the
memorandum of appeal;
(2) Notwithstanding anything contained in sub-section
(1), where any party aggrieved by an order of
remand from which an appeal lies does not appeal
the reform, he shall thereafter be precluded from
disputing its correctness.
S. 106: Where an appeal from any order is allowed
it shall lie to the Court to which an appeal would lie
from the decree in the suit in which such order was
made, or where such order is made by a court (not being
a High Court) in the exercise of appellate
jurisdiction, then to the High Court.’’
Special provisions relating to the High Courts, not
being the court of a Judicial Commissioner, are made in para
IX of the Code which consists of five sections namely Ss.
116 to 120 and the said sections are as follows:-
"S. 116: This Part applies only to High Courts not
being the Court of a Judicial Commissioner.
S. 117: Save as provided in this Part or in part X or
in rules, the provisions of this Court shall apply to such
High Courts.
S. 118: Where any such High Court considers it
necessary that a decree passed in the exercise of its
original civil jurisdiction should be executed before the
amount of
271
the costs incurred in the suit can be ascertained by
taxation, the Court may order that the decree shall be
executed forthwith, except as to so much thereof as
relates to the costs:
and, as to so much thereof as relates to the
costs, that the decree may be executed as soon as the
amount of the costs shall be ascertained by taxation.
S. 119: Nothing in this Code shall be deemed to
authorise any person on behalf of another to address
the Court in the exercise of its original civil
jurisdiction, or to examine witnesses, except where the
Court shall have in the exercise of the power conferred
by its charter authorised him so to do, or to interfere
with the power of the High Court to make rules
concerning advocates, vakils and attorneyes.
S. 120: The following provisions shall not apply
to the High Court in the exercise of its original civil
jurisdiction, namely, secs. 16, 17 and 20.
S. 122 empowers the High Courts, not being the Court of
a Judicial Commissioner to make rules regulating their own
procedure and the procedure of the Civil Courts subjects to
their superintendence. S. 129 further provides:
"Notwithstanding anything in this Code, any High
Court not being the Court of a Judicial Commissioner
may make such rules not inconsistent with the Letters
Patent or order or other law establishing of it to
regulate its own procedure in the exercise of its
original civil jurisdiction as it shall think fit, and
nothing herein contained shall affect the validity of
any such rules in force at the commencement of this
Code.
The material provisions contain in O. XLIII of the Code
of Civil Procedure may be set out:
"An appeal shall lie from the following orders
under the provisions of S. 104, namely:-
x x x x
x x x x
272
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(q) an order under rule 2, rule 3 or rule 6 of order
XXXVIII:
(r) an order under rule 1, rule 2, rule 2A, rule 4 or
rule 10 of O. XXXIX;
(s) an order under rule 1, or rule 4 of order XL.
x x x x
2. The rules of O. XLI shall apply, so far as may be,
to appeals from orders."
On a proper analysis of the relevant provisions of the
Code there cannot be, in my opinion, any manner of doubt
that S. 104 and order 43 of the Code of Civil Procedure
apply, to the original side of the Bombay High Court. It is
not in dispute and it cannot be disputed that the Code of
Civil Procedure applies to the High Court. S. 1 of the Code
which provides for territorial extent of the operation of
the Code makes this position abundantly clear. The argument
is that S. 104 and order 43 of the Code do not have any
application to the original side of the High Court, although
various other provisions of the Code may apply to the High
Court-including its original side. This argument, as we have
earlier noticed, is made mainly on the basis of the
provisions contained Ss. 3 and 4 of the Code. S. 3 of the
Code deals with subordination of Courts. It is no doubt true
that a learned Single Judge dealing with any matter on the
original side discharges his duties as a Judge of the High
Court, and he can, therefore, be in no way subordinate to
the High Court. When a division Bench of a High Court hears
an appeal from any decree, order or judgment of any Single
Judge of the High Court in its original side there can be no
question of any subordination of the Judge, presiding over a
Bench on the original side of the High Court to the High
Court. An appeal admittedly lies to a division Bench of the
High Court from any order passed by a learned single Judge
on the original side under cl. 15 of the Letters Patent, if
the order is a ’Judgment’ within the meaning of the said
clause. An appeal also admittedly lies from a decree passed
by a Single Judge on the original side of the High Court to
a division Bench of the High Court. A division Bench,
properly constituted, is perfectly competent to hear an
appeal from any such order which may constitute a judgment
within the meaning of cl. 15 and from any decree by a Single
Judge on the original side of the
273
High Court. In the same way, in case of any other order in
respect of which right to prefer any appeal has been
conferred by a statute, a division Bench of the High Court
will be competent to hear such an appeal. S.3 of the Code,
in my opinion, has really no bearing on the question and
creates no bar to the competence and maintainability of an
appeal from an order passed by a Judge on the original side,
if the order is otherwise appealable. S. 4 of the Code has
been enacted to preserve any special or local law in force.
