03 August 1977
Supreme Court
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MAHANT BIKRAM DASS CHELA Vs FINANCIAL COMMISSIONER, REVENUE,PUNJAB, CHANDIGARH AND OTHE

Case number: Appeal (civil) 1822 of 1975


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PETITIONER: MAHANT BIKRAM DASS CHELA

       Vs.

RESPONDENT: FINANCIAL COMMISSIONER, REVENUE,PUNJAB, CHANDIGARH AND OTHER

DATE OF JUDGMENT03/08/1977

BENCH: CHANDRACHUD, Y.V. BENCH: CHANDRACHUD, Y.V. KAILASAM, P.S.

CITATION:  1977 AIR 2221            1978 SCR  (1) 262  1977 SCC  (4)  69  CITATOR INFO :  R          1978 SC 335  (11)

ACT: Limitation Act 1963, Sections 5, 117-Whether requirement  of filing sufficient copies of memorandum of appeal  mandatory- Whether   not   filing  of  file   copies   renders   appeal time-barred-Civil Procedure Code, O.41 r. 1-Rules and orders of Punjab High Court-Chapter I Volume V.

HEADNOTE: The  appellants filed two applications for the ejectment  of the  respondents on the ground that they failed to pay  rent without sufficient cause.  These applications were dismissed first by the Assistant Collector and then by the  Collector. The  appellant then filed two revision applications  to  the Commissioner  who  made a recommendation  to  the  Financial Commissioner to the effect that the orders of the  Collector and  the Assistant Collector be set aside and a  decree  for ejectment  be  passed against  the  respondents.   Financial Commissioner  passed a decree evicting the respondents  from the  land  in  one  revision  application.   The  the  other Revision  Application the Financial Commissioner  held  that the  ejectment  petition filed by the appellant  had  become infructuous  in view of the fact that the land was  required by  the Amritsar Improvement Trust which had  already  taken possession thereof.  The question of their ejectment did not arise for consideration. The  appellant  challenged  the decision  of  the  Financial Commissioner  by  filing  a writ petition in  the  Punjab  & Haryana  High Court.  The writ petition was dismissed  by  a single Judge on 10th November 1970.  The appellant filed  an appeal  against  that judgment under clause  10  of  Letters Patent to a Division Bench of the High Court. The  Memorandum  of  Letters  Patent  Appeal  against   that judgment  was lodged by the appellant on December 23,  1970, which  was  within  30 days from the date  of  the  judgment appealed  from.   The  Letter  Patent  Appeal  came  up  for admission  on February 24, 1971 when Division  Bench  issued notice  to the respondent.  Respondents raised an  objection that the appeal was barred by limitation on the ground  that though the memorandum of appeal was filed within 30 days  of the date of the judgment of single Judge, it was not  accom-

