No Acts & Articles mentioned in this case
7 32
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MAHADEO
PRASAD SINGH & ANR.
v.
RAM LOCHAN & ORS.
'
September 16, 1980
[R. S. SARKARIA & R. S. PATHAK, JJ.]
Code of Civil Procedure-Section 42 as amended by U. P. Civil Laws
(Reform and Amendment) Act, 19:54-For executing a decree transferee court -....,._
"shall have the same powers as the court which passed it"-Decree passed by
Court of Small Causes transferred to Munsif for execution after the amend'"
ment A ct came into force-Decree-holder, if could be said to have had a
substantive right to get the decree transferred to the Munsif's court for execution.
A decree, according to section 38 of the Code of Civil Procedure, may b~
executed either by the Court which passed it or by the Court to which it is
sent for execution. Section 39(1 )(d) provides that the Court which passed a
decree
may, on the application of the decree-holder, send it for execution
to
another Court 'of competent jurisdiction, if the Court, which passed the decree,
considers for any other reason, which it shall record in writing, that the decree
should be executed
by such other Court. Section 42 of the Code, which
indicates the powers of the
transferee Court for executing the transferred decree,
before its amendment in
1954, provided that the Court executing the
decres
sent to it, shall have the same powers in executing such decree "as if it· had
been passed by itself." After lhe amendment the words "as the Court which
has passed it" were substituted for the words "as if it has been passed by
itself". Section 3 of the U.P. Civil Laws (Reform and Amendment) Act saved
certain rights already acquired or accrued.
In February,
1953 the brother of appellant No. 1 obtained
rt decree from
the Court of Small Causes which on his application under section
39 of
the
Code, was transferred to the Comt of Munsif in January, 1955 and put into
execution after the U.P. (Amendment) Act XXIV of 1954 had come into
force. In the sale the decree-holder himself purchased the land in July,
1956
and took possession of the property. He later sold the property to defendant
nos. 2 to
5.
The suit of respondent no. l for a declaration that the
sale in favour of
appellant no.
1 was without jurisdiction and therefore a nullity was dismissed
by the trial Court.
On appeal the Additional Commissioner held that the
executing court had no jurisdiction to sell the suit land under section
42
of the C.P.C. as amended by the
U. P. Civil Laws (Amendment) Act, 1954,
Dismissing the appeal, the Board of Revenue held that the auction sale in
pursuance of the decree of thi~ Judge, Small Causes Court was void and di<f
not invest the decree-holder-purchaser with any title.
. .It...
MAHADEO PRASAD V. RAM LOCHAN
On the appellant's writ petition a single Judge of the High Court quashed
the judgment of the Revenue Board as well as of the Additional Commissioner
holding that the execution sale of the land was proper under section 42 of
the Code, that prior to its amendment by the U. P. Civil Laws (Amendment)
Act,
1954, the executing court had the same powers in relation to execution as it
would have had if the decree had been passed by itself and the decree having been
passed prior to the amendment
of section 42 this section did not apply and the
decree should have been 'executed in accordance with the provisions
of
sec·
tion 42 prior to its amendment.
On appeal a Full Bench of the High Court (by majority) held that since
the Small Causes Court had no power to execute the decree by attachment
and sale
of immovable property, the Munsif's Court to
which the decree
was transferred for execution, possessing the same powers as the Small Causes
Court, had no jurisdiction to execute the decree by attachment and sale . of
the immovable property.
It was contended before this Court on behalf of the decree-holder that
he had acquired a substantive right to get the decree of the
Court of Small
Causes transferred to the Court of Munsif for execution and thereafter to
have it executed by the transferee court in any of the modes provided
in
section 51 C.P.C. and this two-fold substantive right having accrued to him
before the coming into force of the
1954 Amendment, it
was saved by section 3
of this Amendment Act.
Dismissing the appeal,
HELD : 1 ·(a)
Under section 39(1)(d) a decree holder has no indefeasible
substantive right
to get his application for transfer of a decree to another Court
ipso facto accepted by the Court which passed it, particularly in a case which is
not covered by clauses (a),
(b) & (c) of that sub-section. The effect of substitution
of the words
"as the court which passed it" for the words "as if it had been
passed by itself" was that powers of the transferee Court in executing the transfer·
red decrne became co-terminus with the powers of the Court, which passed it.
