16 January 1976
Supreme Court
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NARHARI SHIVRAM SHET NARVEKAR Vs PANNALAL UMEDIRAM

Bench: FAZALALI,SYED MURTAZA
Case number: Appeal Civil 909 of 1968


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PETITIONER: NARHARI SHIVRAM SHET NARVEKAR

       Vs.

RESPONDENT: PANNALAL UMEDIRAM

DATE OF JUDGMENT16/01/1976

BENCH: FAZALALI, SYED MURTAZA BENCH: FAZALALI, SYED MURTAZA SARKARIA, RANJIT SINGH

CITATION:  1977 AIR  164            1976 SCR  (3) 149  1976 SCC  (3) 203

ACT:      Code of Civil Procedures 38 and 39 Transfer of a decree dated 29-6-1960  passed by  the Bombay High Court to the Goa Court for execution- Whether it is a "foreign decree’ within the meaning  of sec. 2(6), C.P.C. and whether the High Court a "foreign  court" within  the meaning of s. 2(5) especially when the parties subjected themselves to the jurisdiction of that Court by prosecuting their case upto a certain stage.      Constitution of  India-Art. 261(3)-Meaning  of the word "according to law"- Whether they refer to the "law in force" during the  pendency of  the appeal or the "law in force" on the date  of transfer  of the  decree for execution Scope of Art. 261(3).      Decree-Executability of a decree is not a vested right- Extension of  the provisions  of Civil  Procedure Code  to a State later on does not affect the decree.

HEADNOTE:      In the Civil Suit No. 203 of 1955, on the original side of  the   Bombay  High   .  Court,   filed  by  the  decree- holder/respondent against the appellant/judgment, debtor for recovery of  certain amount of money, summons were served on the judgment-debtor  who after  filing his written statement absented himself,  and did  not take any further part in the proceedings of  the Court  resulting in a decree dated 29-6- 1960 for  Rs. 65,953.79. On 20-12-1961, Goa became a part of India and  was made  a  Union  Territory  of  India  by  the Constitution (Twelth  Amendment) Act,  1962 passed  on 27-3- 1962. The decree-holder applied to the Bombay High Court for transferring the decree to Goa Court for execution and by an order dated  28-8-1963 the decree was transferred to the Goa Court for  execution. The  execution application  before the Executing Court  at Panjim  filed on 21-1-1964 was dismissed on 26-4-1965,  holding that  the decree transferred to it by the Bombay  High Court  was not  executable. An  appeal  was preferred to  the Additional  Judicial Commissioner  on 1-6- 1965 and  the appellant   Judgment-debtor  filed his  reply. During the  pendency  of  the  appeal,  the  Code  of  Civil Procedure was extended to Goa on 15-6-1966 by the Goa, Daman and Diu  Extension  of  the  Code  of  Civil  Procedure  and Arbitration) Act  (30) of  1965 and repealing the Portuguese Code. The  Additional Judicial  Commissioner  by  its  order

