Bombay High Court Allows Second Appeal in Licensee Eviction Case, Holds Civil Court Lacks Jurisdiction. Suit by Licensor Against Gratuitous Licensee Must Be Filed Before Small Causes Court Under Section 41 of Presidency Small Cause Courts Act, 1882.

High Court: Bombay High Court Bench: NAGPUR In Favour of Accused
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Case Note & Summary

The case involves a second appeal filed by the defendant (appellant) against the plaintiff (respondent) in a suit for eviction and possession. The plaintiff claimed that the defendant was occupying the suit property as a permissive licensee. The defendant initially contested the suit but later, through his counsel, made a statement accepting the plaintiff's ownership and not claiming any co-ownership. The sole substantial question of law framed was whether the civil court had jurisdiction to try the suit given the plaintiff's own pleadings that the defendant was a permissive licensee. The appellant argued that under Section 41 of the Presidency Small Cause Courts Act, 1882, suits between licensor and licensee are exclusively triable by the Small Causes Court, and the civil court's jurisdiction is ousted. The respondent did not contest this position. The court, relying on the Supreme Court decision in Prabhudas Damodar Kotecha & Ors. v. Manhabala Jeram Damodar & Anr., held that the suit was indeed one between a licensor and a gratuitous licensee and thus fell within the exclusive jurisdiction of the Small Causes Court. Consequently, the civil court had no jurisdiction to entertain the suit. The appeal was allowed, the judgments of the lower courts were set aside, and the plaint was directed to be returned for presentation to the proper court.

Headnote

A) Civil Procedure - Jurisdiction - Ouster of Civil Court's Jurisdiction - Suit by Licensor Against Gratuitous Licensee - Presidency Small Cause Courts Act, 1882, Section 41 - The plaintiff filed a suit for eviction and possession against the defendant who was a gratuitous licensee. The defendant accepted the plaintiff's ownership and did not claim co-ownership. The court held that the suit was exclusively triable by the Small Causes Court under Section 41 of the Presidency Small Cause Courts Act, 1882, and the jurisdiction of the regular civil court was ousted. Reliance was placed on Prabhudas Damodar Kotecha & Ors. v. Manhabala Jeram Damodar & Anr., 2013 (10) SCALE 242. (Paras 1-3)

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Issue of Consideration

Whether on the pleadings of the plaintiff that the defendant was occupying the premises as a permissive licensee, the jurisdiction of the civil Court was ousted?

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Final Decision

The appeal is allowed. The judgments and decrees passed by the courts below are set aside. The plaint is directed to be returned to the plaintiff for presentation to the proper court having jurisdiction. No order as to costs.

Law Points

  • Jurisdiction of civil court ousted in suits between licensor and gratuitous licensee
  • Presidency Small Cause Courts Act
  • 1882 Section 41
  • Gratuitous licensee eviction
  • Small Causes Court exclusive jurisdiction
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Case Details

2017 LawText (BOM) (01) 122

Second Appeal No. 107 of 2015

2017-01-09

R. K. Deshpande, J.

Shri Indranil Damle for appellant, Shri A.S. Dhore for respondent

Sitaram s/o Punjaram Borkiar

Smt. Leelabai Rambhau Borikar

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Nature of Litigation

Second appeal against concurrent findings in a suit for eviction and possession of property based on licensor-licensee relationship.

Remedy Sought

Appellant-defendant sought to set aside the judgments of the lower courts on the ground that the civil court lacked jurisdiction to try the suit.

Filing Reason

The appellant-defendant contended that the suit between licensor and gratuitous licensee was exclusively triable by the Small Causes Court under Section 41 of the Presidency Small Cause Courts Act, 1882, and the civil court's jurisdiction was ousted.

Previous Decisions

The trial court and first appellate court had decreed the suit in favor of the plaintiff-respondent, ordering eviction of the defendant-appellant.

Issues

Whether the civil court had jurisdiction to try a suit for eviction and possession where the plaintiff pleaded that the defendant was a permissive licensee?

Submissions/Arguments

Appellant argued that the suit was between a licensor and a gratuitous licensee, and under Section 41 of the Presidency Small Cause Courts Act, 1882, such suits are exclusively triable by the Small Causes Court, ousting the jurisdiction of the civil court. Reliance placed on Prabhudas Damodar Kotecha v. Manhabala Jeram Damodar. Respondent did not contest the legal position and waived service of notice.

Ratio Decidendi

A suit by a licensor against a gratuitous licensee for eviction and possession is exclusively triable by the Small Causes Court under Section 41 of the Presidency Small Cause Courts Act, 1882, and the jurisdiction of the regular civil court is ousted.

Judgment Excerpts

The Apex Court has held that a suit by a licensor against a gratuitous licensee is tenable before the Presidency Small Causes Court under Section 41 of the Presidency Small Causes Courts Act, 1882. In view of this, the jurisdiction of the Civil Court to try such a suit was clearly ousted.

Procedural History

The plaintiff filed a suit for eviction and possession in the civil court. The trial court decreed the suit. The defendant appealed to the first appellate court, which dismissed the appeal. The defendant then filed a second appeal in the High Court, which was admitted on the substantial question of law regarding jurisdiction. The High Court heard the appeal and allowed it, setting aside the lower courts' judgments and directing return of the plaint.

Acts & Sections

  • Presidency Small Cause Courts Act, 1882: Section 41
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High Court Bombay High Court Allows Second Appeal in Licensee Eviction Case, Holds Civil Court Lacks Jurisdiction. Suit by Licensor Against Gratuitous Licensee Must Be Filed Before Small Causes Court Under Section 41 of Presidency Small Cause Courts Act, 1882.
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