Therefore, if the power of the transferor Court to execute its own decree were
in any respect restricted, the same restriction would attach to the powers of the
transferee Court in executing the transferred decree notwithstanding the posi
tion that the powers of the transferee Court in executing its own decree were
not so restricted. [739E; 740C-D] ·
(b) The opening words of section 51 (subject to such conditions and
limitations as may be prescribed) put it beyond doubt that there
is no wide or unrestricted jurisdiction to order execution or to claim execution in every
case in all the modes indicated therein. The High Court (per majority) was
right in construing it to mean that the powers of the executing court under
this section are not subject to the other conditions and limitations enacted
in the other sections of the Code. Although ordinarily a decree-holder has
an option to choose any particular mode for execution of his money .decree
it may not be correct to say that the Court has absolutely no discretion to
place any limitation as to the mode in which the decree is to be executed.
1742G, 743A-B]
In the instant case, the 4ecree-holder's right, to make an
~pplication for
transfer of his decree under .section 39(1)(d) is a mere procedural right. The
Court of Small Causes could, in its discretion for reasons to be recorded,
733
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734 SUPREME COURT REPORTS [1981] 1 S.C.R.
A refuse to transfer it to the Court of M unsif. In other words the decree
holder had no vested or substantive right to get the decree transferred to the
Court of the Munsif for execution. [743F-G]
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(c) The well settled principle in regard to the retrospective operation of
statutes is that as a general rule, a statute which takes away or imoairs
sub
stantive rights acquired under the existing law is construed to have a prospec
tive operation unless the language of that statute expressly or by inevitable
intendment compels a contrary construction. But this presumption
as to
pros
pective operation of a statute does not apply to an enactment affecting proce-
dure
or practice such as the Code of Civil
Procedure because no person has
..-a vested right in any course of procedure. [741 B-C]
2 (a) The High Court was right in holding that the provisions of section 51
are merely procedural in character. A decree-holder gets a right to execute the
decree only in accordance with the procedure provided by the faw in force
at the time when execution
is sought. If a mode of procedure different
from
the one ·which obtained at the date of passing of the decree has been pro
vided by law, the decrne-holder is bound to proceed in execution according
to the altered procedure. [744A··B]
(b) The Amendment Aot XXIV of 1954 had· taken away the
power
of transferee Court to execute the transferred decree by
attach~
ment and sale of the immovabfo property by making it co-terminus with that
of the transferor Court (the Small Cause Court) and in view of the prohibition
contained in Order 21 Rule 82 C.P.C. it had no power to execute its decree
by sale
of immovable property. That being the position, the Court of the
Munsif to which the decree had been transferred for execution
bad no jurisdic
tion to order sale of the immovable propert)i of the judgment-debtor. The
11ale ordered by the Munsif in execution of the decree of the Court of Small
Causes transferred to him was, therefore, wholly without jurisdiction and
a
nullity. [744 B-D]
Kira11 Singh v. Chaman Paswan, A.LR. 1954 S.C. 340 referred to.
CIVIL APPELLATE JURISDICTION : Civil Appeal No. 1'831 of
1973.
Appeal by Special Leave from the Judgment and Order dated
4-5-1970 of the Allahabad High Court in Spl. Appeal No. 453/69.
B. P. Maheshwari and Suresh Sethi for the Appellants. Ex-Parte
for the Respondents.
The Judgment of the Court was delivered by
SARKARIA, J.-This appeal is directed against a judgment, dated
May 4,
1970, of tihe High Court of Allahabad. It arises in these .-"(
circumstances :
H One Matadin, father of Ram Lochan, respondent 6 herein, was
a fixed rate tenant of the plots in dispute measuring 2. I I acres.
One Ram N aresh Singh ( cjeceased), brother or appellant 1 herein,
MAHAD£0 PRASAD v. RAM LOCHAN (Sarkaria, J.)
namely Mahadeo Prasad Singh, obtained a money decree against
Matadin on February
18, 1953 from the Judge, Small Cm1ses Court,
\varanasi m suit No. 847 of 1953. Ram Naresh Singh
sought to
execute the decree. As a consequence, the decree was transferred
from the Court of the Judge of Small Causes to the Court of Munsif,
· Varanasi, for execution. The plots in dispute were put to auction
by the executing court, and were purchased
by the decree-holder on
July
20, 1956. The sale was confirmed on August 29, 1956 and
the sale certificate was issued on September 8, 1956. The decree
holder-purchaser, Ram Naresh
Singh, took delivery of possession
over
these plots on March 14, 1957. Thereafter, he further sold
the plots to appellant 2 and responden'ts 6 to 10.