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dated 28-6-1967  held that  in view  of Art.  261(3) of  the Constitution, the  decree passed  by the  Bombay High  Court could  not   be  treated  as  nullity  and,  was  therefore, executable.      On appeal by certificate, the appellant/judgment-debtor contended (1) that the decree passed by me Bombay High Court qua Goa  Court was  a nullity  being a  decree of  a foreign court. Even  if the  decree was  not a  nullity it  could be executed by  a Goa  court if  the original  decree had  been approved by  the Goa  Court under  s. 50  of the  Portuguese Code; (2) that‘the Bombay High Court transferring the decree for execution  to the  Goa Court  under ss. 38 and 39 of the C.P.C. was  without jurisdiction  inasmuch as the C.P.C. had not been  applied to  Goa when  the order  of  transfer  was passed. (3)  that as  the  provisions  of  the  C.P.C.  were applied to  Goa after  the order  of the Execution Court was passed   and   a   vested   right   had   accrued   to   the appellant/judgment debtor  the ’J  decree  continued  to  be inexecutable and  could not  be validated  by Art. 261(3) of the Constitution.      The   respondent/decree-holder   contended   (1)   that inasmuch  as   the  judgment   debtor   had   appeared   and participated in  the suit for some time the decree passed by the Bombay High Court could not be said to be a nullity (ii) that as  the C.P.C. was made applicable while the appeal was pending before the Additional Judicial Commissioner, Goa the decree became  clearly executable  and the order of transfer of the  decree by the Bombay High Court stood validated. and (iii) that  in view  of the provisions of Art. 261(3) of the Constitution of  India, there was no bar to the execution of the decree,  which was  passed by  a court  which was in the territory of India. 150      Dismissing the appeal, the Court, ^      HELD: (1)  Where a  party appears before the court, the decree of  the court, even mf it is a foreign court is not a nullity. [154-D]      Raj Rajendra  Sardar Maloji Marsingh Rao Shitole v. Sri Shankar Saran and others, [1963] 2 S.C.R. 577, distinguished and held not applicable.      Shaligram v.  Daulat Ram, [1963] 2 S.C.R. 574 and Lalji Raja &  Sons v.  Firm Hansraj Nathuram, [1971] 3 S.C.R. 815, applied.      (2) The  right of  the judgment-debtor  to pay  up  the decree passed  against him  cannot be  said to  be a  vested right, nor  can the  question of executability of the decree be regarded  as a  substantive vested right of the judgment- debtor. A fortiorary, the execution proceedings being purely a matter  of procedure it is well-settled that any change in law which  is made during the pendency of the cause would be deemed to  be retrospective  in operation  and the Appellate Court is  bound to  take notice  of the  change in  law. The Additional  Judicial  Commissioner  was  competent  to  take notice of the change in the law. [154 E-F, 155 G]      Mohanlal  Chunilal   Kothari  v.   Tribhovan   Haribhai Tamboli, [1963]  2 S.C.R.  707, 715-716. Gummalapura Taggina Matada Kotturswami  v. Setra  Veerava and others, A.T.R 1959 S.C. 577,  579 and  Jose De  Costa and  another  v.  Bascora Sedashiva Sinai Naroornin and others, A.I.R. 1975 S.C. 1843, 1849, followed.      (3)  The   proposition  adumbrated   viz.,   that   the executability of  the decree  was a vested right which could not be  taken away by the applicability of the Code of Civil Procedure to Goa during the pendency of the appeal is wrong,

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since  the   executability  of   the  decree  could  not  be considered to be a vested right [155F-G]      Lalji Raja  and Sons. v. Firm Hansraj Nathuram [1971] 3 S.C.R. 815, followed.      (4) The  contention that as the Code of Civil Procedure was not  applicable to  Goa at the time when the Bombay High Court passed the order transferring the decree  to the  Goa Court,  the order  of  transfer  was absolutely without jurisdiction was wrong.[156 C-D]      As the  decree was  passed by the Bombay High Court, s. 38 of  the Code  of Civil  Procedure would clearly apply and the decree passed by the Bombay High Court was not a foreign decree. It  is true  that at  the time  when the Bombay High Court passed  the order  of  transfer,  the  Code  of  Civil Procedure had  not been  applied to  Goa. But, that does not put the  respondent/decree-holder out  of Court.  The decree could be  transferred and  was valid  and  executable.  But, because of  infirmity, it  could not  be executed so long as the C.P.C.  was not  made applicable  to Goa. Thus, the only bar which  stood in  the way  of the execution of the decree was the non-applicability of the provisions of the C.P.C. to Goa. This  was, however,  not an  insurmountable bar  or  an obstacle and  the bar or the obstacle disappeared the moment the Code of Civil Procedure was applied to Goa on 15-6-1966. [156 D-F]      HELD FURTHER:  (5) The  instant case  is a  fit case in which the  doctrine A of eclipse would apply and the wall or the bar which separated Bombay from  Goa having disappeared, there was  no impediment  in the  execution of a decree. The decree lay  dormant only  so far  as  no  bridge  was  built between Bombay  and Goa  but  as  soon  as  the  bridge  was constructed  in   the  shape   of  the  application  of  the provisions of  the Code of Civil Procedure to Goa the decree became at once executable. [156 F-G]      (6) In  the instant  case, the  decree  passed  by  the Bombay High Court having been passed by a Court of competent jurisdiction and  not being  a nullity because the judgment- debtor had  appeared and  participated in the proceedings of the Court to some extent, and the order of transfer under s. 38 of  the Code  of Civil Procedure also not having suffered from any  inherent lack  of jurisdiction,  the decree became enforceable and  executable as  soon as  the Code  of  Civil Procedure was applied to Goa. [157 E-F] 151      Bhagwan Shankar  v. Rajaram  Bapu Vithal,  A.I.R.  1951 Bom. 125, 127, approved.      (7) Art.  261(3) of  the Constitution  enjoins  that  a decree shall  be executable in ally part of the territory of India, according to law. In the instant case, the decree was passed by  the Bombay High Court after the Constitution came into force  and Art. 261(3) would apply to the decree passed by the  Bombay High  Court. The  Article would also apply to Goa because  at the  time when the application for execution was made  in Goa  Court, the  Constitution had  already been made applicable to that State also. [158 C-D]      (8) It  is true  that at  the time  when the  Executing Court dismissed  the suit  of the  decree holder/respondent, the Code  of Civil  Procedure had  not been  applied and the Portuguese Code continued to apply but after the application of the  Code of  Civil Procedure by virtue of the Goa, Daman and Diu  (Extension of  the Code  of Civil Procedure and the Arbitration) Act,  1965. the  Portuguese Code  which was  in force in  Goa was clearly repealed and the present case does not fall  within any  of the clauses mentioned in the saving