An analysis of the material part of this section clearly
indicates that in the absence of any specific provision to
the contrary, no provision in the Code shall be deemed to
limit or otherwise affect any special or local law in force
or special jurisdiction or power conferred or any special
form of procedure prescribed by or under any Jaw for the
time being in force. The argument that S. 104 and order 43
of the Code affect the special jurisdiction or power
conferred on the High Court under cl. 15 of the Letters
Patent is, to my mind, untenable. Cl. 15 of the Letters
Patent was enacted to provide for an appeal from the Courts
of original jurisdiction to the High Court in its appellate
jurisdiction and the said clause undoubtedly confers power
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for the hearing of an appeal from a judgment of any judge on
the original side of the High Court. Though cl. 15 makes
special provisions in relation to appeal from a judgment of
a learned single Judge on the original side, yet it cannot
be said that the side clause intended to lay down that in no
other case an appeal will lie from an order passed by any
learned Judge on the original side, even if any specific
provision is made in any other statute making any other
order appealable. An appeal, it has to be remembered, is a
creature of a statute and litigant generally does not have a
right of appeal against any decision of a competent Court
unless a right of appeal has been specifically conferred on
the litigant by law. Cl. 15 of the Letters Patent confers on
the litigant a right to prefer an appeal against any
judgment. Any order which is considered to be a ’judgment’
will be appealable by virtue of the provisions contained in
cl. 15 of the Letters Patent. In the same way other statutes
may confer on the litigant the right to prefer an appeal
against an order; and by virtue of the provisions of the
statute such an order shall become appealable. If any other
statute confers on the litigant any right to prefer an
appeal in respect of any other order, it cannot be said that
such a provision creating a right of appeal in any way
affects the provisions contained in cl. 15 of the Letters
Patent. The special power and jurisdiction of the High court
under cl. 15 to entertain an appeal from any judgment is in
no way affected and is fully retained;
274
and in addition to the said power, a High Court may be
competent to entertain other appeals by virtue of specific
statutory provisions. S. 4 of the Code cannot, therefore, be
said to be in conflict with the provisions contained in cl.
15 of the Letters Patent and S. 4 of the Code does not limit
or otherwise affect the power and jurisdiction of the High
Court under cl. 15 of the Letters Patent. On the other hand,
the Code contains specific provisions which go to indicate
in which case or to which Court the provisions of the Code,
may or may not be applicable. S. S of the Code makes
specific provisions regarding the nature and manner of
applicability of the Code to Revenue Courts and the Revenue
Court has also been defined in the said section. On the
other hand, in Ss. 116 to 120 it is convincingly indicated
that S. 104 and order 43 of the Code of Civil Procedure
apply to the original side of a High Court. Ss. 116 to 120
are contained in part IX of the Code which makes special
provisions relating to High Courts (not being the Court of
Judicial Commissioner). S. 117 specifically provides that
the provisions of the Code shall apply to High Court save as
provided in part IX or in part X. S. 120 contained in part
IX lays down that the provisions contained in Ss. 16, 17 and
20 of the Code shall not apply to the High Court in the
exercise of its original civil jurisdiction. Part X which
deals with rules and manner of framing thereof does not have
any material bearing on the question of applicability of S.
104 and order 43 of the Code to the original side of the
High Court. The effect of the special provisions contained
in part IX relating to High Courts, therefore, clearly
appears to be that the provisions of the Code have as
provided in Part IX or Part X or in rules, apply to the
original side of the High Court and Ss. 16,17 and 20 of the
Code do not apply to the High Court in the exercise of its
original civil jurisdiction. S. 104 of the Code is contained
in part VII which deals with appeals. Part VII of the Code
dealing with appeals consists of the sections commencing
from Ss. 96 to 112. This part VII dealing with appeals makes
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provisions for an appeal from original decrees, appeals,
appellate decrees, appeals from orders, general provisions
relating to appeals and also appeals to the Supreme Court.
