Supreme Court Dismisses Appeals in Pre-emption Dispute — No Decree Permitted Under Punjab Pre-emption Act. Citing lack of legal basis for decree under Section 15(1) of the Punjab Pre-emption Act, the court upheld the vendee's objections and dismissed the appeals.

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Case Note & Summary

The dispute arose from four sale deeds executed on June 25, 1968, by three brothers to the respondent. The fourth brother, Ujagar Singh, whose legal representatives are the appellants, filed four suits for pre-emption against the vendee, which were decreed on July 15, 1970, with a stipulation to deposit the pre-emption money by August 30, 1970. The appellants filed appeals for a reduction of the pre-emption money, and the time for deposit was extended by the Trial Court. However, the appeals were rejected for being insufficiently stamped. Despite this, the appellants deposited the pre-emption amount on October 26, 1970. The vendee raised objections claiming the suits were automatically dismissed for non-deposit of the pre-emption money within the stipulated time. The Trial/Executing Court sustained these objections, but the District Judge allowed the execution to proceed. The High Court later reversed this decision, stating there were no decrees to execute. The appellants contended that the court could extend the time for deposit under Section 148 of the Code of Civil Procedure. The Supreme Court dismissed the appeals, stating there was no law allowing a decree under the Punjab Pre-emption Act and that the suits were deemed dismissed. The court also noted that the objections of the vendee were valid, and the appellants could withdraw the deposited money if not already done. No costs were awarded as there was no opposition.

Headnote

A) Civil Procedure - Pre-emption Decree - No Decree Permitted - Code of Civil Procedure, 1908, Section 148, Punjab Pre-emption Act, Section 15(1) - The court held that there is no law of pre-emption allowing a decree to be drawn under Section 15(1) of the Punjab Pre-emption Act, and the suits were deemed dismissed under Order 20 Rule 14 due to non-deposit of pre-emption money. The court declined to exercise discretion to extend time for deposit as it would amount to completing the process of decreeing the suits, which cannot be done (Paras 707C-D).

B) Civil Procedure - Execution of Decree - Objections Sustained - Code of Civil Procedure, 1908, Order 20 Rule 14 - The vendee's objections were upheld, leading to the conclusion that the pre-emptor-appellants could not get their suits decreed, and the decreetal money deposited could be withdrawn by them if not already done (Paras 707F-G).

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Issue of Consideration

Whether the time for deposit of pre-emption amount could be extended by the Supreme Court.

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Final Decision

The Supreme Court dismissed the appeals, holding that there was no law of pre-emption permitting a decree to be drawn under Section 15(1) of the Punjab Pre-emption Act, and the objections of the vendee were sustained.

Law Points

  • Pre-emption
  • Decree
  • Extension of Time
  • Code of Civil Procedure
  • 1908
  • Punjab Pre-emption Act
  • Article 136
  • Constitution of India
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Case Details

1991 LawText (SC) (08) 33

Civil Appeal Nos. 2266-69 of 1979

1991-08-22

Punchhi, M.M., Ramaswamy, K.

1992 AIR 109, 1991 SCR (3) 703, 1992 SCC Supl. (1) 709, JT 1992 (1) 546, 1991 SCALE (2) 497

Harbans Lal, M.V. Goswami, Iqbal Singh

Harnama Singh (Dead) LRs. on Record & Others

Shri Harbhajan Singh

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Nature of Litigation

Dispute over pre-emption rights and execution of decrees.

Remedy Sought

Appellants sought to execute pre-emption decrees.

Filing Reason

Non-deposit of pre-emption money within stipulated time.

Previous Decisions

High Court reversed earlier decisions allowing execution.

Issues

Whether the time for deposit of pre-emption amount could be extended by the Supreme Court. Whether the suits were automatically dismissed for non-deposit of pre-emption money.

Submissions/Arguments

Appellants argued for extension of time under Section 148 CPC. Respondent contended that the suits were dismissed for non-compliance with the decree.

Ratio Decidendi

The court held that the absence of a legal basis for a decree under the Punjab Pre-emption Act led to the dismissal of the appeals, emphasizing that the suits were deemed dismissed due to non-compliance with the decree.

Judgment Excerpts

There is no law of pre-emption permitting a decree to be drawn in terms of Section 15(1) of the Punjab Pre-emption Act. The objections of the vendee must remain sustained and the pre-emptor-appellants must fail.

Procedural History

The appeals were filed against the common judgment of the Punjab and Haryana High Court, which reversed the District Judge's decision allowing execution of pre-emption decrees.

Acts & Sections

  • Code of Civil Procedure, 1908: 148, 15(1)
  • Punjab Pre-emption Act: 15(1)
  • Constitution of India, 1950: Article 136
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