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provisions of  s.  4  of  the  Act.  Thus,  when  the  Civil Procedure  Code  was  made  applicable  to  Goa  during  the pendency of  the appeal,  the appellate  Court, namely,  the Additional Judicial  Commissioner was  bound to  decide  the matter in  accordance with the law that was in force. Hence, the contention  the matter  in accordance  with the law that was  in   force.  Hence,   the  contention  that  the  words "according to law" in Art. 261(3) would mean that the decree would be executable only in accordance with the law in force in the Portuguese Code is not correct. [158 B-F]      [Jose De  Costa and  another v. Bascore Sadashiva Sinai Narcornin and others, A.I.R. 1975 S.C. 1843, 1849 followed.]

JUDGMENT:      CIVIL APPELLATE  JURISDICTION: Civil  Appeal No. 909 of 1968.      (From the  judgment and order dated the 28th June, 1967 of the  Judicial Commissioner’s  Court of Goa, Daman and Diu in Civil Appeal No. 105 of 1965).      B. N. Lokur and A. G. Ratnaparkhi for the appellant.      D. V. Patel and P. N. Bhardwaj for the respondent.      The Judgment of the Court was delivered by-      FAZAL ALI,  J. This  is a judgment debtor’s appeal on a certificate of  fitness granted  by the  Additional Judicial Commissioner,  Goa,   Daman  &  Diu  and  arises  under  the following circumstances.      The decree  holder/respondent had brought a suit on the original side of the Bombay High Court being Suit No. 203 of 1956 against  the appellant/judgment  debtor for recovery of certain amount  of money.  The Bombay  High Court  passed  a decree for  Rs. 65,953.79  on June  29, 1960.  In  the  suit brought by  the decree-holder/respondent summons were served on the  defendant/judgment  debtor  who  filed  his  written statement and  thereafter absented  himself and did not take any part  in the  proceedings of  the Court. On December 20, 1961 Goa  became a  part of  India  and  was  made  a  Union Territory of  India by  the Constitution (Twelfth Amendment) Act, 1962  passed on  March 27, 1962. Thereafter the decree- holder respondent  applied to  the  Bombay  High  Court  for transferring the  decree to  Goa Court  for execution.  This prayer was allowed by the Bombay High Court and by its order dated August 28, 1963 the decree was transferred 11-390 SCI/76 152 to the Goa Court for execution, In pursuance of the order of the Bombay  High Court  the decree-holder filed an execution suit before  the Executing  Court at  Panjim on  January 21, 1964. The  Executing Court  however by its order dated April 26, 1965  held that  the decree  transferred to  it  by  the Bombay  High   Court  was  not  executable  and  accordingly dismissed the  execution. Thereafter the decree-holder filed a memo of appeal before the Additional Judicial Commissioner on June 1, 1965 and the appeal was admitted on June 5, 1965. On February 24, 1967 the judgment debtor/appellant filed his reply. While  the appeal  was pending  before the Additional Judicial Commissioner  the  Code  of  Civil  Procedure‘  was extended to Goa on June 15, 1966. Accordingly the Additional Judicial Commissioner  by its order dated June 28, 1967 held that the  decree was  executable and he accordingly remitted the case to the Executing Court for proceeding in accordance with the law. The Additional Judicial Commissioner also held that in view of Art. 261(3) of the Constitution of India the decree passed  by the Bombay High Court could not be treated

