Bombay High Court Allows Revision Against Rejection of Application to Set Aside Ex Parte Decree in Summary Suit — Negligence of Counsel Constitutes Sufficient Cause Under Order IX Rule 13 CPC. The court set aside the ex parte decree and granted leave to defend subject to deposit of decretal amount.

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

The present civil revision application challenges the order dated 26.04.2016 passed by the 4th Joint Civil Judge, Senior Division, Nagpur in Summary Civil Suit No.178/2010, whereby the trial court rejected the application filed by the petitioners (defendants) to set aside the ex parte decree passed against them on 25.04.2013. The respondents (plaintiffs) had filed the summary suit for recovery of an amount. The petitioners were served with notice and engaged a counsel who filed an application for leave to defend. However, the counsel allegedly did not pursue the matter diligently and failed to inform the petitioners about the progress, resulting in an ex parte decree. The petitioners then filed M.J.C. No.90/2014 for setting aside the decree. The respondents opposed the application, arguing that the petitioners were literate and had knowledge of court proceedings but remained absent, attempting to shift blame to their counsel. The trial court, after considering evidence, rejected the application. The High Court, in revision, examined whether the negligence of the counsel constitutes sufficient cause under Order IX Rule 13 CPC. The court held that the negligence of the advocate is a sufficient cause for setting aside an ex parte decree, as parties should not suffer due to the fault of their counsel. The court emphasized a liberal approach to ensure that matters are decided on merits. Consequently, the High Court allowed the revision, set aside the trial court's order, and set aside the ex parte decree, granting leave to defend subject to the petitioners depositing the decretal amount within a specified period.

Headnote

A) Civil Procedure - Setting Aside Ex Parte Decree - Sufficient Cause - Negligence of Counsel - Order IX Rule 13, Order XXXVII Code of Civil Procedure, 1908 - The petitioners filed an application to set aside an ex parte decree in a summary suit, contending that their counsel failed to diligently pursue the matter and did not inform them of the proceedings. The trial court rejected the application. The High Court held that the negligence of the counsel constitutes sufficient cause for setting aside the ex parte decree, as parties should not suffer for the fault of their advocate. The court emphasized a liberal approach in such matters to ensure justice. (Paras 1-10)

B) Civil Procedure - Summary Suit - Leave to Defend - Order XXXVII Code of Civil Procedure, 1908 - The petitioners had filed an application for leave to defend the summary suit, but due to their counsel's negligence, the matter proceeded ex parte and a decree was passed. The High Court noted that the petitioners had a prima facie defence and were entitled to contest the suit on merits. The court set aside the ex parte decree and granted leave to defend, subject to deposit of the decretal amount. (Paras 2-10)

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Issue of Consideration

Whether the negligence of the counsel constitutes sufficient cause for setting aside an ex parte decree passed in a summary suit under Order XXXVII of the Code of Civil Procedure, 1908.

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Final Decision

The High Court allowed the civil revision application, set aside the order dated 26.04.2016 passed by the trial court, and set aside the ex parte decree dated 25.04.2013. The petitioners were granted leave to defend the suit subject to depositing the decretal amount within a specified period.

Law Points

  • Sufficient cause for setting aside ex parte decree
  • Negligence of counsel as sufficient cause
  • Order IX Rule 13 CPC
  • Order XXXVII CPC
  • Summary suit procedure
  • Liberal approach in setting aside ex parte decrees
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Case Details

2017 LawText (BOM) (06) 163

Civil Revision Application No.70 of 2016

2017-06-13

Smt. Dr. Shalini Phansalkar-Joshi, J.

Shri H.R. Gadhia for Applicants, Shri A.H. Lohiya for Respondent Nos.1 & 2

Prabhakar s/o Dasrathji Bobde, Pravin s/o Prabhakar Bobde, M/s. Jai Developers and Builders thr. its Partner Pravin Bobde

Jageshwar s/o Bhaskarrao Patre, Smt. Chhaya wife of Jageshwar

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Nature of Litigation

Civil revision against rejection of application to set aside ex parte decree in summary suit for recovery of amount.

Remedy Sought

Petitioners sought setting aside of ex parte decree and permission to defend the suit.

Filing Reason

Petitioners' counsel allegedly failed to diligently pursue the matter, leading to ex parte decree.

Previous Decisions

Trial court rejected the application to set aside ex parte decree on 26.04.2016.

Issues

Whether the negligence of the counsel constitutes sufficient cause for setting aside an ex parte decree under Order IX Rule 13 CPC? Whether the trial court erred in rejecting the application to set aside the ex parte decree in a summary suit?

Submissions/Arguments

Petitioners argued that their counsel did not pursue the matter diligently and failed to inform them about the proceedings, resulting in ex parte decree. Respondents contended that petitioners were literate and had knowledge of court proceedings but remained absent, and were trying to shift blame on counsel.

Ratio Decidendi

Negligence of the counsel constitutes sufficient cause for setting aside an ex parte decree under Order IX Rule 13 CPC, as parties should not suffer for the fault of their advocate. Courts should adopt a liberal approach to ensure that matters are decided on merits rather than on technicalities.

Judgment Excerpts

The legality, validity and propriety of the order dated 26.04.2016 passed by 4th Joint Civil Judge, Senior Division, Nagpur in Summary Civil Suit No.178/2010, thereby rejecting the application filed by the petitioner to set aside the ex parte decree passed therein on 25.04.2013, is challenged in this revision. The petitioner therefore, filed M.J.C. No.90/2014 for setting aside the said ex parte decree and for permission to defend the suit.

Procedural History

Respondents filed Summary Civil Suit No.178/2010 for recovery of amount. Petitioners were served, engaged counsel who filed leave to defend application. Due to counsel's negligence, ex parte decree passed on 25.04.2013. Petitioners filed M.J.C. No.90/2014 to set aside decree. Trial court rejected application on 26.04.2016. Petitioners filed Civil Revision Application No.70/2016 in High Court.

Acts & Sections

  • Code of Civil Procedure, 1908: Order IX Rule 13, Order XXXVII
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