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panied by 3 sets of documents which are required to be filed under  the rules of the High Court.  Counsel  for  appellant then  asked  for an adjournment for  filing  an  application under  s.  5 of the Limitation Act 1063 for  condonation  of delay. The  matter was referred for opinion of a full  Bench.   The question  which the Division Bench, inter alia, referred  to the Full Bench was as under :               "Can an appeal under clause 10 of the  Letters               Patent be held to be incomplete or ’no  appeal               in  the eye of law’ merely because it  is  not               accompanied  by  the  requisite  three   spare               copies of the paper book               This  question was answered by the full  Bench               thus :               "the above discussion leads to the  conclusion               that  if  an  appeal under clause  10  of  the               Letters  Patent  does  not  comply  with   the               mandatory  provision of Rule 3 of Chapter  2-e               of  the High Court Rules by not filing 3  sets               of typed copies of the documents, it has to be               regarded  as no appeal in the eyes of the  law               and  shall not be deemed to be filed  on  that               day.  it  shall be deemed to have  been  filed               only  on the day, when it is complete  in  all               respects  as  ’required by the  Rules  and  is               accepted to registration by the Registry." After  deciding  the question the Full  Bench  remitted  the appeal to Division  2 6 3 Bench  and  directed  the Division Bench to  deal  with  the application filed by the appellant for condonation of  delay caused in filing the appeal. The Division Bench then took up the appeal for consideration of  the  question  whether the delay caused  in  filing  the appeal should be condoned under s. 5 of Limitation Act.   It held  that the appellant had failed to make out a  case  for condonation  of  delay and, therefore, dismissed it  on  the ground that it was barred by limitation. Allowing an appeal by certificate, HELD  :  For  deciding the question whether  the  appeal  is preferred in time, the relevant provisions of the Limitation Act,  the Civil Procedure Code and the Rules and  Orders  of the High Court must be noticed. [266C] Article 117 of Limitation Act 1963 prescribes a period of 30 days limitation for filing an appeal from a decree or  order of  any  High Court to Supreme Court.  The time  for  filing such  an  appeal runs from the date of the decree  or  order appealed  from.   Section 5 of Limitation Act  provides  for extension  of  the prescribed period of  limitation  if  the appellant  satisfies the Court that he had sufficient  cause for not preferring the appeal within that perod. [266C-D] Order  41, Rule 1(1) of Civil Procedure Code  requires  that every appeal shall be preferred in the form of a  memorandum signed by the appellant or his pleader and presented to  the Court or to such officer as it appoints in that behalf.  The memorandum  has  to be accompanied by a copy of  the  decree appealed  from and of the judgment on which it  is  founded, unless the appellate court dispenses with the production  of the judgment.  If these conditions are fulfilled, the appeal is  preferred  validly so far as the requirements  of  Civil Procedure  Code  are concerned on the date on  which  it  is presented.   A  memorandum  which  does  not  satisfy  these requirements may, under Rule 3(1) be rejected or returned to the appellant for the purpose of being amended within a time

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to  be  fixed  by the Court or be amended  then  and  there. [266D-F] Chapter  I  of Volume V of Rules and Orders of  Punjab  High Court,  which  is entitled "Judicial Business"  deals  under Part  A  with  the presentation and  reception  of  appeals, petitions and applications for review and revision.  Pule  4 provides :               "No  memorandum  of  appeal  preferred   under               clause   10   of  Letters  Patent   shall   be               entertained if presented after the  expiration               of  30  days  from the date  of  the  judgment               appealed  from unless the admitting  Bench  in               its  discretion, for good cause shown,  grants               further time for presentation." [266G-H] By  Rule 5(1) the Deputy Registrar may return for  amendment and refiling within a time not exceeding 10 days at a  time, and  40  days  in  the aggregate, to be  filed  by  him  any memorandum of appeal for the reason specified in Order  XLI, Rule  3, Civil Procedure Code, if the memo of appeal is  not amended  within  the time allowed by  the  Deputy  Registrar under sub-rule (1) it has to be listed for orders before the Court under sub-rule (2). [267AB] Chapter  2-e,  Part which deals with "Preparation  of  Paper Books  in  L.P. Appeals" provides by rule 3 that  no  appeal under  clause  10 of the Letters Patent be  received  by-the Deputy  Registrar  unless it is accompanied by  three  typed copies  of  (a) the memorandum of appeal; (b)  the  judgment appealed  from and (c) the paper book which was  before  the judge from whose judgment the appeal is preferred. [267B-C] In  the  instant case, only one set of documents  was  filed along  with  the memorandum of the  Letters  Parent  Appeal. Nevertheless, the Deputy Registrar did receive the appeal on December  23, 1970.  He accepted the remaining two  sets  of the  documents required to be filed under Rule 3 on  January 30, 1971. [267C] HELD FURTHER : Rule 3 is directory and not mandatory.   Rule 3   being  directory  in  nature,   substantial   compliance therewith is enough to meet its requirements.  There was  in this  case substantial compliance with the rule and  it  was erroneous  to  treat  the appeal as  being  time  barred  by limitation 264 Since one complete set of three documents specified in  Rule 3 was filed alongwith the memorandum, the failure to.,  file two additional set of document is a mere irregularity  which it  was within the discretion of the High Court to  condone. [267D, 268C] State of Punjab v. Shamlal Murari [1976] 2 SCR 82 followed. The submission of the respondent that this court should  not interfere  with  the  order  of High  Court  passed  in  its discretionary   powers  negatived;  since  the  High   Court exercised  its discretion on a fallacious  supposition  that the appeal was time-barred. [267H, 268A] Section  5 of the Limitation Act is a hard-task  master  and judicial  interpretation  has  encased it  within  a  narrow compass.  A large measure of case-law has grown around s. 5, its high lights being that one ought not easily take away  a right  which  has accrued to a party by lapse  of  time  and that,  therefore, a litigant who is not vigilant  about  his rights  must explain every day’s delay.  These  and  similar considerations which influence the decision of s. 5 applica- tion  are out of place in cases where the appeal  itself  is preferred  within the period of limitation but there  is  an irregularity in presenting it. [268G-H. 269A]

