Supreme Court Dismisses Special Leave Petition Challenging High Court's Setting Aside of Ex Parte Decree in Specific Performance Suit. High Court's Intervention Under Article 227 Upheld as Ex Parte Decree Was Nullity Due to Non-Appointment of Guardian for Minor Defendant Under Order XXXII Rule 3 CPC, Despite Defendants' Negligence and Delay.

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Case Note & Summary

The dispute originated from a suit for specific performance of a sale agreement, where the plaintiffs obtained an ex parte decree against the defendants, including a minor. The defendants later sought to set aside this decree by filing an application for condonation of a 862-day delay, which the trial court dismissed due to inadequate explanation and negligence. The defendants then filed a revision petition under Section 115 CPC before the High Court. During proceedings, the High Court discovered that the trial court had not properly appointed a guardian for the minor defendant as required under Order XXXII Rule 3 CPC, particularly noting the Madras Amendment's elaborate provisions. Consequently, the High Court, exercising its superintendence power under Article 227 of the Constitution, set aside the ex parte decree as a nullity, imposing a cost condition on the defendants to compensate the plaintiffs for expenses incurred. The plaintiffs, aggrieved by this order, appealed to the Supreme Court via a special leave petition. The core legal issues revolved around whether the High Court was justified in setting aside the decree in a revision petition primarily concerning delay condonation, and whether the procedural lapse regarding the minor's representation warranted such intervention. The plaintiffs argued that the High Court overstepped by not confining itself to the delay issue and that equity should not favor negligent defendants. The defendants contended that the High Court's broader powers under Article 227 allowed it to correct fundamental errors affecting a minor's rights. The Supreme Court analyzed the facts, confirming the trial court's failure to appoint a guardian properly, as evidenced by the closure of the application without adherence to mandatory procedures. The court emphasized that while parties might be negligent, courts cannot overlook procedural mandates, especially those protecting minors. It upheld the High Court's decision, reasoning that an ex parte decree against a minor without proper guardian appointment is void, making delay condonation moot. The court affirmed the High Court's use of Article 227 powers to set aside the decree, ensuring justice despite technicalities, and noted that the cost condition mitigated any prejudice to the plaintiffs. Thus, the Supreme Court dismissed the special leave petition, allowing the suit to proceed afresh in the trial court.

Headnote

A) Civil Procedure - Minor Representation - Appointment of Guardian - Code of Civil Procedure, 1908, Order XXXII Rule 3 - The trial court failed to properly appoint a guardian for a minor defendant in a suit for specific performance, merely closing the application without following the mandatory procedure under Order XXXII Rule 3, especially as amended by the Madras High Court - Held that an ex parte decree passed against a minor without proper guardian appointment is a nullity, and the High Court correctly intervened under Article 227 to set it aside, despite the defendants' negligence (Paras 1, 4-5, 10, 14-15).

B) Constitutional Law - High Court Superintendence - Article 227 of Constitution of India - The High Court invoked its power of superintendence under Article 227 to set aside an ex parte decree found to be a nullity due to procedural irregularity affecting a minor - Held that the High Court's exercise of power was justified as courts cannot ignore such lapses even if parties are negligent, and technicalities should not prevent correction of fundamental errors (Paras 1, 10, 13-14).

C) Limitation Law - Delay Condonation - Section 5 Limitation Act, 1963 - The High Court set aside the ex parte decree without addressing the delay condonation application under Section 5 of the Limitation Act, focusing instead on the nullity of the decree - Held that the issue of delay became irrelevant once the decree was found void, and the High Court's approach was proper (Paras 1, 10, 12).

D) Civil Procedure - Revision Jurisdiction - Section 115 Code of Civil Procedure, 1908 - The petitioners argued that the High Court should not have set aside the ex parte decree in a revision petition arising from a delay condonation application - Held that the High Court's revisional jurisdiction, coupled with Article 227 powers, allowed it to address the nullity issue directly, overriding technical objections (Paras 1, 10, 12-13).

