High Court of Karnataka at Bengaluru Considers Second Appeals on Maintainability of Civil Suits Involving Electricity Tariff Dispute – Core Issue Is Bar on Civil Court Jurisdiction Under Section 145 of the Electricity Act, 2003

High Court: Karnataka High Court Bench: BENGALURU
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Case Note & Summary

The appellants, who were plaintiffs in the original suits, filed four separate suits (O.S. Nos. 613/2013, 612/2013, 610/2013, and 611/2013) before the Trial Court against Mangalore Electricity Supply Company Limited (MESCOM) and its Assistant Executive Engineer. The dispute pertained to electricity connections provided to a premises known as Mizaz Complex in Pandeshwar, Mangaluru. The appellants contended that the premises had been gifted to one of the plaintiffs, and electricity connection had been obtained under tariff LT-2(a). However, a tenant was running a ladies hostel in the premises. On 16.07.2013, officials from MESCOM inspected the premises and determined that the applicable tariff should be LT-3 instead of LT-2(a). Consequently, demand notices were issued raising back billing claims for differential tariff and fixed charges, along with a penalty, and threatening disconnection if not paid within the stipulated time. The appellants filed objections to these notices and subsequently instituted the suits seeking a declaration that the demand notices were null and void and unenforceable, and for a permanent prohibitory injunction restraining the respondents from disconnecting the electricity supply. The respondents contested the suits, asserting that the tariff reclassification and back billing were lawful and that the civil court lacked jurisdiction under Section 145 of the Electricity Act, 2003. The Trial Court framed issues including whether the demand notices were in accordance with norms, whether they were null and void, entitlement to injunction, and specifically, whether the court had jurisdiction to entertain the suits. After trial, the court answered all issues in the negative and the additional issue on jurisdiction in the affirmative, holding that Section 145 of the Electricity Act barred the civil court’s jurisdiction, and dismissed the suits. The appellants filed regular appeals before the First Appellate Court, which considered similar points and affirmed the Trial Court’s decision, holding that the civil court had no jurisdiction and that the suits were not maintainable. The First Appellate Court also dismissed an application for additional evidence. Aggrieved by these concurrent findings, the appellants filed the present second appeals under Section 100 of the Code of Civil Procedure, 1908, contending that both courts below misconstrued the law and ignored a prior remand order that had held the civil court had jurisdiction. The High Court heard the appeals together and reserved judgment on 16.10.2025. The text of the judgment as provided remains incomplete, and the final decision of the High Court on the second appeals is not contained in the available excerpt.

Headnote

A) Electricity Law - Jurisdiction of Civil Court - Bar under Section 145 of Electricity Act, 2003 - Electricity Act, 2003, Section 145 - In suits filed seeking declaration that back billing demand notices issued by MESCOM based on tariff reclassification (LT-2(a) to LT-3) were null and void and for permanent injunction, the Trial Court held that the civil court had no jurisdiction to entertain the suits due to the statutory bar under Section 145 of the Electricity Act, 2003, and dismissed the suits. The First Appellate Court confirmed this finding, answering the point on jurisdiction in the affirmative and holding that the suits were not maintainable before the civil court. The second appeals before the High Court were heard and reserved for judgment on 16.10.2025. (Paras 7-9)

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Issue of Consideration

Whether the civil court has jurisdiction to entertain suits seeking declaration that demand notices issued by the electricity supply company are null and void and for permanent prohibitory injunction, given the bar under Section 145 of the Electricity Act, 2003

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Law Points

  • Section 145 of the Electricity Act
  • 2003 bars the jurisdiction of civil courts
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Case Details

2025 LawText (KAR) (10) 5

Regular Second Appeal No.379/2021 c/w Regular Second Appeal Nos.381/2021, 380/2021, 382/2021

2025-10-31

H.P. Sandesh

Shivarama Bhat O. (Appellants), H.V. Devaraju (Respondents)

M. Seeddiabba, M.K. Mohammed Anifa, and others

Mangalore Electricity Supply Company Limited (MESCOM) and Assistant Executive Engineer

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Nature of Litigation

Civil suits seeking declaration that demand notices issued by electricity supply company were null and void and for permanent prohibitory injunction against disconnection

Remedy Sought

Plaintiffs sought a declaration that the demand notices were null and void and unenforceable, and a permanent prohibitory injunction restraining the defendants from disconnecting the electricity supply to the scheduled premises

Filing Reason

MESCOM officials inspected the premises, found that a ladies hostel was operating under domestic tariff LT-2(a) instead of commercial tariff LT-3, and issued demand notices for payment of differential charges, penalty, and threatened disconnection

Previous Decisions

Trial Court dismissed suits holding civil court had no jurisdiction under Section 145 of the Electricity Act, 2003; First Appellate Court affirmed dismissal and held suits not maintainable

Issues

Whether the civil court has jurisdiction to entertain suits challenging demand notices issued by electricity supply company in view of bar under Section 145 of the Electricity Act, 2003 Whether the demand notices were issued in accordance with legal norms and were enforceable Whether the plaintiffs were entitled to a permanent prohibitory injunction Whether additional evidence should be allowed under Order 41 Rule 27 of CPC

Submissions/Arguments

Appellants contended that the civil court had jurisdiction, earlier remand order had held maintainability, and the courts below ignored material evidence; they also argued that the demand notices were not in accordance with law. Respondents contended that the suit was frivolous and the civil court had no jurisdiction due to Section 145 of the Electricity Act, and the demand notices were legally valid and enforceable.

Ratio Decidendi

Not mentioned (the provided text does not contain the final ratio of the High Court; the lower courts applied Section 145 of the Electricity Act, 2003 to hold that civil court jurisdiction is ousted)

Judgment Excerpts

The Trial Court having considered both oral and documentary evidence placed on record answered Issue Nos.1 to 3 as negative and Additional Issue as affirmative holding that this Court has no jurisdiction to try this suit and dismissed the suit filed by the plaintiffs invoking Section 145 of the Electricity Act, 2003 (‘the said Act’ for short) in coming to the conclusion that there is a bar. The First Appellate Court having considered the respective provisions and also the principles laid down in the judgments referred by the respective parties, answered Point No.1 as affirmative in coming to the conclusion that the civil Court has no jurisdiction to entertain the suit.

Procedural History

Original suits (O.S. Nos. 613/2013, 612/2013, 610/2013, 611/2013) filed before III Addl. Civil Judge & JMFC, Mangaluru. Trial Court dismissed suits by judgment dated 06.01.2021, holding no jurisdiction under Section 145 of Electricity Act. Appeals filed before III Addl. Senior Civil Judge & JMFC, Mangaluru (R.A. Nos. 9/2021, 10/2021, 13/2021, 11/2021). First Appellate Court dismissed appeals on 01.04.2021, confirming trial court. Second appeals filed under Section 100 CPC before High Court of Karnataka. Heard on 16.10.2025 and reserved for judgment. Judgment pronounced on 31.10.2025.

Acts & Sections

  • Electricity Act, 2003: 145
  • Code of Civil Procedure, 1908: 100, 151, Order 41 Rule 27, Order VII Rule 11
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