Case Note & Summary
The appeal arose from a decision of a Learned Single Judge of the Bombay High Court dismissing three Notices of Motion taken out by the Sixth and Seventh Defendants (Appellants) in a suit filed by Punam Co-operative Housing Society Ltd. (Plaintiff/Respondent No.1). The Appellants claimed title under an agreement dated 30 May 2007 entered into by the original First to Fifth Defendants (Respondents 2 to 6). The Plaintiff Society instituted a suit on the Original Side of the High Court seeking declarations that the agreement dated 30 May 2007 is null and void in respect of certain areas, that the Sixth and Seventh Defendants are trespassers, for delivery of possession, for a declaration that they have no right, title or interest, for damages of Rs.1.30 Crores, and for a permanent injunction restraining them from using parking space. The Appellants took out three Notices of Motion: (i) questioning the jurisdiction of the Court under Section 9A of the CPC on the ground that exclusive jurisdiction vests with the Co-operative Court under Section 163 read with Section 91 of the Maharashtra Co-operative Societies Act, 1960; (ii) seeking stay of the suit; and (iii) seeking rejection of the plaint under Order 7 Rule 11(a) and (d) CPC. The Learned Single Judge dismissed all three Notices of Motion, holding that the Civil Court has jurisdiction. The Division Bench upheld the Single Judge's decision, finding that the dispute involved title and possession of immovable property and did not fall within the exclusive jurisdiction of the Co-operative Court. The Court noted that the suit was for declaration of title, possession, and damages against trespassers, which are matters within the jurisdiction of the Civil Court. The appeal was dismissed.
Headnote
A) Civil Procedure - Jurisdiction - Preliminary Issue under Section 9A CPC - The Court held that when a question of jurisdiction is raised, it must be decided as a preliminary issue. The Learned Single Judge correctly framed and decided the issue of jurisdiction under Section 9A of the Code of Civil Procedure, 1908. (Para 1) B) Co-operative Societies - Jurisdiction of Civil Court - Section 163 read with Section 91 of Maharashtra Co-operative Societies Act, 1960 - The Court held that the jurisdiction of the Civil Court is not ousted where the dispute relates to title and possession of immovable property and does not pertain to the management or business of the society. The suit for declaration that an agreement is null and void, for possession, and for damages against trespassers is maintainable before the Civil Court. (Paras 1-6) C) Civil Procedure - Rejection of Plaint - Order 7 Rule 11 CPC - The Court held that the plaint cannot be rejected under Order 7 Rule 11(a) or (d) of the Code of Civil Procedure, 1908, as the suit is not barred by law and the reliefs claimed are not beyond the jurisdiction of the Civil Court. (Para 1)
Issue of Consideration
Whether the Civil Court has jurisdiction to entertain a suit filed by a co-operative housing society against its members and third parties for declaration that an agreement is null and void, for possession of property, and for damages, or whether the jurisdiction is exclusively vested in the Co-operative Court under Section 163 read with Section 91 of the Maharashtra Co-operative Societies Act, 1960.
Final Decision
The Division Bench dismissed the appeal, upholding the order of the Learned Single Judge that the Civil Court has jurisdiction to entertain the suit.
Law Points
- Jurisdiction of Civil Court
- Ouster of jurisdiction
- Section 9A CPC
- Section 163 MCS Act
- Section 91 MCS Act
- Order 7 Rule 11 CPC
- Preliminary issue
- Co-operative Court
- Title and possession dispute
- Trespass