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JUDGMENT: CIVIL  APPELLATE  JURISDICTION : Civil Appeal  No.  1822  of 1975. From  the Judgment and Order dated 26-9-1974 of  the  Punjab and  Haryana High Court in Letters Patent Appeal No.  65  of 1971. H.   L. Sibbal, S. K. Jain and S. M. Jain for the Appellant. N.   C.  Sikri, A. K. Sikri and A. D. Sikri for  Respondents 4-6 The Judgment of the Court was delivered by CHANDRACHUD,  J.  The appellant, Mahant Bikram  Dass  Chela, filed  two applications for eviction of respondents 4  to  6 (hereinafter  called ’the respondents’), on the ground  that they  had  committed  default in the  payment  of  rent.   A compromise  was arrived at between the parties on March  31, 1969, under which it was agreed that the respondents  should pay  to the appellant a sum of Rs. 11,872 by March 31,  1959 and  the balance in six-monthly installments of Rs.  1,000/- each.   Respondents  committed  default in  the  payment  of future  instalments,  upon  which the  appellant  filed  two applications  on  April 2, 1962 for their ejectment  on  the ground  that they had failed to pay rent without  sufficient cause.   One  of these applications covered an area  of  117 Kanals  and  the  other  of 76 kanals odd. .  .  .  .  These applications were dismissed first by the Assistant Collector and  in appeal by the Collector.  The appellant  then  filed revision applications to the Commissioner, who, on March  1, 1965 made a recommendation to the, Financial Commissioner to the  effect  that  the  orders  of  the  Collector  and  the Assistant Collector be set aside and a decree for  ejectment be  passed  against  the respondents.  By  his  order  dated November  26, 1965 the Financial Commissioner  accepted  the recommendation  with  regard to the area of  76  Kanals  and passed  a  decree evicting the respondents from  that  land. That order his become final. In  the  other  Revision  pertaining  to  117  Kanals,   the Financial  ’Commissioner by an order dated November 4,  1965 held that the ejectment-petition filed by the appellant  had become  infructuous  in view of the fact that the  land  was acquired  by  the  Amritsar  Improvement  Trust,  which  had already taken possession thereof.  According  265 to  the Financial Commissioner, since the Improvement  Trust had  taken possession of the land, respondents ceased to  be tenants  and the "question of their ejectment did not  arise for consideration. The appellant then filed a Civil Writ, No. 1146 of 1966,  in the Punjab & Haryana High Court, challenging the decision of the   Financial  Commissioner.   The,  Writ   Petition   was dismissed  by  a  learned Single  Judge  against  which  the appellant  filed  an appeal under clause 10 of  the  Letters Patent to a Division Bench of the High Court. The Single Judge had dismissed the Writ Petition on November 27.  1970.   The  Memorandum of the  Letters  Patent  Appeal against  that  judgment  was  lodged  by  the  appellant  on December 23, 1970, which was within 30 days from the date of the judgment appealed from.  The Letters Patent appeal  came up  for  admission on February 24, 1971  when  the  Division Bench directed that a notice be issued to the respondents in regard to the admission of, the appeal.  After completion of the record of the appeal, the matter was placed for  hearing before  a  Division Bench. when the  respondents  raised  an objection  that the appeal was barred by limitation  on  the

