Case Note & Summary
The present Second Appeal arises out of a judgment and decree dated 03.10.2022 passed by the learned District Judge-1, Bhandara in Regular Civil Appeal No.61/2018. The appellants (original plaintiffs) had filed a suit for eviction and possession against the respondent (Maharashtra State Ware Housing Corporation) being S.C.S. No.29/1997. The suit was decreed on 30.04.2002, and the decree awarded mesne profits for the period prior to the filing of the suit but was silent regarding future mesne profits from the date of institution till delivery of possession. Subsequently, the appellants filed Special Mesne Profit Case No.1/2004 under Order 20 Rule 12 CPC for determination of future mesne profits. The trial court allowed the application on 11.11.2011, but the appellate court reversed that decision on 03.10.2022, holding that the decree's silence barred such a separate application. The High Court framed the substantial question of law: whether the omission in the eviction decree to award future mesne profits bars the landlord from filing a separate application for determination of mesne profits under Order 20 Rule 12 CPC. The High Court analyzed Order 20 Rule 12 CPC and Section 2(12) CPC, and held that the decree-holder is entitled to apply for determination of future mesne profits even if the decree is silent, as the right to mesne profits is a continuing right until possession is delivered. The court also noted that the application was within limitation. Consequently, the High Court allowed the appeal, set aside the appellate court's judgment, and restored the trial court's order directing an enquiry into mesne profits.
Headnote
A) Civil Procedure - Mesne Profits - Order 20 Rule 12 CPC - Future Mesne Profits - The omission in the eviction decree to award future mesne profits does not bar the landlord from filing a separate application for determination of mesne profits under Order 20 Rule 12 CPC. The court held that the decree-holder is entitled to apply for determination of future mesne profits even if the decree is silent, as the right to mesne profits is a continuing right until possession is delivered. (Paras 10-15) B) Civil Procedure - Mesne Profits - Section 2(12) CPC - Definition - Mesne profits are defined as profits which the person in wrongful possession actually received or might have received with ordinary diligence. The court emphasized that mesne profits are compensatory in nature and not penal. (Para 6) C) Civil Procedure - Mesne Profits - Limitation - The application for determination of mesne profits must be filed within three years from the date of decree or from the date of delivery of possession, as per Article 137 of the Limitation Act, 1963. The court held that the application in this case was within limitation. (Paras 16-18)
Issue of Consideration
Whether the omission in the eviction decree to award future mesne profits bars the landlord from filing a separate application for determination of mesne profits under Order 20 Rule 12 of the Code of Civil Procedure, 1908.
Final Decision
Second Appeal allowed. Judgment and decree dated 03.10.2022 of District Judge-1, Bhandara set aside. Judgment and decree dated 11.11.2011 of Civil Judge Junior Division, Bhandara in Special Mesne Profit Case No.1/2004 restored. The trial court is directed to proceed with enquiry into mesne profits as per law.
Law Points
- Mesne profits
- Future mesne profits
- Order 20 Rule 12 CPC
- Section 2(12) CPC
- Decree silent on future mesne profits
- Separate proceedings for mesne profits
- Enquiry into mesne profits
- Limitation for mesne profits