Matadin, however, died sometime in 1960. Thereafter his son
Ram Lochan respondent 1, herein, instituted a suit on June 14, 1961
i.e. more than three years after the delivery of possession to the
decree-holder-purchaser, Ram Naresh Singh, under section 229B
read with Section 209 of the U. P. Zamindari Abolition and Land
Reforms Act in the Revenue court against th~ present appellants,
for a declaration th~t he i~ in possession of the suit land as
Bhoomidar. In the alternative, he claimed the relief of possession
on the same basis. He pleaded that
his father, Ram Naresh
Singl:!
was the original Bhoomidar and remained in possession of the suit
land
till his death and thereafter, the plaintiff as the heir of the
deceased continue
in possession as Bhoomidar. He
. further alleged
that the sale
in favour of Ram Naresh Singh was without jurisdiction
and a nullity;
as it had been made without the knowledge of or notice
to his father.
The suit
was resisted by the appellant, who is original defendant
1, and respondents 7 to
10, who are original defendants 2 to 5.
inter alia on the ground that the suit was barred as res judicata and
also under section 4 7 of the Code of Civ11 Procedure, and Article
181 of the Limitation Act; Defendants 2 to 5 further pleaded that
they were
bona fide purchasers for value and, therefore, their rights
in the suit land were protected
under Section 41 of the Transfer
of Property Act. They also, alleged that they had made improve
ments on the suit land and were entitled
to_ the benefit of Section 51
of the
Transfer of Property Act.
The trial court, by its judgment, dated August 30, 1965.
dismissed the suit, holding, in.fer alia, that 1t was barred by tb?.
73 !i
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principle of cons~ructive res judicata as also under Section 4 7 of H
the Code of
Civil Procedure;
th~t the Revenue Court had no
jurisdiction to entertain and try the suit; that the appellants 6 to
736 SUPREME COURT REPORTS [1981] 1 S.C.R.
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10 were bona fide purchasers for value and, as such, were entitled
to the benefit of Sections 41 and 51 of the Transfer of Property
Act; that the suit
was barred by Article 181 of
the Limitation Act,
• 1908 as well as by Section 34(5) of the U.P. Land Reforms Act;
and that
Ram Naresh
Singh had been in possession since March 14,
1967, i.e., the date on whkh be obtained delivery of possession in
executicn of his decree as auction-purchaser.
Aggrieved, the plaintiff (respondent
1) preferred an appeal to
the Court of the Additional Commissioner,
Varanasi, who by hi5
judgment dated December 28, 1965, allowed the appeal and held
that the executing court 'had no jurisdiction to sell the suit land
under Section 42 of the Code of Civil Procedure, as amended by
the U.P. Civil Laws (Amendment) Act. 1954 and that the suit
was not barred
as res judicata or under
Section 47 of the Code of
Civil Procedure. The Additional Commissioner further held that
the possession of Ram Naresh Singh was unlawful as it was on
the basis of the void sale, dated March 4, 1960, which could not
confer
any
tlitle on him; that the judgment-debtor had no knowledge
about the execution procee:dings; that the suit property worth
Rs. 6,000 was for a very mieagre amount and the sale was vitiated
by fraud in publishing and conducting the saie.
·Ram Lochan and Ram Naresh Singh carried a second appeal
against the decision to the Board of Revenue. During the pendency
of that second appeal, Ram Naresh Singh died and Mahadeo Prasad
Singh, appellant 1, was substituted in his place. The Board
dismissed the appeal on the ground that the auction sale with regard
t.o the suit land in pursuance of the decree of the Judge, Small
Causes Court, was void and, as such, did not invesV the decree
holder-purchaser with any title and consequently, the possession
of the appellant
was without
<iny title. . The Board further held that
the auction sale did not affect the suit under Section 209 of the
U.P. Zamindari Abolition and the Land Reforms Act.