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ground that though the memorandum of appeal was filed within 30 days of the date of the judgment of the Single Judge,  it was  not  accompanied by three sets of documents  which  are required  to  be filed under the rules of  the  High  Court. Counsel for the appellant then asked for an adjournment  for filing  an application under s. 5 of the Limitation Act  for condonation of die delay.  Notice of the condonation  appli- cation was given to the respondents and on hearing them, the Court  framed  seven  questions and referred  them  for  the opinion  of a Full Beach.  The questions, as they  read,  do not  seem to call for such special treatment but it  appears that  though  the matters in dispute  relate  to  procedural regulations,  learned  Judges of the High  Court  had  taken differing  views which necessitated the reference to a  Full Bench. The Full Bench answered those questions by a judgment  dated March 19, 1974 and remitted the appeal to the Division Bench for final disposal in the light of the answers given by  it. It  also  directed  the  Division Bench  to  deal  with  the application  filed by the appellant for condonation  of  the delay caused in filing the appeal. Out  of the seven questions referred to the Full  Bench,  we are concerned, principally, with question No. 7 only,  which is as follows               "Can an appeal under clause 10 of the  Letters               Patent be held to be incomplete or "no  appeal               in  the eye of law" merely because it  is  not               accompanied  by  the  requisite  three   spare               copies of the paper-book ?"               This  question was answered by the Full  Bench               thus               "The above discussion leads to the  conclusion               that  if  an  appeal under clause  10  of  the               Letters  Patent  does not corn  ply  with  the               mandatory provisions of Rule 3 of Chapter  2-C               of the Rules by not filing three sets of typed               copies of the documents, it has to be regarded               as  no appeal in the eve of law and shall  not               be deemed to have been filed on               6--768SCI/77               266               that  day.   It shall be deemed to  have  been               filed  only on the day when it is complete  in               an respects, as required by the Rules, and  is               accepted for registration by the Registry." The Division Bench then took up the appeal for consideration of  the  question  whether the delay caused  in  filing  the appeal should be condoned under S. 5 of the Limitation  Act. By  a  judgment dated September 26, 1964 it  held  that  the appellant  had failed to make out a case for condonation  of the  delay  and,  therefore, the appeal  was  liable  to  be dismissed  on the ground that it was barred  by  limitation. The  appeal  was accordingly dismissed,  against  which  the appellant  has filed this appeal by certificate  granted  by the High Court. For  deciding the question whether the appeal was  preferred in time, the relevant provisions of the, Limitation Act, the Civil Procedure Code and the Rules and Orders of the  Punjab High Court must be noticed. Article 117 of the Limitation Act, 36 of 1963, prescribes  a period  of. 30 days’ limitation for filing an appeal from  a decree  or order of any High Court to the same  Court.   The time  for  filing such an appeal runs from the date  of  the decree or order appealed from.  Section 5 of the  Limitation Act  provides  for  extension of the  prescribed  period  of

