Bombay High Court Allows Amendment to Implead Subsequent Purchasers in Suit for Declaration of Purchase Right. Civil Procedure Code Order 1 Rule 10 Requires Impleading of Necessary Parties to Avoid Multiplicity of Proceedings.

High Court: Bombay High Court In Favour of Prosecution
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Case Note & Summary

The writ petition before the Bombay High Court at Goa challenged an order of the trial court rejecting an application for amendment of plaint to implead proposed defendants. The petitioner, the original plaintiff, had filed a suit in 1988 seeking a declaration of his right to purchase agricultural land based on a lease agreement with the original owners. During the pendency of the suit, defendant no.3, who had purchased the land from the original owners, entered into an agreement to sell the suit property to third parties. The plaintiff learned of this and sought to implead those third parties as defendants to enable complete and effectual adjudication. A previous application for the same relief filed in 1988 remained pending due to the suit records being called to the High Court in connection with an appeal against vacation of an ex-parte injunction. The records were returned only in 1998 after a decade. That application was then dismissed as not pressed with liberty to file a fresh application. A fresh application was made and was rejected by the trial court on the grounds that the proposed parties were not necessary or proper parties, the earlier application had been dismissed, and the suit had abated due to the death of defendants no.1 and 2. The High Court found the trial court's order unsustainable. It held that under Order 1 Rule 10 CPC, the proposed defendants, who had allegedly purchased the property, were necessary or proper parties for the complete adjudication of the questions involved and to avoid multiplicity of proceedings. The court observed that the trial court had granted liberty to file a fresh application, so the earlier dismissal could not bar the second application. Further, the pending inquiry regarding abatement under Order 22 Rule 4-A did not affect the impleadment. The High Court distinguished the Supreme Court's judgment in Ramesh Hirachand Kundanmal v. Municipal Corporation (1992) 2 SCC 524, noting that the proposed defendants here had a direct interest in the subject matter. Accordingly, the writ petition was allowed, the impugned order was set aside, and the application for amendment was granted with costs of Rs. 3000 payable to respondent no.3; the amendment was to be carried out within four weeks.

Headnote

A) Civil Procedure - Impleadment of Parties - Necessary and Proper Parties - Code of Civil Procedure, 1908, Order 1 Rule 10 - The plaintiff sought to implead subsequent purchasers of the suit property to avoid multiplicity of proceedings and ensure complete adjudication. The trial court had rejected the application observing that an agreement of sale did not create interest under Section 53(a) of the Transfer of Property Act. The High Court held that the proposed defendants were necessary or proper parties as their rights would be affected by the suit’s outcome and impleading them would prevent future litigation. (Paras 8-9)

B) Civil Procedure - Amendment of Pleadings - Earlier Application Dismissed with Liberty to File Fresh - Code of Civil Procedure, 1908, Order 6 Rule 17 - The trial court had earlier dismissed an impleadment application as not pressed with liberty to file fresh. The High Court held that the second application could not be dismissed on the ground of the earlier dismissal, especially since the record was unavailable due to appellate proceedings. The liberty granted by the trial court allowed the fresh application. (Paras 4, 7)

C) Property Law - Transfer of Property - Agreement of Sale Does Not Create Interest in Property - Transfer of Property Act, 1882, Section 53(a) - The trial court observed that an agreement of sale does not create any right in immovable property and the plaintiff’s interest was safeguarded under Section 53(a) TPA. The High Court did not disturb this observation but focused on necessity under CPC. (Para 5)

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Issue of Consideration

Whether the trial court was justified in rejecting the application for amendment of plaint to implead proposed defendants as necessary parties under Order 1 Rule 10 of the Code of Civil Procedure, 1908

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Final Decision

Petition allowed; trial court's order set aside; application for impleadment granted with costs of Rs.3000 payable to respondent No.3; amendment to be carried out within four weeks.

Law Points

  • Legal points not extracted
  • Order 1 Rule 10 CPC enables impleadment of necessary and proper parties
  • impleadment required when subsequent sale during suit pendency affects plaintiff's rights
  • amendment of plaint under Order 6 Rule 17 CPC to implead necessary parties is permissible
  • earlier dismissal with liberty to file fresh does not bar subsequent application
  • presence of subsequent purchasers avoids multiplicity of proceedings
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Case Details

2026 LawText (BOM) (05) 80

WRIT PETITION NO. 193 OF 2003

2005-06-09

S.S. Parkar, J.