To impugn the judgment of the Board, Mahadeo Prasad Singh,
appellant herein, as well as respondents 6 to 10 filed a writ
petition under Article 226 of the Constitution in the High Court
of
Allahabad. A learned
Single Judge, who heard the writ petition,
allowed it by his judgment, dated April 23, 1969, and quashed the
judgments of the Board of Revenue
as
well as of the Additional
Commissioner, who are respondents 2 and 3 herein. Following
an earlier judgment of a Division Bench of the same Court in
Suraj Bux Singh v. Badri Prasad & Anr.(
1
)
the learned Judge held
(1) A.I.R. 1968 .All. 312.
'
\,
MAHADEO PRASAD v. RAM LOCHAN (Sarkaria, J.)
•that the execution; sale of the suit land was proper as per the
;provisions of Section 42 of the Code of Civil Procedure; that prior
to its amendment in U.P. by the U.P. Civil Laws (Amendment)
Act 1954, the executing court had the same powers in relation to
execution
as it would have had if the decree had been passed by
itself; that the decree in the present suit was passed on February
18, 1953, i.e. prior to the coming into force of the Amendment Act
of 1954 and,
as such, the amended Section 42 did not apply to dt; and that .the decree having been passed prior to the date of the
amendment, should be executed in accordance with the provisions
·of Section 42 as it stood prior to its amendment: and that as a
result, the suit for declaration
as well as for possession would have to fail. The learned Single Judge did not go into the question as
.to whether the suit was barred by Section 47 of the Code of
Civil Procedure.
Against the judgment of the learned Single Judge, respondent
1, herein, preferred a Special Appeal whi.ch was referred to a Full
.Bench of the High Court consisting of three learned Judges. The
two Judges, in majority, held that the SmaU Cause Court' had no
power to execute tihe decree by attachment and sale of immovable
property; that the transferee court, namely, the court of the Munsif
'had the same powers as that of the Small Cause Court and,
therefore, that court also had no jurisdiction ·to execute the decree
<by attachment and sale of the immovable properLy; that the right
to execute a decree by attachment .and sale of immovable
property
is a matter of procedure,
while tJie right to realise the
:decretal amount by attachment and sale is a substantive right of
the decree-holder, that the date on which the decree was put into
•execution, the amendment of Section 42 had ·already come into
:force and the power of the transferee court had become co-terminus
·with that of the transferor court; and that the amendment did not
save the right of the appellant to execute· the· decree of the Small
1Causes Court by attachment and sale of immovable property.
Sinha, J. however, dissented. He took the
view that the
Amendment Act did not apply to the present suit , and that a
·~ubstantive right had accrued to Ram Naresh Singh on the passing
, -of t:he decree to execute it by attachment and sale of the immovable
property and that right was clearly saved to him
hy virtue of ·Section 3 of the Amendment Act. In accordance with the view
•·Of the majority, the appeal of respondent 1 was allowed and th~
tOrder of the learned Single Judge was set aside.
Hence this appeal by special leave by the appellants.
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738 SUPREME COURT REPORTS [1981} 1 S.C.R.
A. Thus, the principal question that falls to b~ considered in . th is
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appeal is whether the High
Coui:!t was right in holding that the
execution sale
of the land in dispute was totally without jurisdiction
and null and void.
Some relevant dates may be noted. Ram Naresh obtained
the decree from the Court of Small Causes on February 18, 1953.
On the decree-holder's application under Section 39 of the Code
of Civil Procedure, the decree was transferred to the Court of the
Munsif on January 24, 1955
1
and was put into execution after
the U.P. (Amendment) Act XXIV of 1954 had come into force.
I
This sale in favour of the decree-holder himself took place on
July 20, 1956. It was confirmed on August 29, 1956 and the
sale certificate was issued to the purchaser on September
8, 1956.
The auction-purchaser took delivery
of possession as per Dakhalnama
on March 24, 1957. The decree-holder-purchaser further sold the
plots in dispute to defendants 2 to 5.
Next, at this stage, the relevant provisions of the Code of Civil
Procedure and the U.P. Civil Laws (Reforms and Amendment)
Act (Act No. XXIV of 1954) may be noticed.
Section 38 of the Code of Civil Procedure provides that "a
decree may be executed either by the Court which passed it or
by the Court to which it
is sent for
execution". In the instant case,
as already seen, the decree
was passed by the
Sma!I Cause Court
which was competent to execute it, but (in
view of
Order 21,
Rule 82 of the Code) not by attachment and sale of the
immovable
property of the judgment-debtor. That is to say, that Court could
execute
it by attachment and sale of the movable property of the
judgment-debtor, if it was, of course, not exempt under Section 60
of the Code of Civil Procedure or under any other law.