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limitation if the appellant satisfies the court that he  had sufficient  cause for not preferring the appeal within  that period. Order 41, Rule 1(1) of the, Code of Civil Procedure requires that  every  appeal  shall be preferred in  the  form  of  a memorandum  signed  by  the appellant  or  his  pleader  and presented to the Court or to such officer as it appoints  in that behalf.  The memorandum has to be accompanied by a copy of the decree appealed from and of the judgment on which  it is  founded, unless the appellate court dispensers with  the production  of  the  judgment.   If  these  conditions   are fulfilled  the  appeal is preferred validly, so far  as  the requirements  of the Civil Procedure Code are concerned,  on the date on which it is presented.  A memorandum which  does not  satisfy  these requirements may, under  Rule  3(1),  be rejected,  or returned to the appellant, for the purpose  of being  amended within a time to be fixed by the Court or  be amended then and there. The  Rules and Orders of the Punjab and Haryana High  Court, which   are  contained  in  Volume  V  of  the  High   Court publication,  relate to "Proceedings in the High Court"  and are  made  under the authority, inter alia, of  the  Letters Patent of the High Court.  Chapter   of the aforesaid volume, which is entitled "Judicial Business", deals by Part A  with the  presentation  and reception of appeals,  petitions  and applications for Review and Revision.  Rule 4 provides :               "No  memorandum  of  appeal  preferred   under               clause  10  of  the Letters  Patent  shall  be               entertained if presented after the  expiration               of  30  days  from the date  of  the  judgment               appealed  from, unless the admitting Bench  in               its  discretion, for good cause shown,  grants               further time for the presentation". 267 By rule 5(1), the Deputy Registrar may return for  amendment and refiling within a time not exceeding 10 days at a  time, and  40  days  in the aggregate, to be  fixed  by  him,  any memorandum of appeal for the reason specified in Order  XII, Rule  3, Civil Procedure Code.  If the memorandum of  appeal is  not  amended  within  the time  allowed  by  the  Deputy Registrar under sub-rule (1), it has to be listed for orders before the Court under sub-r. (2). Chapter 2-C, Part C, which deals with "Preparation of  paper books in Letters Patent Appeals", provided by rule 3 that no appeal  under  clause  10  of the  Letters  Patent  will  be received by the Deputy Registrar unless it is accompanied by three typed copies of (a) the memorandum of appeal; (b)  the judgment  appealed  from; and (c) the paper-book  which  was before  the  Judge-  from  whose  judgment  the  appeal   is preferred. In  the  instant case, only one set of documents  was  filed along  with  the Memorandum of the  Letters  Patent  Appeal. Nevertheless, the Deputy Registrar did receive the appeal on Dec.  23, 1970.  He accepted the remaining two sets  of  the documents  required to be filed under rule,3 on January  30, 1971.  The  judgment  of  the  Full Bench,  Bikram  Dass  Dass  v. Financial   Commissioner,(1)  in  pursuance  of  which   the Division  Bench  considered the question of  condonation  of delay  and passed the impugned order came for  consideration before  this Court in State of Punjab v. Shamlal  Murari.(2) It  was held in that case that every minor detail  specified in rule 3 does not carry a compulsory import, that the  core of  the  matter  is  not  that  three  copies  of  documents mentioned  in the rule must be filed but that copies of  all

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the  documents  mentioned in the rule should be  before  the Court and that there should be no overemphasis on the filing of three copies of the documents at the time when the appeal is filed.  The Court further observed that if no copy at all of  any of the three items is furnished the result might  be different  but the failure to comply with the rule  strictly is  a mere irregularity which the Court, in the exercise  of its  discretion,  can condone by granting further  time  for formal  compliance with the rule.  After thus  holding  that rule 3, though expressed in mandatory language, is directory in nature, the Court did not interfere with the order of the High  Court  refusing  to extend the time  and  condone  the delay,  since that was a discretionary exercise of power  by the High Court. Following  this decision, and in respectful  agreement  with the view that rule 3 is directory and not mandatory, we must hold  that  since one complete set of  the  three  documents specified in rule 3 was filed along with the memorandum, the failure  to file two additional sets of documents is a  mere irregularity which it was within the discretion of the  High Court to condone. Counsel  for  the respondents contends that since  the  High Court has exercised its discretion in the matter by refusing to condone the delay, we should not interfere with the  High Court’s order for the (1)  A.I.R. [1975] Punjab. 1. (2)  [1976] 2 S.C.R. 82. 268 same  reasons for which this Court in Shamlals (supra)  case refused  to  interfere  with discretionary  order.   We  are unable to accept that the decision in Shamlal’s case can  be a precedent on the question as to the limits of the power of this  Court  to interfere with a discretionary  order.   But quite apart from that consideration, there are valid reasons why  we cannot sustain the order of the High Court  refusing to condone, what is described as ’the delay caused in filing the Letters Patent Appeal. The argument proceeds on the assumption that the appeal  was presented  beyond  the period of limitation  prescribed  for filing  Letters  Patent  Appeals.   That  is  a   fallacious assumption.  The appeal was presented within 10 days, which is  the  period  of limitation  for  filing  Letters  Patent Appeals.  There was, however, an irregularity in  presenting the appeal, namely, that the appeal was accompanied by  only one set of the three items mentioned in rule 3 of Chapter 2- C  which requires that three sets should be filed.  Ride  3, being directory in nature, substantial compliance  therewith is  enough  to  meet its requirements.  There  was,  in  the instant  case,  substantial  compliance with  the  rule  and therefore,  it  was erroneous to treat the appeal  as  being barred by limitation. The  irregularity  committed in filing only one set  of  the three  documents  mentioned in rule, 3 of  Chapter  2-C  was cured  within a reasonable time by filing the remaining  two sets  on January 30, 1971.  That was within 40 days  of  the date  on which the appeal was preferred, which is  the  time which the Deputy Registrar can grant in the aggregate, under rule  5(1)  of Chapter 1, for amendment of a  memorandum  of appeal which does not comply with Order 41, rule, 3,  C.P.C. The  Letters  Patent Appeal was taken up  by  the  Admitting Bench for admission on February 24, 1971 when the appeal was complete  in  all respects.  There was then no  question  of granting  further time for "presentation" of the  appeal  or for removing the irregularity from which the presentation of the appeal suffered.

