Case Note & Summary
The appellants (original plaintiffs) filed a suit for declaration of title and permanent injunction in respect of a property in Goa. They claimed that the property belonged to their father, Dharma Falari, and after his death, they and the respondent (their brother) were in joint possession. The respondent allegedly attempted to dispossess them in 1998, leading to the suit in 1999. The trial court decreed the suit, holding that the appellants had proved their title and that the suit was within limitation. The first appellate court reversed the decree, holding that the suit was barred by limitation under Article 58 of the Limitation Act, 1963, and that the appellants failed to prove possession. The appellants filed a second appeal. The High Court framed substantial questions of law regarding the first appellate court's compliance with Order 41 Rule 31 CPC and the applicability of Article 58. The High Court found that the first appellate court did not frame proper points for determination and did not adequately consider the issue of possession and limitation. The High Court held that the suit for declaration and injunction was not necessarily barred by limitation, as the right to sue accrues only when there is a clear denial of title. The court also noted that the first appellate court failed to consider the evidence on possession. Consequently, the High Court allowed the appeal, set aside the first appellate court's judgment, and remanded the matter for fresh disposal in accordance with law.
Headnote
A) Civil Procedure Code, 1908 - Order 41 Rule 31 - Duty of First Appellate Court - Points for Determination - The first appellate court must frame points for determination arising from the grounds of appeal and must decide each point with reasons. Failure to do so vitiates the judgment. (Paras 12-13) B) Limitation Act, 1963 - Article 58 - Suit for Declaration - Limitation Period - For a suit for declaration of title and injunction, the limitation of three years under Article 58 runs from the date when the right to sue first accrues. The right to sue accrues when there is a clear and unequivocal threat or denial of the plaintiff's title. Mere possession by the defendant without denial does not start limitation. (Paras 14-15) C) Specific Relief Act, 1963 - Section 34 - Suit for Declaration - Possession - A suit for declaration of title and injunction is maintainable even if the plaintiff is not in possession, provided the plaintiff seeks consequential relief. The court must examine whether the plaintiff's possession was disturbed within 12 years prior to the suit. (Paras 16-17)
Issue of Consideration
Whether the first appellate court's judgment was vitiated for non-compliance with Order 41 Rule 31 CPC; whether the suit for declaration of title and injunction was barred by limitation under Article 58 of the Limitation Act, 1963.
Final Decision
The High Court allowed the second appeal, set aside the judgment and decree of the first appellate court, and remanded the matter to the first appellate court for fresh disposal in accordance with law, after framing proper points for determination and considering the issues of possession and limitation afresh.
Law Points
- Order 41 Rule 31 CPC
- Article 58 Limitation Act 1963
- Section 34 Specific Relief Act 1963
- adverse possession
- limitation for declaratory suits
- duty of first appellate court



