Supreme Court Allows Appeal in Civil Jurisdiction Dispute — Holds Civil Court Has Jurisdiction to Declare Gift Deed Void Despite Revenue Proceedings Under Rajasthan Tenancy Act, 1955. The Court set aside the High Court's order rejecting the plaint and remanded the matter for determination of jurisdiction after framing preliminary issues and recording evidence.

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Case Note & Summary

The appellant, Pyarelal, filed a civil suit seeking a declaration that a gift deed dated 10 February 2011 was void to the extent of his share in agricultural land, and for an injunction restraining the respondents from alienating the property. The appellant claimed that upon the death of Mangalram and Rukma Devi, the land devolved upon respondent No. 3 and Kushali Devi (the appellant's mother) in equal shares. After Kushali Devi's death, her share devolved upon the appellant and respondent Nos. 7 to 10. The appellant alleged that respondent Nos. 2 and 3 colluded to record respondent No. 3 as the owner and then executed a gift deed in favour of respondent No. 1. The respondents filed an application under Order VII Rule 11 read with Section 151 CPC, contending that the civil court lacked jurisdiction because the appellant had also filed a suit before the revenue court for declaration of khatedari rights. The trial court dismissed the application, holding that the question of jurisdiction required framing of preliminary issues and evidence. The Rajasthan High Court, in revision, allowed the application and rejected the plaint, holding that the suit was barred by Sections 88 and 207 of the Rajasthan Tenancy Act, 1955. The Supreme Court allowed the appeal, setting aside the High Court's order. The Court held that the jurisdiction of civil courts is barred only in respect of suits and applications of the nature specified in the Third Schedule to the Tenancy Act. The suit for declaration that a gift deed is void to the extent of the plaintiff's share does not necessarily fall within the Third Schedule, and the bar under Section 256 is not absolute. The Court emphasized that an application under Order VII Rule 11 must be decided based solely on the plaint averments, and the High Court erred by going beyond the plaint. The matter was remanded to the trial court for framing preliminary issues and deciding the question of jurisdiction after recording evidence.

Headnote

A) Civil Procedure - Jurisdiction of Civil Courts - Section 9 CPC - Section 9 of the Code of Civil Procedure, 1908 empowers civil courts to try all suits of a civil nature unless expressly or impliedly barred by any statute. The presumption is in favour of civil court jurisdiction. (Para 11)

B) Rajasthan Tenancy Act - Bar to Jurisdiction of Civil Courts - Section 256 - Section 256 of the Rajasthan Tenancy Act, 1955 bars civil courts from trying suits or proceedings with respect to matters arising under the Act for which a remedy is provided under the Act. However, the bar is not absolute and applies only to matters specified in the Third Schedule. (Para 12)

C) Rajasthan Tenancy Act - Exclusive Jurisdiction of Revenue Courts - Section 207 - Section 207 of the Rajasthan Tenancy Act, 1955 provides that suits and applications of the nature specified in the Third Schedule shall be heard and determined exclusively by revenue courts. The explanation clarifies that if the cause of action is one for which relief could be granted by the revenue court, it is immaterial that the relief sought from the civil court is greater or additional. (Para 13)

D) Civil Procedure - Rejection of Plaint - Order VII Rule 11(d) CPC - An application under Order VII Rule 11(d) of the Code of Civil Procedure, 1908 for rejection of plaint on the ground that the suit is barred by law must be decided based on the averments in the plaint and the documents filed by the plaintiff. The court cannot go beyond the plaint. (Para 15-16)

E) Rajasthan Tenancy Act - Third Schedule - Suits for Declaration of Khatedari Rights - The Third Schedule to the Rajasthan Tenancy Act, 1955 specifies suits and applications cognizable by revenue courts, including suits for declaration of khatedari rights. However, a suit seeking declaration that a gift deed is void to the extent of the plaintiff's share, without seeking declaration of khatedari rights, may not fall within the Third Schedule. (Para 13-14)

F) Precedent - Bank of Baroda v. Moti Bhai, (1985) 1 SCC 475 - The Supreme Court held that a loan given by a bank to an agriculturist, being a commercial transaction, is outside the contemplation of the Rajasthan Tenancy Act, 1955 and the civil court has jurisdiction. The bar under Sections 207 and 256 applies only to matters arising under the Act. (Para 14)

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Issue of Consideration

Whether the civil court has jurisdiction to entertain a suit seeking declaration that a gift deed is void to the extent of the plaintiff's share, when the plaintiff has also filed a suit before the revenue court for declaration of khatedari rights, in light of Sections 207 and 256 of the Rajasthan Tenancy Act, 1955.