Citation not available

Shri S.G. Dessai, Shri Shivan Dessai, Shri M.S. Usgaonkar, Shri Sudesh Usgaonkar, Shri P.A. Kholkar

Shri Rajaram Rau Patil

Shri Marcel de Pieade Braganza & Ors.

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Nature of Litigation

Civil writ petition challenging trial court's order rejecting application for amendment of plaint to implead proposed defendants.

Remedy Sought

Petitioner (original plaintiff) sought to quash trial court's order and allow amendment to implead proposed defendants as parties to the suit.

Filing Reason

During pendency of suit for declaration of right to purchase land, defendant No.3 illegally sold the suit property to proposed defendants; to avoid multiplicity of proceedings and enable complete adjudication, impleadment was necessary.

Previous Decisions

Trial court dismissed the amendment application holding that proposed parties were not necessary or proper parties; earlier identical application had been dismissed as not pressed with liberty to file fresh.

Issues

Whether the proposed defendants were necessary or proper parties under Order 1 Rule 10 CPC? Whether the second application for amendment was maintainable after dismissal of earlier application with liberty to file fresh? Whether the trial court's rejection was justified given the need to avoid multiplicity of proceedings?

Submissions/Arguments

Petitioner argued that the proposed defendants were necessary parties to avoid multiplicity and ensure complete adjudication; the earlier dismissal with liberty allowed the fresh application. Respondents argued that proposed parties were not necessary under the test laid down in Ramesh Hirachand Kundanmal v. Municipal Corporation; agreement of sale did not create interest in property, and plaintiff's rights were safeguarded under Section 53(a) of Transfer of Property Act.

Ratio Decidendi

Under Order 1 Rule 10 CPC, a person who claims to have purchased the suit property during pendency of the suit is a necessary or proper party whose impleadment is required for effectual and complete adjudication to avoid multiplicity of proceedings. Liberty to file a fresh application granted by a court bars dismissal of a subsequent application on grounds of earlier dismissal. The court must consider the actual sale, not merely an agreement, to determine necessity of impleadment.

Judgment Excerpts

The trial Court ought to have allowed the application in order to enable the Court to effectually and completely adjudicate upon and settle all the questions involved in the suit and to avoid multiplicity of proceedings. In my view, the proposed defendants are necessary parties or in any case, proper parties for effectually and completely adjudicating upon and settling all the questions involved in the suit and to avoid multiplicity of proceedings. Relying on the reply affidavit dated 3.2.2001 filed on behalf of the defendant No.4, it was contended by the counsel for the petitioner that though the application was made to implead the proposed defendants on the ground that there was an agreement for sale, but now it appears that in fact there is a sale and therefore, it is all the more necessary to implead the proposed defendants. The rejection of the application on the ground that the proposed parties are not necessary or proper parties in order to decide the controversy arising in the suit cannot be upheld in view of the provisions of Order 1, Rule 10 of C.P.C..

Procedural History

Special Civil Suit No.9/88/A filed on 19.4.1988. On 23.5.1988, plaintiff applied to implead proposed defendants. Ex-parte injunction vacated; appeal filed; records sent to High Court on 6.10.1988 and returned after appeal dismissal on 3.7.1998. On 19.9.2000, trial court dismissed the application as not pressed with liberty to file fresh. Fresh application filed and rejected on 22.10.2001. Writ petition filed in 2003. Judgment delivered on 9.6.2005.

Acts & Sections

  • Code of Civil Procedure, 1908: Order 1 Rule 10, Order 6 Rule 17, Order 22 Rule 4-A
  • Transfer of Property Act, 1882: Section 53(a)
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High Court Bombay High Court Allows Amendment to Implead Subsequent Purchasers in Suit for Declaration of Purchase Right. Civil Procedure Code Order 1 Rule 10 Requires Impleading of Necessary Parties to Avoid Multiplicity of Proceedings.
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