Supreme Court Allows Appellant in Possession Dispute and Restores Eviction Decree Due to High Court's Error in Second Appeal. High Court Exceeded Jurisdiction by Entertaining New Plea Under Section 60(b) of Indian Easements Act, 1882 Without Formulating Substantial Question of Law Under Section 100 of Code of Civil Procedure, 1908.

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Case Note & Summary

The dispute pertained to a plot of land in Jorhat town, Assam, where the original plaintiff, Durga Charan Barua, predecessor-in-interest of the appellants, had allowed the respondent, Umesh Chandra Goswami, permissive use of the land for two years from 1 June 1963 to erect a temporary structure for residence. The respondent failed to vacate after the expiry of the period, leading the plaintiff to file a suit for khas possession and compensation. The defendant resisted the suit, claiming he occupied the land under an oral contract of purchase and had paid Rs. 7,860 as sale price. He also filed a separate suit for specific performance of the alleged oral agreement. Both suits were clubbed and tried together. The trial court decreed the plaintiff's suit for possession and dismissed the defendant's specific performance suit, finding the oral agreement story concocted. The first appellate court affirmed the trial court's findings. The respondent then filed two second appeals before the High Court. The High Court dismissed the second appeal arising from the specific performance suit, upholding the concurrent findings. However, the High Court allowed the second appeal arising from the possession suit, granting the benefit of Section 60(b) of the Indian Easements Act, 1882, holding the licence irrevocable on principles of justice, equity and good conscience, based on a report of the local commissioner that the structure was permanent. The appellants challenged the High Court's order, contending that the second appeal was not maintainable as no substantial question of law was involved and that the plea under Section 60(b) had not been raised in the lower courts. The Supreme Court examined the scope of Section 100 CPC as amended by the Amendment Act of 1976. It held that the High Court's jurisdiction in second appeal is confined to cases involving a substantial question of law, which must be stated in the memorandum of appeal and formulated by the Court. The High Court had neither formulated any substantial question of law nor kept in view the legislative intent of the amendment. The Court observed that the respondent was seeking to raise an entirely new plea in second appeal, not supported by pleadings or evidence, which was impermissible. The Supreme Court concluded that the High Court's approach was improper and set aside its judgment, restoring the decree of the trial court as affirmed by the first appellate court. The appeal was allowed.

Headnote

A) Civil Procedure - Second Appeal - Substantial Question of Law - Code of Civil Procedure, 1908, Section 100 - The High Court's jurisdiction in second appeal after the 1976 amendment is confined to appeals involving a substantial question of law, which must be stated in the memorandum of appeal and formulated by the High Court. The High Court failed to formulate any such question and treated the second appeal as a first appeal, contrary to legislative intent. Held that the High Court's approach was improper and the second appeal was not maintainable.

B) Civil Procedure - New Plea in Second Appeal - Not Permissible - Code of Civil Procedure, 1908, Section 100 - An appellant is not allowed to set up a new case or raise a new issue in second appeal unless it is a jurisdictional issue, not supported by pleadings or evidence. The respondent raised the plea of irrevocable licence under Section 60(b) of the Indian Easements Act, 1882 for the first time in second appeal, which was not pleaded or canvassed before the subordinate courts. Held that the High Court was not justified in entertaining such a new point.

C) Civil Procedure - Concurrent Findings of Fact - Interference in Second Appeal - Code of Civil Procedure, 1908, Section 100 - The trial court and first appellate court had concurrently found that the oral agreement to sell was false and that possession was permissive. The High Court set aside these concurrent findings without demonstrating any substantial question of law. Held that the High Court exceeded its jurisdiction under the amended Section 100 CPC.

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Issue of Consideration

Whether the High Court erred in allowing the second appeal by granting benefit of Section 60(b) of the Indian Easements Act, 1882 without formulating a substantial question of law as required by amended Section 100 CPC and by entertaining a new plea not raised in lower courts.

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Final Decision

The Supreme Court allowed the appeal, set aside the judgment and order of the High Court dated 12.8.1988 in Second Appeal No. 85/79, and restored the judgment and decree of the trial court as affirmed by the first appellate court, decreeing the plaintiff's suit for khas possession and dismissing the defendant's suit for specific performance.