Section 39 of the Code deals with transfer of decree. Its
material part reads thus :
"39(1). The Court which passed a decree
application of the decree-holder, send it for
another Court of competant jurisdiction -
may, on the
execution to
(a) if the person against whom the decree is passed
actually and voluntarily resides or carries
on business, or
personally works for gain, within the local limits of the
jurisdiction of such other Court, or
(b) if such person has not property within the local
limits of the jurisdiction of the Court which passed
the
decree sufficient to satisfy such decree and has property
MAHADEO PRASAD v. RAM LOCHAN (Sarkai:ia, !.) 'i39
within the local limits of .tb.e jurisdiction of such other A
Court, or
( c)
if the decree directs the sale or delivery of
immovable property situate outside the local
limits of the
jurisdiction
of the Court which passed it, or
( d) if the court
which passed the decree considers
B·
for any other reason, which it shall record in writing, that
the decree should
be executed by such other Court.
(2) The Court
which passed a decree may of its own
motion send it for execution
to any subordinate . Court. of
competent jurisdiction.
(3) ........................
"
In the instant case, the decree was transferred under clause ( d)
of sub-section ( 1) of .Section 39. Unlike the other clauses (a) to
( c) of the sub-section, it seems that under clause (
d), the Court
has a rational discretion
to transfer or not to transfer the decree
passed by. it. This
is apparent from
the word "may" used in the
opening part of sub-section ( 1 ) , and the requirement of recording
reasons for the transfer under clause (
d). It follows therefore, that
under Section
39(1) a decree-holder has no indefeasible right to
get
his application for transfer of decree to another Court ipso facto
accepted by the Court which passed it,
particularly in a case which
is not covered
by clauses (a), (b) and ( c) of that sub-section.
Section 42 of the Code indicates the powers
of the transferee
court for executing a transferred decree. The material part
of
... this section, prior to its amendment by the P.P. Act (No. XXIV)
of 1954, reads
as under :
"The Court executing a decree sent to it shall have the
same powers in executing such decree w if it had been passed
by itself. All persons disobeying or obstructing the execution
of the decree shall be punishable by such Court in the same
manner
as if it had passed the
decree. And its order in
executing such decree shall be subject to the same rules in
respect of appeal as if the decree had been passed by itself.".
(emphasis added)
The provisions in sub-sections (2), (3) and (4) of the Section are
not relevant for our purpose.
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The U.P. Act (No. XXIV of 1954) amended with effect from H
November 30, 1954, Section 42 of the Code. and after that amend-
ment sub-section
(1) of the Section read as under :
·
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SUPREME COURT REPORTS [1981) 1 S.C.R.
''The Court executing the decree sent to it shall have
. the same power in execu1ting such decree as if it had been passed
by itself. All persons disobeying or obstructing the execution
of decree shall be punished by such Court in the same manner
as if it had passed the decree and its order in executing such
decree shall be subject to the same rules in respect of appeal
as
if the decree had been passed by
itself."
(emphasis added)
Thus, for the words "as if it had been passed by itself" occurring
in t].ie first, sentence of sub-section (1) of Section 42, the Amending
Act 24 of
1954 substituted the words
"as the Court which passed
it". The effect of such substitution was that the powers of the
transferee Court in executing the transferred decree became co·
terminus with the powers of the Court which had passed it. · The
result
was that if the power of the transferor Court to execute its
own decree were
·in any respect restricted. the same restriction
would attach to the powers of the transferee Court
in executing
the 1ransferred decree, notwithstanding the position that the powers
of the transferee Court in executing its
own decree were not
so restricted.
Section 3 of the U.P. Civil Laws (Reforms and Amendment)
Act, saves certain rights already acquired or accrued.
It is in E. these terms : '
F
"3 (1) Any amendment made by this Act shall not affect
the validity, invalidity, effect or consequence of anything already
done or suffered, or any right, title, obligation or liability
already acquired, accrued or incurred or any release or
discharge of or frotn any debt, decree, liability, or any jurisdic
tion already exercised, and any proceeding instituted or
commenced in any Court prior to the
commencement_ of this
Act shall, notwithstanding any amendment herein made,
continue
to be heard and decided by such Court.