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Issue of Consideration

Whether the High Court was justified in setting aside an ex parte decree in a revision petition arising from an application for condonation of delay, on the ground that the decree was a nullity due to non-appointment of a guardian for a minor defendant as per Order XXXII Rule 3 CPC

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Final Decision

Supreme Court dismissed the special leave petition, upholding the High Court's order setting aside the ex parte decree as a nullity due to failure to appoint a guardian for the minor defendant under Order XXXII Rule 3 CPC, and affirmed the cost condition imposed by the High Court

Law Points

  • Ex parte decree against a minor without proper appointment of guardian under Order XXXII Rule 3 CPC is a nullity
  • High Court's power under Article 227 of Constitution can be invoked to set aside such decree irrespective of delay condonation issues
  • Courts cannot ignore procedural lapses affecting minors even if parties are negligent
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Case Details

2021 LawText (SC) (7) 4

Special Leave Petition (C) No.2492 of 2021

2021-07-16

V. Ramasubramanian, J.

Mr. S. Nagamuthu, Mr. R. Balasubramanian

K.P. Natarajan & Anr.

Muthalammal & Ors.

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Nature of Litigation

Civil suit for specific performance of an agreement of sale, resulting in an ex parte decree and subsequent proceedings to set it aside

Remedy Sought

Petitioners/plaintiffs seek to overturn High Court order setting aside ex parte decree; respondents/defendants sought condonation of delay to set aside ex parte decree

Filing Reason

Appeal against High Court order that set aside ex parte decree as nullity due to non-appointment of guardian for minor defendant

Previous Decisions

Trial court decreed suit ex parte on 08.04.2015; trial court dismissed application for condonation of delay on 28.11.2017; High Court set aside ex parte decree under Article 227 on condition of cost payment

Issues

Whether the High Court was justified in setting aside the ex parte decree in a revision petition arising from an application for condonation of delay Whether the ex parte decree was a nullity due to non-appointment of a guardian for the minor defendant under Order XXXII Rule 3 CPC

Submissions/Arguments

Petitioners argued High Court should not have set aside ex parte decree in revision petition on delay condonation, equity should not favor negligent defendants, and issue of guardian appointment was not raised in revision Respondents argued High Court's power under Article 227 allows correction of procedural lapses affecting minors, and technicalities should not prevent justice

Ratio Decidendi

An ex parte decree passed against a minor without proper appointment of a guardian as per Order XXXII Rule 3 CPC is a nullity; the High Court can invoke its power under Article 227 of the Constitution to set aside such a decree irrespective of delay condonation issues, as courts cannot ignore procedural lapses affecting minors even if parties are negligent

Judgment Excerpts

the High Court found that the exparte decree was a nullity, as it was passed against a minor without the minor being represented by a guardian duly appointed in terms of the procedure contemplated under Order XXXII, Rule 3 of the Code the High Court, exercising its power of superintendence under Article 227 of the Constitution, set aside the exparte decree itself the trial Court failed to appoint a guardian for the third respondent/minor in a manner prescribed by law

Procedural History

Suit O.S. No.264 of 2013 filed for specific performance; ex parte decree passed on 08.04.2015; execution petition E.P. No.33 of 2015 filed; respondents set ex parte in execution on 18.10.2016; application E.A. No.40 of 2017 filed to set aside ex parte order in execution; sale deed executed by court on 04.01.2017; application I.A. No.142 of 2017 filed for condonation of delay of 862 days to set aside ex parte decree, dismissed on 28.11.2017; revision petition filed under Section 115 CPC before High Court; High Court set aside ex parte decree under Article 227 on condition of cost payment; respondents deposited cost on 12.10.2020; suit taken up for trial after framing issues; special leave petition filed in Supreme Court

Acts & Sections

  • Code of Civil Procedure, 1908: Section 115, Order XXXII Rule 3, Section 121, Section 122
  • Limitation Act, 1963: Section 5
  • Constitution of India: Article 227
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