S. 104 of the Code provides for appeals from orders and
clearly stipulates that an appeal shall lie from the orders
mentioned therein and save as otherwise expressly provided
in the body of the Code or by any law for the time being in
force, from no other order. Order 43 which is attracted by
S. 104 of the Code clearly provides that an appeal shall lie
from the orders mentioned in rule 1 of o. 43 under the
provisions of S. 104 and the orders referred to therein
particularly in (q), (r) and (s) clearly
275
indicate that the order in question is an appealable order.
As I have earlier observed that an appeal is a creature of a
statute and the right to appeal is only enjoyed, if law
confers any right. The Code of Civil Procedure clearly makes
the order in question an appealable one. The legislature has
thought it fit to confer a right on the litigant to prefer
an appeal in respect of the orders mentioned in S. 104 of
the Code read with order 43 thereof. A Court will be slow to
deprive a litigant of the statutory right merely on the
ground that the order in question has been passed by a
learned Judge on the original side of the High Court. It may
further be pointed out that S. 104 which makes the order
under appeal and also various other orders referred to
therein appealable under the Code, recognises that apart
from the order made appealable under the Code there may be
other orders appealable by any law for the time being in
force and further provides that no appeal will lie from any
orders other than the orders expressly provided in the body
of the Code or by any other law in force. The right of
appeal against a judgment of a learned single Judge on the
original side under cl. 15 of the Letters Patent is a right
conferred by any other law in force. It may be pertinent to
point out in this connection that by incorporating S. 100A
in the Code (by the Amending Act 104 of 1976, S. 38), the
Legislature has thought it fit to interfere with the right
of appeal in certain cases, even if such right had been
conferred by Letters Patent or any other law.
This right of appeal under cl. 15 of the Letters Patent
is in no way curtailed or affected by S. 104 of the Code of
Civil Procedure and S. 104 seeks to confer the right of
preferring an appeal in respect of the various orders
mentioned therein. In other words, by virtue of the
provisions contained in S. 104(1), a litigant enjoys the
right of preferring an appeal in respect of various orders
mentioned therein, even though such orders may or may not be
appealable under cl. 15 of the Letters Patent as a judgment
and the right of appeal under cl. 15 of the Letters Patent
remains clearly unimpaired. In this connection the following
observations of this Court in the case of Union of India v.
Mohindra Supply Co. (supra) at p. 511 may be usefully
quoted:-
"The intention of the legislature in enacting the
sub-s.(1) of S. 104 is clear: the right to appeal
conferred by any other law for the time being in force
is expressly preserved This intention is emphasised by
s. 4 which provides that in the absence of any specific
provision to the contrary
276
nothing in the Code is intended to limit or otherwise
affect any special jurisdiction or power conferred by
or under any other law for the time being in force. The
right to appeal against judgments (which did not amount
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to decrees under the Letters Patent, was therefore not
affected by s. 104(1) of the Code of Civil Procedure,
1908".
It will be apt in this connection to bear in mind the view
expressed by the Privy Council in the case of Mt. Savitri
Thakurain v. Savi and Anr.,(1) the Judicial Committee held
at p. 82-83 as follows:-
"The orders and rules under the Code are by
Section 121 given the same affect as if they had been
enacted in the Code, and therefore order 41, Rule 10,
is one of the pro visions of the Code. It applies to
appeals in the High Court, including the present
appeal, unless any particular section of the Act can be
found to exclude it. Section 104(1) is the section
relied on for this purpose It prescribes what orders
shall be appealable and enumerates them, and among the
orders enumerated there is not included such an order
as that made by Choudhary, J. Out of the operation of
Section 104 there are, however, expressly excepted
matters, which are otherwise expressly provided for in
the body of the Code. In order to appreciate the full
effect of section 104 it should be compared with the
corresponding section of the Act of 1882, Section 588.
The earlier section enacted that appeals should lie in
certain cases, which it enumerated, ’and from no other
such orders.’ This raised this question nearly whether
an appeal, expressly given by Section 15 of the Letters
Patent and not expressly referred to in Section 588 of
the Code of 1882, could be taken away by the general
words of the section 581 and in the wording of section
104 of the Act of 1908 is significant for it runs,
’and same as otherwise expressly
provided....by any law for the time being in
force, from the other orders’.