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Final Decision

The Supreme Court allowed the appeals, set aside the orders of the Rajasthan High Court dated 13 November 2014 and 2 March 2015, and remanded the matter to the trial court for framing preliminary issues and deciding the question of jurisdiction after recording evidence. The Court held that the High Court erred in rejecting the plaint under Order VII Rule 11(d) CPC without considering that the jurisdiction issue required determination of facts.

Law Points

  • Jurisdiction of civil courts
  • Bar under Section 256 Rajasthan Tenancy Act
  • 1955
  • Exclusive jurisdiction of revenue courts under Section 207
  • Order VII Rule 11 CPC
  • Inherent lack of jurisdiction
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Case Details

2019 LawText (SC) (1) 60

Civil Appeal Nos.1269-1270 of 2019 (Arising out of SLP (C) Nos. 21402-21403 of 2015)

2019-01-29

Dr. Dhananjaya Y Chandrachud

Pyarelal

Shubhendra Pilania (Minor) Through Natural Guardian (Father) Shri Pradeep Kumar Pilania & Ors.

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Nature of Litigation

Civil suit seeking declaration that a gift deed is void to the extent of the plaintiff's share and for injunction.

Remedy Sought

The appellant sought a declaration that the gift deed dated 10 February 2011 is void to the extent of his share and an injunction restraining the respondents from alienating the suit property.

Filing Reason

The appellant alleged that the respondents colluded to record respondent No. 3 as the owner of the land and executed a gift deed in favour of respondent No. 1, thereby depriving the appellant of his share.

Previous Decisions

The trial court dismissed the respondents' application under Order VII Rule 11 CPC on 26 August 2013. The Rajasthan High Court allowed the revision petition on 13 November 2014, rejecting the plaint. The review petition was dismissed on 2 March 2015.

Issues

Whether the civil court has jurisdiction to entertain a suit for declaration that a gift deed is void to the extent of the plaintiff's share, when the plaintiff has also filed a suit before the revenue court for declaration of khatedari rights. Whether the suit is barred by Sections 207 and 256 of the Rajasthan Tenancy Act, 1955.

Submissions/Arguments

Appellant: The relief claimed is not covered under Section 207 and the Third Schedule of the Tenancy Act; a civil court has jurisdiction. A suit before a civil court is maintainable even though a suit for khatedari rights is pending before the revenue court. Respondents: The jurisdiction of a civil court is barred in respect of suits specified in the Third Schedule; a civil court has no jurisdiction to entertain matters arising under the Tenancy Act; the issue of jurisdiction goes to the root of the matter.

Ratio Decidendi

The jurisdiction of civil courts is barred under Section 256 of the Rajasthan Tenancy Act, 1955 only in respect of suits and applications of the nature specified in the Third Schedule. A suit seeking declaration that a gift deed is void to the extent of the plaintiff's share does not necessarily fall within the Third Schedule. An application under Order VII Rule 11 CPC must be decided based solely on the plaint averments, and the court cannot go beyond the plaint. The question of jurisdiction may require framing of preliminary issues and recording of evidence.

Judgment Excerpts

Section 9 empowers civil courts to try all suits of a civil nature unless expressly or impliedly barred by any statute. Section 256 bars the jurisdiction of civil courts, save as otherwise provided under the Tenancy Act. Section 207 of the Tenancy Act states that no court other than a revenue court shall take cognizance of suits and applications of the nature specified in the Third Schedule. In Bank of Baroda v Moti Bhai, a two judge Bench of this Court dealt with the question of jurisdiction under Sections 207 and 256 of the Tenancy Act.

Procedural History

The appellant filed a civil suit on 13 March 2012. The respondents filed an application under Order VII Rule 11 CPC, which was dismissed by the trial court on 26 August 2013. The respondents challenged this order in revision under Section 115 CPC before the Rajasthan High Court, which allowed the revision on 13 November 2014 and rejected the plaint. The appellant's review petition was dismissed on 2 March 2015. The appellant then filed special leave petitions before the Supreme Court, which were granted and converted into civil appeals.

Acts & Sections

  • Code of Civil Procedure, 1908: Section 9, Order VII Rule 11, Section 151, Section 115
  • Rajasthan Tenancy Act, 1955: Section 207, Section 256, Section 88, Third Schedule
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