Bombay High Court Allows Writ Petition Challenging Rejection of Application to Set Aside Ex-Parte Decree in Summary Suit. Court holds that the trial court failed to consider that the defendant had a valid defence and that the ex-parte decree was passed without proper service of summons under Order 37 CPC.

High Court: Bombay High Court Bench: AURANGABAD In Favour of Accused
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Case Note & Summary

The petitioners, Kishor Raghunath Pande and Vijaya Raghunath Pande, filed a writ petition under Article 227 of the Constitution of India challenging an order dated 15-02-2011 passed by the 2nd Joint Civil Judge, Senior Division, Jalgaon, rejecting their application below Exh.1 in Summary Suit No. 7 of 2009. The respondent, Narendra Durlabhji Shah, had filed the summary suit against the petitioners for recovery of an amount. The petitioners contended that they were not served with the summons in the suit and that the ex-parte decree was passed without giving them an opportunity to defend. They filed an application under Order 37 Rule 4 read with Order 9 Rule 13 and Section 151 CPC for setting aside the ex-parte decree and for leave to defend. The trial court rejected the application, holding that the petitioners had not shown sufficient cause for setting aside the decree. The High Court, after hearing both sides, observed that the trial court had not properly considered the application. The court noted that the petitioners had a valid defence and that the summons were not served in accordance with law. The High Court set aside the impugned order and allowed the application, setting aside the ex-parte decree and granting leave to the petitioners to defend the suit, subject to the condition that they deposit a certain amount or furnish security within a specified period. The writ petition was allowed with no order as to costs.

Headnote

A) Civil Procedure - Summary Suit - Order 37 CPC - Setting Aside Ex-Parte Decree - The trial court rejected the application for setting aside ex-parte decree and for leave to defend without considering that the defendant had a valid defence and that the summons were not properly served. The High Court held that the trial court ought to have considered the application on merits and set aside the ex-parte decree, granting leave to defend subject to conditions. (Paras 1-5)

B) Civil Procedure - Service of Summons - Order 37 CPC - The court noted that the defendant had not been served with the summons in the manner prescribed under Order 37, and the trial court failed to record satisfaction regarding service. The High Court held that the ex-parte decree was liable to be set aside as the defendant was not given an opportunity to defend. (Paras 3-5)

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Issue of Consideration

Whether the trial court was justified in rejecting the application to set aside the ex-parte decree and for leave to defend in a summary suit under Order 37 of the Code of Civil Procedure, 1908.

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Final Decision

The High Court allowed the writ petition, set aside the impugned order dated 15-02-2011, and allowed the application below Exh.1, thereby setting aside the ex-parte decree and granting leave to the petitioners to defend the suit, subject to the condition that they deposit a certain amount or furnish security within a specified period. No order as to costs.

Law Points

  • Order 37 CPC
  • Order 9 Rule 13 CPC
  • Section 151 CPC
  • Service of summons
  • Sufficient cause for setting aside ex-parte decree
  • Leave to defend
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Case Details

2011 LawText (BOM) (12) 14

Writ Petition No. 3491 of 2011

2011-12-12

S.S. Shinde, J.

Mr. Amol K. Gawali for petitioners, Mr. A.M. Gholap for respondent sole

Kishor Raghunath Pande and Vijaya Raghunath Pande

Narendra Durlabhji Shah

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Nature of Litigation

Writ petition under Article 227 of the Constitution of India challenging an order rejecting an application to set aside ex-parte decree and for leave to defend in a summary suit.

Remedy Sought

The petitioners sought to set aside the ex-parte decree and obtain leave to defend the summary suit.

Filing Reason

The trial court rejected the petitioners' application for setting aside the ex-parte decree and for leave to defend, which the petitioners challenged as being erroneous and without proper consideration of their defence.

Previous Decisions

The 2nd Joint Civil Judge, Senior Division, Jalgaon, by order dated 15-02-2011, rejected the application below Exh.1 in Summary Suit No. 7 of 2009.

Issues

Whether the trial court was justified in rejecting the application to set aside the ex-parte decree and for leave to defend in a summary suit under Order 37 CPC.

Submissions/Arguments

The petitioners argued that they were not served with summons and that the ex-parte decree was passed without giving them an opportunity to defend, and that they had a valid defence on merits. The respondent opposed the application, contending that the petitioners had not shown sufficient cause for setting aside the decree.

Ratio Decidendi

In a summary suit under Order 37 CPC, the court must ensure that the defendant is properly served with summons and given an opportunity to defend. If the defendant shows a valid defence and sufficient cause for setting aside the ex-parte decree, the court should set aside the decree and grant leave to defend, subject to appropriate conditions.

Judgment Excerpts

This writ petition takes exception to the order dated 15022011 passed by the 2nd Joint Civil Judge, Senior Division, Jalgaon thereby rejecting the application below Exh.1. Heard learned Counsel appearing for the petitioners and learned Counsel appearing for the respondent sole. Rule. Rule made returnable forthwith.

Procedural History

The respondent filed Summary Suit No. 7 of 2009 against the petitioners. The trial court passed an ex-parte decree. The petitioners filed an application below Exh.1 under Order 37 Rule 4 read with Order 9 Rule 13 and Section 151 CPC to set aside the ex-parte decree and for leave to defend. The trial court rejected the application on 15-02-2011. The petitioners then filed the present writ petition under Article 227 of the Constitution of India.

Acts & Sections

  • Code of Civil Procedure, 1908: Order 37, Order 9 Rule 13, Section 151
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