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to be a nullity and was, therefore, clearly executable.      In support  of the  appeal Mr.  B. N.  Lokur  submitted three main contentions before us:           (1)  that the  decree passed  by the  Bombay  High                Court qua  Goa Court  was a  nullity being  a                decree of a foreign Court. Even if the decree                was not  a nullity  it could be executed by a                Goa Court  if the  original decree  had  been                approved by  the Goa Court under s. 50 of the                Portuguese Code;           (2)  that the  order  of  the  Bombay  High  Court                transferring the  decree for execution to the                Goa Court  under ss.  38 &  39 of the Code of                Civil Procedure  was without jurisdictions in                as much  as the  Code of  Civil Procedure had                not been  applied to  Goa. When  the order of                transfer was passed; and           (3)  that as  the provisions  of the Code of Civil                Procedure were applied to Goa after the order                of the  Executing  Court  was  passed  and  a                vested   right    had    accrued    to    the                appellant/judgment    debtor    the    decree                continued to be inexecutable and could not be                validated by  Art. 261(3) of the Constitution                of India.      Mr. D.  V. Patel  appearing for  the respondent/decree- holder submitted  that as  the judgment-debtor  had appeared and had  participated in  the suit  for some time the decree passed by  the Bombay  High Court  could not be said to be a nullity. Secondly it was contended that as the Code of Civil Procedure was  made applicable  while the appeal was pending before the Additional Judicial Commissioner, Goa, the decree became clearly  executable and  the order of transfer of the decree by  the Bombay High Court stood validated. Thirdly it was argued  that in view of the provisions of Art. 261(3) of the Constitution  of India there was no bar to the execution of the  decree which  was passed by a Court which was in the territory of India.      The sheet-anchor of the argument of the learned counsel for the appellant/judgment-debtor, that the decree passed by the Bombay 153 High Court  was a  nullity either  on the ground that it was passed by  A a  foreign Court  or on  the  ground  that  the transfer was  invalid under  s. 38  of  the  Code  of  Civil Procedure, was  the decision  of this  Court in Raj Rajendra Sardar Maloji  Marsingh Rao Shitole v. Sri Shankar Saran and Ors.(1). In  that case  it appears  that the  appellant  had instituted a suit in the Court in Gwalior State in May 1947. The respondents  did not  appear before  the Court  and  the Gwalior Court  passed a decree ex parte in November 1948. On September 14,  1951 the Gwalior Court transferred the decree for execution  to  Allahabad,  as  a  result  of  which  the appellant before  the Supreme  Court filed  an . application for execution  of the  decree before the Allahabad Court. It was mainly contended before this Court that the decree being that of  a foreign  Court was  a nullity  and the  execution application  was   not  maintainable.   In  these   peculiar circumstances this  Court, after  considering the entire law on the subject, concluded as follows:           "Our conclusion  therefore is  that the  Allahabad      Court had  no power  to execute the decree either under      section 3  or under  ss. 43  or 44 of the Code of Civil      Procedure. Therefore,  even if  the decree  was  not  a      foreign decree,  the  decree-holder’s  application  for