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The  objection  raised by the respondents on  the  score  of limitation, the adjournment sought by the appellant to  file an  application  under  s.  5  of  the  Limitation  Act  for condonation  of delay and the refusal of the Division  Bench to  condone the delay are all misplaced, proceeding as  they did on an erroneous assumption that the appeal was barred by time  on  the date on which it was filed and  that  the  re- quirement  of  rule  3  of Chapter  2-C  is  mandatory  in character.  We cannot stay our hands on the ground that this Court does not normally interfere with discretionary orders, when  the  High Court used its discretion on  an  altogether fallacious supposition that it had to consider the  question of  condonation  of delay in the context of  an  application filed under s. 5 of the Limitation Act. Section  5 of the Limitation Act is a hard  task-matter  and judicial  interpretation  has  encased it  within  a  narrow compass.  A large measure of case-law has grown around s. 5, its highlights being that one ought not easily to take  away a  right which has accrued to a party by lapse of  time  and that  therefore  a litigant who is not  vigilant  about  his rights must explain every day’s delay.  These and similar  269 considerations   which  influence  the  decision  of  S.   5 applications  are  out of place in cases  where  the  appeal itself  is  preferred within the period  of  limitation  but there  is  an irregularity in presenting it.  Thus,  in  the instant case, there was no occasion to invoke the provisions of s.     5, Limitation Act, or of rule 4, Chapter 1, of the High  Court  Rules. If the Division Bench were,  aware  that rifle, 3 of Chapter 2-C is directory, it would have  treated the  appeal  as  having  been filed  within  the  period  of limitation, rendering it inapposite to consider whether  the delay caused in filing the appeal could be condoned. We hold accordingly that the High Court is wrong in its view that  the  appeal was barred by time.  The,  memorandum  was presented  within the prescribed period of limitation of  30 days and there is no reason why, the irregularity  committed in  not  filing  three  sets of  documents  along  with  the memorandum  should not be excused when one complete set  was filled  with the memorandum and the remaining two sets  were filed within a reasonable, time thereafter. It  is  not necessary to send back this matter to  the  High Court, since the parties have arrived at a settlement.   The appellant. agrees that the sum of Rs. 25,734/- which is kept in  a  fixed deposit account in the names  of  respondent  4 (Dayal Singh), respondent 5 (Harbhajan Singh) and respondent 6 (Harbans Singh) in the Punjab National Bank, Amritsar, may be, withdrawn unconditionally by these respondents, together with  the interest which may have accrued on  the  aforesaid amount.   Mr.  Sikri, on behalf of  the  three  respondents, gives  up all the rights and contentions in the  matter  and agrees  that his clients shall have no right to  participate or  share  in  any further or higher  amount  which  may  be granted  by way of compensation for the acquired land.   The appellant, on his part, agrees that be will not be  entitled to recover from respondents 4, 5 and 6 any amount by way  of arrears  of rent.  Since respondents 4, 5, and 6 have  given up  their contentions in the suit, their rights shall  stand transferred to the appellant. The appeal shall stand disposed of accordingly.  There  will be no order as to costs. F.H.P. Appeal allowed. 270

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