Case Note & Summary
The appellant, Jijamata Sahakari Sakhar Karkhana Ltd., a registered cooperative society, challenged the judgment and order dated 14.2.1994 passed in Regular Civil Appeal No. 113/1994 by the District Court, Chikhli, which reversed the dismissal of Regular Civil Suit No. 39/1991 by the Civil Judge, J.D. Chikhli. The respondent-plaintiff had instituted the suit to recover a sum of Rs. 15,828/- from the appellant-society for transportation of sugarcane. The plaintiff claimed that he was appointed to supply sugarcane for sowing using his truck MWD 7270 between 2.2.1988 and 29.9.1988, and a sum of Rs. 11,880/- became due. Despite a notice dated 10.6.1988, the dues remained unpaid, leading to the suit. The defendant-society resisted the suit on the ground that it was not competent for want of pre-suit statutory notice under Section 164 of the Maharashtra Cooperative Societies Act, 1960. The trial court dismissed the suit, holding that the notice was mandatory and not given. The lower appellate court reversed the decree, holding that the notice requirement was directory and could be waived. The High Court, in second appeal, framed the substantial question of law regarding the maintainability of the suit without pre-suit notice. The High Court held that the requirement of notice under Section 164 is mandatory and cannot be waived, as it is a condition precedent for filing a suit against a cooperative society. The suit was not maintainable without such notice. The High Court allowed the appeal, set aside the judgment of the lower appellate court, and restored the trial court's decree dismissing the suit. The court also noted that the appeal was admitted on 28.11.2000.
Headnote
A) Cooperative Societies - Pre-suit Notice - Section 164 Maharashtra Cooperative Societies Act, 1960 - Mandatory Notice - The suit filed by the plaintiff against a cooperative society for recovery of money was dismissed by the trial court for want of pre-suit notice under Section 164 of the Act. The lower appellate court reversed the decree, holding that the notice requirement was directory and could be waived. The High Court held that the requirement of notice under Section 164 is mandatory and cannot be waived, as it is a condition precedent for filing a suit against a cooperative society. The suit was not maintainable without such notice. (Paras 1-10) B) Civil Procedure - Waiver of Statutory Requirement - Section 164 Maharashtra Cooperative Societies Act, 1960 - Waiver of Notice - The High Court held that a statutory requirement of pre-suit notice cannot be waived by the defendant, as it is a matter of public policy and jurisdiction. The lower appellate court erred in holding that the notice was directory and could be waived. (Paras 8-10)
Issue of Consideration
Whether the suit filed by the plaintiff against a cooperative society is maintainable in the absence of a pre-suit statutory notice under Section 164 of the Maharashtra Cooperative Societies Act, 1960, and whether such notice can be waived.
Final Decision
The High Court allowed the appeal, set aside the judgment and decree of the lower appellate court, and restored the trial court's decree dismissing the suit. The court held that the requirement of pre-suit notice under Section 164 of the Maharashtra Cooperative Societies Act, 1960 is mandatory and cannot be waived.
Law Points
- Section 164 of Maharashtra Cooperative Societies Act
- 1960
- mandatory pre-suit notice
- waiver of notice
- jurisdiction of civil court
- cooperative society suit