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    execution was rightly dismissed. An analysis  of Shitole’s  case (supra)  would clearly  show that the facts in that case are clearly distinguishable from the facts  in the  present case and there are indeed a large number of  distinguishing features  in  the  case  indicated above which  are not  at all applicable to the present case. In the  first place  the decree  in  Shitole’s  case(1)  was admittedly passed  by the Gwalior Court in 1947 when Gwalior being a princely State the Court which passed the decree was undoubtedly  a   foreign  Court.   Secondly,  the  judgment- debtors/defendants did  not appear  before the Gwalior Court at all  as a  result of which an ex parte decree was passed. According to  Private International  Law it  is well settled that an  ex parte  decree of a foreign Court is a nullity if the party against whom a decree is passed does not appear at all and  does not take part in the proceedings of the Court. Thirdly, it  would appear that the provisions of Art. 261(3) of  the  Constitution  would  not  apply  to  the  facts  of Shitole’s case(1)  because the constitutional provisions not being retrospective  they could  not apply to decrees passed before the  coming into force of the ’ Constitution. In view of these  circumstances therefore  it cannot  be  said  that Shitole’s case(1)  referred to above is of any assistance to the appellant in deciding the issues involved in this case.      On the  other hand  the decision in Shaligram v. Daulat Rant(2) appears  to be directly in point so far as the facts in the  present case  are concerned.  In that  case  also  a decree was  passed by the Bombay High Court which was in the territory of  India and to which the pro visions of the Code of Civil  Procedure applied.  The appellant appear ed before the Court  and applied  for leave  to defend  and thereafter absented himself.  The decree  was thereafter transferred to the Court      (1) [1963] 2 S.C.R. 577.       (2) [1963] 2 S.C.R. 574. 154 of District  Judge, Bhir in Hyderabad State. This Court held that the decree was executable and observed as follows:           "A person  who appears in obedience to the process      of a  foreign Court and applies for leave to defend the      suit with  out objecting  to the  jurisdiction  of  the      Court when  he is  not compellable by law to do so must      be held  to have  voluntarily submitted to jurisdiction      of such  Court Shaikh Atham Sahib v. David Sahib [1909]      I.L.R. 32  Mad. 469.  Therefore it  cannot be said that      this decree  suffered from  the defects which a foreign      ex-parte decree  without such  submission would  suffer      from. The  order for  transfer was  made at a time when      the Indian Code of Civil Procedure became applicable to      the whole  of India including the former territories of      Hyderabad State."      In Lalji  Raja &  Sons v. Firm Hansraj Nathuram(1) this Court reiterated the view taken in Shaligram’s case (supra). It was  also pointed  out in the aforesaid case that where a party appears  before the Court the decree of the Court even if it is a foreign Court is not P a nullity.      Learned counsel  appearing for  the  appellant  however submitted   that since  the Code  of Civil Procedure was not applicable to  Goa the  decree became  inexecutable and this being a  vested  right  could  not  be  taken  away  by  the application of the Code of Civil Procedure to Goa during the pendency  of  the  appeal  before  the  Additional  Judicial Commissioner. It seems to us that the right of the judgment- debtor to  pay up  the decree  passed against  him cannot be said  to   be  a  vested  right,  nor  can  be  question  of executability of  the decree  be regarded  as a  substantive