Section 15 of the Letters Patent is such a law,
and what it expressly provides namely, an appeal to the
High Court’s appellate jurisdiction from a decree of
the High
277
Court in its original ordinary jurisdiction, is thereby
saved. Thus regulations duly made by orders and Rules
under the Code of Civil Procedure, 1908 are applicable
to the jurisdiction exercisable under the Letters
Patent, except that they do not restrict the express
Letters Patent appeal."
The effect of sub-section (1) S. 104, therefore, is clearly
not to affect any existing special or local law or any
special jurisdiction or power conferred and to preserve any
existing right of appeal whether under any statute or the
Letters Patent and to create a further right of preferring
an appeal in respect of the orders enumerated therein. C
In the case of Mathura Sundari Dassi v. Haran Chandra
Shaha and Ors. (supra), Sanderson, C.J. Observed at p. 362
as follows:
"I would be very loth to hold that this order is
not a ’judgment’ within the meaning of cl. 15 of the
Letters Patent, but it is not necessary in my judgment
to give a definite opinion upon it because I think, on
the second point, the Code does give a right of appeal.
By clause 14 of the Letters Patent it is provided as
follows: ’And we do further ordain and declare that all
the provisions of these our Letters Patent are subject
to the legislative powers of the Governor-General in
Council, exercised at meetings for the purpose of
making law and regulations’. By the terms of S. 117 the
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code is made applicable to the High Court, and o. 43.
R. 1, gives a right of appeal in the very case under
discussion. But it is said that this Code and the rules
made under it do not apply to an appeal from a learned
Judge of the High Court. I cannot follow that argument.
It is part of the defendant’s case that O.9, R. 8
applies. That order is in effect a part of the Civil
Procedure Code. It seems to me strange that the
plaintiff should be subjected to O.9, R. 8, and be
liable to have his suit dismissed for want of
appearance, yet when he has had his suit dismissed
under one of the rules of the Code and wants to call in
aid another of the rules which- when his application
for reinstatement has been refused gives him a right of
appeal against that refusal, he is met with the
argument that he cannot call in aid that rule because
there is no appeal from the learned Judge of the High
Court under the Civil Procedure Code. I think this
278
is not a true view or a reasonable construction to put
upon the Code and the Rules made under it. In my
judgment, the Code and the rules do apply and the
plaintiff has a right of appeal."
Sri Aushotosh Mookherji in his judgment in the same case at
pp. 364-365 held as follows:
"The question, consequently, arises whether O,43,
r. 1, clause (c), is applicable to an order under o.
IX, r. 9, made by a Judge on the original side of this
Court.
On behalf of the appellant, reliance has been
placed upon S. 117 of the Code which lays down that
’save as provided in this part or in part X or in
rules, the High Court established under the Indian High
Courts Act, 1961.’ The only provision in Part IX, which
may have any possible hearing is that contained in S.
120 which obviously does not touch the present
question. The provision in Part X, which deal with the
matter, is contained in S. 129: this also does not
militate against the contention of the appellant. The
term ’rule’, which finds a place in S. 117, is defined
in clause 18 of S. 2 of the Code to mean ’a rule
contained in the first Schedule or made under S. 122 or
S. 125’. Our attention has not been drawn to any such
rule which makes o. 43, R. 1, Clause (e), inapplicable.
On the other hand O.49, R. 3, which excludes the
operation of other rules, lends support to the
contention of the appellant that o. 43, r. 1, cl. (c)
is applicable to the present appeal.
But it has been argued on behalf of the
respondents, on the authority of the decision of the
Judicial Committee in Hurriah Chandra Choudhary v. Kali
Sudari Dasi that the Civil Procedure Code, in so far as
it provides for appeals, does not apply to an appeal
preferred from a decision of one Judge of a High Court
to the Full Court. The true effect of the decision of
the Judicial Committee was considered by this Court in
Toolses Money Dassesv. Sudevi Dasses (1890) 25 Cal.