Law Points

  • Second appeal jurisdiction confined to substantial question of law under Section 100 CPC
  • High Court must formulate substantial question of law
  • New plea cannot be raised for first time in second appeal
  • Concurrent findings of fact not to be disturbed absent substantial question of law
  • Section 60(b) Indian Easements Act claim cannot be raised for first time in second appeal
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Case Details

1997 LawText (SC) (02) 169

SLP No. 2567 of 1989

1997-02-12

A.S. Anand, S.B. Majmudar

Mr. Hansaria (appellant); Respondent counsel not mentioned

Panchugopal Barua & Ors.

Umesh Chandra Goswami & Ors.

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Nature of Litigation

Civil suit for possession of land and compensation, and a cross-suit for specific performance of an oral agreement to sell.

Remedy Sought

Original plaintiff sought a decree for khas possession and compensation; defendant sought specific performance of oral agreement to sell.

Filing Reason

Defendant failed to deliver vacant possession after permissive use of land for two years, claiming an oral agreement to purchase.

Previous Decisions

Trial court decreed plaintiff's possession suit and dismissed defendant's specific performance suit; first appellate court affirmed; High Court dismissed second appeal in specific performance suit but allowed second appeal in possession suit by granting benefit of Section 60(b) of Indian Easements Act.

Issues

Whether the High Court was justified in entertaining the second appeal without formulating a substantial question of law as required by amended Section 100 CPC. Whether a new plea based on Section 60(b) of the Indian Easements Act, 1882 could be raised for the first time in second appeal.

Submissions/Arguments

Appellant contended that the second appeal was not maintainable as no substantial question of law was involved and no relief could be granted under Section 60(b) of the Easements Act because the Act did not apply to Assam. Respondent supported the High Court's judgment on the same reasoning as the learned Single Judge, seeking to uphold the irrevocable licence finding.

Ratio Decidendi

Under Section 100 CPC as amended in 1976, a second appeal lies to the High Court only if it involves a substantial question of law, which must be stated in the memorandum of appeal and formulated by the High Court. The High Court cannot entertain a second appeal as a first appeal or allow a new plea not raised in the lower courts. The existence of a substantial question of law is sine qua non for exercising jurisdiction under the amended Section 100 CPC.

Judgment Excerpts

The existence of a "substantial question of law" is thus, the sine-qua-non for the exercise of the jurisdiction under the amended provisions of Section 100 C.P.C. A bare look at Section 100 C.P.C. shows that the jurisdiction of the High Court to entertain a second appeal after the 1976 amendment is confined only to such appeals as involve a substantial question of law, specifically set out in the memorandum of appeal and formulated by the High court. The intendment of the legislature in amending Section 100 C.P.C. was, thus, respected in its breach.

Procedural History

In 1966, the predecessor-in-interest of the appellants filed Title Suit No. 65/66 in the Court of Munsif, Jorhat for khas possession and compensation, which was later transferred to the Court of Assistant District Judge, Jorhat as Title Suit No. 36/67 due to pecuniary jurisdiction. In 1969, the respondent filed Title Suit No. 23/69 for specific performance of an oral agreement to sell. Both suits were clubbed and tried together. The trial court decreed Title Suit No. 36/67 and dismissed Title Suit No. 23/69. The respondent's appeals were dismissed by the District Judge, Jorhat on 21.8.1978. The respondent filed Second Appeals No. 77/79 and No. 85/79 before the Gauhati High Court. On 4.8.1988, the High Court dismissed Second Appeal No. 77/79; on 12.8.1988, it allowed Second Appeal No. 85/79. The respondent's Special Leave Petition No. 14313/88 against the dismissal of Second Appeal No. 77/79 was dismissed on 3.8.1993. The appellants' Special Leave Petition No. 2567/89 against the allowance of Second Appeal No. 85/79 was granted on 3.8.1993, leading to the present appeal.

Acts & Sections

  • Indian Easements Act, 1882: Section 60(b)
  • Code of Civil Procedure, 1908: Section 100
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