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vested  right  of  the  judgment-debtor.  A  fortiorari  the execution proceedings  being purely a matter of procedure it is well  settled that any change in law which is made during the pendency of the cause would be deemed to be retro-active in operation and the Appellate Court is bound to take notice of the  change in  law. In  Moharllal  Chunilal  Kothari  v. Tribhowan Haribhai  Tamboli(2) it  was clearly ruled by this Court that the Appellate Court was bound to apply the law as it was found on the date of the judgment. In this connection this Court observed as follows:           "But it was during the pendency of the suit at the      appellate stage that the second notification was issued      cancelling the  first. Hence,  the Court  was bound  to      apply the  law as  it was  found  on‘the  date  of  the      judgment. Hence,  there is  no question  of taking away      any vested rights in the land lords."      (1) [1971] 3 S.C.R. 815      (2) [1963] 2 S.C.R. 707, 715-716. 155 To the  same  effect  is  the  decision  of  this  Court  in Gummalapura   Taggina Matada  Kotturuswami v. Setra Veeravva and others(1) where this Court observed as follows:           "It is  well settled  that an  appellate Court  is      entitled to  take into  consideration any change in the      law (vide  the case  of Lachmeshwar  Prasad  Shukul  v.      Keshwar Lal Chaudhuri -1940 FCR 84)" B      A similar  view was  taken by a recent decision of this Court in  Jose De  Costa and  another v.  Bascora  Sadashiva Sinai Narcornin  and others(2)  where this Court observed as follows:           "Before ascertaining  the effect of the enactments      aforesaid passed  by the Central Legislature on pending      suits or  appeals, it  would be  appropriate to bear in      mind two  well   established principles.  The first  is      that "while provisions of a statute dealing merely with      matters  of   procedure  may   properly,  unless   that      construction   be    textually    inadmissible,    have      retrospective effect  attributed  to  them,  provisions      which touch  a right in existence at the passing of the      statute are  not to  be applied  retrospectively in the      absence of  express enactment  or necessary intendment"      (see Delhi  Cloth and General Mills Co. Ltd. v. Income-      tax Commr.-54  Ind. App.  421 (AIR  1927 PC  242).  The      second is  that a  right of  appeal being a substantive      right the  institution of  a suit  carries with  it the      implication that all successive appeals available under      the law then in force would be preserved to the parties      to the  suit throughout  the rest  of the career of the      suit."      In these  circumstances, therefore,  we are  unable  to accede  to   the  contention   of  the  appellant  that  the Additional Judicial  Commissioner was  not competent to take notice of the change in the law.      As regards  the argument of the learned counsel for the appellant that  the executability of the decree was a vested right which  could not be taken away by the applicability of the Code  of Civil  Procedure to  Goa during the pendency of the appeal, the decision of this Court in Lalji Raja & Sons’ case (supra)  is a  clear authority against the pro position adumbrated by the learned counsel for the appellant. In that case this Court appears to have considered this point in all its comprehensive  aspects and  was of  the opinion that the executability of  the decree could not be considered to be a vested  right.  In  this  connection  this  Court  made  the following observations:

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         "Therefore the  question for  decision is  whether      the non executability of the decree in the Morena court      under the  law in  force in  Madhya Bharat  before  the      extension of  ’the Code’  can be  said to  be  a  right      accrued under  the repealed  law. We  do not think that      even by  straining the language of the provision it can      be said that the non-executability of      (1) A.I.R. (1959) S.C., 577, 579   (2) A.I.R. 1975 S.C.                                                   1843,1849. 156      a  decree   within  a   particular  territory   can  be      considered as  a privilege...................  All that      has happened  in view of the extension of ’the Code’ to      the whole  of India  in 1951  is that  the decree which      could have  been executed  only by  courts  in  British      India are  now made  executable in  the whole of India.      The change  made  is  one  relating  to  procedure  and      jurisdiction............. lt  was the invalidity of the      order transferring  the decree to the Morena court that      stood in  the way  of the  decree-holders in  executing      their decree  in that court on the earlier occasion and      not because  of any  vested  rights  of  the  judgment-      debtors ............ By the extension of the ’the Code’      to Madhya  Bharat, want  of jurisdiction on the part of      the Morena  court was  remedied that  court is now made      competent to execute the decree."      It was  then argued that as the Code of Civil Procedure was not  applicable to  Goa at the time when the Bombay High Court passed  the order  transferring the  decree to the Goa Court,  the   order  of   transfer  was  absolutely  without jurisdiction. We  are, however,  unable to  agree with  this contention. To  begin with,  as the decree was passed by the Bombay High  Court, s.  38 of  the Code  of Civil  Procedure would clearly  apply because the decree passed by the Bombay High Court  was not a foreign decree. It is true that at the time  when  the  Bombay  High  Court  passed  the  order  of transfer, the  Code of  Civil Procedure had not been applied to Goa.  But that  does not put the respondent/decree-holder out of  Court. The decree could be transferred and was valid and executable. But because of an impediment  or  an infirmity  it could  not be  executed so long as the Code of Civil Procedure was not made applicable to Goa. Thus the only  bar which stood in the way of the execution of the decree was  the non-applicability  of the  provisions of the Code of  Civil Procedure  to Goa.  This was, however, not an insurmountable bar  or  an  obstacle  and  the  bar  or  the obstacle disappeared  the moment the Code of Civil Procedure was applied  to Goa  on June  15, 1966.- It is common ground that this  was done during the pendency of the appeal before the Additional  Judicial Commissioner  passed  the  impugned order on  June 28,  1967. In these circumstances, therefore, it seems to us that this is a fit case in which the doctrine of eclipse  would apply  and  the  wall  or  the  bar  which separated Bombay  from Goa  having disappeared there was any impediment in  the execution  of the  decree. The decree lay dormant only  so far  as no  bridge was built between Bombay and Goa  but as  soon as  the bridge  was constructed in the shape of  the application  of the  provisions of the Code of Civil Procedure to Goa the decree became at once executable.      In Bhagwan  Shankar v.  Rajaram Bapu  Vithal(1) Chagla. C.J. as  he then  was, while  delivering the  opinion of the Full Bench of the Bombay High Court, observed as follows:           "Therefore, as  far as  this particular decree was      concerned as  the defendant,  we are-assuming,  did not      submit to the