(2) Where by reason of any amendment herein made in
G the Indian Limitation
Act, 1908, or any other enactment
mentioned in column 2
of the schedule, the period of
Hmit11tion
prescribed for any suit or appeal has been modified or a
different period of limitation will hereafter govern any such
suit or appeal, then: notwithstanding any amendment so made
or the fact that the suit or appeal would now lie in a different
fl Court, the period of limitation: applicable to a suit or appeal,
as aforesaid, in which time has begun to run before the
commencement of this Act, shall continue
to be the period
MAHADEO PRASAD v. RAM LOCHAN (Sarkaria, 1.) 741
which but for the amendment so made would have been A
available.
Before dealing with the contentions canvassed,
we may remind
ourselves of some well-known principles of interpretation in regard
to the retrospective operation of
staitutes. As a general· rule,
a statute which takes away or impairs substantive rights acquired
under the existing law
is construed to have a prospective operation
unless the language of that .statute expressly or by inevitable
intendment compels a contrary construction. But this presumption
as
to prospective operation of a statute does not apply to an
enactment affecting procedure or practice such
as the Code of
Civil Procedure. The reason is
that. no person has a vested right
in any course of procedure. "The general principle indeed seems
to be that alterations in the procedure are always restrospective,
unless there be some good reason against it". (See Mulla's Code
of Civil Procedure, 13th Edn. Vol. I, page
6, and 1958
S.C.R. 919).
In the light of the above principles, the question posed for our
decision, resolves itself into the two-fold issue : whether the decree
holder had acquired a substantive right
(a) to
_get the decree passed
by the Court
of
Small Causes, transferred to the Court of the
Munsif and
(b) thereafter to have is executed by the
transferee
Court in any of the modes provided in Section 51 of the Code of
Civil Procedure, including the mode by attachment and sale of the
immovable property of the judgment-debtor. ·
As before the High Court, here also, it is contended on behalf
, of the decree-holder that he had acquired this two-fold susbtantive
·right before the coming into force of the U.P. (Amendment Act
XXIV) of 1954, and,
as such, it was saved by
Section 3(1) of
this Amendment Aot.
It is maintained that the two-fold right aforesaid is a substantive
right and not merely a matter of procedure. Support for this
argument has been sought from a decision of this Court in
Garikapati
v. Subbiah Choudhry(
1
).
Rderence has also been made to a
Division Bench judgment of the Allahabad High Court in Suraj Bux
Singh v. "?adri Prasad(
2
).
In the alternative, it is submitted that assuming the sale was
without jurisdiction, then also, that question would relate to the
·execution, discharge or satisfaction of the decree and, as such, the
remedy of the judgment-debtor was to proceed by an application
(1) A.LR. 1957 S.C. 540.
{l) A.J.R. 1968 All. 312.
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un.der Section 4 7 of the Code of Civil Procedure and not by a
suit as has been done by the plaintiff in the instant case. In short,
the .argument
is
that in any ~vent, the present suit was barred by
Sect10n 47 of the Code.
It appears to us that none of these contentions stands a cl0se
examination.
It may be
noted that llhe fasciculus of Sections 51 to 54 of
the Code of Civil Procedure appear under the heading "PROCEDURE
IN EXECUTION". Section 51 is captioned-"Powers of Court
to enforce execution". It reads thus :
C "Subject to such conditions and limitations as may be
prescribed, the Court may, on the application of the decree
holder, order execution of the decree -
I
(a) by delivery of any property specifically decreed;
(b) by attachment and sale or by sales without
D attachment of any property;
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( c) ........................... .
( d) by appointing a receiver; or
( e) in such other manner
as the nature of the relief
granted may require :
Provided that, where
the decree is for the payment
of money, execution by detention in prison shall not bCJ
ordered unless, after giving the judgment-debtor an
opportunity of showing cause why he should not be
committed to prison, the Court, for reasons recorded in
writing, is satisfied .............. "
This Section "merely '~numerates the different modes of
.execution in general terms while the conditions and limitations under
which alone the respective modes can be availed of are prescribed
further on by different provisions". (See. . . . I.R. Commentaries
Vol. I, 9th Edn.
p. 863). The opening words of the Section
"Subject
to such conditions and limitations as may be prescribed" put it
beyond doubt that there
is no wide or unrestricted jurisdiction to
order execution or to claim execution in every case in all the modes
indicated therein.