361) but it is not necessary for my present purpose to
determine its hearing in all its implications, because
in my opinion, the law has been substantially altered
since that decision was pronounced. S. 104
279
Of the Code of 1908 is materially different from S. 588
of Code of 1882. It provides that an appeal shall lie
from the orders mentioned in the first clause of that
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section, and save as otherwise expressly provided in
the body of the Code or by any law for the time being
in force, from no other orders’. The effect of S. 104
is thus, not to take away a right of appeal given by
clause IS of the Letters Patent, but to create a right
of appeal in cases even where clause 15 of the Letters
Patent is not applicable. I may here observe
perethically that in the case of Tooles Money Dasses v.
Sudevi Dasses. Princep J. felt pressed by the argument
that if an appeal was deemed to have been allowed by
the Code of Civil Procedure, there was no provision for
the Constitution of a Court to which such an award
might be preferred. S. 106 of the Code, however, lays
down that "where an appeal from any order is allowed,
it shall lie to the Court to which an appeal would lie
from the decree in the suit in which such order was
made.’ Consequently, where a right of appeal has been
so given, it would be the duty of this Court to
constitute a Court of Appeal under S. 13 of the Indian
High Courts Act. 1 hold accordingly that this appeal is
competent under cl. tc), R. 1, o. 43 of the Civil
Procedure Code."
In the case of Lea Badin v. Upendra Mohan Roy Chaudhry
(supra), a Division Bench of the Calcutta High Court held at
p. 37 as follows:
"But there is another and far simpler ground on
which it must he held that an appeal is competent. The
order in the present case is one for which a right of
appeal ii provided in cl. (s). R. 1, o. 43 of the Code.
Under the pre sent Code (Act 5 of 1908) it cannot be
contended that the Code and the Rules made under it do
not apply to an appeal from a learned Judge of the High
Court; such a contention was elaborately dealt with and
repelled in the case of 1918 Cal. 361(4)".
On a plain reading of the various provisions of the
Code and on a proper construction thereof I have no
hesitation in holding that S. 104 of the Code of Civil
Procedure applies to the original side of the High Court and
the order in question is clearly appealable by virtue of the
provisions contained in S. 104(1) read with order
280
43 thereof. The authorities to which I have referred also
lend support to the view that I have taken. A contrary view
expressed by any High Court must necessarily be considered
to be wrong and incorrect. The leading decision of the
Bombay High Court in the case of Baman Rao Kulkarini v.
Naresh Vishnu Joshi (supra) proceeds on an incorrect
appreciation and interpretation of the provisions of the
Code. As I have earlier discussed, there is no question of
S. 104 of the Code of Civil Procedure purporting to control
of cl. 15 of the Letters Patent. It may, on the other hand,
be said that S. 104 of the Code seeks to supplement cl. 15
of the Letters Patent by conferring a right of appeal in the
case of various orders mentioned in sub-section (1) of S.
104, which brings in its purview S. 43 of the Code. The
further approach of the Bombay High Court in that case as to
subordination of a judge of the High Court sitting singly on
the original side, is fallacious and untenable. An appeal
under cl. 15 of the Letters Patent from a judge sitting
singly on the original side of the High Court becomes
competent to a division Bench and a learned judge against
whose judgment the appeal is preferred does not become
subordinate to the High Court. There is in fact no question
of subordination at all.
The observations of the Judicial Committee in the case
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of Hurish Chandra Choudhary v. Kali Sudari Dasi (supra) at
p. 17 relied on by the learned counsel for the Respondents
are of no material assistance to them. I have already quoted
the said observations of the Judicial Committee. The said
observations made in relation to the provisions of S. 588 of
the Act 10 of 1877 only go to lay down that the said section
which has the affect of restricting certain appeals does not
have the affect of restricting the right of appeal under cl.
15 of the Letters Patent and does not apply to a case where
an appeal is one under cl. 15 of the Letters Patent. It may
further be noted that the law has since the said decision
been substantially altered and S. 104 of the Code of Civil
Procedure of 1908 is materially different from S. 588 of the
Code of 1882. This decision of the Judicial Committee has
already come up for consideration by a division Bench of the
Calcutta High Court in the Mathura Sudari Dassi v. Haran
Chandra Shaha (supra).
I, therefore, accept the first contention of Mr.
Sorabjee that the order in question is appealable under S.
104 (1) of the Code read with order 43 thereof and the said
provisions of the Code apply to the original side of the
Bombay High Court and the appeal preferred
281
from the order of the learned single judge to the Division
Bench of A the Bombay High Court was competent and
maintainable.
In view of my accepting the first contention of Mr.