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    (1) A.I.R. 1951 Bom. 125. 127. 157      jurisdiction of  the Sholapur  Court, quae  the Akalkot      Court, A  the judgment  of the  Sholapur  Court  was  a      foreign judgment  passed by  a Court  not of  competent      jurisdiction  &  therefore  the  decree  could  not  be      executed in  the Akalkot  Court so long as the Sholapur      Court continued  to be  a foreign Court. But once it is      conceded that  the decree  was not  a nullity  & it was      valid &  binding as  far  as  the  Sholapur  Court  was      concerned then there is no difficulty. with respect, in      understanding & appreciating the judgment which we have      to  consider   in  this  Full  Bench,  because  if  the      character of  the Akalkot Court changes & if the status      of the  defendant alters because of that fact, then the      impediment which  was initially  there  in  the  decree      being enforced  in the  Akalkot Court  disappears & the      decree which  was unenforceable  till that  change came      about becomes  enforceable &  executable in the Akalkot      Court.  This  is  nat  in  any  way  violating  private      international law.  Private international  law  remains      the same.  But under  the circumstances of the case the      Sholapur Court no longer being a foreign Court quae the      Akalkot Court,  the question  of private  international      law does  not arise  at all.  The decree  is then being      executed under  the Municipal  Law &  clearly under the      Municipal Law the decree D is executable as it has been      passed by a Court of competent jurisdiction." It would  appear therefore  that an identical phenomenon had taken place in the case before the Bombay High Court and the Full Bench held that the moment the decree became executable and enforceable  the status of the defendant/judgment-debtor was altered and the decree became executable. On a parity of reasoning, therefore,  in the  present case  also the decree passed by  the Bombay  High Court  having been  passed by  a Court of  competent jurisdiction  and not  being  a  nullity because the judgment-debtor had appeared and participated in the proceedings  of the  Court to some extent, and the order of transfer  under s. 38 of the Code of Civil Procedure also not having  suffered from any inherent lack of jurisdiction, the decree  became enforceable and executable as soon as the Code of  Civil Procedure  was applied  to Goa.  As  we  have indicated above  it was  the duty  of the  Appellate  Court, namely the Additional Judicial Comm- sioner, to take note of the change  in law, namely, the applicability of the Code of Civil Procedure to Goa and the repeal of the Portuguese Code which was  in force  before the  provisions of  the Code  of Civil  Procedure   were  applied.  The  Additional  Judicial Commissioner was,  therefore, fully  justified in taking the view  that   the  decree  was  executable  and  the  bar  of inexecutability came  to an  end, when the provisions of the Code of Civil Procedure were applied to Goa.      Mr. Patel  appearing for  the respondent  submitted  an alternative argument that even if the transfer of the decree under s.  38 of  the Code  of Civil Procedure was not valid, under the  Portuguese Code  there  was  no  provision  which required transfer  of the  decree to  that Court  before the same could  be executed.  Counsel for the appellant objected to this argument on the ground that it was never raised at 158 any stage  of the  case and  being a  question of fact as to whether  or   not  there  was  any  such  provision  in  the Portuguese Code  it should  not  be  entertained.  In  these circumstances, we  do not think it necessary to go into this question, particularly  when the  order  of  the  Additional

