Case Note & Summary
The matter before the Supreme Court of India was a civil appeal concerning land rights. The appellant was Durga Prasad, since deceased and represented by legal representatives, and the first respondent was Smt. Gita Kumari along with other respondents. The dispute had earlier been adjudicated by the High Court of Patna in Second Appeal No.602/74 by order dated August 29, 1978, which determined the right, title and interest of the first respondent in the land. During the pendency of the appeal before the Supreme Court, the parties arrived at an out-of-court settlement. A memorandum of compromise was filed in the Supreme Court stating that the first respondent had willingly agreed to transfer her right, title and interest in the land, as found by the High Court of Patna, for a valuable consideration of Rs.29,000 payable in lump sum as agreed between the parties. A copy of a receipt dated 30.3.1980 was placed on record, signed by the husband of the first respondent, confirming that the said amount had already been received by her. The receipt stated that in the husband's presence the amount was passed on to his wife. The only question before the court was whether the appeal could be disposed of in terms of the compromise without entering into the merits of the underlying controversy. No detailed oral or written arguments were recorded in the order; the parties jointly presented the memorandum of compromise indicating settlement. The first respondent did not appear in person or through counsel, and therefore the court directed the registry to communicate the order to the respondents. The Supreme Court took note of the memorandum of compromise and the receipt evidencing payment. It observed that since the matter had been settled out of court, it was not necessary to go into the controversy. The court did not examine the merits of the dispute or the findings of the High Court. The appeal was disposed of in terms of the compromise. No costs were ordered. The Registry was directed to communicate the order to the respondents, as they were not appearing in person or through counsel.
Headnote
A) Civil Procedure - Compromise of Suit - Settlement Out of Court - Not mentioned Act, Year, Section(s) - The parties filed a memorandum of compromise before the Supreme Court recording that the first respondent had willingly agreed to transfer her right, title and interest in the land for Rs.29,000/- payable in lump sum, and a receipt dated 30.3.1980 signed by her husband confirmed that the amount had been received by her. Since the matter was settled out of court, the court found it unnecessary to go into the controversy and disposed of the appeal in terms of the compromise with no costs. Held that an appeal can be disposed of on the basis of a compromise without adjudicating the underlying dispute (Para 1).
Issue of Consideration
Whether the appeal could be disposed of in terms of the compromise reached between the parties without adjudicating the underlying land dispute.
Final Decision
Appeal disposed of in terms of the compromise. No costs. Registry directed to communicate order to respondents as they were not appearing in person or through counsel.
Law Points
- Settlement out of court
- compromise disposes appeal
- no necessity to adjudicate controversy
- payment of consideration evidenced by receipt