Sorabjee it does not really become necessary for me to
consider the other contention raised by him, namely, that
the order in question is also appealable as a ’judgment’
under cl. 15 of the Letters Patent. As elaborate arguments
have been advanced on this aspect and various decisions have
been cited, my learned brother Fazal Ali, J. has in his
judgment also considered this aspect and has dealt with
various cases, in deference to the submissions made from the
bar that this Court should lay down guidelines as to what
will constitute a ’judgment’ within the meaning of cl. l S
of the Letters Patent.
An order which is appealable under the Code or under
any other statute becomes appealable as the statute confers
a right on the litigant to prefer an appeal against such an
order. Such an order may or may not be appealable as
’judgment’ under cl. 15 of the Letters Patent. An order
which may be appealable under cl. IS of the Letters Patent
as a ’judgment’ becomes appealable as Letters Patent confers
on the litigant a right of appeal against such an order as
’judgment’. An order appealable under the Letters Patent may
or may not be appealable under the Code. A right of appeal
is a creature of Statute. A litigant does not have an
inherent right to prefer an appeal against an order unless
such a right is conferred on the litigant by law. Certain
orders become appealable under the Code, as the Code makes
such orders appealable. Other Statutes may confer a right of
appeal in respect of any order under the Statute. The
Letters Patent by cl. 15 also confers a right to prefer an
appeal against a ’judgment’. An order which satisfies the
requirements of ’judgment’ within the meaning of cl. 15
becomes appealable under the Letters Patent. What kind of an
order will constitute a ’judgment’ within the meaning of cl.
15 of the Letters Patent and will become appealable as such
much necessarily depend on the facts and circumstances of
each case and on the nature and character of the order
passed. The question whether a particular order constitutes
a judgment within the meaning of cl. 15 of the Letters
Patent to be appealable under the provisions thereof has
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come up for consideration before the various Courts in a
number of decision. Very many decisions have been cited in
the present case and they have been considered by my learned
brother, Fazal Ali, J. in his judgment. The question indeed,
is not free from difficulties and divergent views have been
expressed by different Courts and by various learned
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Judges. This Court had also the occasion to consider as to
what may constitute a judgment within the meaning of cl. 15
of the Letters Patent in certain cases. In the case of
Shanti Kumar R. Canji v. The Home Insurance Co. Of New York
(Supra) this Court referring to the earlier decision of this
Court in the case of Asrumati Debi v. Kumar Rupendra Deb
Rajkot & ors (supra), observed at p. 550-"This Court in
Asrumati Debi’s case said that a judgment within the meaning
of cl. 15 of the Letters Patent would have to satisfy two
tests. First, the judgment must be the final pronouncement
which puts an end to the proceedings as far as the Court
dealing with it is concerned. Second, the judgment must
involve the determination of some right or liability though
it may not be necessary that there must be a decision on
merits". This Court further observed at p. 555-"The view of
the High Courts of Calcutta and Madras with regard to the
meaning of ’judgment’ are with respect preferred to the
meaning of ’judgment’ given by the Rangoon and Nagpur High
Court." This Court also held at p. 556-"In finding out
whether the order is a ’judgment’ within the meaning of cl.
IS of the Letters Patent it has to be found out that the
order affects the merits of the action between the parties
by determining some right or liability. The right or
liability has to be found out by a Court. The nature of the
order will have to be examined in order to ascertain whether
there has been a determination of any right or liability."
In my opinion, an exhaustive or a comprehensive definition
of ’judgment’ as contemplated in ch IS of the Letters Patent
cannot be properly given and it will be wise to remember
that in the Letters Patent itself, there is no definition of
the word ’judgment’. The expression has necessarily to be
construed and interpreted in each particular case. It is,
however, safe to say that if any order has the effect of
finally determining any controversy forming the subject-
matter of the suit itself or any part thereof or the same
affects the question of Court’s jurisdiction or the question
of limitation, such an order will normally constitute
’judgment’ within the meaning of cl. IS of the Letters
Patent. I must not, however, be understood to say that any
other kind of order may not become judgment within the
meaning of cl. IS of the Letters Patent to be appealable
under the provisions thereof. As already stated, it is not
necessary to decide in the present case whether the order in
question would be appealable under cl. IS of the Letters
Patent as judgment; and I, therefore, refrain from
expressing any opinion on this question.
P.B. R.
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