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Judicial  Commissioner   can  be  upheld  on  other  grounds mentioned by us.      Finally it appears that this case is clearly covered by the principles contained in Art. 261 (3) of the Constitution of India which runs thus:           "Final judgments  or orders delivered or passed by      civil courts  in any  part of  the territory  of  India      shall be  capable of  execution  anywhere  within  that      territory according to law." This is  a constitutional  provision which  enjoins  that  a decree shall  be executable  in any part of the territory of India according  to law.  It is  obvious that in the instant case the  decree was  passed by  the Bombay High Court after the Constitution  came into  force and  this Article  would, therefore, clearly  apply to the decree passed by the Bombay High Court.  The article  would also apply to Goa because at the time  when the  application for  execution was made in a Goa Court, the Constitution had already been made applicable to that  State also.  Mr. Lokur  counsel for  the appellant, however, submitted that the words ’according to law’ in Art. 261(3)  would   clearly  show   that  the  decree  would  be executable only  in accordance  with the  law in force, i.e. the Portuguese  Code. It  is true  that at the time when the executing  Court   dismissed  the   suit  of   the   decree- holder/respondent the  Code of  Civil Procedure had not been applied and the Portuguese Code continued to apply but after the application  of the Code of Civil Procedure by virtue of the Goa,  Daman and  Diu (Extension  of the  Code  of  Civil Procedure and  the Arbitration)  Act, 1965  (Act 30 of 1965) the Portuguese  Code which  was in  force in Goa was clearly replaced and  the present  case does  not fall within any of the clauses  mentioned in  the saving  provisions of s. 4 of the Act.  Thus when  the Code  of Civil  Procedure was  made applicable to Goa during the pendency of  the  appeal, the  Appellate Court,  namely, the  Additional Judicial Commissioner,  was bound  to decide  the matter  in accordance with  the law that was in force, namely, the Code of Civil  Procedure. In  Jose Da  Costa’s case  (supra) this Court,  while   dwelling  upon   the  applicability  of  the Portuguese Code, observed as follows:           "Thus considered,  it is clear that the procedural      provisions of  the Portuguese Civil Code were no longer      applicable to  this case with effect from 15-6-1966. If      that be  the correct position, there is no legal hurdle      in the  way of the appellant to the reagitation in this      Court of the issue as to prescription left undecided by      the court below.      *      *       *       *          *              *           To  sum  up,  since  on  and  from  15-6-1966  the      Portuguese law  relating to  Reclamacao stood  repealed      and  no   substantive  right  or  obligation  had  been      acquired or incurred under 159      that repealed  law within  the  meaning  of  the  first      proviso   to S.  4(1) of Act 30 of 1965, the appellants      cannot be debarred from canvassing in this appeal under      Article 136,  the plea  of prescription notwithstanding      the fact  that they  did not file any Reclamacao in the      Court  of   the  Judicial  Commissioner.  We  therefore      negative  the   preliminary  objection  raised  by  the      respondents."      For these  reasons, therefore,  we  find  ourselves  in complete agreement  with the  view taken  by the  Additional Judicial Commissioner and hold that the decree passed by the Bombay High  Court was  clearly  executable.  The  Executing

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Court will  now  proceed  in  accordance  with  the  law  as directed by the Additional Judicial Commissioner.      The appeal  fails and  is accordingly  dismissed but in view of  the somewhat  uncertain legal position we leave the parties to bear their respective costs in this Court. S.R                                        Appeal dismissed. 160