'Prescribed' has been defined in Section 2(16)
of the Code to mean "prescribed by rules", and "rules", under Section
2(18) means "rules and forms" contained in the First Schedule of
the Code or framed
by the respective superior Courts in different States under Section 122 or Section 125.
I
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MAHADEO PRASAD v. RAM LOCHAN (Sarkar/a, J.) 743
We are one with the High Court {majority) that this phrase A
cannot be construed to mean that the powers of the executing Court
under this Section are not subject to the other conditions and
limitations enacted in the other sections of
.the Code. For instance,
the mode,
(b), by attachment and sale of
the property of the
judgment-debtor, may not be available in respect of property which B
falls within the exemption of section 60 of the Code. Although
ordinarily the decree-holder has an option to choose any particular
mode for execution of bis money-decree, it will not be correct to
say that the Court has absolutely no discretion to place any limitation
as to the mode in which the decree is to be executed. The option
of the judgment-debtor, for instance, to apply under Order 21.
Rule 30, C.P.C. for execution of a decree simultaneously againsJ
both the person and the property of the judgment-debtor is subject
to exercise by the Court of a judicial discr.etion vested in it under
Order 21, Rule 21, C.P.C.
We have already noticed, that under Section 39(1) (d), the
decree holder has no indefeasible, substantive right to get a decree
<>f a Court of Small Causes passed in his favour transferred to
another Court. Cases are conceivable where the decree is of such
a petty· amount that the Court of Small Causes thinks that .it can
·easily be executed by it by attachment and sale of the movable
property of the judgment-debtor. In the instant case, also the
decree was for a small amount of
Rs.
300 and odd and. we understand
~
that the application for transfer was made under clause (d) of
Section
39(1). Thus, the decree-holder's right to make an appli
cation
:for transfer of his decree under section 3 9 ( 1) ( d)
is a mere procedural right. The Court of
Small Causes could in
its discretion, for reasons to
be recorded, refuse to
tra_nsfer it to
the Court of the Munsif. In other words, the decree--holder had
no vested or substantive right to get the decree •transferred to the
Court of the Munsif for execution. The first limb of the issue iS
therefore answered against 1the appellant.
As regards the second limb of the
issu,e, we find ourselves
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entirely in agreement with the High Court that
the provisions of H
Section 51 are merely procedural in character. A decree-holdei
gets a right ~o execute the decree only in accordance with the
744
A
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E
F
G
H
SUPREME COURT REPORTS [1981] 1 S.C.R.
procedure provided by law in force at the time when the executioir.
is sought. If a mode of procedure different from the one which
obtained at the date of the passing of the decree, has been provided: ..._
by law, the decree-holder is bound to proceed in execution according
to the altered proceduw.
The Amendment Act XXIV of 1954 had taken away the
power of the transferee court to execute the transferred decree by
attachment and sale of the immovable property by making it co-
terminus with that of the transferor Court which, in the instant . t
ca5e, was the Small Cause Court and in view of the prohibition
contained in Order 21, Rule 82, Code of Civil Procedure, had no
power
.to execute its decree by sale of immovable property.
Thal •
being the position, the Court of the Munsif to whom the decre1J
had also been transferred for execution, had also no jurisdiction to
order sale
of the
immovable property of the 1udgment-debtor. Thus
'
considered, the sale of the immovable property ordered by the
Munsif in execution of the decree of the Court of Small Causes
transferred to him, was wholly without jurisdiction and a nullity.
Once we come to the conclusion that the sale in question was
totally null and void, the alternative contention of the appellants
with regard to the suit being barred by Section 47 of the Code of
Civil Procedure, does not survive.
This
is not a case of an irregular or voidable sale which
continues
to subsist so long as it is'' not set aside, but of a sale
which was entirely without jurisdiction. It wa5 non est in the eye
of law. Such a nullity does not from its very nature, need
setting aside.
· As pointed out by this Court in Kiran Singh v. ChamaM
Paswan(I), ·" .. .it is a fundamental principle, well established that
a decree passed by a Court without jurisdiction,
is a nullity; and
that
its invalidity could be set .up whenever it is sought to be
enforced or relied upon, even at the stage of execution, and even
in collateral proceedings".
Most of the rulings which have been cited in 'support of their
alternative contention by
.the appellants, were also cited before
(1) A. I. R
19S4 S. C. 340.
