Case Note & Summary
The Bombay High Court considered a reference arising from a learned Single Judge's order dated 4 March 2011, which formulated two questions regarding the amendment to Section 26 of the Bombay Civil Courts Act, 1869 by Maharashtra Act No.III of 1999. The amendment increased the pecuniary jurisdiction of the District Court from Rs.1 lakh to Rs.5 lakh. The first question was whether the amendment is prospective or retrospective and whether it applies to appeals pending in the High Court on the date the amending Act came into force. The second question was if the amendment is not applicable to pending appeals, whether the view taken by the Division Bench in Mahendra Panmal Duggad Jain and another Vs. Bhararilal Panmal Duggad Jain and another [2008(6)-Bombay Cases Reporter-699] applies only prospectively. The court held that the amendment is prospective and does not apply to appeals already filed before the amendment came into force, as the right of appeal is a vested right governed by the law in force at the time of institution of the appeal. Consequently, the view in Mahendra Panmal Duggad Jain applies only prospectively. The court did not decide the merits of the individual appeals but answered the reference accordingly.
Headnote
A) Civil Procedure - Amendment of Statute - Prospective vs Retrospective - Section 26 Bombay Civil Courts Act, 1869 - Amendment increasing pecuniary jurisdiction of District Court from Rs.1 lakh to Rs.5 lakh - Held that the amendment is prospective and does not apply to appeals already filed before the amendment came into force, as vested right of appeal is governed by law at the time of institution (Paras 1-4). B) Civil Procedure - Precedent - Prospective Overruling - Mahendra Panmal Duggad Jain case - Held that the view taken in Mahendra Panmal Duggad Jain applies only prospectively, not to appeals pending before the amendment (Paras 1-4).
Issue of Consideration
Whether the amendment to Section 26 of the Bombay Civil Courts Act, 1869 made by Maharashtra Act No.III of 1999 is prospective or retrospective and whether it applies to appeals pending in the High Court on the date the amending Act came into force.
Final Decision
The court held that the amendment to Section 26 of the Bombay Civil Courts Act, 1869 is prospective and does not apply to appeals pending in the High Court on the date the amending Act came into force. The view taken in Mahendra Panmal Duggad Jain applies only prospectively.
Law Points
- Amendment to Section 26 of Bombay Civil Courts Act
- 1869 is prospective
- not retrospective
- pending appeals are governed by the law in force at the time of filing
- Mahendra Panmal Duggad Jain case applies prospectively
