Supreme Court Modifies Interim Order in Partition Suit — Stay of Dispossession Granted with Conditions. Court balanced the interests of both parties by allowing the Appellant to remain in possession while compensating the first Respondent.

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Case Note & Summary

The case involved an appeal from an interim order of the High Court concerning a partition suit. The Appellant, Pabbathi Venkataramaiah Chetty, contested the final decree that required the division of a commercial building he occupied and operated as a lodge. The Appellant sought a stay of execution of the decree, arguing that his rights would be compromised without such a stay. The High Court had previously ordered that the appeal be listed for final hearing after the Dassara Vacation and prohibited the demolition of the building until then. The first Respondent, Pabbathi N. Rathnamaiah Chetty, claimed entitlement to a two-thirds share of the property and argued that the Appellant's continued possession deprived him of income, estimating a loss of Rs. 25,000 per month. The court recognized the Appellant's need for protection against dispossession but also acknowledged the first Respondent's financial interests. Consequently, the court modified the High Court's interim order, allowing the Appellant to remain in possession provided he paid Rs. 25,000 monthly to the first Respondent, starting from February 1, 2007. The court emphasized that this order was interim and did not reflect any opinion on the merits of the appeal or the quantum of mesne profits. The High Court was urged to expedite the hearing of the appeal, and each party was directed to bear its own costs.

Headnote

A) Civil Procedure - Interim Relief - Stay of Dispossession - Code of Civil Procedure, 1908 - Court modified the interim order to grant stay of dispossession of the Appellant during the pendency of the appeal, subject to payment of Rs. 25,000/- per month to the first Respondent. The court balanced the interests of both parties, ensuring the Appellant's possession while compensating the first Respondent for loss of income (Paras 6-7).

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Issue of Consideration

Whether the Appellant should be granted a stay of dispossession pending appeal and under what conditions.

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Final Decision

The Supreme Court modified the interim order of the High Court, granting a stay of dispossession to the Appellant during the pendency of the appeal, contingent upon the Appellant paying Rs. 25,000 per month to the first Respondent, starting from February 1, 2007. The court directed that if the Appellant defaulted in payment, the stay would be vacated.

Law Points

  • Interim relief
  • stay of dispossession
  • partition suit
  • mesne profits
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Case Details

2007 LawText (SC) (02) 238

Appeal (civil) 444 of 2007

2007-02-02

R.V. Raveendran, Dalveer Bhandari

Pabbathi Venkataramaiah Chetty

Pabbathi N. Rathnamaiah Chetty and Ors.

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Nature of Litigation

Appeal against an interim order in a partition suit.

Remedy Sought

The Appellant sought a stay of dispossession pending appeal.

Filing Reason

The Appellant contested the final decree requiring division of a commercial building.

Previous Decisions

The High Court had ordered that the appeal be listed for final hearing and prohibited demolition of the building.

Issues

Whether the Appellant should be granted a stay of dispossession pending appeal and under what conditions.

Submissions/Arguments

The Appellant argued for a stay of dispossession to protect his rights as he operated a lodge. The first Respondent contended that the Appellant's possession deprived him of income and sought compensation.

Ratio Decidendi

The court balanced the need to protect the Appellant's possession with the first Respondent's financial interests, establishing a conditional stay of dispossession.

Judgment Excerpts

The interim order dated 1.9.2006 granted by the High Court is modified as follows: There shall be stay of dispossession of the Appellant during the pendency of the Appeal. The court emphasized that this order was interim and did not reflect any opinion on the merits of the appeal.

Procedural History

The Appellant filed an appeal against the final decree in a partition suit, seeking a stay of execution. The High Court had previously issued an interim order prohibiting demolition of the building until the appeal was heard.

Acts & Sections

  • Code of Civil Procedure, 1908:
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