Case Note & Summary
The appellant, Ghanshyambhai Kashibhai Chavda, filed a first appeal under Section 96 of the Code of Civil Procedure, 1908, challenging the judgment and decree dated 01.07.2025 passed by the learned Additional Senior Civil Judge, Kheda, in Civil Suit No.34 of 2024. The trial court had rejected the plaint under Order 7 Rule 11 CPC. The appellant was the original plaintiff and the respondent was the original defendant. The plaintiff alleged that an agreement to sell was executed on 15.11.2018 for the sale of land situated at Village Damri, Kheda, with a total sale consideration of Rs.96,55,000/-. According to the plaintiff, a cheque of Rs.40,00,000/- was issued but not paid to him, and the remaining amounts were paid by cheques on various dates. The sale deed was executed on 22.02.2019, wherein the plaintiff confirmed receipt of the sale consideration. Subsequently, the plaintiff issued a notice to the defendant contending that the cheque of Rs.40,00,000/- was not issued to him. The plaintiff filed the suit in 2024 for cancellation of the registered sale deed. The trial court rejected the plaint under Order 7 Rule 11 CPC on the grounds that the suit was barred by limitation and lacked cause of action. The High Court considered the appeal and examined the plaint allegations. The court noted that the sale deed was executed on 22.02.2019 and the suit was filed in 2024, beyond the three-year limitation period prescribed under Article 59 of the Limitation Act, 1963, for cancellation of an instrument. The court held that the plaintiff's claim that the cheque was not issued to him did not give rise to a fresh cause of action, as the sale deed itself recorded receipt of consideration. The court further observed that the plaint did not disclose any cause of action and was clearly barred by limitation. Accordingly, the High Court dismissed the appeal, upholding the trial court's order rejecting the plaint.
Headnote
A) Civil Procedure - Rejection of Plaint - Order 7 Rule 11 CPC - Suit for cancellation of sale deed - The trial court rejected the plaint on the ground that the suit was barred by limitation and lacked cause of action, as the sale deed was executed on 22.02.2019 and the suit was filed in 2024, beyond three years. The High Court upheld the rejection, holding that the plaint did not disclose any cause of action and was clearly barred by limitation. (Paras 1-10) B) Limitation - Suit for Cancellation of Instrument - Article 59 of Limitation Act, 1963 - The suit for cancellation of a registered sale deed must be filed within three years from the date of knowledge of the facts entitling the plaintiff to have the instrument cancelled. The plaintiff's claim that the cheque for Rs.40,00,000/- was not issued to him did not create a fresh cause of action, as the sale deed itself recorded receipt of consideration. (Paras 5-9)
Issue of Consideration
Whether the trial court was justified in rejecting the plaint under Order 7 Rule 11 of the Code of Civil Procedure, 1908, on the grounds of lack of cause of action and the suit being barred by limitation.
Final Decision
The High Court dismissed the appeal, upholding the trial court's order rejecting the plaint under Order 7 Rule 11 CPC.
Law Points
- Order 7 Rule 11 CPC
- Section 96 CPC
- Limitation Act
- 1963
- Cause of Action
- Plaint Rejection