MAHADEO PRASAD v. RAM LOCHAN (Sarkaria, !.) >745
the High Court and have been rightly distinguished. We need not A
go into the same.
~ Before we part with the judgment, we may, however, note that
the amendment made by the U.P. (Act XXIV) of 1954 was deleted
by another U.P. (Amendment) Act XIV of 1970, and the un
amended sub-section ( 1) of Section 42, as it existed before the
amendment of 1954, was revived. But, this Amendment Act (XIV
of 1970) was not given retrospective operation. It did not affect
the previous operation of the Amendment Act XXIV of 1954 or
anything suffered or done thereunder.
For the foregoing reasons, we uphold the impugned judgment
and dismiss this appeal.
In view of the law point involved, we
. leave the parties to pay and bear their own costs.
P.B.R.
Appeal dismissed.
6·-fi45 S. C. India/SO
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In the pivotal case of Mahadeo Prasad Singh & Anr. v. Ram Lochan & Ors., a landmark ruling available on CaseOn, the Supreme Court of India delivered a definitive judgment on the interpretation of Section 42 Code of Civil Procedure and its direct impact on the jurisdiction of an executing court. The Court meticulously distinguished between substantive and procedural rights, clarifying that changes in procedural law, such as the mode of executing a decree, apply retrospectively. This analysis delves into the core principles that render an action taken without jurisdiction a complete nullity in the eyes of the law.
The central legal question before the Supreme Court was whether a Munsif’s Court (the transferee court) had the jurisdiction to sell immovable property while executing a money decree that was originally passed by a Court of Small Causes. This issue was compounded by a critical amendment to Section 42 of the Code of Civil Procedure (CPC) by the U.P. Civil Laws (Reform and Amendment) Act, 1954, which came into effect after the decree was passed but before it was transferred for execution.
The judgment revolves around the interplay of several key legal provisions and principles:
The appellants contended that the decree-holder had acquired a substantive right to execute the decree through the sale of immovable property at the moment the decree was passed in 1953. They argued this right was saved by the saving clause (Section 3) of the 1954 Amendment Act.
The Supreme Court systematically dismantled this argument. It held that the right to execute a decree is governed by the procedural law in force at the time of execution, not at the time the decree was passed. The Court clarified the following:
Understanding the nuances of such jurisdictional shifts is critical for legal practitioners. For those short on time, tools like the CaseOn.in 2-minute audio briefs provide a quick and effective way for legal professionals to grasp the core analysis of complex rulings like this one, ensuring they stay updated on foundational legal principles.
The Court concluded that the sale conducted by the Munsif was not merely irregular or voidable but was wholly without jurisdiction and, therefore, a nullity. A void act is considered non-existent (non est) in law and does not need to be formally set aside. Its invalidity can be asserted at any stage, even in collateral proceedings.
The Supreme Court dismissed the appeal, upholding the High Court’s Full Bench decision. It was definitively ruled that the auction sale was a nullity because the executing court acted beyond its jurisdiction as defined by the amended Section 42 of the CPC. The sale did not confer any title upon the decree-holder-purchaser, and the subsequent suit for a declaration of title was maintainable.
A decree from a Small Causes Court was transferred for execution to a Munsif's Court after a crucial legislative amendment altered the powers of transferee courts. The Munsif's Court proceeded to sell immovable property, an act the original Small Causes Court was forbidden to do. The Supreme Court held that the amendment was procedural and applied retrospectively. This limited the Munsif's powers to that of the Small Causes Court, making the sale of immovable property an act without jurisdiction. The sale was declared a complete nullity, void from its inception.
For lawyers and legal professionals, this judgment serves as a powerful reminder of the fundamental doctrine of jurisdiction. It underscores that any action by a court beyond its statutory power is void and can be challenged at any time. It highlights the critical importance of verifying the executing court's powers, especially when decrees are transferred. For law students, this case is a masterclass in statutory interpretation, clearly illustrating the distinction between prospective and retrospective laws and the difference between substantive and procedural rights. It provides a classic example of how a seemingly minor change in statutory language ("as if it had been passed by itself" vs. "as the Court which has passed it") can have profound jurisdictional consequences.
Disclaimer: This article is for informational purposes only and does not constitute legal advice. Readers are advised to consult with a qualified legal professional for advice on any specific legal issue.
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